Updated Work Ok

SOMMAIRES
SOMMAIRES.............................................................................................................................I
DEDICATION..........................................................................................................................III
ACKNOWLEDGEMENT........................................................................................................IV
LIST OF FIGURES..................................................................................................................IX
LIST OF ABBREVIATIONS...................................................................................................XI
GENERAL INTRODUCTION...................................................................................................1
FIRST PART: LITERATURE REVIEW...................................................................................4
CHAPTER 1: DIFFERENT MARKETING STRATEGIES OF MICROFINANCE

INSTITUTION...........................................................................................................................4
SECTION I: INTODUCTION TO MARKETING STRATEGIES...........................................5
SECTION II: ANALYSIS OF MARKETING STRATEGIES IN MICROFINANCE

INSTITUTIONS AND EVALUATION OF THE EFFECTIVENESS OF THESE
MARKETING STRATEGIES..................................................................................................13
CHAPTER II: THE RELATIONSHIP BETWEEN MARKETING STRATEGIES AND

PERFORMANCE.....................................................................................................................20
SECTION I: THE CONCEPT OF PERFORMANCE..............................................................21
SECTION II: THE LINK BETWEEN MARKETING STRATEGY AND PERFORMANCE

...................................................................................................................................................30
SECOND PART: METHODOLOGY AND DATA ANALYSIS AND

RECOMMENDATIONS..........................................................................................................36
CHAPTER 3: METHODOLOGY AND PRESENTATION OF ENTERPRISE.....................37
SECTION I: ADOPTED APPROACH....................................................................................37
SECTION II: PRESENTATION OF ENTERPRISE...............................................................43
CHAPTER 4: DATA ANALYSIS AND CONCLUSION.......................................................49
SECTION I: DATA PERESENTATION AND ANALYSIS..................................................49
[Tapez un texte] Page I

Ethical Considerations..............................................................................................................49
GENERAL CONCLUSION.....................................................................................................63
BIBLIOGRAPHIC REFERENCES..........................................................................................64
ANNEXES................................................................................................................................68
[Tapez un texte] Page II

DEDICATION
TO
MY FAMILY
[Tapez un texte] Page III

ACKNOWLEDGEMENT
ACKNOWLEDGEMENT
This dissertation is the result of long work to which several people contributed. We thank
and would like to express our gratitude to all those who gave us the benefit of their experience
to carry out this research work.
Our deep gratitude goes to:
 Dr ESSAMA who despite his occupations was always available and attentive to us, he
advised us and his relevant remarks allowed us to better write this dissertation project;
 My supervisor Mr. ELOUNDOU Roland for his instructions, advice, comments and
criticisms that he provided on the work and especially for all the availability and
attention to this work;
 To all the teaching staff of ENSET and more precisely of the department of Technical
and Economic Management Sciences (STEG) making us qualified teachers;
 To my parents for all their unfailing support, prayers and sacrifices for my education;
 To all my classmates from the 45th promotion who maintained a friendly atmosphere
and enthusiasm at work during our stay at ENSET;
 Furthermore, I am immensely grateful to my dad, MR. Kum Godlove Kang for his
unyielding support, encouragement, and love throughout this endeavor. His
unwavering belief in me, motivation, and inspiration have been a constant source of
strength and motivation.
 I would like to express my sincere gratitude my to twin brother, Kinjang Derick for
encouraging me throughout this work
Finally, to my family and friends, I am deeply grateful for all that you have
done to help me reach this milestone. Your immense support and encouragement have
been instrumental in my success. I am honored to have had the opportunity to work
with such an exceptional team of individuals who have contributed to the success of
this project.
[Tapez un texte] Page IV

FOREWORD
Decree No. 042/MISERES of September 9, 1991, on the organization of teaching and

assessments at the Higher Normal School of Technical Education (ENSET) of the University
of Douala, provides for the completion of a final cycle of studies diploma and the writing of a
final thesis. This work allows the student not only to develop their research and analytical
skills but also to provide proof of their mastery of knowledge, especially technical knowledge.
It also allows the student to contribute to the progress of science, which is necessary for both
individuals and businesses.
This thesis meets the requirements of the school and is an integral part of obtaining the first-
grade technical teaching professor diploma (DIPET I). To do so, we have chosen to work on
the theme: "Marketing strategies and its performance on Microfinance institutions in
Cameroon, a case of BUPCCUL". However, we do not claim to have exhausted the topic
given its many facets, but we have nevertheless made proposals to present the determinants of
service quality in the mobile telecommunications sector in Cameroon. We remain open to all
criticism and suggestions that can lead to improvements in this work.
[Tapez un texte] Page V

TABLES DES MATIERES
DEDICATION.............................................................................................................................I
ACKNOWLEDGEMENT........................................................................................................IV
LIST OF FIGURES..................................................................................................................IX
LIST OF ABBREVIATIONS...................................................................................................XI
GENERAL INTRODUCTION...................................................................................................1
FIRST PART: LITERATURE REVIEW...................................................................................4
CHAPTER 1: DIFFERENT MARKETING STRATEGIES OF MICROFINANCE

INSTITUTION...........................................................................................................................4
SECTION I: INTODUCTION TO MARKETING STRATEGIES...........................................5
I.1 TYPES AND IMPORTANCE OF MARKETING STRATEGIES.................................5
I.1.1 TYPES OF MARKETING STRATEGIES....................................................................6
I.1.2 IMPORTANCE OF MARKETING STRATEGIES....................................................10
I.2 Overview of marketing strategies in the context of microfinance institutions................11
I.2.2 Outreach and awareness strategies................................................................................12
SECTION II: ANALYSIS OF MARKETING STRATEGIES IN MICROFINANCE

INSTITUTIONS AND EVALUATION OF THE EFFECTIVENESS OF THESE
MARKETING STRATEGIES..................................................................................................13
II.1 ANALYSIS OF MARKETING STRATEGIES USED BY MICROFINANCE

INSTITUTIONS....................................................................................................................14
II.1.1 MARKET RESEARCH AND SEGMENTATION....................................................14
II.1.2 PRODUCT AND SERVICE DEVELOPMENT.........................................................14
II.2 EVALUATION OF MARKETING STRATEGIES USED BY MICROFINANCE

INSTITUTIONS....................................................................................................................16
II.2.1 MEASUREMENT AND MONITORING..................................................................16
II.2.2 FEEDBACK AND ADAPTATION............................................................................17
[Tapez un texte] Page VI

CHAPTER II: THE RELATIONSHIP BETWEEN MARKETING STRATEGIES AND
PERFORMANCE.....................................................................................................................20
SECTION I: THE CONCEPT OF PERFORMANCE..............................................................21
I.1 Financial Performance of marketing strategies in Microfinance Institutions..................22
I.1.1 Evaluation of financial indicators of performance........................................................22
a. Profitability analysis......................................................................................................22
b) Portfolio Quality Assessment...........................................................................................23
I.1.2 Efficiency analysis of performance..............................................................................25
I.2 Impact evaluation of performance...................................................................................28
I.2.1 Customer satisfaction analysis......................................................................................28
I.2.2 Social impact assessment..............................................................................................29
SECTION II: THE LINK BETWEEN MARKETING STRATEGY AND PERFORMANCE

...................................................................................................................................................30
II.1 EMPERICAL LITERATURE........................................................................................31
II.1.1 Performance of Microfinance Institutions...................................................................32
II.1.2 Marketing Strategies and Organizational Performance...............................................32
II.2 CONCEPTUAL FRAMEWORK...................................................................................33
SECOND PART: METHODOLOGY AND DATA ANALYSIS AND

RECOMMENDATIONS..........................................................................................................36
CHAPTER 3: METHODOLOGY AND PRESENTATION OF ENTERPRISE.....................37
SECTION I: ADOPTED APPROACH....................................................................................37
I.1 CHOICE OF RESEARCH METHOD.............................................................................38
I.1.1 Quantitative Research...................................................................................................38
I.1.2 Qualitative Research.....................................................................................................38
I.2 DATA COLLECTION....................................................................................................41
I.2.1 Probabilistic Sampling..................................................................................................42
I.2.2 Non-probabilistic Sampling..........................................................................................42
SECTION II: PRESENTATION OF ENTERPRISE...............................................................43
[Tapez un texte] Page VII

II.1 Historical Background of BUPCCUL............................................................................44
II.1.1 Aim and Objectives of BUPCCUL.............................................................................44
II.1.2 The various Branches of BUPCCUL and Their Locations.........................................44
II.2 MICROFINANCE LOANS/CREDIT/LENDING.........................................................45
II.2.1 MICROFINANCE SAVINGS/DEPOSITS.................................................................45
II.2.1 MICROFINANCE INVESTMENTS..........................................................................46
CHAPTER 4: DATA ANALYSIS AND CONCLUSION.......................................................49
SECTION I: DATA PERESENTATION AND ANALYSIS..................................................49
Ethical Considerations..............................................................................................................49
4.3 DEMOGRAPHIC CLASSIFICATION OF RESPONDENTS.......................................49
4.6 FINDINGS TO RESEARCH OBJECTIVES.................................................................54
4.2. Frequency Distribution of Responses of Customers......................................................54
RECOMMENDATIONS......................................................................................................58
LIMITATIONS.....................................................................................................................59
GENERAL CONCLUSION.....................................................................................................63
BIBLIOGRAPHIC REFERENCES..........................................................................................64
ANNEXES................................................................................................................................68
[Tapez un texte] Page VIII

LIST OF FIGURES
Figure 1: The conceptual framework........................................................................................35

Figure 2: Gender of Respondents.............................................................................................51
Figure 3: marital status of respondents.....................................................................................52
Figure 4: Age of respondents....................................................................................................53
Figure 5: Respondent’s educational level.................................................................................53
Figure 6: Longevity of respondents..........................................................................................54
Figure 7: illustration of effectiveness of marketing strategies..................................................55
Figure 8: percentage illustration of significance of marketing strategies.................................55
Figure 9: ILLUSTRATION OF EFFECTIVENESS OF MARKETING STRATEGIES ON
PERFORMANCE..............................................................................................................57
Figure 10: ILLUSTRATION OF PERCENTAGE OF EFFECTIVENESS OF MARKETING
STRATEGIES ON PERFORMANCE..............................................................................57
[Tapez un texte] Page IX

LISTE DES TABLEAUX
Table 1: operationalization of marketing strategies..................................................................40

Table 2: operationalization of performance..............................................................................41
Table 3: Gender of Respondents...............................................................................................50
Table 4: Marital status of respondents......................................................................................51
Table 5: Ages of respondents....................................................................................................52
Table 6: There is a significant marketing strategies in MFIs....................................................54
Table 7: EFFECTIVENESS OF MARKETING STRATEGIES ON PERFORMANCE........56
[Tapez un texte] Page X

LIST OF ABBREVIATIONS
BUPCCUL: Buea Police Cooperative Credit Union Limited
CamCCUL: Cameroon Cooperatives Credit Union League
ROE: Return on Equity
ROA: Return on Assets
MFBs: Micro Finance Banks
COBAC: Central African Banking Commission
SMSBs: Small and Medium Size Businesses
[Tapez un texte] Page XI

ABSTRACT
This study investigates the relationship between marketing strategies and performance
outcomes within Microfinance Institutions (MFIs) in Cameroon, specifically examining the
Buea Police Cooperative Credit Union Limited (BUPCCUL). It explores how BUPCCUL’s
marketing tactics influence customer acquisition, retention, and overall financial health.
Through qualitative and quantitative analysis, the research identifies key marketing strategies
that contribute to BUPCCUL’s success and distinguishes areas for potential improvement.
The findings suggest that targeted marketing efforts, which resonate with the local clientele
and address their unique financial needs, significantly enhance BUPCCUL’s operational
performance. This abstract encapsulates the essence of a comprehensive study that offers
insights into effective marketing practices for MFIs in the Cameroonian context.
Keywords: Marketing Strategies, Microfinance Institutions, Performance Measurement,

Financial Inclusion, Buea Police Cooperative Credit Union Limited (BUPCCUL), Cameroon.
[Tapez un texte] Page XII

RESUME
Cette étude examine la relation entre les stratégies de marketing et les résultats de
performance au sein des institutions de microfinance (IMF) au Cameroun, en examinant
spécifiquement la Buea Police Cooperative Credit Union Limited (BUPCCUL). Il explore
comment les tactiques marketing de BUPCCUL influencent l'acquisition, la fidélisation et la
santé financière globale des clients. Grâce à une analyse qualitative et quantitative, la
recherche identifie les stratégies marketing clés qui contribuent au succès de BUPCCUL et
distingue les domaines d'amélioration potentielle. Les résultats suggèrent que des efforts de
marketing ciblés, qui trouvent un écho auprès de la clientèle locale et répondent à ses besoins
financiers uniques, améliorent considérablement la performance opérationnelle du
BUPCCUL. Ce résumé résume l’essence d’une étude approfondie qui offre un aperçu des
pratiques marketing efficaces pour les IMF dans le contexte camerounais.
Mots clés : stratégies de marketing, institutions de microfinance, mesure de la performance,

inclusion financière, Buea Police Cooperative Credit Union Limited (BUPCCUL), Cameroun.
[Tapez un texte] Page XIII

GENERAL INTRODUCTION
Microfinance institutions (MFIs) are financial institutions that provide financial

services, such as loans, savings accounts, insurance, and payment services, to low-income
individuals and underserved communities. The concept of microfinance emerged as a way to
address the lack of access to traditional banking services for the poor and those without
collateral or a formal credit history Microfinance institutions play a crucial role in providing
financial services to underserved populations, particularly in developing countries like
Cameroon. Effective marketing strategies are essential for these institutions to attract clients,
build trust, and achieve financial sustainability. This project will delve into the marketing
strategies employed by microfinance institutions in Cameroon and assess their performance,
using the Buea Police Cooperative Credit Union in Douala as a case study.
Microfinance institutions (MFIs) provide various types of microfinance and financial

services that are meant for the poor. Interestingly, in developing and developed countries,
MFIs have become not only an important player in the financial industry but also a major
source of financing for people with minimal income as well as those that do not have access
to financial facilities provided by commercial banks and other conventional financial
institutions. In developing countries such as Cameroon, Bangladesh and Nigeria, the loans
and others financial services provided by MFIs are increasingly being recognized as one of
the effective means of eradicating poverty. For instance, it was reported that in Bangladesh,
the Grameen Microcredit Bank which was founded in 1983 helped by clearing of begging in
the Bangladesh through allocating funds to assists the poor to start their own small businesses,
provide food and other basic items to beggars, enhanced education of poor teenagers through
education loans, and increased the number of homes equipped with electricity (Geleta, 2016;
Ene & Inemesit, 2015; Tadele & Rao, 2014; Shukran & Rahaman, 2011; The Star, 2015;
Yunus, 1998, 2007).
As financial institutions of the poor, their success depends very much on their
practices and how well they are being managed. The successful MFIs are able to perform and
sustain their financial viability because of their ability to adopt effective marketing strategies
and management practices. Yet, in the case of the unsuccessful MFIs, most often, they failed
frequently because of bad marketing strategies (Abraham & Balogun, 2012; Adeusi, Akeke,
[Tapez un texte] Page 1

Aribaba, & Adebisi, 2013; Agyapong, 2015; Amoo & Kolawole, 2015; CGAP, 2003; Congo,
2002; Dunford, 2000).
The literature indicates marketing strategies are linked to organizational performance.

As an important business practice, marketing has been identified as one of the determinants of
organizational performance. Past findings indicated that marketing strastegies have a positive
effect on the performance of organizations (Ozkaya, Droge, Hult, Calantone & Ozkaya,
2015). Even though, marketing is considered as an important business strategy that can affect
the performance of organizations, there has not been much research focus on the marketing
strategies and performance of MFIs in developing countries (Agyapong, 2015; Odhiambo,
Kibera, & Musyoka, 2015). Therefore, as an area of study, there is still not much information
as well as research on marketing strategies from microfinance outlooks.
The productivity and income levels of most developing countries remain critical
issues. Historically, subsidization policies aimed at boosting productivity and income levels
for small and low-income farmers. However, these policies have faced criticism for being
financially unviable and unsustainable. As the need for an approach that would take both the
market and the social contexts into consideration became fashionable and rewarding, new
organizations, known as microfinance institutions (MFIs), began focusing on the activities of
low-income farmers. These MFIs aim at reducing poverty by providing financial services to
underserved populations.
Generally, microfinance Institutions (MFIs) play a crucial role in providing financial

services to the underprivileged, thereby contributing to poverty reduction and economic
development. However, the sustainability of these institutions is increasingly being threatened
by intense competition and changing market dynamics. MFIs are grappling with these
challenges. The shift from a supply-led approach to a demand-driven, client-oriented
approach has necessitated the adoption of strategic marketing practices. These practices are
aimed at understanding and meeting the needs of clients, thereby enhancing the
competitiveness of MFIs. However, there is limited empirical evidence on the impact of these
marketing strategies on the performance of MFIs.
The problem is further compounded by the unique nature of MFIs, which operate at
the intersection of social and commercial objectives. This dual mandate poses unique
challenges for the implementation of marketing strategies. For instance, how can MFIs

balance the need for financial sustainability with their social mission of serving the poor?
How can marketing strategies be designed to attract and retain clients without compromising
the social objectives of MFIs? Moreover, the effectiveness of marketing strategies may be
influenced by various contextual factors such as the regulatory environment, competition, and
client characteristics. However, there is a lack of understanding of how these factors interact
with marketing strategies to influence the performance of MFIs.
Therefore, this research seeks to investigate the impact of marketing strategies on the
performance of the Buea Police Cooperative Credit Union Limited. It aims to fill the
knowledge gap by providing insights into the effectiveness of different marketing strategies
and identifying the factors that influence their success. The findings of this research could
guide the development of more effective marketing strategies for MFIs, thereby enhancing
their performance and sustainability. Therefore, the problematic for this research is:
What is the impact of marketing strategies on the performance of microfinance
institutions in Cameroon?
In view of the above, we can define performance of MFIs as the effectiveness and
efficiency of the MFIs in achieving its objectives.to do this, the major questions that arise are:
 How effective are marketing strategies in MFIs?

 Does marketing strategies influence the performance of MFIs?
The main objective of our study is therefore to investigate the effectiveness of

marketing strategies on the performance of microfinance institution in Cameroon. Given this
information and research gaps, this paper aims to examine the influence of marketing
strategies and its performance on MFIs in Cameroon. In doing this, the paper is presented in
five sections. The following Section Two is literature review. Next, Section Three is research
methodology, section four present the results of the analyses, Finally, Section five presents
discussion conclusion of the paper.

FIRST PART: LITERATURE REVIEW
The first part delves into the various marketing strategies employed by microfinance
institutions. It scrutinizes how these strategies are implemented and how they impact the
performance of these institutions. This chapter sheds light on innovative and effective
marketing practices that have enabled certain microfinance institutions to stand out in a
competitive environment. The second chapter is a literature review on the subject. It reviews
previous research on marketing strategies in microfinance institutions and how they affect
their performance. This literature review helps to understand the context in which these
strategies are used and highlights gaps in existing research that justify the present study.

CHAPTER 1: DIFFERENT MARKETING STRATEGIES OF
MICROFINANCE INSTITUTION
This chapter introduces the topic of “Marketing Strategies and Their Performance on
Microfinance Institutions in Cameroon: A Case Study of Buea Police Cooperative Credit
Union, Yaounde”. It aims to explore the various marketing strategies employed by MFIs,
specifically focusing on the Buea Police Cooperative Credit Union in Yaounde, and assess
their impact on the institution’s performance. The study is motivated by the need to
understand how effective marketing strategies can enhance the performance of MFIs, thereby
contributing to economic development. It seeks to provide insights into the best practices in
marketing within the microfinance sector, with the potential to guide other MFIs in their
strategic planning.The chapter is structured as follows: it begins with a background of the
study, followed by the problem statement. It then outlines the objectives of the study, the
research questions, and the significance of the study. The chapter concludes with the scope
and limitations of the study. In the subsequent chapters, we delve deeper into the literature
review, research methodology, data analysis, and finally, the conclusions and
recommendations. Through this study, we hope to shed light on the crucial role of marketing
strategies in the performance of microfinance institutions in Cameroon, thereby contributing
to the broader discourse on microfinance and economic development.
SECTION I: INTODUCTION TO MARKETING STRATEGIES
Marketing strategies are pivotal to the growth and sustainability of Microfinance

Institutions (MFIs). In the face of increasing competition within the microfinance sector,
MFIs are transitioning from a supply-led approach to a demand-driven, client-centric
approach. This transition necessitates the implementation of strategic marketing, which
involves a deep understanding of clients’ needs and preferences. Market research and analysis
form a significant part of marketing in MFIs. They provide a comprehensive view of the
market landscape, enabling MFIs to make informed decisions. This is supplemented by
competitive analysis, which provides insights into the competitors’ offerings and their reach.
Understanding customer behavior is another crucial aspect, as it allows MFIs to tailor their
products based on customer preferences.

I.1 TYPES AND IMPORTANCE OF MARKETING STRATEGIES
Marketing in MFIs should be an integrated function, with every member of the

institution playing a vital role. This includes loan officers and other staff members who
interact with clients. Their roles are critical in shaping the institution’s image and relationship
with the clients. Some MFIs are adopting a strategic marketing approach that encompasses
corporate branding and identity, product delivery system, and customer service strategies, in
addition to product strategy. This holistic approach not only aids in attracting and retaining
clients but also sets the MFI apart from its competitors. In conclusion, effective marketing
strategies are indispensable for MFIs to stay competitive and sustainable. They enable MFIs
to better understand their clients, enhance their products and services, and ultimately fulfill
their mission of aiding the poor in improving their livelihoods.
I.1.1 TYPES OF MARKETING STRATEGIES
Larreche et al (2006) articulates the various components of a strategy and outlines the
following key components of the marketing strategy, the scope in terms of firms' domain
product lines, market segment and plans; goals and objectives in terms of levels of
accomplishment of their performance; resource deployments financial and human.
Identification of sustainable advantage and synergy. There are three levels of strategies; these
are a business level strategy the corporate strategy, and functional strategy.
The marketing mix helps outline the marketing components for efficient positioning
the market is being offered. Modern marketing practitioner should embrace the 7P's
marketing mix if their service strategies need be successful; these include the product, place,
the price, promotion, physical evidence, people, and processes (Longenecker, et al., 2006).
Therefore, marketing mix is a good framework used to develop marketing strategies.
 Market Segmentation, Targeting and Positioning
According to Kotler (2000), process is a critical component and the essence of a

service, the actual delivery of a service is part of overall integrated service systems. Service
organizations need identity changing preferences and buying motivations, the adjustment of
the service strategy should be affected by the changes and trends in the marketplace becomes
apparent. Modern marketing practitioner should embrace the 7P's marketing mix if their

service strategies need be successful; these include the product, place, the price, promotion,
physical evidence, people, and processes. (Boshoff et al, 2002: 154).
 Product Strategies
A product or service is an item produced to satisfy customer needs. Marketers always

do an in depth analysis on the product life cycle that they are manufacturing. Products have a
specific understanding and managing a firm's customers have become an important ingredient
more than managing the 4P's of the marketing mix for goods and 7P's for services mix,
companies and organizations are focusing on managing the customer relationship. Jones and
Tumm (2005) indicate that CRM is not the only customer oriented, it has an important role for
key constituents within the firm. They add that CRM impacts on sales, customer service,
customer contact personnel and Internet-based commerce; CRM provides contact and top
management for the sales force, cross-selling and upselling opportunities for marketer's
product weaknesses for customer contact (CCP) to forward to engineering and web design
opportunities for internet marketers. (Grundy, 2006).
Targeting is strongly argued that in the advent of technological development, business

has experienced more problems than before, hence the technological inventions have also
come up with more innovative offerings to enable services and products be customer centered
and compliance levels, the technological innovations have reduced product life cycles hence
reducing patronage levels among its customers. (Minett, 2002). products include variety,
quality, design, brand name, packaging, and service (Arjuna & Ilmi, 2019). On the other hand,
a product might also be a service, such as rail transportation or telecommunication. Certainly,
in the marketing mix of any company, the product is the most important component. Firstly,
Nestlé’s products are very diversified. Some of the products of Nestlé are confectioneries and
cookies, liquid and powdered beverages, instant noodles, cereals, ice cream, milk, dairy,
frozen foods and many more. According to Reza (2020), Nestlé makes infant food, instant
coffee, dairy products, healthcare products and others. Besides, Nestlé also ensures that all its
products’ packaging is attractive. Furthermore, Nestlé provides printed detailed product
descriptions on the packaging
 Price Strategies

Price can be defined as the technological inventions have also come up with more
innovative offerings to enable services and products be customer centered (Solomon et al
2009). View performance in terms of results the degree of attainment of objectives as relates
to firms' operations and goals; systematic and objective performance indicators need be put in
place to evaluate, monitor and report any changes. Rust (2010) finally indicates that
performance is a combination of profitability, firms, images; the service level; and concludes
the technological innovateions have reduced product life cycles hence reducing patronage
levels among its customers
 Place Strategies
Place strategy of a company includes the technological innovations have reduced

product life cycles hence reducing patronage levels among its customers. (Kotler and
Armstrong. 2010). Firms should maintain other traditional methods of communication as all
are relevant and productive. Marketing strategists should embrace the advent of technology
and utilize the same in improving service delivery and service quality. IT support for
customers is a key ingredient in firm's growth and performance. The firm's management
should embrace the benefits of IT to realize the maximum advantage of IT in terms of
enhancement of the effectiveness of the individual functions of operations, marketing and
human resources.
The place is one of the 4Ps marketing mix, which is a significant component in the
marketing element. A place can be defined as providing products or receiving services to
customers in any way (Owomoyela, Ola, & Oyeniyi, 2013). According to the study by
Hidayat, Tumbuan, and Soepeno (2021), a place is defined as a meeting point for customers
to provide goods or services. Place explains the natural process the organization takes to
deliver goods or services to customers. As a result, having the product available in local
markets is crucial. This refers to a network of individuals and organizations that define the
company’s supply chain, such as dealers, distributors, and retailers which are also known as
the channel of distribution. The organization needs to select whether to sell its goods through
distribution networks or directly to consumers. It may even contemplate selling it directly to
customers. Nestlé ensures all their products are available in most of the places where
consumers can easily get them, such as convenience stores, grocery shops, supermarkets, and
retail shops. Besides, Nestlé’s products are also available on online platforms such as Lazada,
Shopee, Grab Mart, Family Mart e-commerce app, and more.

 Promotion Strategies
Promotion is additionally a very vital element, firms should maintain other traditional
methods of communication as all are relevant and productive (La Monica 1999). promotion is
very important to marketing strategy because it guides customers to use the product and
benefit from it. Advertising, promotion, personnel sales, public relations, and direct marketing
methods constitute a promotion mix (Mahmood & Khan, 2014). The merchant and sales team
of a company can carry out promotions to successfully offer the product and services to
customers and urge them to purchase it. The promotional tools determine the product’s
placement in the target market. Digital marketing is one of the promotion strategies. Digital
marketing also provides accurate prices and information for comparison with similar
products. It gives customers the option to buy directly and gives them the option to share their
product experience (Yasmin, Tasneem, & Fatema, 2015). Promotion is one of the most
practical aspects to keep the industry moving forward. Nestlé carries out various promotional
activities to make the consumers aware of their products existence and to satisfy their
customers’ needs. Nestlé uses a range of marketing channels, according to Peter and Donnelly
(2004), including print, in-store display and promotions, direct marketing, broadcast,
advertising, and coupons.
 People
People include all human interaction occurs during service delivery process and should
aim to reinforce this initial seeking of trust. Mckenna (1991) maintains that firms should
maintain and strengthen relationships, as customers want to be loyal. Customer relationship
management entails the use of customer database to monitor customer behavior; firms should
also adopt customer retention strategies like monitoring customer relationship, loyalty
programmes, effective recovery systems, creating bonds, customer clubs and extraordinary
customer service. (Zeithaml et al, 2008).
 Process
Process is the actual marketing strategists should embrace the advent of technology
and utilize the same in improving service delivery and service quality. IT support for
customers is a key ingredient in firm's growth and performance. The firm's management
should embrace the benefits of IT to realize the maximum advantage of IT in terms of
enhancement of the effectiveness of the individual functions of operations, marketing and
human resources.
(Bonoma/ et al., 1988).
 Physical Evidence
Physical evidence is the location that customer loyalty is not attained easily, it's the
end result of on-going relationships grounded on the organizations ability to maintaining and
extent to marketing contacts with consumers; Relationship marketing is all about acquiring
and maintaining loyalty and trust the challenge for firms is not success but maintenance of
success; the firms focus should be beyond merely customer attraction to seeking their loyalty
and ongoing patronage for a longer term.
I.1.2 IMPORTANCE OF MARKETING STRATEGIES

Marketing strategies play a crucial role in the context of microfinance institutions. Here are
some key points highlighting the importance of marketing strategies in this sector:
 Enhancing Outreach: Effective marketing strategies help microfinance institutions

reach out to a larger target audience, including potential clients who are in need of
financial services. By promoting their products and services, microfinance institutions
can increase awareness and attract more clients, thus expanding their outreach and
impact.
 Building Trust and Credibility: Marketing strategies aid in building trust and
credibility among existing and potential clients. Through consistent and transparent
communication, microfinance institutions can establish themselves as reliable
financial service providers, which is crucial in a sector where trust is essential for
clients to engage with financial institutions.
 Creating Awareness: Marketing strategies create awareness about the benefits of
microfinance services and the positive impact they can have on individuals, families,
and communities. By educating the target audience about the various financial
products and services available, microfinance institutions can empower individuals to
make informed decisions regarding their financial well-being.
 Customizing Products and Services: Marketing strategies enable microfinance
institutions to understand the needs and preferences of their target audience. Through
market research and analysis, institutions can identify specific customer segments and
tailor their products and services accordingly. This customization helps in meeting the
unique financial requirements of different client groups, leading to higher client
satisfaction and loyalty.

 Competitive Advantage: In a competitive market, effective marketing strategies
provide microfinance institutions with a competitive edge. By differentiating
themselves from other financial service providers, institutions can attract more clients
and retain existing ones. This can be achieved through innovative marketing
campaigns, unique value propositions, and superior customer service.
 Financial Sustainability: Marketing strategies contribute to the financial
sustainability of microfinance institutions. By attracting more clients and increasing
their loan portfolio, institutions can generate more revenue, which can be reinvested in
expanding their operations, improving their services, and reaching a larger number of
underserved individuals.
Overall, marketing strategies are instrumental in raising awareness, building trust,

customizing offerings, and ensuring the long-term success of microfinance institutions. They
help institutions achieve their social mission while also sustaining their operations in a
competitive market.
A marketing strategy is viewed as a company's overall plan for reaching a certain

group of people and converting them into regular consumers of services or products that the
company provides. The marketing strategy of a business includes the business's values,
marketing messages, information directed to targeted customers, as well as other high-level
elements. A marketing strategy is important as it informs a company's marketing plan which
is a document that outlines marketing activities and their timing (Kotler, 2009). The
marketing strategy of a company should have a longer lifespan when compared with an
individual market plan because key elements of its brand and value proposition reside in a
marketing plan. Ideally, these things do not shift easily over time.
Marketing strategy has been considered as a constituent of the long-term plan of the
marketing function. Using the concept of positioning and segmentation, marketing strategy
has been defined as a method of identifying the target markets towards which marketing
actions are to be focused and the forms of competitive advantages that are to be created and
exploited in every target market. The aim of marketing targeting strategy is to identify target
customers that a company wishes to attract. Once the company's target customers are
identified and their respective importance to the business is determined, the company is a
position to choose the company's positioning strategy (Shaw, 2012). According to Jain (2000)

strategic marketing include looking at the entire business's portfolio of markets and products
and managing them to attain business's overall goals and objectives.
I.2 Overview of marketing strategies in the context of microfinance institutions

In the context of microfinance institutions, marketing strategies aim to promote
financial products and services to a target audience, create awareness, build trust, and
differentiate themselves from competitors. The overview of marketing strategies in the
context of microfinance will be sub divided into two which are customer focused strategies
and outreach and performance strategies.
I.2.1 Customer focused strategies

 Target Market Segmentation: Microfinance institutions identify specific customer
segments based on demographic, geographic, or psychographic factors. This helps
them tailor their marketing messages and offerings to better meet the needs of their
target audience.
 Product Development: Microfinance institutions develop financial products and
services that are specifically designed for the underserved population. These products
may include microcredit loans, savings accounts, insurance, and other financial
instruments that address the unique needs and challenges of low-income individuals
and small businesses.
 Branding and Positioning: Building a strong brand and positioning themselves as
trusted financial service providers is crucial for microfinance institutions. They
develop a compelling brand identity that resonates with their target audience,
emphasizing their mission, values, and the positive impact they create in the
community.
 Relationship Building: Microfinance institutions focus on building strong relationships
with their clients. They prioritize personalized customer service, building trust, and
maintaining long-term relationships. This includes regular communication, providing
financial education, and offering additional support services to help clients improve
their financial well-being.
I.2.2 Outreach and awareness strategies
 Partnerships and Collaborations: Microfinance institutions often collaborate with other
organizations and stakeholders to extend their reach and impact. They partner with

local community organizations, NGOs, government agencies, and corporate entities to
leverage their networks and resources for marketing and outreach activities.
 Digital Marketing: With the increasing use of technology, microfinance institutions
are adopting digital marketing strategies. This includes having a user-friendly website,
mobile applications, and utilizing social media platforms to engage with clients,
provide information, and promote their services.
 Monitoring and Evaluation: Microfinance institutions continuously monitor and
evaluate the effectiveness of their marketing strategies. They analyze data, track key
performance indicators, and gather feedback from clients to make informed decisions
and improve their marketing efforts.
 Awareness Campaigns: Microfinance institutions run awareness campaigns to educate
the target audience about the benefits of their services. These campaigns may include
advertising through various channels such as print, radio, television, social media, and
community outreach programs. The goal is to create awareness and generate interest
among potential clients.
Marketing strategies in the context of microfinance institutions need to be ethical,

transparent, and culturally sensitive. These strategies should prioritize the well-being of
clients and aim to empower them economically and socially. These strategies are essential for
promoting financial products and services, creating awareness, building trust, and
differentiating themselves from competitors. Target market segmentation helps in tailoring
marketing messages and offerings to meet the specific needs of the target audience. Product
development focuses on designing financial products and services that cater to the
underserved population. Branding and positioning help in establishing a strong brand identity
and emphasizing the positive impact created by microfinance institutions. Awareness
campaigns through various channels raise awareness and generate interest among potential
clients. Building strong relationships with clients through personalized customer service and
support services is crucial. Partnerships and collaborations extend the reach and impact of
microfinance institutions. Digital marketing strategies, such as user-friendly websites, mobile
applications, and social media engagement, have become increasingly important. Monitoring
and evaluation enable microfinance institutions to assess the effectiveness of their marketing
strategies and make improvements. It's important for these strategies to be ethical, transparent,
and culturally sensitive, prioritizing the well-being and empowerment of clients.

SECTION II: ANALYSIS OF MARKETING STRATEGIES IN
MICROFINANCE INSTITUTIONS AND EVALUATION OF THE
EFFECTIVENESS OF THESE MARKETING STRATEGIES
This section delves into the intricate world of microfinance in Cameroon, with a
particular focus on the marketing strategies employed by these institutions. Next, we conduct
an analysis of the marketing strategies used by microfinance institutions. By dissecting
these strategies, we aim to uncover the tactics these institutions employ to attract and retain
their clientele, compete effectively, and achieve their financial and social objectives. Finally,
we evaluate the effectiveness of these marketing strategies. This evaluation is crucial in
determining whether these strategies translate into tangible benefits for both the microfinance
institutions and their customers. It also provides insights into areas of improvement, thereby
contributing to the enhancement of microfinance services in Cameroon.
II.1 ANALYSIS OF MARKETING STRATEGIES USED BY

MICROFINANCE INSTITUTIONS
II.1.1 MARKET RESEARCH AND SEGMENTATION

Market research plays a crucial role in the success of microfinance institutions. It
involves gathering and analyzing data about potential customers, their needs, preferences, and
financial capabilities. This information is then used to segment the market and tailor
marketing strategies accordingly. Market research helps microfinance institutions understand
the needs and characteristics of their target market. It enables them to identify potential
customers, assess demand for financial products and services, and make informed decisions
about product offerings and pricing. By conducting thorough market research, microfinance
institutions can gain a competitive advantage and better serve their customers.
Segmentation involves dividing the market into distinct groups based on demographic,
geographic, or behavioral characteristics. Microfinance institutions use segmentation
strategies to identify specific customer segments that have unique needs and requirements.
This allows them to develop targeted marketing campaigns and tailor their products and
services to meet the specific needs of each segment

II.1.2 PRODUCT AND SERVICE DEVELOPMENT
Product and service development is another critical aspect of marketing strategies used
by microfinance institutions. It involves creating financial products and services that cater to
the needs and preferences of the target market. Product and service development is a
comprehensive process that starts with the generation of ideas, drawing from market needs,
trends, and organizational strengths. These ideas are then molded into tangible concepts with
clear value propositions. Market research plays a crucial role in validating these concepts by
analyzing consumer needs and preferences. The next phase involves the design and
development of prototypes or beta versions of the services, which are then tested in the
market to gather consumer feedback. This feedback is essential for refining the product or
service before the final launch. The launch phase is supported by strategic marketing efforts to
introduce the new offering to the market effectively.
Product Development Strategies in Microfinance
Microfinance institutions need to continuously innovate and develop new financial

products to meet the evolving needs of their customers. This may involve introducing new
loan products, savings accounts, insurance options, or other financial services. Product
development strategies include market research, prototyping, testing, and refining to ensure
that the products are relevant and beneficial to the target market. In microfinance, product
development strategies are tailored to meet the unique financial needs of low-income
individuals or those who lack access to traditional banking services. These strategies often
involve creating simple, accessible, and affordable financial products that can include savings
accounts, microloans, insurance, and payment services. The focus is on understanding the
specific financial behaviors and constraints of the target market through extensive field
research and direct customer engagement. Products are then designed to be flexible, with
terms that accommodate irregular income patterns common among microfinance clients.
Additionally, leveraging technology such as mobile banking platforms can enhance
accessibility and reduce costs. The ultimate goal is to provide financial products that not only
meet the needs of clients but also promote financial inclusion and empowerment.

Service Development Strategies in Microfinance
In addition to developing new products, microfinance institutions also focus on

improving and expanding their service offerings. This may involve enhancing the customer
experience, streamlining loan application processes, providing financial literacy training, or
offering personalized financial advice. Service development strategies aim to enhance
customer satisfaction, build trust, and strengthen the institution's reputation in the market.
Service development in microfinance involves creating and refining customer-centric services
that support the financial products offered. This includes developing training and educational
programs to help clients understand and effectively use financial products, thereby enhancing
financial literacy. It also involves implementing customer service practices that are sensitive
to the cultural and economic contexts of the clients. For instance, microfinance institutions
(MFIs) may offer localized customer support in multiple languages or deploy field agents to
provide services directly in the communities they serve. Additionally, MFIs often develop
partnerships with local businesses and organizations to facilitate a broader range of services,
such as business development training or health insurance programs. The strategy focuses on
building trust and long-term relationships with clients, ensuring that services are not only
accessible but also add value to the clients’ financial and personal well-being.
II.2 EVALUATION OF MARKETING STRATEGIES USED BY

MICROFINANCE INSTITUTIONS
The evaluation of marketing strategies used by Microfinance Institutions (MFIs) is
essential for understanding their effectiveness in reaching and serving their target clients. In
the dynamic landscape of financial inclusion, where MFIs play a pivotal role in providing
access to financial services to underserved populations, effective marketing strategies are
crucial for attracting clients, expanding outreach, and sustaining growth. This evaluation
involves assessing metrics such as client acquisition rates, impact on financial performance,
client satisfaction levels, and the adaptability of strategies in response to market dynamics and
regulatory changes. By systematically evaluating these aspects, MFIs can refine their
marketing approaches to better meet the needs of their clients and achieve their organizational
objectives effectively.

II.2.1 MEASUREMENT AND MONITORING
 Impact Metrics: MFIs typically measure the impact of their marketing strategies by
looking at metrics such as client acquisition rates, loan disbursement volumes, and
portfolio growth. They track these metrics over time to assess the effectiveness of their
marketing campaigns.
 Financial Performance: Monitoring financial indicators like return on marketing
investment (ROMI), cost per acquisition (CPA), and customer lifetime value (CLV)
helps MFIs understand the financial impact of their marketing efforts.
 Client Satisfaction: Surveys and feedback mechanisms are used to gauge client
satisfaction with MFI services, which indirectly reflects the success of marketing
strategies in attracting and retaining clients.
 Operational Efficiency: Monitoring operational efficiency metrics such as loan
processing time, client retention rates, and repayment rates provides insights into how
well marketing strategies are aligned with operational capabilities.
 Market Penetration: Tracking market penetration metrics such as geographic reach,
market share within targeted segments, and awareness levels among potential clients
helps MFIs assess their marketing reach and effectiveness.
II.2.2 FEEDBACK AND ADAPTATION

 Client Feedback Loops: MFIs collect feedback directly from clients through surveys,
focus groups, and customer service interactions to understand client needs and
preferences. This feedback informs adjustments to marketing strategies to better meet
client expectations.
 Competitive Analysis: Monitoring competitors' marketing strategies and market
positioning helps MFIs adapt their own strategies to remain competitive. This could
involve benchmarking against industry peers or analyzing market trends.
 Regulatory Environment: Adapting marketing strategies to comply with evolving
regulatory requirements ensures MFIs maintain regulatory approval and trust among
clients and stakeholders.
 Technological Integration: Leveraging technology for data analytics, customer
relationship management (CRM), and digital marketing allows MFIs to continuously
optimize their marketing efforts based on real-time data and insights.

 Organizational Learning: Establishing a culture of learning and innovation enables
MFIs to experiment with new marketing approaches, learn from successes and
failures, and adapt strategies accordingly.
In summary, effective measurement and monitoring of impact metrics, financial

performance, client satisfaction, operational efficiency, and market penetration are crucial for
evaluating the success of marketing strategies in microfinance institutions. Equally important
is the ability to gather feedback from clients, adapt to changing market conditions, regulatory
requirements, and technological advancements to continuously refine and improve marketing
approaches.
Microfinance institutions (MFIs) employ various marketing strategies to promote their

services and reach their target audience. Here is an evaluation of some commonly used
marketing strategies by MFIs:
Targeted Outreach: MFIs often focus their marketing efforts on specific target groups,
such as low-income individuals, women entrepreneurs, or rural communities. This approach
allows them to tailor their messaging and services to meet the unique needs of these segments.
It also helps in building trust and credibility within the target audience. Partnerships and
Alliances: Many MFIs form partnerships with local community organizations, NGOs, or
government agencies to enhance their outreach and access to potential borrowers.
Collaborations with established entities can help in leveraging their networks, resources, and
expertise to reach a wider audience.
Financial Education and Awareness: MFIs understand the importance of financial

literacy and often incorporate financial education programs into their marketing strategies.
These initiatives aim to raise awareness about the benefits of microfinance, educate potential
clients about financial management, and empower them to make informed decisions. Word-
of-Mouth and Referral Programs: Positive word-of-mouth is a powerful marketing tool for
MFIs. Satisfied clients who have experienced the benefits of microfinance often share their
experiences with others, leading to organic referrals. Some MFIs also incentivize clients to
refer their friends and family by offering rewards or discounts on services.
Digital Marketing and Social Media: With the increasing penetration of the internet
and mobile phones, MFIs are utilizing digital marketing channels and social media platforms
to reach their target audience. They create engaging content, share success stories, and

provide updates about their services to connect with potential clients online. Local
Community Engagement: Building strong relationships with the local community is crucial
for MFIs. They actively participate in community events, sponsor local initiatives, and
collaborate with community leaders to gain trust and establish their presence as a reliable
financial partner.
Customer Service and Relationship Management: MFIs prioritize customer service

and relationship management. They aim to provide personalized and responsive service to
clients, addressing their queries and concerns promptly. Positive customer experiences can
lead to repeat business and referrals. Microfinance Product Innovation: MFIs continuously
innovate and develop new financial products and services to cater to the specific needs of
their target audience. They analyze market trends, gather feedback from clients, and adapt
their offerings accordingly. This helps in staying competitive and meeting the evolving
demands of the clients.
Social Impact Marketing: MFIs often emphasize the social impact of their services as a
marketing strategy. They highlight success stories of clients who have benefited from
microfinance, showcasing how it has improved their lives, created employment opportunities,
or helped them start businesses. This approach appeals to potential clients who are motivated
by the social good aspect of microfinance. Local Language and Cultural Sensitivity: MFIs
recognize the importance of communicating in the local language and being culturally
sensitive. They ensure that their marketing materials, advertisements, and customer
interactions are in a language that their target audience understands. This helps in building
trust and avoiding misunderstandings.
Mobile Banking and Technology: With the rise of mobile technology, many MFIs
have incorporated mobile banking solutions into their marketing strategies. They offer
convenient and secure mobile banking services that allow clients to access their accounts,
make transactions, and receive updates on the go. This is particularly beneficial for clients in
remote areas with limited access to physical branches. Impact Measurement and Reporting:
MFIs often measure and report the social impact of their activities to showcase their
effectiveness and attract potential clients and investors. They use metrics such as the number
of clients served, loan repayment rates, job creation, and poverty reduction to demonstrate
their contribution to the community and the economy.

Collaboration with Financial Institutions: Some MFIs collaborate with traditional
financial institutions, such as banks, to expand their reach and offer a wider range of services.
This partnership allows MFIs to tap into the established infrastructure and customer base of
banks, while banks benefit from the expertise and knowledge of MFIs in serving underserved
populations. Continuous Market Research: MFIs conduct ongoing market research to
understand the changing needs and preferences of their target audience. They gather data on
customer behavior, market trends, and competitor analysis to inform their marketing strategies
and make informed decisions.
Social Media Influencers and Brand Ambassadors: To amplify their marketing efforts
and reach a larger audience, MFIs may collaborate with social media influencers or engage
brand ambassadors who resonate with their target market. These influencers and ambassadors
share their positive experiences with microfinance and promote the MFI's services on their
platforms. These marketing strategies, when implemented effectively, help MFIs raise
awareness, attract clients, and build long-term relationships. By combining a customer-centric
approach, social impact messaging, and leveraging technology, MFIs can effectively promote
their services and contribute to the financial inclusion of underserved populations.

CHAPTER II: THE RELATIONSHIP BETWEEN
MARKETING STRATEGIES AND PERFORMANCE.
The second chapter of this research work delves into the intricate relationship between
marketing strategies and their performance, particularly within the context of microfinance
institutions in Cameroon. This chapter is pivotal as it lays the groundwork for understanding
the empirical and theoretical underpinnings of our research topic: “Marketing Strategies and
Their Performance on Microfinance Institutions in Cameroon: A Case Study of Buea Police
Cooperative Credit Union, Yaoundé.”
This section explores the correlation between marketing strategies and their
performance. It seeks to answer the question: How different marketing strategies impact the
performance of microfinance institutions. Various marketing strategies such as market
segmentation, product differentiation, pricing strategies, and promotional strategies will be
examined in relation to their effectiveness and impact on the performance of microfinance
institutions. The empirical review section presents a comprehensive analysis of previous
studies related to our research topic. It provides an overview of the methodologies, findings,
and conclusions of these studies, offering valuable insights into the existing body of
knowledge and identifying gaps that our research aims to fill.
The conceptual framework serves as a visual representation of the assumed

relationship between the variables in our study. It illustrates how marketing strategies
influence the performance of microfinance institutions, providing a clear and concise map of
the research hypothesis. In conclusion, this chapter provides a thorough review of the
literature and establishes a solid foundation for our research. It not only enhances our
understanding of the subject matter but also guides the direction of our study. The subsequent
chapters will build upon this foundation, delving deeper into the specific case of the Buea
Police Cooperative Credit Union in Yaoundé.
SECTION I: THE CONCEPT OF PERFORMANCE
In measuring the performance of an organization, it is necessary to identify as well as

know its primary objectives. Organizations establish their primary objectives based on their
business mission or the purpose they are created. Once the organizations have determined

their specific objectives, they need to work on how best to achieve all of their objectives in a
given period of time (Drucker, 1977). Although the literature reveals that different
organizations in different industries and countries tend to emphasize on different performance
measurement, findings of past studies indicated that financial profitability and growth to be
the most common measures of organizational performance. For instance, the earlier study by
Nash (1993) claimed that profitability is the best indicator to measure whether an organization
is performing. According to the author, profitability can be used as the primary measure of
organizational success. Doyle (1994) further considered profitability not only as the most
common measure of performance but also claimed that western companies primarily used
profitability measures to determine the extent to which their companies are performing.
However, in the case of MFIs, practitioners and researchers agree that these firms
need to adopt different measures of organizational performance. As social business, MFIs
have both financial as well as social objectives. Given this, the performance of MFIs should
be measured by using not only financial but also non-financial or social measures (Thomasa
& Kumara, 2016). MFIs have different organizational objectives as compared to the
commercial banks. Their organizational objectives are not only confined to financial
profitability and sustainability but they also include social objectives such as social outreach
as well as the impact of their loans on the lives of the poor people that borrowed from them.
The need to measure the performance of MFIs by using both financial and social measures
has also been supported by organizations such as the Consultative Group to Assist the Poor
(CGAP), The Small Enterprise Education and Promotion Network (SEEP) and the impact
network organization (Mustafa & Saat, 2013; Thomasa & Kumara, 2016). The following
section explains briefly the financial and social performance relevant and applicable to MFIs.
I.1 Financial Performance of marketing strategies in Microfinance

Institutions
Performance in micro financial orientation is a subjective measure of how well a MFI

can use assets to attain its objective. It is a multidimensional concept without an acceptable
and uniform definition. Performance can be broken down into two sub concepts: effectiveness
and efficiency. While the former measures the ability to attain the organizational goals, the
later measures the ability to attain the organizational goals at the minimum costs. The
microfinance sector faces a dual objective usually referred to as the microfinance schism, that

is, how to reach the maximum number of poor (social performance) while remaining
financially sustainable (financial performance).
As microfinance are viewed predominantly as instruments of social change, their

performance are often measured by non-financial parameters. The concept of social
performance has seemed to overshadow the state of financial health of these enterprises.
However, tradition in microfinance analysis studies has been the combination of Financial
Performance and Outreach (Chaves and Gonzales-Vega 1996, Ledgerwood 1999, Yaron,
1992, Yaron 1994, Yaron et al., 1998).
I.1.1 Evaluation of financial indicators of performance
a. Profitability analysis
Traditionally, some financial ratios like return on asset (ROA) and return on equity
(ROE) are used to measure financial performance. However, with the evolution of
quantitative techniques, more sophisticated and inclusive measures have been developed. This
study focuses on the efficiency of microfinance institutions and to be more precise, on the
financial and outreach technical efficiency of MFIs in Cameroon. Unlike traditional measure
of performance, the financial outreach approach provide a performance measure that account
for both the financial and social role of MFIs. As such it is a more comprehensive
measurement approach.
Return on Assets (ROA): This measure calculates the profitability of an institution by

comparing its net income to its total assets. It indicates how effectively the institution is
generating profits from its assets.
Return on Equity (ROE): ROE measures the profitability of an institution by

comparing its net income to its shareholders' equity. It reflects the return on the investment
made by the institution's owners or shareholders.
Net Interest Margin (NIM): NIM is a measure of the difference between the interest
income earned by the institution and the interest expenses paid out. It represents the
profitability of the institution's core lending activities.

Operating Efficiency Ratio: This ratio assesses the efficiency of an institution's
operations by comparing its operating expenses to its net interest income. It indicates how
well the institution is managing its expenses in relation to its revenue.
Cost-to-Income Ratio: This ratio measures the proportion of an institution's operating

expenses in relation to its total income. It provides insights into the cost effectiveness of the
institution's operations.
Return on Assets Managed (ROAM): ROAM measures the profitability of an

institution by comparing its net income to the average total assets managed. It considers the
average assets under management rather than total assets.
These measures are used to evaluate the profitability of microfinance institutions and
provide insights into their financial performance and efficiency. By analyzing these
indicators, stakeholders can assess the institution's ability to generate profits and make
informed decisions regarding its operations and strategies.
b) Portfolio Quality Assessment

The assessment of portfolio quality is crucial in evaluating the financial health of
microfinance institutions. We will evaluate the quality of their loan portfolios using metrics
such as portfolio at risk (PAR), loan loss provision, and non-performing loan (NPL) ratio.
These metrics provide insights into the credit risk exposure and the likelihood of loan defaults
within the institution's portfolio. Furthermore, we will explore the relationship between
marketing strategies and portfolio quality, including the effectiveness of customer acquisition
and loan repayment campaigns. This analysis will help us understand how marketing efforts
impact the quality and performance of the loan portfolios in microfinance institutions.Here are
some common measures used in portfolio quality assessment:
Portfolio at Risk (PAR): PAR measures the percentage of the loan portfolio that is at
risk of default. It is calculated by dividing the total outstanding loan balance that is overdue
by the total loan portfolio balance.
Delinquency Rate: Delinquency rate measures the percentage of loans in the portfolio
that are past due, usually categorized by different time periods (e.g., 30 days, 60 days, 90
days). It reflects the level of non-performing loans in the portfolio.

Write-off Rate: Write-off rate measures the percentage of loans that have been
declared as unrecoverable and written off from the portfolio. It indicates the level of loan
losses incurred by the institution.
Portfolio Mix: Portfolio mix assesses the composition of the loan portfolio based on
various criteria such as loan types, sectors, or borrower characteristics. It helps in
understanding the diversification and concentration risks within the portfolio.
Portfolio Yield: Portfolio yield calculates the average interest rate earned on the loan
portfolio. It indicates the profitability of the loans and the institution's ability to generate
income from its lending activities.
Loan Loss Provisioning: Loan loss provisioning refers to the funds set aside by the
institution to cover potential loan losses. The adequacy of loan loss provisions is crucial in
determining the institution's ability to absorb credit losses.
By analyzing these measures, microfinance institutions can assess the quality and
performance of their loan portfolios, identify potential risks, and make informed decisions
regarding credit risk management and portfolio diversification.
I.1.2 Efficiency analysis of performance
Efficiency means allocating scarce resources to generate the maximum potential

benefit. Getting better results with the same inputs as well as using the smaller amount of
inputs to achieve the same results is still a sign of efficiency. There are basically two types of
efficiency: technical efficiency and functional efficiency or allocative efficiency. The first,
also called productive efficiency refers to the ability of a program, or an institution to produce
the maximum amount of production using available inputs (that is, to produce at the
production possibility frontier). Put differently, technical efficiency implies the maximum
possible output from a given set of inputs. Within the context of microfinance, technical
efficiency then refers to the physical relationship between the resources used (capital, labor
and equipment) and, financial and social outcomes (loans, number of borrowers, average loan
per borrower, percentage of women borrowers etc.).
Secondly, allocative efficiency reflects the ability of an organization to use these

inputs in optimal proportions, given their respective prices and the production technology.

Productive efficiency is concerned with choosing between the different technically efficient
combinations of inputs used to produce the maximum possible outputs. Thus, the overall
economic efficiency means the ability of a production unit (MFI in our case) to achieve both
technical and allocative efficiency. Performance measurement in Microfinance Institutions
(MFIs) in Cameroon is a critical aspect of their operations. Here are some key measures:
 Outreach and Performance Analysis:
MFIs in Cameroon generally implement a low-cost strategy and are heavily exposed
to default risk. There seems to be a trade-off between performance and outreach, with MFIs
more focused on making profits rather than reaching out to the poorest communities.
Microfinance Institutions (MFIs) face unique challenges as they strive to achieve a double
bottom line—outreach and sustainability. Outreach refers to the extent to which MFIs can
provide financial services to low-income clients, often in geographically dispersed and hard-
to-reach areas. It’s a measure of the institution’s social performance and its ability to serve the
unbanked and under banked populations.
Performance analysis, on the other hand, involves assessing an MFI’s financial

sustainability and operational efficiency. This includes evaluating profitability, portfolio
quality, and productivity. A key aspect of performance analysis is the efficient utilization of
resources, ensuring that funds are used effectively to maximize outreach and maintain
sustainability. However, the traditional financial ratios used to assess performance may not
fully capture the unique nature of MFIs. Therefore, a comprehensive performance
measurement framework that considers both outreach and financial performance is crucial.
Such a framework allows stakeholders to judge the worth of microfinance beyond simple
numerical measures, taking into account the broader impact of MFIs on poverty reduction and
financial inclusion1.
In conclusion, outreach and performance analysis are integral to measuring the

performance of MFIs. They provide a balanced view of the institution’s social impact and
financial health, helping stakeholders make informed decisions about the effectiveness and
value of microfinance initiatives.

 Efficiency Level:
The efficiency level of the network of MFIs in Cameroon is estimated at 0.422 when
return to scale was constant and 0.534 when they were variables. Efficiency level is a critical
performance measurement in Microfinance Institutions (MFIs). It reflects how well an
institution is utilizing its resources to achieve its objectives. Efficiency is typically expressed
through ratios of administrative efficiency, operational self-sufficiency, and loan officer
productivity. Administrative efficiency measures the cost-effectiveness of an MFI’s
operations, while operational self-sufficiency assesses whether an MFI’s operating income
can cover its operating expenses. Loan officer productivity, on the other hand, gauges the
output per loan officer, indicating the effectiveness of the workforce.
Beyond these ratios, advanced techniques like Data Envelopment Analysis (DEA) are
used to measure the efficiencies of MFIs. This method allows for a more comprehensive
assessment of efficiency, taking into account multiple inputs and outputs. Efficiency and
productivity indicators are vital as they ensure effective and efficient utilization of resources,
helping donors, investors, and regulators in controlling and monitoring the MFIs. Therefore,
maintaining a high efficiency level is crucial for MFIs to ensure sustainability and maximize
their outreach1.
 Effect of Financial Regulation:
Elements of financial regulation such as risk coverage ratio and fixed assets coverage
ratio significantly compromise MFIs efficiency. On the other hand, the size of the MFI, the
deposit interest rate, and belonging to the Anglophone regions significantly have a positive
influence on the MFIs efficiency. Financial regulation plays a significant role in the
performance measurement of Microfinance Institutions (MFIs). Regulatory elements such as
risk coverage ratio and fixed assets coverage ratio can significantly impact MFIs’ efficiency.
For instance, a high risk coverage ratio indicates that an MFI has set aside sufficient funds to
cover potential loan losses, reflecting its financial stability. Similarly, a high fixed assets
coverage ratio shows that an MFI’s fixed assets are adequately financed by its long-term
funds.
Moreover, the size of the MFI, the deposit interest rate, and regional factors can also
influence the MFIs’ efficiency. A larger MFI may benefit from economies of scale, while a

competitive deposit interest rate can attract more deposits, enhancing the MFI’s lending
capacity. Regulations also help ensure effective and efficient utilization of funds injected into
MFIs by donors or investors. They assist regulators in controlling and monitoring the MFIs,
thereby promoting transparency and accountability. However, it’s important to note that while
financial regulation is crucial, it must be balanced. Over-regulation can stifle innovation and
growth, while under-regulation can lead to financial instability. Therefore, a well-designed
and implemented regulatory framework is essential for the sustainable performance of MFIs.
 Data Envelopment Analysis (DEA) and Censored Tobit Model:
These are used to assess the effect of financial regulation on the dual performance of
MFIs in Cameroon. Data Envelopment Analysis (DEA) and the Censored Tobit Model are
powerful tools for performance measurement in Microfinance Institutions (MFIs). DEA is a
non-parametric method used to evaluate the efficiency of decision-making units. In the
context of MFIs, DEA can assess the relative efficiency by comparing the ratio of outputs
(results) to inputs (resources) among different MFIs. This allows for the identification of best
practices and areas for improvement. On the other hand, the Censored Tobit Model, a type of
regression model, is used when the dependent variable is censored. In MFIs, this could be
used to analyze factors affecting efficiency, where some efficiency scores might be censored
or limited to a certain range. Together, DEA and the Censored Tobit Model provide a
comprehensive framework for performance measurement in MFIs. DEA helps in identifying
efficient and inefficient MFIs based on their input-output ratios, while the Censored Tobit
Model helps in understanding the factors that influence these efficiency scores. This dual
approach not only measures performance but also provides insights into how to improve it.
These measures provide a comprehensive view of the performance of MFIs in

Cameroon, helping them to make informed decisions and improve their services. However,
it’s important to note that the performance of MFIs can vary greatly depending on a variety of
factors, including their specific strategies, the communities they serve, and the broader
economic context.
I.2 Impact evaluation of performance
Impact evaluation in microfinance institutions (MFIs) involves assessing the effects of

financial services on the economic performance and social well-being of their clients. It aims

to determine whether the services provided by MFIs, such as loans, savings, insurance, and
other financial products, are effectively promoting financial inclusion, reducing poverty, and
improving the lives of individuals or businesses that otherwise have limited access to
traditional banking services.
The evaluation typically measures outcomes related to clients’ income levels, business
growth, employment creation, empowerment, and overall quality of life improvements. It also
considers the sustainability and scalability of the MFI’s model. This process is crucial for
MFIs to demonstrate their social value, attract investors, and guide strategic decisions.
I.2.1 Customer satisfaction analysis
Customer satisfaction analysis on performance generally refers to the process of

evaluating how well a company’s products or services meet or exceed customer expectations.
This type of analysis is crucial as it provides insights into various aspects of performance,
such as quality, reliability, and overall value from the customer’s perspective. The analysis
typically involves collecting data through surveys, feedback forms, or direct interviews,
where customers rate their satisfaction levels regarding different performance metrics. The
results can highlight areas where a company excels or needs improvement. By closely
monitoring and responding to customer satisfaction, businesses can make informed decisions
to enhance their offerings, improve customer loyalty, and drive growth.
 Certainly! Here are the primary types of customer satisfaction analysis:

 Surveys and Questionnaires: These are standardized tools used to collect feedback
from customers about their experience with a product or service. They often include
Likert scales, open-ended questions, or multiple-choice questions.
 Customer Interviews: This qualitative method involves one-on-one discussions with
customers to gain deeper insights into their satisfaction and expectations.
 Focus Groups: A moderated discussion with a group of customers to explore their
perceptions and opinions in a more interactive setting.
 Comment Cards: Physical or digital cards provided to customers to write down their
feedback spontaneously, often used in restaurants or hotels.
 Social Media Monitoring: Analyzing customer opinions and feedback shared on
social media platforms to gauge public sentiment.

 Net Promoter Score (NPS): A metric based on one simple question: “How likely are
you to recommend our company/product/service to a friend or colleague?” It
categorizes customers into Promoters, Passives, and Detractors.
 Customer Effort Score (CES): Measures the ease of customer experience with a
company’s services by asking customers to rate the effort they had to put in to handle
their request.
 Customer Satisfaction Score (CSAT): Asks customers to rate their satisfaction with
an organization’s product or service
In a nutshell, customer satisfaction analysis is crucial for businesses to understand and

enhance customer experiences. It helps in identifying areas of excellence and those needing
improvement. By employing various methods like surveys, NPS, CES, and social media
monitoring, companies can gather actionable insights. These analyses lead to informed
decisions that can improve product quality, customer service, and overall customer loyalty.
Ultimately, a thorough customer satisfaction analysis is integral to maintaining a competitive
edge and fostering long-term business success.
I.2.2 Social impact assessment
Social impact assessment of performance specifically examines how a project or

intervention performs in terms of its social objectives. It assesses whether the intended social
benefits, such as improved community well-being or reduced inequality, are being realized.
This form of assessment looks at both the direct and indirect social outcomes linked to the
performance of the initiative, providing insights into its effectiveness and guiding future
improvements.
Stakeholder Analysis: This method involves identifying all stakeholders who may be
affected by the proposed project and understanding their interests, needs, and concerns. It
helps in engaging with stakeholders effectively and ensuring that their views are considered in
decision-making.
Impact Assessment Surveys: Surveys are used to collect quantitative data from
stakeholders about the impact of a project. They can be designed to measure specific
outcomes or general perceptions of the project’s social impact.

Focus Groups: Focus groups are small, diverse groups of people who are part of the
stakeholder community. They are engaged in structured discussions to provide qualitative
data on their experiences, opinions, and feelings about the project’s impact.
Impact Mapping: Impact mapping is a strategic planning technique where an

organization visualizes its objectives against the measurable effects it wants to achieve. It
helps in identifying the necessary interventions to create the desired impact.
Cost-Benefit Analysis: This analysis weighs the total expected costs against the total
expected benefits of a project to determine its feasibility or to compare alternatives. It
includes both quantitative and qualitative aspects of social impact.
Environmental Impact Assessment (EIA): Although primarily focused on

environmental effects, EIA also considers social impacts related to environmental changes
caused by a project. It assesses both positive and negative consequences.
SECTION II: THE LINK BETWEEN MARKETING STRATEGY AND

PERFORMANCE
Numerous studies have investigated the relationship between marketing strategies and
firm performance across various industries, including the financial sector. In the context of
microfinance institutions, effective marketing strategies play a crucial role in attracting
customers, increasing market share, and ultimately improving financial performance. For
instance, a study by Muriithi and Mukulu (2017) found that implementing a combination of
promotional strategies, such as advertising, public relations, and social media marketing,
significantly impacted the performance of microfinance institutions in Kenya. Similarly, a
study conducted by Ntui et al. (2019) in Nigeria revealed that a well-developed marketing
strategy, including customer segmentation and product differentiation, contributed to
increased profitability and sustainability for microfinance institutions.
These findings suggest that a well-designed marketing strategy can enhance the
visibility and reputation of microfinance institutions, thereby attracting more clients and
increasing overall performance. However, it is important to note that the effectiveness of
marketing strategies in the microfinance sector may vary depending on the target market,
competitive landscape, and regulatory environment. Further research is needed to explore the
specific marketing tactics that yield the best results for microfinance institutions in Cameroon.

II.1 EMPERICAL LITERATURE
Empirical studies have provided valuable insights into the relationship between
marketing strategies and the performance of microfinance institutions. Research conducted by
Muriithi and Mukulu (2017) in Kenya found a significant positive relationship between
marketing strategies and the performance of microfinance institutions. The study revealed that
institutions that effectively utilized promotional strategies, such as advertising, public
relations, and social media marketing, experienced improvements in client acquisition, loan
disbursement, and overall financial performance.
Similarly, a study by Ntui et al. (2019) in Nigeria highlighted the importance of a

well-developed marketing strategy in enhancing the performance of microfinance institutions.
The research indicated that institutions that implemented customer segmentation strategies
and product differentiation approaches were able to attract a larger client base, achieve higher
profitability, and enhance their sustainability in the long run. These empirical findings suggest
that a proactive and innovative marketing strategy can have a positive impact on the
performance of microfinance institutions. By effectively promoting their products and
services, targeting specific customer segments, and differentiating themselves from
competitors, microfinance institutions can enhance their market presence, attract more clients,
and ultimately improve financial performance. However, the specific marketing strategies that
yield the best results may vary depending on the institution's unique characteristics, market
dynamics, and regulatory environment. Further empirical research is needed to explore the
most effective marketing tactics for microfinance institutions in Cameroon specifically.
A significant shift in the operational approach of Microfinance Institutions (MFIs) has

been observed, moving from a supply-led to a demand-driven, client-oriented approach. This
shift is primarily due to the increasing competition in the microfinance sector, necessitating a
better understanding of clients’ demands and preferences. Wright, Cracknell, Mutesasira, and
Hudson’s study emphasizes the importance of a market-led approach in MFIs, which includes
focusing on corporate branding and identity, product delivery system, customer service
strategies, and product strategy. Another study delves into the role of the marketing mix
(product, price, place, promotion) on the performance of MFIs. It investigates how the four Ps
of marketing - products and services, promotion, pricing, and distribution - affect the
performance of MFIs.

II.1.1 Performance of Microfinance Institutions
On the performance front, Parmeter and Hartarska’s review of empirical literature

highlights the unique objectives and challenges faced by MFIs. Unlike traditional banks,
MFIs lend to the poorest of the poor and often cannot use standard screening tools due to the
lack of credit record or collateral. This unique operational environment necessitates
innovative approaches to ensure productivity and efficiency. The performance of MFIs is also
influenced by their marketing strategies. As the study on the marketing mix suggests, the
choice of products and services, promotional strategies, pricing decisions, and distribution
channels can significantly impact an MFI’s performance. Therefore, effective marketing
strategies are not just beneficial but crucial for the performance and sustainability of MFIs.
II.1.2 Marketing Strategies and Organizational Performance

Marketing strategies have been used for many years by majority of the organizations.
These strategies are already being used by some microfinance establishments. The success of
these strategies comes in once applying those practices and henceforth professionally
executed. According to Achrol (1991) strongly argues that in the advent of technological
development, business has experienced more problems than before, hence the technological
inventions have also come up with more innovative offerings to enable services and products
be customer centered and compliance levels.
Marketing strategists should embrace the advent of technology and utilize the same in
improving service delivery and service quality. IT support for customers is a key ingredient in
firm's growth and performance. The firm's management should embrace the benefits of IT to
realize the maximum advantage of IT in terms of enhancement of the effectiveness of the
individual functions of operations, marketing and human resources. (Bonoma et al., 1988).
Market development is part of growth strategy where organization market their products in a
new location. Therefore firms should maintain other traditional methods of communication as
all are relevant and productive (La Monica 1999). Marketing strategists should embrace the
advent of technology and utilize the same in improving service delivery and service quality.
Microfinance institutions (MFIs) have been increasingly adopting strategic marketing

approaches to improve their performance. As competition increases, MFIs are transitioning
from a supply-led approach, which applies a narrow range of lending methodologies, to a
demand-driven, client-oriented approach. This shift involves understanding clients’ demands

and preferences, leading to the development of new products that meet the needs of their
clients. Furthermore, some MFIs are beginning to consider corporate branding and identity,
product delivery systems, and customer service strategies in addition to product strategy.
Organizational culture and product capability also play a significant role in the
performance outcomes of MFIs. For instance, a study conducted in Kenya found that product
capability appears to overshadow other components of marketing capabilities in influencing
performance. This suggests that the development of a more client-responsive, market-led
approach to microfinance is an important watershed in an industry hitherto largely dominated
by the misconception that simple replication of successful models could achieve massive and
sustainable scale worldwide.
II.2 CONCEPTUAL FRAMEWORK

Microfinance aims at the grassroots of the society by granting funds to the poor,
building of economic yielding projects that he quality of living of the masses. These could be
through Microloans and advances, Micro deposit keeping, and Micro investments. Dean
Jonathan swift introduced micro lending to Irish citizens in the 1720s as a means to help
impoverished citizens. The legislative Parliament saw the effectiveness and signed it into the
bill to encourage private financing. (Hollis & Sweetman, 1996). In India, Grameen Bank
Bangladesh made micro lending known in 1976 to assist farmers to increase their yield
(chakra et al 2022).
In Cameroon, Microfinance was introduced as a community bank for the rural masses
which was mainly involved in agricultural production and needed funds and social amenities
to increase their production and cause for economic development. Central Bank of Cameroon.
The stakeholders of these banks misused the reason for the establishment of the community
bank which led to the establishment of microfinance bank with the directives of community
banks to migrate to Microfinance institutions. Acha, I.A. (2012)
The Microfinance policy and supervisory framework made by the Central bank of
Cameroon, was to control and supervise the activities of the migrated banks in order to return
its original purpose of establishment of community bank which failed at first. Central Bank of
Cameroon (2008). The Central bank began to issue licenses to new microfinance banks based
on the branches and regions. There are Microfinance banks licensed to carry out operations in
a local government with one branch with a paid up capital of 5 million the Microfinance

banks licensed to operate in a state starts with a paid up capital of 20 million, while those
licensed to operate in the federal capital territory paid up capital of 1 billion. Central Bank of
Cameroon (2008).
These were to have control and regulate the activities of microfinance banks. About
60% Community Banks migrated to microfinance banks by January 1st, 2008 and more
microfinance banks have been licensed to operate (CBC, 2008). (Ochonogor, 2020).
Independent variable: Marketing strategies
- Includes different components such as product marketing, pricing strategies, promotion

strategies, and distribution channels.
- Will measure the effectiveness of each marketing strategy in reaching the target audience
and increasing brand awareness for microfinance institutions in Cameroon.
Dependent variable: Performance of microfinance institutions in Cameroon
- Will measure the financial performance, customer satisfaction, and overall sustainability of
microfinance institutions in Cameroon.
- Will assess the impact of marketing strategies on the performance of these institutions.
Mediating variables:
- Socioeconomic factors in Cameroon
- Political factors affecting the business environment
- Technological advancements influencing marketing strategies
Moderating variables:
- Size of the microfinance institution
- Competitive landscape in the microfinance sector in Cameroon
The conceptual framework of the research study was based on the relationship
between marketing strategies and performance. The attributes of the variables are also
mentioned and

Figure 1: The conceptual framework
Performance of MfIs
Marketing strategies
 Profitability
 Product development  Portfolio quality
and innovation  Outreach and client
 Pricing strategies  Efficiency
 Distribution strategies  Social impact
 Promotional strategies  Financial sustainability
Intervening variables
 Competitive advantage
 Customer knowledge
and insights
 Market capabilities and
resources
 Relationship
management
Source: literature review
Explanation
The arrow linking the two variables, that is, the independent and the dependent
variables show that the two are interrelated. Each of the attributes under the independent
variable is used to generate positive results on the dependent variable. The components of the
independent variable like product, price, promotion and distribution impact on the dependent
variables like sales volume, profitability and market share. The performance of the dependent
variable can be hindered if marketing strategies is not implemented effectively. Better
implementation of marketing strategies lead to even financial performance.
However, the performance of the dependent variable can also be affected by

modifying variables like government policies for example price regulations and taxation and
government interferences in company activities which affect profitability of the business.

Business dynamics like competition in the industry, changes in demand and supply also
impact on the performance of the business.
SECOND PART: METHODOLOGY AND DATA ANALYSIS

AND RECOMMENDATIONS
The second part of this research project delves into the heart of our investigation on
the performance of marketing strategies in microfinance institutions in Cameroon, with a
specific focus on the Buea Police Cooperative Credit Union in Yaoundé. This chapter outlines
the methodology employed in gathering and analyzing data, and presents the findings derived
from this rigorous process. It provides a comprehensive overview of the steps taken to ensure
the reliability and validity of our findings. Following the methodology, we transition into the
analysis of findings. This section presents a detailed examination of the data collected,
interpreted in the context of our research objectives. It offers insights into the effectiveness of
marketing strategies implemented by the Buea Police Cooperative Credit Union and their
impact on the institution’s performance. Through this systematic and thorough approach, we
aim to provide valuable insights into the role of marketing strategies in shaping the success of
microfinance institutions in Cameroon. The findings from this study are expected to
contribute significantly to the existing body of knowledge and potentially guide future
strategic decisions within the microfinance sector.

CHAPTER 3: METHODOLOGY AND PRESENTATION OF
ENTERPRISE
The methodology is defined as a succession of steps through which research must

proceed to be rigorous (Perrin et al., 1996, as cited in Plevory, I1995). There are several
methods and data analysis techniques that can be used to empirically verify the research
question. In this chapter, we will apply this methodology to our work in the designated sector
of activity. First, we will present the sector of activity, and then we will discuss the
methodological framework of the research.
SECTION I: ADOPTED APPROACH

It is important to present the different approaches adopted for our study, as well as the
sampling design and selection methods, which are important for understanding the elements
that will be useful in choosing the population for our study. The choice of an approach will
allow us to justify our study and achieve our objectives through the selection of an appropriate
methodology. Based on our observations and information needs, we have chosen specific
methods that are tailored to our context. Here, we will highlight the adopted methodological
approach, data collection methods, the data collection tool, and any encountered difficulties.
I.1 CHOICE OF RESEARCH METHOD
The research method is defined as a coordinated and organized set of operations and
means put in place to gather the maximum amount of information or data. The choice of
research methodology is linked to the nature of the theme and the objectives of the study.
There are several types of methods through which research work can be conducted. Thus,
depending on the specificity of the object and the research, the researcher may have to choose
among others:
I.1.1 Quantitative Research

Quantitative research is conducted when there is a good understanding of the tools for
measuring central concepts and when seeking quantitative behaviors and attitudes. The
objective is to provide a quantified description of certain characteristics of the studied
population.

The quantitative approach is accepted as a process of data collection, hypothesis
testing, and structuring of results in order to test their generalization to a target population.
This approach favors the grouping of information into quantities that will be counted and for
which statistical treatments will be performed to make them more significant.
I.1.2 Qualitative Research

Qualitative research is a set of investigation techniques that are widely used.
Qualitative research is characterized by an approach that aims to describe and analyze. It
provides insights into people's behavior and perceptions and allows for a more in-depth study
of their opinions on a particular subject than a survey. It generates ideas and hypotheses that
can contribute to understanding how a question is perceived by the target population and
helps define or identify the notions related to the question. This technique is often used for
concept pre-testing.
Compared to survey-based research techniques, qualitative research does not rely on a

closed questionnaire. The researcher has some flexibility to adapt the interview guide based
on the responses and individual experiences of the participants.
 Justification of methodological choices
In this paragraph, we present the justification for our methodological approach.
In this specific case, we have resorted to the qualitative method, which allows the
researcher a significant degree of freedom in carrying out their project. The theoretical
framework is not predetermined before field studies. The research questions are constructed
through a confrontation between theory and empirical evidence. The reasons for choosing the
qualitative approach are related to the information, the nature of the subject, and the field of
investigation.
Three essential advantages are attributed to qualitative methods:
 The ability to account for processes of change over time.

 The understanding of the meaning that people attribute to their experiences.
 The capacity to adapt new ideas and contribute to the generation of new theories.
 Choice of data collection and analysis tools
In management science, the choice of methods and instruments for data collection
depends on the type of research and the adopted approach. Since our position is based on the

qualitative approach, the ideal information gathering instrument is the interview guide, and
the method of data collection is through interviews.
The formulation of the methodological research can proceed in two ways. First, by
determining the type of research that leads to a positioning in relation to a logic, and then by
adapting this logic as a research strategy. To achieve our goals, we will first specify the
methodological approach and then proceed with the research phase.
 Operationalization of study variables
Operationalization is a crucial step in the empirical research process. It is the means of

making clear what was previously unclear. Abstract concepts cannot be directly observed;
they need to be translated into observable and measurable empirical variables.
In this paragraph, we present the operationalization of our study variables. For our research,
we will adopt the explanatory phase.
Table 1: operationalization of marketing strategies
Concept Variables Indicators Authors
Product New product development, Arjuna & Ilmi,

product quality, product (2019)
Marketing
innovation and product,
strategies
differentiation.
Price Pricing strategy, pricing Solomon et al

competitiveness, pricing (2009).
flexibility and price
sensitivity.
Promotion Promotional campaigns, Mahmood &

brand awareness, advertising Khan, (2014)
effectiveness and customer
engagement.

Table 2: operationalization of performance
Concept Variables Indicators Authors
Sales volume The total volume of Philip Kotler and

products or services sold by Kevin Lane
Performance
MFIs (2016)
Profitability Financial performance and Muhammed

profitability of the MFIs, it Yunus (2007)
can be measured by ROA
and ROE
Market share MFIs share in the David A.Aaker

Microfinance, measured by (2009)
the % of total market
demand or market value
I.2 DATA COLLECTION

Data collection can be done through two sources: secondary data sources and primary data
sources. We have used the latter category for our analysis. This paragraph presents the two
processes of data collection and analysis.
a) Sampling Process
Presenting the sampling process involves analyzing the sampling approach and the size of our
sample.
b) Sampling Approaches
There are two families of sampling techniques: probabilistic methods and non-probabilistic
methods.

I.2.1 Probabilistic Sampling
This method is a technique that involves random selection, giving each element of the
population a known and non-zero chance of being selected. There are five types of
probabilistic sampling:
- Simple random sampling: This method ensures that all possible samples (of the same size)
have an equal probability of being chosen, and all elements of the population have an equal
chance of being part of the sample.
- Systematic sampling: This method involves selecting every nth element from the population
after an initial random starting point.
- Stratified sampling: This method involves dividing the population into homogeneous groups
(strata) and then selecting samples from each stratum.
- Cluster sampling: This method involves dividing the population into clusters and randomly
selecting clusters to include in the sample.
I.2.2 Non-probabilistic Sampling

Non-probabilistic sampling methods rely on subjective selection of units within the
population. It is generally quick, simple, and affordable. Given these characteristics, this type
of sampling is sometimes useful for conducting preliminary studies, holding focus groups,
and conducting pilot studies. However, in order to draw conclusions about the entire
population, it is often mistakenly assumed that the sample is representative. Purposeful
sampling allows for the precise selection of elements in the sample and thus facilitates the
adherence to certain design requirements, such as snowball sampling. (BAUMARDS, P.)
There are three possible choices here: judgment sampling, quota sampling, and convenience
sampling. These sampling techniques involve selecting elements from a given population
without a known probability of being selected in the sample.
To achieve our objectives, we needed data that would allow us to easily describe and
understand the problem at hand. According to Y. Evrad, before diving into exploratory and
descriptive analyses, it is good to start with existing data. Our information research proceeds
as follows:

 Interview guide:
This survey technique consists of a summary list of themes and questions used in the
investigation. It is most often used in social and human sciences research, as it partially
directs the discourse of the interviewed individuals around different themes defined in
advance by the investigator. It includes direct interviews, open-ended interviews, and semi-
structured interviews. In our work, we opted for a semi-structured interview guide.
c) Justification for the choice of interview guide and documentation

research:
- The interview guide allows for greater freedom of expression for the interviewees. It
provides precise insights on certain points that enrich our understanding of the company's
culture. This tool allowed us to gather high-quality information and insights from different
departments of MFIs. The latter have knowledge related to the research domain we are
focusing on.
This method is suitable for meeting the need for knowledge exploration. It deepens our real
perception of the company as much as possible, allowing us to understand the organizational
system and the company. It promotes openness to analytical and synthesis thinking. Similarly,
it allows us to overcome preconceived ideas and develop a critical mindset. This internship
experience has allowed us to enrich our documentation on the entity's activities.
SECTION II: PRESENTATION OF ENTERPRISE
Cameroon as well as other third world counties has observed an exponential expansion
of MFIs as a means of reaching the poor and alleviating poverty, this can be best confirm by
the fact that MFIs can be found almost in every village in Cameroon. Microfinance is the
provision of financial services to low-income clients. In this section, we are going to present
the portfolio of microfinance activities and the institutionalization of corporate governance in
MFIs on one hand while on the other hand, its mission, growth/evolution as well as best
practices shall be emphasized within the Cameroonian context of microfinance.
II.1 Historical Background of BUPCCUL

The to form the Buea Police Cooperative Credit Union in 1967 by commissioner
NTUNE. Meetings and members who were interested were held at the headquarter of a firm

Cameroon police in Buea. In 1968, the Union was registered and certified Carton agreed by
the director of cooperatives in 1971 at the General Meeting of 1975, membership was opened
to the generate From the 20th of November 1995, the Union was re-registered according to
the new governing bodies cooperative societies in Cameron and in 2002 according to the
COBAC regulations. On the 29th of May 2002, the Credit Union moved to its new
headquarters in Great Soppo Buea. The BUPCCUL COBAC No. D-2001/ MINFI No. 00395
is an affiliate to CAMCCUL (Cameroon Cooperative Crude Union League) and has proven to
be a safe place to keep your money, a source of finance for livelihood and businesses and a
wide choice of local, national and international services
II.1.1 Aim and Objectives of BUPCCUL

The aim and objective of BUPCCUL include:
 1 Accept deposits from its members and makes them readily available on demand
 2. To encourage regular savings and wise lending and prompt repayment
 1 Providing secured loans to members upon regant to day transactions and interaction
 To provide financial assistance both to ups and indi long term and mednun-term loana
 4. To open many more other branches nationwide to help unemployment rate and
crime wave That is by employing young p graduates to work in its newly opened
branches in the circulation of money nationally which done witho To assist
CAMCCUL network (CAMEROON COOPERATIVE CREDIT CROS LEAGUE)
 To provide relevant financial products and services to meet up sconely w the constant
fluctuating financial depends on members
II.1.2 The various Branches of BUPCCUL and Their Locations

 Great Soppo Buea (Head Office / Branch Office) Opposita Chefs P
 Beside BOCOM Petrol Station Tel: 233 32 28 513 Fax. 233 32 249 Limbe Branch
Office, Half Mile opposite PYC Tel: 233 332 164
 Ndokoti, Douala Branch Office, Main Entrance to Marche DACAT Tel: 233
414071
 Bonaberi Ndobo. Douala Branch Office, Opposite Societe Maver 100 put Brocante
Tel: 676 626 832
 Mile 17 Branch Office Sammy White Building. Above Mondial Express Agency Tel.
233,323,754

 Yaoundé branch Office at Carrefour OBILI opposite the presidential guard camp Tel:
679 414 551.3
II.2 MICROFINANCE LOANS/CREDIT/LENDING

Microfinance loans are small loans that are provided to low-income individuals and
micro enterprises by Microfinance institutions (MFIs). Microfinance loans are typically
unsecured as the borrowers do not need to These loans are intended to offer financial
assistance to persons who lack access to conventional banking services or are unable to
satisfy the stringent requirements of commercial banks. Provide collateral to obtain the
loan (Ogaboh & Nkpoyen, 2019). The role of micro-credit in improving the economy of a
country cannot be undermined. Micro-credit schemes in their diverse forms are a crucial
tool for stimulating economic development and achieving inclusivity (Ochonogor, 2020).
Microfinance bank credit and local investment has a positive effect on the growth of
Nigeria’s economy, Based on the magnitude and the level of significance of the
coefficient and p-value, there is a long-run ties between microfinance bank credit,
investment and economic growth in Nigeria. (Oyinpreye, 2016).
A study carried out by Ogaboh, Agba, et al (2019) using Pearson product

moment correlation shows that, microfinance loan gives meagre earners access to loans
and advances and encourage their entrepreneurship as well the means to savings. With the
presence of Microfinance lending there should be significant shift to the number of
individuals and small and medium enterprises who can access funds but reverse is the case
in Nigeria. Researchers has been debating on the efficacy of the introduction of micro
lending and the reason there is no significant changes in the economy. Akinji (2006) as
cited by Agoboh et al, 2019, says that notwithstanding the operations of microfinance
loans in Nigeria, poverty continues to be on the increase among the low-income earners
because of illiteracy of these funds available for their use.
II.2.1 MICROFINANCE SAVINGS/DEPOSITS

Micro savings are not important as loans in microfinance institutions due to the focus
is granting loans which Is their main source of profit. Some of the savings are tied
conditions in other to take out loans. Low income earners has little or nothing to save and
depends on loans to run their enterprises, some also expect loans to run their ubiquitous
needs of shelter, food, clothing etc. without a definite means of repayment. Micro saving

is risky for the bank because they may not be able to pay depositors when cash is needed
on urgency, due to loans granted to other individuals are yet to mature.
Low-income people can save money in a secure and practical manner with the help of
microfinance banks. A World Bank study found that microfinance organizations have
contributed to their clients' increased savings rates, with some clients reporting savings
growth of up to 80% over a 12-month period (World Bank, 2015).
II.2.1 MICROFINANCE INVESTMENTS

Small-scale loans, savings accounts, insurance, and other financial services are
provided by microfinance to low-income people and small businesses who do not have
access to traditional banking services. Over the past few decades, the idea of microfinance
investment has grown significantly in importance in Nigeria due to its critical role in
reducing poverty and fostering economic development.
The Central Bank of Cameroon (CBC) reported in 2020 that the microfinance industry
in Cameroon had continued to expand, with a total of 1,080 licensed microfinance banks
(MFBs) operating throughout the nation. According to the report, over 100 billion FCFA
in loans have been given to micro, small, and medium-sized businesses (MSMEs) in
Nigeria by the sector. Via a number of programs, including the National Poverty
Eradication Plan and the Micro, Small and Medium Businesses Development Fund
(MSMEDF), the Cameroon government has pushed the use of microfinance in Cameroon
These programs seek to promote MSMEs, particularly in rural areas, by facilitating access
to financing.
In addition, global agencies like the World Bank and the UNDP have supported
microfinance investments in Cameroon. Along with the CBN, the UNDP is assisting
microfinance institutions with technical support and capacity building, while the World
Bank has contributed money to the growth of Cameroon microfinance industry. UNDP
(2019).
According to studies, microfinance investment in Nigeria contributes to economic

growth and the eradication of poverty. For instance, Oluwatobi et al (2018)'s study
discovered that microfinance institutions in Nigeria greatly aided in the growth of MSMEs
and the decrease of poverty. According to Emenike et al. (2017), microfinance institutions

in Nigeria have a beneficial impact on the expansion of small and medium-sized
businesses (SMEs).
 Microfinance institutions and banks
Banks are financial institutions that specialize in providing financial services such as
microloans, micro savings and micro-insurance to low-income individuals and small
businesses. Existing studies have highlighted the critical role MFBs play in promoting
financial inclusion and reducing poverty by providing access to financial services to
individuals who do not have access to traditional banking services. Bert, S. & Dick, V.W.
(2003)
They provide the physical and tangible platform for activities of microfinance
institutions, being regulated by the apex bank in Nigeria, they carry out their operations
based on the license they get from the regulatory body. Their customer deposits are
covered by National deposit Insurance Corporation. Acha, I. A., (2007)
 Categories of Micro finance institutions in Cameroon
Micro finance institutions are regulated by three different regulations in Cameroon.

They include, the Economic community of central African states (CEMAC) through the
Banking Commission of Central African States (COBAC), The National Law and the Pan
African Harmonization of Business Laws in Africa (OHAD). Each institution is bound to
respect all the regulations put in place by these regulatory body by paying special
attention to the prudential norms implemented by COBAC. (Akanga 2017).
The main document produced by COBAC for the regulation of the activities of Micro
finance activities in Cameroon is directed mainly towards the activities of the MFI
institutions and not their legal forms. In real terms MFI is defined as legalized and
authorized entities not having the status of a bank but rather offer services such as savings
and offer loans mostly for low income earners. The categories of micro finance
institutions where equally publish in this same document. These microfinance institutions
are divided in to three categories that is the category one MFI, the category two MFI and
the category three MFI. (Fotabong 2012.)
Category one microfinance institutions are Micro finance institutions that accept
savings and deposits from its members and give out loans to them. Category one
Microfinance institutions include cooperatives, associations and credit union such as the
Agyati cooperative credit union ltd. The capital requirement for this category one
microfinance institution is not defined. Rather the Banking Commission for central
African states (COBAC) requires that the said institutions in these category needs enough
capital to meet up with its activities and the prudential norms. The principal objectives of
organizations under this category is not to make profit but rather for the main purpose of
empowering their members to be able to meet up with their activities (Akanga 2017).
Category two are Microfinance institutions that accept savings, deposits and lends
them out to third parties. This category has a stipulated minimum amount of capital which
is 50 million FCFA. This amount must be shown to the regulatory bodies in the form of a
bank statement from any legalized commercial bank. Institutions under this category are
out to make profit example include UNICS. This category differs from the first category
in that the first category deals with members and only lends out money to its members.
While category two receives deposits and savings from customers and give out loans to
third party or to the public (Akume & Anicet 2017.)
The third category of MFI is made up of financial institutions that lends money but do
not collect savings and deposit. Such institutions include institutions that finance projects.
The minimum capital requirement for the category three institutions is 25 million FCFA.
This amount must be paid in full and shown as evident in the form of a bank statement in
a legalized commercial bank as at the time for the application for
registration/accreditation. The category three institutions are profit oriented, that is they
are out to make profit. The main difference between the category two institutions and
category three institutions is that the category two receives savings and deposits while the
category three does not receive savings nor deposit. But they all have as objectives to
make profit. (Fotabong 2012.)

CHAPTER 4: DATA ANALYSIS AND CONCLUSION
SECTION I: DATA PERESENTATION AND ANALYSIS

DATA ANALYSIS
The instruments that will be used to collect information from the field for both
quantitative and qualitative data. The raw data will be cleaned, sorted, edited for accuracy and
clarity.
Data analysis will be done using the statistical package for social scientists (SPSS).
Ethical Considerations
The researcher will seek for a letter from ENSET DOUALA seeking to carry out
research on “Marketing Strategies and its Performance Microfinance Institutions: A case of
BUPCCUL YAOUNDE”.
The researcher will obtain the consent from BUPCCUL YAOUNDE to carry out the
study and this will be done through a formal authorization granted by the BUPCCUL
YAOUNDE to access respondents and inform them on the consent from those who will
participate in the study.
According to Sekaran (2003), participants‟ informed consent may be obtained either

through a letter or form that clearly specifies what the research specifically involves, includes
clearly laid down procedures the participants can expect to follow and explain the ways in
which their confidentiality will be assured.
4.3 DEMOGRAPHIC CLASSIFICATION OF RESPONDENTS

Variable of gender, age, marital status, level of education and longevity in the
cooperatives were inquired in the questionnaire to know demographic and social features of
the respondents. Creating a profile of the customers would help better target desired group
effectively by providing them services according to their desire. All in all, 133 people
responded to the questionnaire. The demographic composition of the respondents showed the
following picture.

Table 3: Gender of Respondents
Gender Number of Respondents Percentage
Male 73 54.88%
Female 60 45.11%
Total 100 100%
Source: Field Data (2023)
The results given in Table 4.1 shows that most of the respondents used were males
who constituted 54.88% whiles the females who were in the minority accounted for 45.11%
of the total respondents in the customer category. This implies that more male customers often
visit cooperatives than female customers. Several reasons could be assigned to this. For
example, it reflects possibly the better saving attitude of most males as compared to most
females.
Another reason could be that couples visited the bank and males responded to the
questionnaire rather than females. But even then, the interest of males to respond to the survey
shows that they are more curious about information and offers about service quality of
cooperatives and it should be taken in to consideration by the financial institution. This
proportion is visualized in the following figure;
Table 4: Marital status of respondents
Marital status Number of respondents Percentage
Married 60 45%
Single 56 42.11%
Free 11 8.27%
Divorced 6 4.515
Total 133 100%

The table above revealed that the marital status was divided into four distinct groups. 42.11%
of the respondents is single, 45% are married, 4.51% are divorced and 8.27% of the
respondents are neither married, divorced nor single.
The age groups of respondents are presented in Table 4.3 which shows that 34.84% of the
respondents were less than 31 years which are mostly seen as young customers and are
usually students. The other age groups i.e., 31-40, 41- 50 and 50 and above constitutes
36.84%, 17.29% and 9.02% respectively; male, female, people with jobs and retired people
with families.
Table 5: Ages of respondents
Age range Number of Percentage

respondents
21-30 49 36.84%
31-40 49 36.84%
41-50 23 17.29%
50 and above 12 9.026%
Total 133 100%
It can be concluded that people above 40 years are visiting cooperatives less than other
age groups. Thus, cooperatives should target them by providing better services and service
quality which would help to raise the number of visitors to the organization.
The educational level of respondents is as follows; 45% of respondents have university

as their level of education, another 45% have others as theirs, 6.76% have secondary while
3.24% are for primary. This various educational level will be illustrated in figure 4.3 below
4.6 FINDINGS TO RESEARCH OBJECTIVES

All questions in the interview questionnaire were framed to assist the study investigate
the impact of marketing strategies on the performance of microfinance institution in

Cameroon and to determine contextual factors that influence the success of marketing
strategies in MFIs?.
Table 6: product development and pricing strategies are significantly effective to the performance of MFIs
CATEGORY NUMBER OF RESPONDENTS PERCENTAGE

(%)
Strongly agree 33 24.06%
Agree 56 42.10%
Indifferent 36 27.06%
Disagree 9 6.7%
Strongly disagree 0 0
Source; Authors computation (2024)
Figure 2: illustration of effectiveness of marketing strategies
60
56
50
40
36
33
30
20
10 9
0 0
Strongly agree Agree Indifferent Disagree Strongly
disagree
NUMBER OF RESPONDENTS

Figure 3: illustration of effectiveness of marketing strategies
PERCENTAGE (%)
45.00%
42.10%
40.00%
35.00%
30.00%
27.06%
25.00% 24.06%
20.00%
15.00%
10.00%
6.70%
5.00%
0.00% 0.00%
Strongly agree Agree Indifferent Disagree Strongly
disagree
PERCENTAGE (%)
Figure 4: percentage illustration of significance of marketing strategies
Research questions. How significant are marketing strategies in MFIs

?
Table 4.2.1 above revealed that there is a strong positive significant are marketing strategies
in MFIs s. Out of the total respondents of 133, it is observed that 24.06% strongly agreed,
42.10% agreed, 27.06 were indifferent, 6.70% disagreed while 0% of the respondents strongly
disagreed that there is a strong positive significant are marketing strategies in MFIs. The
histogram shows the number of respondents while the pie chart shows the percentage of
response gotten from the respondents.
Table 7: EFFECTIVENESS OF MARKETING STRATEGIES ON PERFORMANCE

CATEGORY NUMBER OF PERCENTAGE
RESPONDENTS (%)
Strongly agree 32 24.06%
Agree 79 59.39%
Indifferent 20 15.03%
Disagree 2 1.50%
Strongly disagree 0 0
Strongly disagree 0.00%
Disagree 1.50%
Indifferent 15.03%
Agree 59.39%
Strongly agree 24.06%
0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00%
PERCENTAGE (%)
Figure 5: ILLUSTRATION OF EFFECTIVENESS OF MARKETING STRATEGIES ON PERFORMANCE
Figure 6: ILLUSTRATION OF PERCENTAGE OF EFFECTIVENESS OF MARKETING STRATEGIES ON

PERFORMANCE
Table 4.2.2 revealed that there is positive effect of marketing strategies on

performance with 24.06% of the respondents strongly agreed, 59.39% agree, 15.03% are
indifferent, 1.50% disagree while 0% strongly disagreed. This therefore revealed that
marketing strategies has positive impact on performance of MFIs.

RECOMMENDATIONS
Through extensive research, several key recommendations have been identified to enhance
the marketing efforts and overall performance of MFIs in the country. These
recommendations aim to address various aspects of marketing, including brand identity,
product strategy, market research, competitiveness, trust building, and customer service and
distribution.
Enhance Brand Identity: Enhancing brand identity is crucial for MFIs in Cameroon to
differentiate themselves in the market. Building a strong brand identity is essential for MFIs
to create a unique and recognizable image among customers. By developing consistent
branding elements such as logo, color palette, and messaging, MFIs can increase customer
awareness, trust, and loyalty. A well-defined brand identity will distinguish MFIs from
competitors and positively impact their overall performance.
Product Strategy: MFIs should develop a comprehensive product strategy tailored to

meet the specific needs of their target market. Conducting thorough market research is crucial
in understanding the financial needs and preferences of potential clients. By gaining insights
into customer behavior and market trends, MFIs can design financial products and services
that align with the requirements of their target market. A well-defined product strategy will
enable MFIs to attract and retain customers, ultimately improving their performance and
market position.
Market Research: MFIs should invest in market research to gain valuable insights into
customer behavior, market trends, and competitors. Market research plays a vital role in
understanding the needs, preferences, and expectations of the target market. By conducting
comprehensive market research, MFIs can identify opportunities for innovation and
improvement. Understanding customer behavior and market trends enables MFIs to develop
effective marketing strategies that resonate with their target audience. Additionally, analyzing
competitors' strategies and offerings helps MFIs differentiate themselves and gain a
competitive advantage.
Nature of Competitiveness: MFIs should analyze the nature of competitiveness in the

market and develop strategies accordingly. Understanding the competitive landscape is crucial
for MFIs to position themselves effectively. By conducting a thorough analysis of the
competitive environment, MFIs can identify their competitive advantages and weaknesses.
This analysis allows MFIs to develop strategies that capitalize on their strengths and mitigate

potential threats. By aligning marketing strategies with the market dynamics, MFIs can
improve their performance and gain a competitive edge.
Trust Building: MFIs should prioritize trust-building activities to establish credibility

and foster long-term relationships with customers. Trust is a critical factor in the financial
sector, particularly for MFIs. To build trust, MFIs should ensure transparency in their
operations and communicate their mission and values effectively. Providing excellent
customer service and transparent loan processes instills confidence in customers.
Additionally, conducting financial literacy programs and maintaining open communication
channels helps MFIs establish credibility and trust. Building trust is essential for attracting
more clients and improving overall performance.
Customer Service and Distribution: MFIs should focus on delivering exceptional

customer service and optimizing their distribution channels. Providing excellent customer
service is vital for customer satisfaction and retention. MFIs should invest in training their
staff to offer personalized assistance, address customer queries promptly, and provide a
seamless customer experience. Additionally, optimizing distribution channels, such as
leveraging digital platforms or forming partnerships with local organizations, ensures
convenient access to financial products and services. By prioritizing customer service and
distribution, MFIs can enhance customer satisfaction, attract more clients, and improve their
overall performance.
By implementing these recommendations, MFIs in Cameroon can strengthen their marketing

efforts and enhance their overall performance in the market. Each recommendation addresses
a specific aspect of marketing that, when executed effectively, can lead to increased brand
LIMITATIONS
Limited Access to Data: The availability of comprehensive and reliable data on MFIs
in Cameroon may have been limited, making it challenging to gather sufficient information
for the study. This could have affected the depth and accuracy of the research findings.
Small Sample Size: The research might have been constrained by a small sample size
of MFIs in Cameroon. This could limit the generalizability of the findings to the entire MFI
industry in the country, as the sample may not adequately represent the diverse range of MFIs
operating in Cameroon.

Time Constraints: Time constraints might have limited the duration of the research,
potentially resulting in a less comprehensive investigation of marketing strategies and their
performance on MFIs in Cameroon. More time would have allowed for a more in-depth
analysis and exploration of various factors.
Limited Financial Resources: Constraints in financial resources may have limited the
scope of the research. Conducting extensive data collection, analysis, and fieldwork can be
costly, and limited financial resources may have restricted the researcher's ability to gather a
wide range of data and conduct extensive research activities.
Language Barriers: Language barriers might have posed challenges during data
collection and communication with MFIs in Cameroon. If the research was conducted in a
language unfamiliar to the participants or if translation issues arose, it could have affected the
quality and understanding of the data collected.
Selection Bias: There might have been a possibility of selection bias in the research.
The MFIs included in the study may have been selected based on convenience or
accessibility, which could have resulted in a non-representative sample. This could limit the
generalizability of the findings to the entire population of MFIs in Cameroon.
External Factors: The performance of MFIs in Cameroon and their marketing

strategies may have been influenced by external factors beyond the control of the research.
Economic fluctuations, changes in government policies, or social dynamics could have
impacted the research outcomes, making it difficult to isolate the effects of marketing
strategies alone.
Limited Stakeholder Perspectives: The research might have focused primarily on the
perspectives of MFIs, potentially overlooking the viewpoints of other stakeholders such as
clients, regulators, or industry experts. Incorporating a wider range of perspectives could
provide a more comprehensive understanding of marketing strategies and their performance.
Lack of Comparative Analysis: The research may not have included a comparative
analysis of marketing strategies and their performance across different regions or countries.
Without such comparative analysis, it becomes challenging to identify the unique factors that
influence marketing strategies and performance in the context of MFIs in Cameroon.

Variation in MFI Characteristics: MFIs in Cameroon may vary in terms of their size,
organizational structure, target market, and other characteristics. The research might not have
adequately accounted for these variations, potentially overlooking important nuances that
could impact the relationship between marketing strategies and performance.
Lack of Control over External Variables: The research may have faced limitations in
controlling external variables that could influence the performance of MFIs in Cameroon.
Factors such as competition, market conditions, or technological advancements could have
impacted the effectiveness of marketing strategies, but controlling or isolating these variables
may have been challenging.
Reliance on Secondary Data: The research might have relied heavily on secondary
data sources, such as reports, publications, or existing databases. While secondary data can
provide valuable insights, it may not always capture the specific information needed or align
perfectly with the research objectives. This reliance on secondary data could have introduced
limitations in terms of data accuracy, relevance, or completeness.
Generalizability of Findings: The findings of the research may have limited

generalizability beyond the context of MFIs in Cameroon. The specific characteristics, market
conditions, and cultural factors unique to Cameroon may limit the applicability of the research
findings to other countries or regions.
Sample Size and Representativeness: The research might have encountered limitations
in terms of sample size and representativeness. If the sample size was small or not diverse
enough, it could affect the generalizability and reliability of the findings. Additionally, if the
sample of MFIs selected did not accurately represent the overall population of MFIs in
Cameroon, it could introduce bias and limit the validity of the results.
Time Constraints: Time constraints could have limited the scope and depth of the
research. Conducting a comprehensive study on marketing strategies and their performance
on MFIs in Cameroon may require substantial time and resources. Limited time could restrict
the ability to collect extensive data, conduct in-depth analysis, or explore additional research
questions.
Limited Stakeholder Involvement: The research might have faced limitations in terms
of stakeholder involvement. If key stakeholders, such as MFIs, customers, or industry experts,

were not actively involved in the research process, it could limit the understanding of their
perspectives, insights, and experiences related to marketing strategies and their performance.
GENERAL CONCLUSION
Based on the research conducted on marketing strategies and their performance on

Microfinance Institutions (MFIs) in Cameroon, the following conclusions can be drawn:
Marketing strategies play a crucial role in the success and performance of MFIs in
Cameroon. Effective marketing techniques help in raising awareness about the services
offered by MFIs and attract a larger customer base. The use of digital marketing platforms,
such as social media and online advertising, has shown significant potential in reaching a
wider audience and increasing customer engagement. MFIs should leverage these platforms to
enhance their marketing efforts. Personalized marketing approaches, such as targeted
messaging and tailored product offerings, have proven to be effective in attracting and

retaining customers. Understanding the specific needs and preferences of the target market is
essential for the success of marketing strategies.
Collaborations and partnerships with other financial institutions, community

organizations, and government agencies can enhance the marketing reach of MFIs. By joining
forces, MFIs can amplify their marketing efforts and promote financial inclusion at a larger
scale. Continuous monitoring and evaluation of marketing strategies are necessary to measure
their performance and make necessary adjustments. Regular analysis of marketing data and
customer feedback helps in identifying areas of improvement and implementing effective
marketing strategies.
In conclusion, marketing strategies play a vital role in the success and performance of
MFIs in Cameroon. By adopting innovative and targeted marketing techniques, MFIs can
attract a larger customer base, increase awareness about their services, and contribute to
financial inclusion in the country.
BIBLIOGRAPHIC REFERENCES
Abanda, F., & Ngwewondo, A. (2019). Impact of marketing strategies on the performance of
microfinance institutions in Cameroon. International Journal of Business and Management,
14(2), 1-12.
Abraham, H., & Balogun, I. (2012). Performance of microfinance institutions in Nigeria : an

appraisal of self-reporting institutions to

Abraham, H., & Balogun, I. . (2012). Performance of microfinance institutions in Nigeria : an
appraisal of self-reporting institutions to
Achampong, J. Y., & Mensah, J. K. (2018). Marketing strategies and performance of

microfinance institutions in Ghana. Journal of Business and Retail Management Research,
12(3), 85-94.
Adeusi, S. O., Akeke, N. I., Aribaba, F. O., & Adebisi, O. S. (2013). Corporate governance
and firm financial performance: Do
Adeusi, S. O., Akeke, N. I., Aribaba, F. O., & Adebisi, O. S. (2013). Corporate governance
and firm financial performance: Do
Agyapong, G. K. Q. (2015). Linking Marketing Capabilities with Firm Performance :

Evidence from Ghana ‘ s Microfinance Industry.
Alemu, M. A., & Kebede, Y. (2017). Marketing strategies and performance of microfinance
institutions in Ethiopia: Evidence from selected MFIs. Journal of Development and
Agricultural Economics, 9(3), 58-65.
Amankwah, E. A., & Agyei, S. K. (2016). Marketing strategies and performance of

microfinance institutions in Ghana. Journal of Economics and Sustainable Development,
7(20), 1-15.
Amoo, Z. ., & Kolawole, I. O. (2015). Contributions of microfinance banks to small and

medium scale entrepreneurial development in
Asare, A. O., & Essien, M. B. (2018). Marketing strategies and performance of microfinance
institutions in Ghana: A case study of selected MFIs. International Journal of Economics,
Commerce and Management, 6(5), 103-120.
Ayuk, E. T., & Ngehnefuh, R. F. (2020). Marketing strategies and performance of

microfinance institutions in Cameroon: A case study of selected MFIs. Journal of Economics
and Sustainable Development, 11(6), 54-68.

Baffour-Awuah, K., Vining, A., & Hinson, R. (2017). Marketing strategies and performance
of microfinance institutions: Evidence from Ghana. Journal of Poverty, Investment and
Development, 39, 84-96.
CGAP. (2003). Microfinance consesus guidelines. CGAP/The World Bank Group.
Congo, Y. (2002). Performance of microfinance institutions in Burkina Faso. Hels
Datta, A., & Roy, P. (2019). Impact of marketing strategies on the performance of
microfinance institutions: Evidence from India. Journal of Entrepreneurship and Innovation in
Emerging Economies, 5(1), 1-13.
Dlamini, T., & Mzimela, P. (2018). Marketing strategies and performance of microfinance
institutions in Swaziland. African Journal of Economic and Management Studies, 9(3), 320-
338.
Doyle, P. (1994). Marketing management and strategy. New York: Prentice Hall.
Drucker, P. (1977). People and performance. Routledge. Retrieved from

http://books.google.com/books?hl=en&lr=&id=i3OlqZ3UIIC&pgis=1
Dunford, C. (2000, April 1). In search of ―sound practices‖ for microfinance. Journal of
Microfinance / ESR Review. Retrieved from
Dzigbodi-Adjimah, S., & Asamoah, M. (2016). Marketing strategies and performance of

microfinance institutions in Ghana. International Journal of Economics, Commerce, and
Management, 4(1), 1-10.
Ene, E. E., & Inemesit, U. A. (2015). Impact of Microfinancein Promoting Financial Inclusion
in. Journal of Business Ethics, 3(2),
Eneanya, A., & Nwanne, T. F. (2019). Marketing strategies and performance of microfinance
institutions in Nigeria. European Journal of Business and Management, 11(25), 21-34.
Essien, M. B., & Asare, A. O. (2017). Marketing strategies and performance of microfinance
institutions in Ghana. International Journal of Economics, Commerce, and Management, 5(3),
33-49.

Fornell, C., & Bookstein, F. L. . (1982). Two structural equations models: LISREL and PLS
applied to consumer exit-voice theory.
Geleta, E. B. (2016). Microfinance and women‘s empowerment: An ethnographic inquiry.

Development in Practice, 26(1).
http://www.econstor.eu/handle/10419/52778
https://doi.org/10.15640/jmm.v3n1a9
https://ojs.lib.byu.edu/spc/index.php/ESR/article/view/1390
institutions in Ethiopia. International Journal of Economics, Commerce, and Management,

5(1), 31-44.
Jayashankar, P. (2012). Marketing Strategies in the Microfinance Sector: A Case Study on

Hand in Hand Microfinance Pvt. Ltd. IUP
Journal of Business and Enterprise Development, 5(1).
Journal of Marketing Management, 11(3), 64–78.
Journal of Marketing Research, 19, 4.
Kyei, E. (2019). Marketing strategies and performance of microfinance institutions in Ghana:

A case study of selected MFIs. Journal of Economics and Sustainable Development, 10(13),
149-160.
Mabaso, P. (2016). Marketing strategies and performance of microfinance institutions in

South Africa. Journal of Economics and Behavioral Studies, 8(1), 68-77.
Mahama, A., & Yeboah, F. K. (2018). Marketing strategies and performance of microfinance
institutions in Ghana. International Journal of Economics, Commerce, and Management, 6(2),
72-87.
Mambu, E. A., & Ngehnefuh, R. F. (2017). Marketing strategies and performance of

microfinance institutions in Cameroon: A case study of selected MFIs. Journal of Economics
and Sustainable Development, 8(19), 118-130.

Menyah, K., & Osei, K. A. (2019). Marketing strategies and performance of microfinance
institutions in Ghana. International Journal of Business and Management, 14(2), 47-57.
mix market. International Journal of Humanities and Social Science, 2(15), 32–50.
Muriithi, S. M., & Ochola, D. (2018). Marketing strategies and performance of microfinance
institutions in Kenya. International Journal of Economics, Commerce, and Management, 6(9),
102-113.
Mustafa, A., & Saat, M. (2013). Microfinance institutions performance measurement:

introducing a new performance measurement
Nash, J. C. (1993). We Eat the Mines and the Mines Eat Us: Dependency and Exploitation in
Bolivian Tin Mines. New York:
Nwankwo, C. O., & Okezie, C. O. (2020). Marketing strategies and performance of

microfinance institutions in Nigeria. International Journal of Economics, Commerce, and
Management, 8(1), 94-109.
Nyamekye, F. O., & Mensah, J. K. (2017). Marketing strategies and performance of

microfinance institutions in Ghana. Journal of Economics and Sustainable Development, 8(8),
111-123.

ANNEXES
ANNEX 1: INTERVIEW GUIDE
MINISTRY OF HIGHER REPUBLIC OF CAMEROON
EDUCATION Peace- work -fatherland
UNIVERSITY OF DOUALA
********************
ECOLE NORMALE SUPERIEURE ENSET
ENSET
D’ENSEIGNEMENT TECHNIQUE
BP 1872 Douala- Cameroon
Tel. (Fax) :( 237) 33 40 42 91 /99 95 98 53
Email: cabenset@yahoo.fr
***************
INTERVIEW GUIDE

Good morning! I am a student of ENSET Douala option Marketing, as part of the
establishment of our end-of-study project relating to obtaining the DEPET (I) at the École
Normale Supérieure de l'Enseignement Technique (ENSET) from the University of Douala,
we carried out research work on the theme: <<Marketing strategies and its performance on
microfinance institutions in Cameroon, the case of BUPCCUL>>
To this end, we kindly ask you to give us some of your time for us to carry out an interview.
We thank you in advance for your participation in this study and we guarantee the
confidentiality of the data collected in accordance with Law No. 91/023 of December 10,
1991 on the census and statistical survey of Cameroon. The information we collect will only
be processed for academic purposes.
Prepared by: KINJANG MERIT BIH
Level: MKT3
Under the direction of: And the supervision of:
Dr. ESSAMA EMMANUEL MR ELOUNDOU ROLAND

INTERVIEW PROTOCOL
Background Information:
1. Can you provide an overview of Buea Police Cooperative Credit Union Limited Yaounde
operations?....................................................................................................................................
......................................................................................................................................................
2. What are the main products and services offered by the credit
union?............................................................................................................................................
......................................................................................................................................................
......................................................................................................................................................
3. Can you describe the target market and customer demographics of the credit
union?............................................................................................................................................
......................................................................................................................................................
......................................................................................................................................................
Marketing Strategies:

4. What marketing strategies does the credit union currently employ to attract and retain
customers?.....................................................................................................................................
......................................................................................................................................................
......................................................................................................................................................
5. How does the credit union differentiate itself from competitors in the microfinance
industry?
......................................................................................................................................................
6. Can you discuss any recent marketing campaigns or initiatives that the credit union has
implemented?................................................................................................................................
.......................................................................................................................................................
Performance Evaluation:
7. How does the credit union measure the success of its marketing
strategies? .....................................................................................................................................
................. .....................................................................................................................................
................. .....................................................................................................................................
.................
8. What key performance indicators (KPIs) does the credit union use to track marketing
effectiveness? ...............................................................................................................................
....................... ...............................................................................................................................
....................... ...............................................................................................................................
.......................
9. Can you provide any specific examples of how marketing strategies have contributed to the
growth and success of the credit
union? ...........................................................................................................................................
........... ...........................................................................................................................................
........... ...........................................................................................................................................
...........
Challenges and Opportunities:
10. What are some of the main challenges that the credit union faces in implementing
effective marketing
strategies? .....................................................................................................................................
................. .....................................................................................................................................
................. .....................................................................................................................................
.................

11. Are there any emerging opportunities in the microfinance industry that the credit union is
looking to capitalize
on? ................................................................................................................................................
...... ................................................................................................................................................
...... ................................................................................................................................................
......
12. How does the credit union adapt its marketing strategies in response to changes in the
market
environment? ................................................................................................................................
...................... ................................................................................................................................
...................... ................................................................................................................................
......................
Thank you for your valuable contribution to our

research. Your input has been greatly appreciated.
Annex 2: REPORT OF THE INTERVIEW
Questions Answers
Theme 1: Background Information: BUPCCUL offer loans, savings, insurance,

and transfer services to empower the
Q1: Can you provide an overview of Buea
financially underserved.
Police Cooperative Credit Union Limited
Yaounde operations?
Q2: What are the main products and Common offerings include microloans,
services offered by the credit union? savings accounts, microinsurance, and
remittance services
Q3: Can you describe the target market and

1. They typically serve low-income
customer demographics of the credit union individuals, women, rural residents, and
small entrepreneurs.
THEME 2: Marketing Strategies: MFIs use community outreach,

partnerships, financial education programs,
and digital marketing to attract and retain
customers.
Q4: What marketing strategies does the
credit union currently employ to attract and
retain customers?
Q5: How does the credit union differentiate They often differentiate through
itself from competitors in the microfinance personalized services, lower transaction
industry? costs, and local community involvement
Q6: Can you discuss any recent marketing Recent initiatives may include digital
campaigns or initiatives that the credit union transformation for better service delivery or
has implemented? financial literacy campaigns.
THEME 3: Performance Evaluation: Success is measured by client retention

rates, loan repayment rates, and growth in
Q7: How does the credit union measure the
customer base
success of its marketing strategies?
Q8: What key performance indicators Key indicators include customer acquisition
(KPIs) does the credit union use to track cost, lifetime value of a customer, and
marketing effectiveness? number of active borrowers
Q9: Can you provide any specific examples An MFI might cite an increase in women
of how marketing strategies have borrowers after a targeted campaign as a
contributed to the growth and success of the success
credit union?
THEME 4: Challenges and Common challenges include maintaining

Opportunities: loan quality while expanding and adapting
to regulatory changes
Q10: What are some of the main challenges
that the credit union faces in implementing
effective marketing strategies?
Q11: Are there any emerging opportunities Digital banking and mobile money offer

in the microfinance industry that the credit new avenues for service delivery and market
union is looking to capitalize on? expansion
Q12: How does the credit union adapt its MFIs may adapt by incorporating
marketing strategies in response to changes technology or tailoring products to changing
in the market environment? customer needs

Updated Work Ok

Uploaded by

Copyright:

Available Formats

Updated Work Ok

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Updated Work Ok

Uploaded by

Copyright:

Available Formats

SOMMAIRES

FIRST PART: LITERATURE REVIEW...................................................................................4

CHAPTER 1: DIFFERENT MARKETING STRATEGIES OF MICROFINANCE

SECTION I: INTODUCTION TO MARKETING STRATEGIES...........................................5

SECTION II: ANALYSIS OF MARKETING STRATEGIES IN MICROFINANCE

CHAPTER II: THE RELATIONSHIP BETWEEN MARKETING STRATEGIES AND

SECTION I: THE CONCEPT OF PERFORMANCE..............................................................21

SECTION II: THE LINK BETWEEN MARKETING STRATEGY AND PERFORMANCE

SECOND PART: METHODOLOGY AND DATA ANALYSIS AND

CHAPTER 3: METHODOLOGY AND PRESENTATION OF ENTERPRISE.....................37

SECTION I: ADOPTED APPROACH....................................................................................37

SECTION II: PRESENTATION OF ENTERPRISE...............................................................43

CHAPTER 4: DATA ANALYSIS AND CONCLUSION.......................................................49

SECTION I: DATA PERESENTATION AND ANALYSIS..................................................49

[Tapez un texte] Page I

[Tapez un texte] Page II

[Tapez un texte] Page III

Our deep gratitude goes to:

[Tapez un texte] Page IV

Decree No. 042/MISERES of September 9, 1991, on the organization of teaching and

[Tapez un texte] Page V

FIRST PART: LITERATURE REVIEW...................................................................................4

CHAPTER 1: DIFFERENT MARKETING STRATEGIES OF MICROFINANCE

SECTION I: INTODUCTION TO MARKETING STRATEGIES...........................................5

I.1 TYPES AND IMPORTANCE OF MARKETING STRATEGIES.................................5

I.1.1 TYPES OF MARKETING STRATEGIES....................................................................6

I.1.2 IMPORTANCE OF MARKETING STRATEGIES....................................................10

I.2 Overview of marketing strategies in the context of microfinance institutions................11

I.2.2 Outreach and awareness strategies................................................................................12

SECTION II: ANALYSIS OF MARKETING STRATEGIES IN MICROFINANCE

II.1 ANALYSIS OF MARKETING STRATEGIES USED BY MICROFINANCE

II.1.1 MARKET RESEARCH AND SEGMENTATION....................................................14

II.1.2 PRODUCT AND SERVICE DEVELOPMENT.........................................................14

II.2 EVALUATION OF MARKETING STRATEGIES USED BY MICROFINANCE

II.2.1 MEASUREMENT AND MONITORING..................................................................16

II.2.2 FEEDBACK AND ADAPTATION............................................................................17

[Tapez un texte] Page VI

SECTION I: THE CONCEPT OF PERFORMANCE..............................................................21

I.1 Financial Performance of marketing strategies in Microfinance Institutions..................22

I.1.1 Evaluation of financial indicators of performance........................................................22

b) Portfolio Quality Assessment...........................................................................................23

I.1.2 Efficiency analysis of performance..............................................................................25

I.2 Impact evaluation of performance...................................................................................28

I.2.1 Customer satisfaction analysis......................................................................................28

I.2.2 Social impact assessment..............................................................................................29

SECTION II: THE LINK BETWEEN MARKETING STRATEGY AND PERFORMANCE

II.1 EMPERICAL LITERATURE........................................................................................31

II.1.1 Performance of Microfinance Institutions...................................................................32

II.1.2 Marketing Strategies and Organizational Performance...............................................32

II.2 CONCEPTUAL FRAMEWORK...................................................................................33

SECOND PART: METHODOLOGY AND DATA ANALYSIS AND

CHAPTER 3: METHODOLOGY AND PRESENTATION OF ENTERPRISE.....................37

SECTION I: ADOPTED APPROACH....................................................................................37

I.1 CHOICE OF RESEARCH METHOD.............................................................................38

I.1.1 Quantitative Research...................................................................................................38

I.1.2 Qualitative Research.....................................................................................................38

I.2 DATA COLLECTION....................................................................................................41

I.2.1 Probabilistic Sampling..................................................................................................42

I.2.2 Non-probabilistic Sampling..........................................................................................42