INNOVATION STRATEGIES AND PRODUCT PERFORMANCE OF SELECTED DEPOSIT MONEY BANKS IN NIGERIA

Abstract

Innovation plays a pivotal role in driving organisational performance and competitive advantage, particularly within the dynamic landscape of the banking sector. As such, understanding the strategic imperatives underlying innovation management is essential for enhancing product performance and sustaining long-term success. This study investigated innovation strategy and product performance in selected Nigerian banks. It specifically examined the effect of process, product, marketing, and organisational innovation among selected Nigerian banks. It is a field survey within a cross sectional time frame. The population of this study comprised 665 management and senior staff of five deposit money banks with international affiliation, namely Zenith Bank, EcoBank, Guaranty Trust Bank, United Bank for Africa, and Access Bank from which a total of 399 of these employees were conveniently selected to constitute the sample size of the study. Data were gotten from the primary source and generated through administration of 399 copies of the questionnaire, which were duly administered and returned. Data were analysed using descriptive statistics and multiple regression analysis. Outcomes of the study showed that process, product and organisational innovation have positive and significant effect on product performance of selected Nigerian banks via their respective positive coefficients 0.637, 0.197 and 0.176. The study concluded that innovation strategies via the process, product, and organisational innovation dimensions has an impact on product performance. It therefore recommended that deposit money banks should implement process, product, and organisational innovation that could increase customer satisfaction and enhance the performance of the banks.