Integrated Marketing For CBA

Integrated Marketing For CBA

Integrated Marketing For CBA

Integrated Marketing For CBA

Question:

Discuss about the Integrated Marketing Communication For CBA.

Answer:

Background

The Commonwealth Bank of Australia (CBA) is one of the major Australian banks with a multinational approach (Schlagwein, Thorogood, & Willcocks, 2014)). Other than its home country, it has its business spread across USA, UK, New Zealand, and countries in Asia. It offers a variety of financial services which includes retail, fund management, post-retirement insurance, and a variety of investment and broking schemes. However, in the recent past, the bank has been under severe criticism from various avenues, primarily from the Banking Royal Commission (Banking royal commission: CBA reputation set for another battering in round three, 2018). This was a result of several fraudulent activities and scams to meet the target, for which a wide range of customers from rich to poor, all had to suffer a great deal. There have been careless and fraudulent lending of money on a large scale. The bank was reported to have lost the account details of a lot of customers (Australian bank lost data of 20m accounts, 2018). Besides, lots of fake children’s accounts were reported to have been formed by the bank employees both to earn bonuses, and to meet their high targets (Ferguson, 2018).

Stakeholder Issues And Concerns: Internal Stakeholders

Management: In any business, ethics comes first. When those codes of conduct are transgressed, it poses a serious blow to the goodwill of the organization (Lovelock & Patterson, 2015). Given the size and influence of the Commonwealth Bank of Australia, the tarnished goodwill becomes the most important area of concern for the managers. They would also face problems in hiring new talents, as people would refuse to take up a job there.

Employees:  As mentioned earlier, the employees had their own share of guilt in this issue. As such, they are presently faced with questions from legal bodies. The impending loss of revenue by the bank, would also take a toll on their salaries, with reduced chances of a hike.

External Stakeholders

Government: The government is an important stakeholder of the bank, as it helps in regulating the policies and procedures that needs to be followed by them. The fraudulent activities that were done by the company led to the fall of the goodwill that affected the citizens who have invested their money with the company. As such the government is bound to take legal steps against the bank.

Consumers: The existing consumers are of the fear that the money that has been kept in their accounts have been used for committing the fraud, which may result in low or no return. This has resulted in most of the consumers to withdraw their money from the bank as well.

Shareholders: The Companies which had tie-ups with the bank would communicate with the other shareholders so that they can get to know regarding the activities that are being undertaken by them. The shareholders need to have full information regarding the activities that are being done by the bank so that it can help in increasing their level of trust. Nonetheless, many of those companies or shareholders are bound to terminate business with the bank.

Suppliers: The suppliers play an important role for the company, as they helped in providing the necessary resources to them for which the bank could function in a successful manner. But now the suppliers would also refuse to make and distribute the ATM cards and mobile applications which had earlier helped the bank in gaining more number of customers.

The major concerns of the stakeholders are that the company is undertaking fraud activities that has led to the fall in its reputation. This has become a concern for the stakeholders, as they have invested their time and amount, which may lead to their fall in their goodwill as well.

Integrated Marketing For CBA