Bano Bao Vizcaya Argentaria Case Study

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The challenges that Banco Bilbao Vizcaya Argentaria, S.A. (BBVA) is facing are common challenges faced by a new entrant into an established market, especially those entering a market that has recently faced a crisis of some sort. This was true for BBVA twofold; the first being the financial crisis of 2008-2010 and the second being legislation restricting ATM and overdraft fees. Inherently, consumers spend less and expect more out of the services that they receive. This phenomenon is enhanced by the presence of the web and the low cost of switching from one vendor to another. Initially, the bank was able to gain consumers through acquisitions and successfully satisfying those market needs which allowed them growth in those newly acquired …show more content…

Increasing the number of finished applications above the current rate of 50% (Gupta, Gavin, p.5). Increasing the number of approved online accounts that are actually funded within the required timeframe directly affects the banks online finished application rate. The bank should create an online and brick and mortar process that is more user-friendly and provides immediate results.
3. Analyze the most effective use of online and offline advertising. By infusing social media into the marketing process and eliminating outlets that yield low unique users, the bank can offset the cost of expensive pay for click ads and use those funds to increase the online marketing budget by 10-12%.
4. Narrow the disparity between online advertising and offline advertising. In 2010, BBVA spent 21% of its marketing budget on online advertising and the remainder on offline marketing efforts (see Table B). BBVA should increase spending by transferring dollars from the offline marketing to their online marketing efforts. While the transference of dollars from one area to another is simple, the bank must also define more specifically the ad/site networks in which they will advertise. Optimum ad/site networking can be achieved by:
a. Ranking site/ad networks by unique users

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