Banking Industry has to be good at developing new products. It must also manage them in the face of changing tastes, technologies, Interest rates, exchange rate and competitions. Every product seems to go through a life cycle. It must go through several phases, and eventually die as new products that better serve consumer needs came along. The product life cycle presents two major challenges, First, because all products eventually decline, the bank must find new products to replace the declining one (The problem of new product development).

Secondly, the bank must understand how its product age adapts its marketing strategies as product pass through life cycle. (the problem of product life cycle stages) Hence, it is very important to look at the problem of finding and developing new products, and them at the problem of managing them successfully over their life cycles in the banking industry and as well as its profitability.

Given  the rapid changes in consumer states, and competition, banks must develop a steady stream of new products and services. As a matter of fact, bank can obtain new products in two ways, one is through “Acquisition†that is buying a whole distress bank(s) a license to offer other bank services. And secondly through “New Product development in the banks own research and development department.

As the cost of developing and introducing major new products have claimed, many large banks limited. First bank, Union bank, and United bank for Africa, have acquired existing services rather than creating new ones like these new generation banks, i.e. Intercontinental bank, Trust bank, All State Trust bank, Ecobank, Guaranty Trust bank, Zenith Bank and of course the case study of this research project that is bank PHB Nigeria Plc. Kaduna. Though, other banks have saved money by coping competitors’ mode of services.

However, new product implies original products improvements, products (services) modification and new method of granting loans, Financing, customers advice interest rate, mode of payment etc. that the bank developed through its own research and development.

Importantly, the recent distress syndrome in compared with the global technological and, economic changes has made the Nigerian banking environment very competitive and dynamic.

The development has led to selective purchase or patronage of product and services by customers, especially those that are still skeptical about the longevity of the banks and viability of their product. In this regard, marketing as an essential elements of communication mix has becomes the sought after strategy not only to already existing clients but also to non-potential one by any enterprising bank in the country today when a promising idea come along Bank PHB Nigeria Plc a venture team made up  of the research who develop the idea and other people  from personnel, sales/marketing, legal admin and foreign department or sections will team up to natures of the products, protect and member stays with such product until its has succeeded.