Commonwealth Bank's Integrated Marketing Communications Analysis

This report presents an integrated marketing communications (IMC) situational analysis of the Commonwealth Bank of Australia (CBA), prompted by findings from the Banking Royal Commission. The analysis covers internal factors like promotional capabilities, prior promotional plans, and brand image, alongside external factors such as customer analysis, competitive analysis, and environmental analysis. It identifies key issues including the public's desire for homeownership and the bank's profit motives as contributing to the crisis. The report also addresses stakeholder concerns and how CBA is using IMC strategies, including social media and CSR activities, to restore trust and mitigate the damaging effects of the commission's findings. The study highlights the importance of a positive brand image in attracting customers in the current business environment. Desklib provides this and many other solved assignments for students.

Running head: INTEGRATED MARKETING COMMUNICATIONS
Integrated Marketing Communications
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1INTEGRATED MARKETING COMMUNICATIONS
Table of Contents
Background................................................................................................................................2
Integrated Marketing Analysis...................................................................................................3
Major Factors.............................................................................................................................5
Stakeholder’s Concerns..............................................................................................................6
IMC and the mitigation of the issue...........................................................................................6
References..................................................................................................................................7

2INTEGRATED MARKETING COMMUNICATIONS
Background
The concept of “integrated marketing communications” or more popularly called by
the IMC has gained a considerable amount of significance in the context of the present day
business world (Bruhn & Schnebelen, 2017). The term “integrated marketing
communications” generally refers to the activities or the strategies adopted by a particular
business enterprise to ensure that the promotional as well as communication which are being
used by it are in synchronicity with not only each other but at the same time with the
requirements of the concerned enterprise (Bruhn & Schnebelen, 2017). In the recent times it
is generally seen that the various business enterprises take the help of diverse kinds of
integration mechanisms like vertical, horizontal, data, internal, external and others to ensure
that they achieve the above mentioned (Blakeman, 2018). Thus, it would be apt to say that
the process of “integrated marketing communications” has become an indispensible part of
the various business enterprises. This paper will undertake an IMC situational analysis of the
Commonwealth Bank of Australia.
The findings of the Banking royal commission regarding the performance of the
various banks in the nation of Australia have revealed shocking details. The findings of the
commission clearly indicates that the top four banks of the nation including the
Commonwealth Bank of Australia have taken various kinds of leniencies regarding the loans
and other kinds of financial transactions dictated by the national government of the nation
(Abc.net.au, 2018). It also mentions that these banks have provided loans to the candidates
who failed to fulfill the required parameters and also indulged in other kinds of banking
transactions with the motive to enhance their profit margins (News.com.au, 2018). Thus, it
would be apt to say that the findings of this particular commission has not only adversely
affected the reputation of the CAB but at the same time has lead the national government of

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the concerned nation to come up with more stringent measures (McGowan & Davidson,
2018).
Integrated Marketing Analysis
A brief IMC situational analysis of the case under discussion here would reveal the
followed facts-
Internal Analysis External Analysis
Promotional Capabilities: The CAB is one
of most popular banks not only of the nation
of Australia but also of the world with wide
banking interests in the different nations of
the world. The bank thus takes the help of
different kinds of traditional as well as
modern promotional means to reach out to a
larger customer base and at the same time to
influence the customers (Commonwealth
Bank, 2018). Thus, it would be apt to say that
the bank has a high level of promotional
capabilities which if effectively utilized can
further enhance the prospects of the bank
under discussion here.
Customer Analysis: The primary service
which the bank provides to the customers is
the various kinds of mortgage and other kinds
of loans (Commonwealth Bank, 2018). Thus,
it can be said that the middle aged people as
well as the would-be property owners are the
primary customers of the bank. In addition to
this, people from all age and gender take the
help of other kinds of banking services
provided by the bank (Commonwealth Bank,
2018).
Prior Promotional Plans: The bank in the
earlier times used to depend on the various
traditional kinds of promotional methods and
also on the process of “word of mouth” for
Competitive Analysis: The bank at the
current bank moment is facing a high level of
competitor not only from the other three
major banks of the nation but also from the

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the process of promoting the services
provided by them (Commonwealth Bank,
2018). However, currently the bank is using
social media and also the other electronic
mediums for the process of promotion
(Commonwealth Bank, 2018).
other private financial institutions of the
nation.
Brand Image: The bank under discussion
here is not only one of the oldest banks of the
nation of Australia but also of the entire
world itself (Commonwealth Bank, 2018). In
addition to this, the bank is operational on a
worldwide basis and has more than 1100
branches in different parts of the world
(Commonwealth Bank, 2018). Furthermore,
the bank is known for the high quality of
financial services which it provides to the
customers and also undertakes various kinds
of CSR activities (Commonwealth Bank,
2018). Thus, it would be apt to say that the
bank under discussion here has a positive
brand image.
Environmental Analysis: The business
environment of the nation of Australia and
also of the other nations in which the bank
under discussion here operates is very
congenial for banking activities. It is a
reflection of this particular that the bank
inspite of the financial crisis which affected
the majority of the banking institutions of the
world was able to make a significant amount
of revenue (Commonwealth Bank, 2018).
Strengths and Weaknesses of Services: The
primary strength of the services provided by
the bank under discussion here can be said to
be fact that they have been designed taking

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into consideration the needs as well as the
requirements of the customers from the
different parts of the world (Commonwealth
Bank, 2018). The weakness of the services
provided by the bank under discussion here
can be said to be fact that the fact charges a
higher rate of interest from the customers
who take loans from them and also the rate of
interest which the bank provides to the
customers is lower than the ones provided by
the other banks (McGowan & Davidson,
2018). It is a reflection of this particular fact
that the bank is facing a high level of
competition from others.
Major Factors
The major factor which has contributed in a significant manner towards the crisis that
the CAB and the major banks of the nation of Australia are facing at the current moment can
be said to be the increasing insistence on the part of the people of the concerned nation to
own their homes regardless of the fact that they fulfill the loan getting requirements or not
(News.com.au, 2018). Another significant factor can be said to be the inherent desire on the
part of the concerned banking institution to further enhance the percentage of revenue earned
by them (Abc.net.au, 2018).

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Stakeholder’s Concerns
The major concerns which drives each of the major stakeholders that the concerned
bank needs to take into consideration for its IMC program are ability to provide sound as well
as safe financial services to the customers who opt for the services provided by them, the
ability to get loans or mortgage as and when required so that they can lead their lives as per
their own wishes and others.
IMC and the mitigation of the issue
The CAB is taking the help of the process of IMC in order to mitigate the damaging
effects of the results of the Banking royal commission. Thus, in order to win back the trust as
well as the goodwill of the customers the bank is taking the help of social media and other
electronic media for the purpose of promotion of the services provided by them. In addition
to this, the bank is also taking the help of various kinds of CSR activities as well as policies
to restore its brand image (Blakeman, 2018). This is very important from the perspective of
the bank since it is generally seen in the present times that the customers like to opt for the
services of the organizations which boosts of a positive brand image.

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References
Abc.net.au. (2018). Abc.net.au. [online]. Retrieved from http://www.abc.net.au/news/2018-
04-24/banking-royal-commission-damaging-reputations-but-is-it-enough/9694068
Andrews, J. C., & Shimp, T. A. (2017). Advertising, promotion, and other aspects of
integrated marketing communications. Nelson Education.
Blakeman, R. (2018). Integrated marketing communication: creative strategy from idea to
implementation. Rowman & Littlefield.
Bruhn, M., & Schnebelen, S. (2017). Integrated marketing communication–from an
instrumental to a customer-centric perspective. European Journal of
Marketing, 51(3), 464-489.
Commonwealth Bank. (2018). Commonwealth Bank [online]. Retrieved from
https://www.commbank.com.au/
Disgusting advice ruined couple | news.com.au — Australia’s #1 news site. (2018).
news.com.au [online]. Retrieved from
https://www.news.com.au/finance/business/banking/dead-commonwealth-bank-
clients-charged-fees-among-shock-revelations-of-banking-behaviour/news-story/
91f47043b57e0789089afeab7d5fa8ab
Luxton, S., Reid, M., & Mavondo, F. (2015). Integrated marketing communication capability
and brand performance. Journal of Advertising, 44(1), 37-46.
McGowan, M., & Davidson, H. (2018). Banking royal commission: Westpac, AMP and CBA
may have breached Corporations Act – as it happened. Retrieved from

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https://www.theguardian.com/australia-news/live/2018/apr/27/banking-royal-
commission-financial-advice-groups-under-microscope-live