- Nigerian biggest banks are investing more in advertisement amid rising competition from fintech
- Data shows that the five Tier 1 banks invested over N36 billion in creating awareness for their products
- The rise of Kuda Pay, PalmPay, and Moneipoint has created competition for customers of the bigger financial institution
Legit.ng journalist Dave Ibemere has over a decade of experience covering business and the economy
Nigerian tier-1 banks have spent N56.86 billion on advertising and branding in the nine months of 2023.
This represents a 55% year-on-year increase when compared to N36.67 billion in the nine months of 2022.
The banks spent this amount to enrich awareness among their potential customers amid rising competition from peers and fintechs.
Surveyed are FBN Holdings, United Bank for Africa, Guaranty Trust Holding Company, Access Bank, and Zenith Bank.
To increase brand visibility, FBN Holdings’ advert and corporate promotions expenses increased to N20.23 billion in the first nine months of 2023, a massive jump compared to N7.59 billion in the same period of 2022.
United Bank for Africa (UBA)
Also, UBA’s advertising, promotions, and branding expenses increased to N11.61 billion in nine months of 2023 from N10.44 billion in the same period of 2022.
Guaranty Trust Holding Company (GTCO)
GTCO’s advert, promotion, and corporate gifts expenses increased to N5.38 billion in nine months of 2023 from N4.4 billion in the same period of 2022.
Access Holdings the parent company of Access Bank advertisements and marketing expenses, grew to N12.06 billion in 9M’2023 from N8.08 billion in the same period of 2022.
Zenith Bank’s advertisement expenses increased to N7.57 billion in 9M’2023 from N6.16 billion in the same period of 2022.
10 banks deposit over N150bn in taxes to government account
The amount marks a significant increase of 33.50% from the N116.54 billion paid by the banks during the previous fiscal year, as reported by their financial statements submitted to the Nigerian exchange.
The ten banks that made the list include Zenith Bank, GTCO, UBA, Stanbic IBTC Holdings, FCMB, Fidelity Bank, Sterling Bank, Wema Bank, Unity Bank, and Jaiz Bank.