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A SUMMER TRAINING REPORT ON

CUSTOMER SATISFACTION OF ICICI BANK

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF BACHELOR OF BUSINESS ADMINISTRATION (BBA)

TRAINING SUPERVISOR MR. RAJEEV BAHRI MANAGER MARKETING

SUBMITTED BY PRIYANKA DHAMIJA ENROLLMENT NO- 05511242137

SESSION 2005-2008

GURU JAMBHESHWAR UNIVERSITY

HISAR
ACKNOWLEDGEMENT
A research studies can’t be completed without the guidance, inspiration and cooperation from the various quarters. This study also is the imprints of many persons. I would like to express my gratitude to Mr. Rajeev Bahri Marketing ManagerICICI, for his kind mentorship and guidance in assisting me with my final project. His academic inputs provided me with insights that were invaluable for completing this project. I wish to express my deep gratitude and sincere thanks to ICICI BANK for providing me their precious time to collect various kind of information..

PRIYANKA DHAMIJA

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EXECUTIVE SUMMARY

Private banking is a concept which is new and fast emerging in the world of banking where changes have become a necessity in order for banks to survive in this competitive environment vis-à-vis not only from the public and private sector banks but also from the foreign banks. The objective of the research is to explore the various products, which a private banker deals into and the systematic process involved to match client requirements with the right kind of product.

Through this research one of the main objectives is to explore the reason why most of the banks are injecting private banking as business profile to their set of service offerings.

Though private banking evolved in late 80’s in Asia, in India its not more than 5 years old. ICICI started it in Aug 2002 and since then it has been a remarkable success. Today there are enormous solutions to cater client needs but what suits best to a client is where private banking fits in. Every client will have different needs, liking and preferences. So a customized portfolio for every client is the need of the day. This research will highlight more on the product portfolio of ICICI Private Banking, how they have changed or innovatively structured to be attractive and competitive.

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TABLE OF CONTENTS
1. INTRODUCTION ⇒ ABOUT INDUSTRY

2. RESEARCH METHODOLOGY ⇒ RESEARCH OBJECTIVES ⇒ RESEARCH DESIGN ⇒ DATA SOURCES o PRIMARY DATA o SECONDARY DATA

⇒ QUESTIONNAIRE DESIGN/ FORMULATION o SAMPLE DESIGN ⇒ LIMITATION

3. COMPANY PROFILE 4. SWOT ANALYSIS ⇒ ABOUT ICICI ⇒ MARKETING MIX (4P’S) ⇒ CUSTOMER SATISFACTION

5. COMPARITIVE ANALYSIS ⇒ DATA INTERPRETATION&ANALYSIS

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6. FINDINGS 7. RECOMMENDATION 8. CONCLUSION

9. APPENDIX ⇒ SAMPLE QUESTIONAIRE

10. BIBLIOGRAPHY

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INTRODUCTION
INTRODUCTION TO THE BANKING INDUSTRY IN INDIA
The banking section will navigate through all the aspects of the Banking System in India. It will discuss upon the matters with the birth of the banking concept in the country to new players adding their names in the industry in coming few years. The banker of all banks, Reserve Bank of India (RBI), the Indian Banks Association (IBA) and top 20 banks like IDBI, HSBC, ICICI, ABN AMRO, etc. has been well defined under three separate heads with one page dedicated to each bank. However, in the introduction part of the entire banking cosmos, the past has been well explained under three different heads namely:
• • •

History of Banking in India Nationalization of Banks in India Scheduled Commercial Banks in India

The first deals with the history part since the dawn of banking system in India. Government took major step in the 1969 to put the banking sector into systems and it nationalized 14 private banks in the mentioned year. This has been elaborated in Nationalization Banks in India. The last but not the least explains about the scheduled and unscheduled banks in India. Section 42 (6) (a) of RBI Act 1934 lays down the condition of scheduled commercial banks. The descriptions along with a list of scheduled commercial banks are given on this page.

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HISTORY OF BANKING IN INDIA
Without a sound and effective banking system in India it cannot have a healthy economy. The banking system of India should not only be hassle free but it should be able to meet new challenges posed by the technology and any other external and internal factors. For the past three decades India's banking system has several outstanding achievements to its credit. The most striking is its extensive reach. It is no longer confined to only metropolitans or cosmopolitans in India. In fact, Indian banking system has reached even to the remote corners of the country. This is one of the main reason of India's growth process. The government's regular policy for Indian bank since 1969 has paid rich dividends with the nationalization of 14 major private banks of India. Not long ago, an account holder had to wait for hours at the bank counters for getting a draft or for withdrawing his own money. Today, he has a choice. Gone are days when the most efficient bank transferred money from one branch to other in two days. Now it is simple as instant messaging or dial a pizza. Money have become the order of the day. The first bank in India, though conservative, was established in 1786. From 1786 till today, the journey of Indian Banking System can be segregated into three distinct phases. They are as mentioned below:
• •

Early phase from 1786 to 1969 of Indian Banks Nationalization of Indian Banks and up to 1991 prior to Indian banking sector Reforms.

New phase of Indian Banking System with the advent of Indian Financial & Banking Sector Reforms after 1991.

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To make this write-up more explanatory, I prefix the scenario as Phase I, Phase II and Phase III.

PHASE I
The General Bank of India was set up in the year 1786. Next came Bank of Hindustan and Bengal Bank. The East India Company established Bank of Bengal (1809), Bank of Bombay (1840) and Bank of Madras (1843) as independent units and called it Presidency Banks. These three banks were amalgamated in 1920 and Imperial Bank of India was established which started as private shareholders banks, mostly Europeans shareholders. In 1865 Allahabad Bank was established and first time exclusively by Indians, Punjab National Bank Ltd. was set up in 1894 with headquarters at Lahore. Between 1906 and 1913, Bank of India, Central Bank of India, Bank of Baroda, Canara Bank, Indian Bank, and Bank of Mysore were set up. Reserve Bank of India came in 1935. During the first phase the growth was very slow and banks also experienced periodic failures between 1913 and 1948. There were approximately 1100 banks, mostly small. To streamline the functioning and activities of commercial banks, the Government of India came up with The Banking Companies Act, 1949 which was later changed to Banking Regulation Act 1949 as per amending Act of 1965 (Act No. 23 of 1965). Reserve Bank of India was vested with extensive powers for the supervision of banking in India as the Central Banking Authority. During those days public has lesser confidence in the banks. As an aftermath deposit mobilization was slow. Abreast of it the savings bank facility provided by the Postal department was comparatively safer. Moreover, funds were largely given to traders.

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PHASE II
Government took major steps in this Indian Banking Sector Reform after independence. In 1955, it nationalized Imperial Bank of India with extensive banking facilities on a large scale specially in rural and semi-urban areas. It formed State Bank of India to act as the principal agent of RBI and to handle banking transactions of the Union and State Governments all over the country. Seven banks forming subsidiary of State Bank of India was nationalized in 1960 on 19th July, 1969, major process of nationalization was carried out. It was the effort of the then Prime Minister of India, Mrs. Indira Gandhi. 14 major commercial banks in the country was nationalized. Second phase of nationalization Indian Banking Sector Reform was carried out in 1980 with seven more banks. This step brought 80% of the banking segment in India under Government ownership. The following are the steps taken by the Government of India to Regulate Banking Institutions in the Country:
⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒

1949: Enactment of Banking Regulation Act. 1955: Nationalization of State Bank of India. 1959: Nationalization of SBI subsidiaries. 1961: Insurance cover extended to deposits. 1969: Nationalization of 14 major banks. 1971: Creation of credit guarantee corporation. 1975: Creation of regional rural banks. 1980: Nationalization of seven banks with deposits over 200 crore.

After the nationalization of banks, the branches of the public sector bank India rose to approximately 800% in deposits and advances took a huge jump by 11,000%.

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Banking in the sunshine of Government ownership gave the public implicit faith and immense confidence about the sustainability of these institutions.

PHASE III
This phase has introduced many more products and facilities in the banking sector in its reforms measure. In 1991, under the chairmanship of M Narasimham, a committee was set up by his name which worked for the liberalization of banking practices. The country is flooded with foreign banks and their ATM stations. Efforts are being put to give a satisfactory service to customers. Phone banking and net banking is introduced. The entire system became more convenient and swift. Time is given more importance than money. The financial system of India has shown a great deal of resilience. It is sheltered from any crisis triggered by any external macroeconomics shock as other East Asian Countries suffered. This is all due to a flexible exchange rate regime, the foreign reserves are high, the capital account is not yet fully convertible, and banks and their customers have limited foreign exchange exposure.

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NATIONALIZATION OF BANKS IN INDIA
The nationalization of banks in India took place in 1969 by Mrs. India Gandhi the then prime minister. It nationalized 14 banks then. These banks were mostly owned by businessmen and even managed by them.
• • • • • • • • • • • • • •

Central Bank of India Bank of Maharashtra Dena Bank Punjab National Bank Syndicate Bank Canara Bank Indian Bank Indian Overseas Bank Bank of Baroda Union Bank Allahabad Bank United Bank of India UCO Bank Bank of India

Before the steps of nationalization of Indian banks, only State Bank of India (SBI) was nationalized. It took place in July 1955 under the SBI Act of 1955. Nationalization of Seven State Banks of India (formed subsidiary) took place on 19th July, 1960. The State Bank of India is India's largest commercial bank and is ranked one of the top five banks worldwide. It serves 90 million customers through a network of 9,000

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branches and it offers -- either directly or through subsidiaries -- a wide range of banking services. The second phase of nationalization of Indian banks took place in the year 1980. Seven more banks were nationalized with deposits over 200 crores. Till this year, approximately 80% of the banking segment in India was under Government ownership. After the nationalization of banks in India, the branches of the public sector banks rose to approximately 800% in deposits and advances took a huge jump by 11,000%.
• • • •

1955 : Nationalization of State Bank of India. 1959 : Nationalization of SBI subsidiaries. 1969 : Nationalization of 14 major banks. 1980 : Nationalization of seven banks with deposits over 200 crores.

SCHEDULED COMMERCIAL BANKS IN INDIA
The commercial banking structure in India consists of:
• •

Scheduled Commercial Banks in India Unscheduled Banks in India

Scheduled Banks in India constitute those banks, which have been included in the Second Schedule of Reserve Bank of India (RBI) Act, 1934. RBI in turn includes only those banks in this schedule, which satisfy the criteria laid down, vide section 42 (6) (a) of the Act. As on 30th June, 1999, there were 300 scheduled banks in India having a total network of 64,918 branches. The scheduled commercial banks in India comprise of State bank of India and its associates (8), nationalized banks (19), foreign banks (45), private sector banks (32), co-operative banks and regional rural banks.

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"Scheduled banks in India" means the State Bank of India constituted under the State Bank of India Act, 1955 (23 of 1955), a subsidiary bank as defined in the State Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959), a corresponding new bank constituted under section 3 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 (5 of 1970), or under section 3 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 (40 of 1980), or any other bank being a bank included in the Second Schedule to the Reserve Bank of India Act, 1934 (2 of 1934), but does not include a co-operative bank". "Non-scheduled bank in India" means a banking company as defined in clause (c) of section 5 of the Banking Regulation Act, 1949 (10 of 1949), which is not a scheduled bank". The following are the Scheduled Banks in India (Public Sector):
⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒

State Bank of India State Bank of Bikaner and Jaipur State Bank of Hyderabad State Bank of Indore State Bank of Mysore State Bank of Patiala State Bank of Saurashtra State Bank of Travancore Andhra Bank Allahabad Bank Bank of Baroda Bank of India

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⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒

Bank of Maharashtra Canara Bank Central Bank of India Corporation Bank Dena Bank Indian Overseas Bank Indian Bank Oriental Bank of Commerce Punjab National Bank Punjab and Sind Bank Syndicate Bank Union Bank of India United Bank of India UCO Bank Vijaya Bank

The following are the Scheduled Banks in India (Private Sector):
⇒ ⇒ ⇒ ⇒ ⇒ ⇒

Vysya Bank Ltd UTI Bank Ltd Indusind Bank Ltd ICICI Banking Corporation Bank Ltd Global Trust Bank Ltd HDFC Bank Ltd

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⇒ ⇒ ⇒

Centurion Bank Ltd Bank of Punjab Ltd IDBI Bank Ltd

The following are the Scheduled Foreign Banks in India:
⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒

American Express Bank Ltd. ANZ Gridlays Bank Plc. Bank of America NT & SA Bank of Tokyo Ltd. Banquc Nationale de Paris Barclays Bank Plc Citi Bank N.C. Deutsche Bank A.G. Hongkong and Shanghai Banking Corporation Standard Chartered Bank. The Chase Manhattan Bank Ltd.

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BANKS IN INDIA
In India the banks are being segregated in different groups. Each group has their own benefits and limitations in operating in India. Each has their own dedicated target market. Few of them only work in rural sector while others in both rural as well as urban. Many even are only catering in cities. Some are of Indian origin and some are foreign players. All these details and many more is discussed over here. The banks and its relation with the customers, their mode of operation, the names of banks under different groups and other such useful information’s are talked about. One more section has been taken note of is the upcoming foreign banks in India. The RBI has shown certain interest to involve more of foreign banks than the existing one recently. This step has paved a way for few more foreign banks to start business in India. Major Banks in India
• • • • • • • • • • • • • • •

ABN-AMRO Bank Abu Dhabi Commercial Bank American Express Bank Andhra Bank Allahabad Bank Bank of Baroda Bank of India Bank of Maharastra Bank of Punjab Bank of Rajasthan Bank of Ceylon BNP Paribas Bank Canara Bank Catholic Syrian Bank Central Bank of India

• • • • • • • • • • • • • • •

Indian Overseas Bank IndusInd Bank ING Vysya Bank Jammu & Kashmir Bank JPMorgan Chase Bank Karnataka Bank Karur Vysya Bank Laxmi Vilas Bank Oriental Bank of Commerce Punjab National Bank Punjab & Sind Bank Scotia Bank South Indian Bank Standard Chartered Bank State Bank of India (SBI)

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• • • • • • • • • • • • • •

Centurion Bank China Trust Commercial Bank Citi Bank City Union Bank Corporation Bank Dena Bank Deutsche Bank Development Credit Bank Dhanalakshmi Bank Federal Bank HDFC Bank HSBC ICICI Bank IDBI Bank Indian Bank

• • • • • • • • • • • • • • •

State Bank of Bikaner & Jaipur State Bank of Hyderabad State Bank of Indore State Bank of Mysore State Bank of Saurastra State Bank of Travancore Syndicate Bank Taib Bank UCO Bank Union Bank of India United Bank of India United Bank Of India United Western Bank UTI Bank Vijaya Bank

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FACT FILES OF BANKS IN INDIA
The first, the oldest, the largest, the biggest, get all such types of information’s about Banking in India in this section. The first bank in India to be given an ISO Certification Canara Bank and Sind

The first bank in Northern India to get ISO 9002 certification for Punjab their selected branches Bank Punjab Bank

The first Indian bank to have been started solely with Indian capital

National

The first among the private sector banks in Kerala to become a scheduled bank in 1946 under the RBI Act India's oldest, largest and most successful commercial bank, offering the widest possible range of domestic, international and NRI products and services, through its vast network in India and overseas

South Indian Bank

State Bank of India

India's second largest private sector bank and is now the largest The Federal Bank scheduled commercial bank in India Limited

Bank which started as private shareholders banks, mostly Imperial Bank of Europeans shareholders India of India,

The first Indian bank to open a branch outside India in London in Bank

1946 and the first to open a branch in continental Europe at Paris in founded in 1906 in 1974 The oldest Public Sector Bank in India having branches all over India and serving the customers for the last 132 years Mumbai

Allahabad Bank

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The first Indian commercial bank which was wholly owned and Central managed by Indians India

Bank

of

Bank of India was founded in 1906 in Mumbai. It became the first Indian bank to open a branch outside India in London in 1946 and the first to open a branch in continental Europe at Paris in 1974.

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PUBLIC SECTOR BANKS
Among the Public Sector Banks in India, United Bank of India is one of the 14 major banks, which were nationalized on July 19, 1969. Its predecessor, in the Public Sector Banks, the United Bank of India Ltd., was formed in 1950 with the amalgamation of four banks viz. Comilla Banking Corporation Ltd. (1914), Bengal Central Bank Ltd. (1918), Comilla Union Bank Ltd. (1922) and Hooghly Bank Ltd. (1932). Oriental Bank of Commerce (OBC), Government of India Undertaking offers Domestic, NRI and Commercial banking services. OBC is implementing a GRAMEEN PROJECT in Dehradun District (UP) and Hanumangarh District (Raiasthan) disbursing small loans. This Public Sector Bank India has implemented 14 point action plan for strengthening of credit delivery to women and has designated 5 branches as specialized branches for women entrepreneurs.

The following are the list of Public Sector Banks in India
• • • • • • • • • •

Allahabad Bank Andhra Bank Bank of Baroda Bank of India Bank of Maharastra Canara Bank Central Bank of India Corporation Bank Dena Bank Indian Bank

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• • • • • • • • •

Indian Overseas Bank Oriental Bank of Commerce Punjab & Sind Bank Punjab National Bank Syndicate Bank UCO Bank Union Bank of India United Bank of India Vijaya Bank

List of State Bank of India and its subsidiary, a Public Sector Banks

State Bank of India
o o o o o o

State Bank of Bikaner & Jaipur State Bank of Hyderabad State Bank of Indore State Bank of Mysore State Bank of Saurastra State Bank of Travancore

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PRIVATE SECTOR BANKS
Private banking in India was practiced since the beginning of banking system in India. The first private bank in India to be set up in Private Sector Banks in India was IndusInd Bank. It is one of the fastest growing Bank Private Sector Banks in India. IDBI ranks the tenth largest development bank in the world as Private Banks in India and has promoted a world class institutions in India.

The first Private Bank in India to receive an in principle approval from the Reserve Bank of India was Housing Development Finance Corporation Limited, to set up a bank in the private sector banks in India as part of the RBI's liberalization of the Indian Banking Industry. It was incorporated in August 1994 as HDFC Bank Limited with registered office in Mumbai and commenced operations as Scheduled Commercial Bank in January 1995. ING Vysya, yet another Private Bank of India was incorporated in the year 1930. Bangalore has a pride of place for having the first branch inception in the year 1934. With successive years of patronage and constantly setting new standards in banking, ING Vysya Bank has many credits to its account. LIST OF PRIVATE BANKS IN INDIA
⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒

Bank of Punjab Bank of Rajasthan Catholic Syrian Bank Centurion Bank City Union Bank Dhanalakshmi Bank Development Credit Bank

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⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒ ⇒

Federal Bank HDFC Bank ICICI Bank IDBI Bank IndusInd Bank ING Vysya Bank Jammu & Kashmir Bank Karnataka Bank Karur Vysya Bank Laxmi Vilas Bank South Indian Bank United Western Bank UTI Bank

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RESEARCH OBJECTIVES

⇒ To study about ICICI as a company and a group ⇒ To study about the products and services offered by ICICI ⇒ To study the customer satisfaction in ICICI bank

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RESEARCH METHODOLOGY DATA COLLECTION TECHNIQUES
This project consists of two parts. The first part is a study of the banking industry, ICICI Bank using secondary data sources. This secondary information has been sourced from the internet and from business related magazines and newspapers. The second part of the study has been done using an exploratory research process and a structured questionnaire was developed for this purpose. For the collection of primary data this was the only method used. The reason I used this method is because a need was felt for the free influx of information about the products. Also this method allowed the use of skills gained in class.

SAMPLE DESIGN
The population considered for the purpose of the survey was people residing in Delhi and the National Capital Region (NCR).

SAMPLING TECHNIQUE USED
Since the information required was not of a very technical nature and also looking at the scope of the project and the extent of the target segment, the sampling technique employed was Convenience Sampling. I administered the questionnaires.

SAMPLE SIZE
I have restricted the sample size to 200 respondents. This was done keeping in mind the time constraints and the fact that I felt that this number would be enough to serve the information needs required to show the trends.

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COMPANY PROFILE
ICICI BANK
OVERVIEW
ICICI Bank (formerly Industrial Credit and Investment Corporation of India). ICICI Limited, was established in 1955 by the World Bank, the Government of India and the Indian Industry, for the promotion of industrial development in India by giving project and corporate finance to the industries in India. ICICI Bank has grown from a development bank to a financial conglomerate and has become one of the largest public financial institutions in India. ICICI Bank has financed all the major sectors of the economy, covering 6,848 companies and 16,851 projects. As of March 31, 2000, ICICI had disbursed a total of Rs.1,13,070 crores, since inception.

ICICI BANK FACT FILES
Total assets: Rs.146,214 crore (December 31, 2004) Network: 530 branches ATMs: Over 1,880 Abroad Subsidiaries: United Kingdom and Canada Abroad branches: Singapore and Bahrain Representative offices: United States, China, United Arab Emirates, and Bangladesh And South Africa. ICICI Bank is India's second-largest bank with total assets of about Rs. 2,513.89 bn (US$ 56.3 bn) at March 31, 2006 and profit after tax of Rs. 25.40 bn (US$ 569 mn) for the year ended March 31, 2006 (Rs. 20.05 bn (US$ 449 mn) for the year ended

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March 31, 2005). ICICI Bank has a network of about 614 branches and extension counters and over 2,200 ATMs. ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialized subsidiaries and affiliates in the areas of investment banking, life and non-life insurance, venture capital and asset management. ICICI Bank set up its international banking group in fiscal 2002 to cater to the cross border needs of clients and leverage on its domestic banking strengths to offer products internationally. ICICI Bank currently has subsidiaries in the United Kingdom, Russia and Canada, branches in Singapore, Bahrain, Hong Kong, Sri Lanka and Dubai International Finance Center and representative offices in the United States, United Arab Emirates, China, South Africa and Bangladesh. Our UK subsidiary has established a branch in Belgium. ICICI Bank is the most valuable bank in India in terms of market capitalization. ICICI Bank's equity shares are listed in India on the Bombay Stock Exchange and the National Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE). ICICI Bank has formulated a Code of Business Conduct and Ethics for its Directors and employees. At June 5, 2006, ICICI Bank, with free float market capitalization* of about Rs. 480.00 billion (US$ 10.8 billion) ranked third amongst all the companies listed on the Indian stock exchanges. ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian financial Institution, and was its wholly owned subsidiary. ICICI's shareholding in ICICI Bank was reduced to 46% through a public offering of shares in India in fiscal 1998, an equity offering in the form of ADRs listed on the NYSE in fiscal 2000, ICICI Bank's acquisition of Bank of Madura Limited in an all-stock amalgamation in fiscal 2001,

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and secondary market sales by ICICI to institutional investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at the initiative of The World Bank, the Government of India and representatives of Indian industry. The principal objective was to create a development financial institution for Providing medium-term and long-term project financing to Indian businesses. In the 1990s, ICICI transformed its business from a development financial institution offering only project finance to a diversified financial service group offering a wide variety of products and services, both directly and through a number of subsidiaries and affiliates like ICICI Bank. In 1999, ICICI become the first Indian company and the first bank or financial institution from non-Japan Asia to be listed on the NYSE. After consideration of various corporate structuring alternatives in the context of the emerging competitive scenario in the Indian banking industry, and the move towards universal banking, the managements of ICICI and ICICI Bank formed the view that the merger of ICICI with ICICI Bank would be the optimal strategic alternative for both entities, and would create the optimal legal structure for the ICICI group's universal banking strategy. The merger would enhance value for ICICI shareholders through the merged entity's access to low-cost deposits, greater opportunities for earning fee-based income and the ability to Participate in the payments system and provide transaction-banking services. The merger would enhance value for ICICI Bank shareholders through a large capital base and scale of operations, seamless access to ICICI's strong corporate relationships built up over five decades, entry into new business segments, higher market share in various business segments, particularly fee-based services, and access to the vast talent pool of ICICI and its subsidiaries. In October 2001, the Boards of Directors of ICICI and ICICI Bank approved the merger of ICICI and two of its wholly owned retail finance subsidiaries, ICICI Personal Financial Services Limited and ICICI Capital Services Limited, with ICICI Bank. The merger was approved by shareholders of ICICI and ICICI Bank in January 2002, by

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the High Court of Gujarat at Ahmedabad in March 2002, and by the High Court of Judicature at Mumbai and the Reserve Bank of India in April 2002. Consequent to the merger, the ICICI group's financing and banking Operations, both wholesale and retail, have been integrated in a single entity. *Free float holding excludes all promoter holdings, strategic investments and Cross holdings among public sector entities.

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ICICI GROUP

ICICI VENTURE
ICICI Venture is the largest and one of the most successful private equity and Venture capital management companies in India with aggregate funds under Management in excess of USD 2 billion. ICICI Venture is a subsidiary of ICICI Bank, India’s secondlargest bank with total assets of about US$ 56.3 bn (March 31, 2006) and market capitalization of about USD 10.8 bn (June 2006). Over the years, ICICI Venture has built an enviable portfolio of companies in the sectors of information technology, pharmaceuticals, biotechnology, media and retail thereby delivering value consistently to its investors.

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ICICI Venture has the distinction of managing a large number of exits in the Country. With over 100 liquidity events, the organization has reaped rich Experience and is well positioned to handle IPOs, strategic sale and/or mergers. ICICI Venture has a wide network of third party investors, which include Domestic investors such as public sector banks, financial institutions and Insurance companies. A significant portion of the fund’s corpus is also from International development financial institutions and international funds. The company has over 40 qualified professionals with experience across sectors and functions. The capabilities of the team, structure of the organization, Emphasis on value creation and performance evaluation matrices enable ICICI Venture to extract superior returns from its investments.

ICICI SECURITIES – INDIA’S LEADING INVESTMENT BANK
ICICI Securities Limited is India’s leading full service investment bank with a Dominant position in all segments of its operations - Corporate Finance, Fixed Income and Equities. It is a subsidiary of ICICI Bank, the largest private sector bank in India and operates out of Mumbai with offices in New Delhi, Chennai, Kolkata, New York, London and Singapore. Under the able leadership of Mr.S Mukherji, Managing Director and CEO, ICICI Securities continues to grow as reflected in its performance over the past couple of years. The Corporate Finance team has consistently been among the top players in M&As and fund raising from domestic and international capital markets. The Equities team is a major Indian brokerage house and its research covers over 90% of Sensex market capitalization. The bond research of the Fixed Income team is a benchmark for the industry. The eminent position of ICICI Securities is reflected in the number of awards that our teams in the Fixed Income, M&A and Equity Capital Markets win. Our Fixed Income team for the last two years (CY04 and CY05) has been adjudged as the “Best Bond

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House” in India by both Asia money and Finance Asia. The Equities team was adjudged as the ‘Best Indian Brokerage House-2003’ by Asia money. The Corporate Finance team tops the M&A/Capital markets league tables regularly. Our wholly owned subsidiary, ICICI Brokerage Services Limited (IBSL), buys and sells equities for our institutional clients. ICICI Securities has a U.S. subsidiary, ICICI Securities Inc., which is a member of the National Association of Securities Dealers, Inc. (NASD). As a result of this membership, ICICI Securities Inc. can engage in permitted activities in the U.S. securities markets. These activities include dealing in securities markets transactions in the United States and providing research and investment advice to US investors. ICICI Securities Inc. is also registered with the Financial Services Authority, UK (FSA) and the Monetary Authority of Singapore (MAS) to carry out Corporate Advisory Services

PRUDENTIAL ICICI
Prudential ICICI Asset Management Company enjoys the strong parentage of Prudential plc, one of UK's largest players in the insurance & fund management sectors and ICICI Bank, a well-known and trusted name in financial services in India. Prudential ICICI Asset Management Company, in a span of just over eight years, has forged a position of pre-eminence in the Indian Mutual Fund industry as one of the largest asset management companies in the country with assets under management of Rs. 23559.60 crores (as of March 31, 2006). The Company manages a comprehensive range of schemes to meet the varying investment needs of its investors spread across 68 cities in the country.

PRUDENTIAL LIFE INSURANCE
India's Number One private life insurer, ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank-one of India's foremost financial services companies-and Prudential plc- a leading international financial services group

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headquartered in the United Kingdom. Total capital infusion stands at Rs. 15.85 billion, with ICICI Bank holding a stake of 74% and Prudential plc holding 26%. We began our operations in December 2000 after receiving approval from Insurance Regulatory Development Authority (IRDA). Today, our nation-wide team comprises nearly 120,000 insurance advisors, 18 banc assurance partners and 200 corporate agent tie-ups. ICICI Prudential was the first life insurer in India to receive a National Insurer Financial Strength rating of AAA (Ind) from Fitch ratings. For three years in a row, ICICI Prudential has been voted as India's Most Trusted Private Life Insurer, by The Economic Times - AC Nielsen ORG Marg survey of 'Most Trusted Brands'. As we grow our distribution, product range and customer base, we continue to tirelessly uphold our commitment to deliver world-class financial solutions to customers all over India.

ICICI LOMBARD
ICICI Lombard General Insurance Company Limited is a 74:26 joint venture between ICICI Bank Limited and the US-based $ 26 billion Fairfax Financial Holdings Limited. ICICI Bank is India's second largest bank, while Fairfax Financial Holdings is a diversified financial corporate engaged in general insurance, reinsurance, insurance claims management and investment management. Lombard Canada Ltd, a group company of Fairfax Financial Holdings Limited, is one of Canada's oldest property and casualty insurers. ICICI Lombard General Insurance Company received regulatory approvals to commence general insurance business in August 2001.

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WHY ICICI LOMBARD?
 India 's number one private general insurance company

 First general insurance company in India to be ISO 9001:2000 certified

 Assigned the iAAA rating by ICRA indicating highest claims paying ability

 Simple and fast documentation

 Lightning fast claims settlement

 Instant online policy issuance

 Comprehensive product line

 Highest security level offered through 128-bit encryption in case of online data exchange

 First company to provide digitally signed documents through an online interface

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 Achieved financial breakeven in first full year of operations

 Achieved underwriting breakeven in second year of operations

 Adjudged amongst the top three in the Insurance Website of the Year category at the 9th Asia Insurance Industry Awards function held in Singapore during September, 2005

WHAT IS MARKETING?

Most people think that marketing is only about the advertising and/or personal selling of goods and services. Advertising and selling, however, are just two of the many marketing activities. In general, marketing activities are all those associated with identifying the particular wants and needs of a target market of customers, and then going about satisfying those customers better than the competitors? This involves doing market research on customers, analyzing their needs, and then making strategic decisions about product design, pricing, promotion and distribution. :"Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, services, organizations, and events to create and maintain relationships that will satisfy individual and organizational objectives." by Boone and Kurtz. Dryden Press. In popular usage, "marketing" is the promotion of products, especially advertising and branding. However, in professional usage the term has a wider meaning which recognizes that marketing is customer centered. Products are often developed to meet the desires of groups of customers or even, in some cases, for specific customers. E.

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Jerome McCarthy divided marketing into four general sets of activities. His typology has become so universally recognized that his four activity sets, the Four Ps, have passed into the language

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THE MARKETING MIX
(The 4 P's of Marketing)

Marketing decisions generally fall into the following four controllable categories:
• • • •

Product Price Place (distribution) Promotion

The marketing mix approach to marketing is a model of crafting and implementing marketing strategies. It stresses the "mixing" or blending of various factors in such a way that both organizational and consumer (target markets) objectives are attained. The model was developed by Neil Borden (Borden, N. 1964) who first started using the phrase in 1949. Borden claims the phrase came to him while reading James Culliton's description of the activities of a business executive: (An executive is) "a mixer of ingredients, who sometimes follows a recipe as he goes along, sometimes adapts a recipe to the ingredients immediately available, and sometimes experiments with or invents ingredients no one else has tried." (Culliton, J. 1948)
When blending the mix elements, marketer(s) must consider their target market. They must understand the wants and needs (see Maslow) of the market (customer) then use these mix elements in constructing (formulating) appropriate marketing strategies and plans that will satisfy these wants. The mix must also meet or exceed the objectives of the organization. As Borden put it,"When building a marketing program to fit the 37

needs of his firm, the marketing manager has to weigh the behavioral forces and then juggle marketing elements in his mix with a keen eye on the resources with which he has to work.". A separate marketing mix is usually crafted for each product offering or for each market segment, depending on the organizational structure of the firm. Borden goes on to suggest a procedure for developing a marketing mix. He claims that you need two sets of information; a list of important elements that go into the mix, and a list of forces that influence these decision variables The term "marketing mix" became popularized after Neil H. Borden published his 1964 article, The Concept of the Marketing Mix. Borden began using the term in his teaching in the late 1940's after James Culliton had described the marketing manager as a "mixer of ingredients". The ingredients in Borden's marketing mix included product planning, pricing, branding, distribution channels, personal selling, advertising, promotions, packaging, display, servicing, physical handling, and factfinding and analysis. E. Jerome McCarthy later grouped these ingredients into the four categories that today are known as the 4 P's of marketing, depicted below: These four P's are the parameters that the marketing manager can control, subject to the internal and external constraints of the marketing environment. The goal is to make decisions that center the four P's on the customers in the target market in order to create perceived value and generate a positive response.

PRODUCT
A good product makes it’s marketing by itself because it gives benefits to the customer. We differentiate product on the basis of design, features, packaging, services, warranties, return and so on. In general, differentiation is mainly related to: The design: it can be a decisive advantage but it changes with fads. For example, a fun board must offer a good and fashionable design adapted to young people.
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The packaging: It must provide a better appearance and a convenient use. In food business, products often differ only by packaging. The safety: It does not concern fun board but it matters very much for products used by kids. The "green": A friendly product to environment gets an advantage among some segments.
Therefore, term "product" refers to tangible, physical products as well as services. Here are some examples of the product decisions to be made:
• • • • • • • • •

Brand name Functionality Styling Quality Safety Packaging Repairs and Support Warranty Accessories and services

PRICE DECISIONS
Price means the pricing strategy you will use. You have already fixed, as an hypothesis a customer price fitted to your customer profile but you will have now to bargain it with the wholesalers and retailers. Pricing strategies you have to choose between three strategies:
Competitive pricing: If your product is sold at the lowest price regarding all your competitors, you are practicing competitive pricing. Sometimes, competitive pricing 39

is essential. For instance, when the products are basically the same, this strategy will usually succeed. Remember that the success of competitive pricing strategy depends on achieving high volume and low costs. If your prices are lower than your costs, you are going straight to bankruptcy! To avoid such a mistake, you have to take notice of the break-even ratio that you will find below.

Cost-plus-profit: It means that you add the profit you need to your cost. It is also called cost-orientated strategy and is mainly used by the big contractor of public works. The authority may have access to the costing data and should like to check if the profit added to the cost is not too high. In fact, this strategy is only good for a business that the customers are public collectivities or government agencies. Value pricing: It means that you base your prices on the value you deliver to customers. For example, when a new technology has a very large success, you can charge high prices to the customer. This practice is also called skimming. It is easy when you are in the introductory phase of the product life cycle. Some examples of pricing decisions to be made include:
• • • • • • • •

Pricing strategy (skim, penetration, etc.) Suggested retail price Volume discounts and wholesale pricing Cash and early payment discounts Seasonal pricing Bundling Price flexibility Price discrimination

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DISTRIBUTION (PLACE) DECISIONS
Selling to the customers: Whether you sell by yourself ( as retailer) whether you employ a sales force, you are in these cases in front of the final customer. There are not intermediaries between you and him. Unfortunately, except for the retailer business, this situation is far to be the general case. Distribution is about getting the products to the customer. Some examples of distribution decisions include:
• • • • • • •

Distribution channels Market coverage (inclusive, selective, or exclusive distribution) Specific channel members Inventory management Distribution centers Order processing Transportation

PROMOTION DECISIONS
In the context of the marketing mix, promotion represents the various aspects of marketing communication, that is, the communication of information about the product with the goal of generating a positive customer response. Marketing communication decisions include:
• • • • • •

Promotional strategy (push, pull, etc.) Advertising Personal selling & sales force Sales promotions Public relations & publicity Marketing communications budget

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Advertising, public relations and so on are included in promotion and consequently in the 4Ps. sometimes, packaging becomes a fifth P. As promotion is closely linked to the sales, I will mention here the most common features about the sale strategy. The function of promotion is to affect the customer behavior in order to close a sale. Of course, it must be consistent with the buying process described in the consumer analysis. Promotion includes mainly three topics: advertisement, public relations, and sales promotions.

ADVERTISEMENT:
It takes many forms: TV, radio, Internet, newspapers, yellow pages, and so on. You have to take notice about three important notions:
 Reach is the percentage of the target market, which is affected by your

advertisement. For example, if you advertise on radio you must know how many people belonging to your segment can be affected.
 Frequency is the number of time a person is exposed to your message.

It is said that a person must be exposed seven times to the message before to be aware of it. Reach*frequency gives the gross rating point. You have to evaluate it before any advertisement campaign.
 Message: Sometimes, it is called a creative. Anyway, the message must:

get attraction, capture interest, create desire and finally require action that is to say close the sale.

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PUBLIC RELATIONS:
Public relations are subtler and rely mainly on your own personality. For example, you can deliver public speeches on subjects such as economics, geoeconomics, futurology to several organizations (civic groups, political groups, fraternal organizations, professional associations)

SALES PROMOTION
It includes fair trades, coupons, and discounts and is linked to the sales strategy.

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SUMMARY

The four Ps, product, place, price and promotion are the elements of the marketing mix used to establish a detailed and final marketing plan. After the product which is a paramount, the place is very important because it describes how you reach the consumer and what distribution channel you are going to choose: Margins and image are quite important features in this matter. According to your product and place, the pricing strategy will have heavy consequences on the promotion campaign and on success or failure of your business as a whole.

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LIMITATIONS OF THE MARKETING MIX FRAMEWORK

The marketing mix framework was particularly useful in the early days of the marketing concept when physical products represented a larger portion of the economy. Today, with marketing more integrated into organizations and with a wider variety of products and markets, some authors have attempted to extend its usefulness by proposing a fifth P, such as packaging, people, process, etc. Today however, the marketing mix most commonly remains based on the 4 P's. Despite its limitations and perhaps because of its simplicity, the use of this framework remains strong and many marketing textbooks have been organized around it.

PRODUCT
ICICI Bank offers wide variety of Deposit Products to suit your requirements. Coupled with convenience of networked branches/ ATMs and facility of Echannels like Internet and Mobile Banking, ICICI Bank brings banking at your doorstep. Select any of our deposit products and provide your details online and our representative will contact you for Account Opening.

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SAVING ACCOUNTS

ICICI Bank offers you a power packed Savings Account with a host of convenient features and banking channels to transact through. So now you can bank at your convenience, without the stress of waiting in queues

SENIOR CITIZEN SERVICES

We understand that as you reach the age to retire, you do have certain concerns whether your hard earned money is safe and secure … whether your investments give you the kind of returns that you need. That's why we have an ideal Banking Service for those who are 60 years and above. The Senior Citizen Services from ICICI Bank has several advantages that are tailored to bring more convenience and enjoyment in your life.

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YOUNG STARS

It's really important to help children learn the value of finances and money management at an early age. Banking is a serious business, but we make banking a pleasure and at the same time children learn how to manage their personal finances.

FIXED DEPOSITS

Safety, Flexibility, Liquidity and Returns!!!! A combination of unbeatable features of the Fixed Deposit from ICICI Bank

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RECURRING DEPOSITS

When expenses are high, you may not have adequate funds to make big investments. But simply going ahead without saving for the future is not an option for you. Through ICICI Bank Recurring Deposit you can invest small amounts of money every month that ends up with a large saving on maturity. So you enjoy twin advantages- affordability and higher earnings

LOANS
ICICI Bank offers wide variety of Loans Products to suit your requirements. Coupled with convenience of networked branches/ ATMs and facility of Echannels like Internet and Mobile Banking, ICICI Bank brings banking at your doorstep. Select any of our loan product and provide your details online and our representative will contact you for getting loans

HOME LOAN

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⇒ The No. 1 Home Loans Provider in the country, ICICI Bank Home Loans offers some unbeatable benefits to its customers - Doorstep Service, Simplified Documentation and Guidance throughout the Process. It's really easy!

PERSONAL LOANS

⇒ If you're looking for a personal loan that's easy to get, your search ends here. ICICI Bank Personal Loans are easy to get and absolutely hassle free. With minimum documentation you can now secure a loan for an amount up to Rs. 15 lakhs

CAR LOANS

⇒ The NO 1 financier for car loans in the country. Network of more than 1500 channel partners in over 780 locations. Tie-ups with all leading automobile manufacturers to ensure the best deals. Flexible schemes & quick processing. Hassle-free application process on the click of a mouse.

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COMMERCIAL VEHICLE LOANS

⇒ Range of services on existing loans & extended products like funding of new vehicles, refinance on used vehicles, balance transfer on high cost loans, top up on existing loans, Extend product, working capital loans & other banking products

TWO WHEELER LOANS

⇒ Avail attractive schemes at competitive interest rates from the No 1 Financier for Two Wheeler Loans in the country. Finance facility up to 90% of the On Road Cost of the vehicle, repayable in convenient repayment options and comfortable tenors from 6 months to 36 months. Ride home on your Dream Two Wheeler with our hassle free finance.

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FARM EQUIPMENT LOANS

⇒ Preferred financier for almost all leading tractor manufacturers in the country. Flexible repayment options in tandem with the farmer's seasonal liquidity. Monthly, Quarterly and Half-yearly repayment patterns to choose from. Comfortable repayment tenures from 1 year to 9 year

CARDS
ICICI Bank offers a variety of cards to suit your different transactional needs. Our range includes Credit Cards, Debit Cards and Prepaid cards. These cards offer you convenience for your financial transactions like cash withdrawal, shopping and travel. These cards are widely accepted both in India and abroad. Read on for details and features of each.

CREDIT CARDS
ICICI Bank Credit Cards give you the facility of cash, convenience and a range of benefits, anywhere in the world. These benefits range from life time free cards, Insurance benefits, global emergency assistance service, discounts, utility payments, travel discounts and much more.

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DEBIT CARDS
The ICICI Bank Debit Card is a revolutionary form of cash that allows customers to access their bank account around the clock, around the world. The ICICI Bank Debit Card can be used for shopping at more than 100,000 merchants in India and 13 million merchants worldwide.

TRAVEL CARD
Presenting ICICI Bank Travel Card. The Hassle Free way to Travel the world. Traveling with US Dollar, Euro, Pound Sterling or Swiss Francs; Looking for security and convenience; take ICICI Bank Travel Card. Issued in duplicate. Offers the Pin based security. Has the convenience of usage of Credit or Debit card.

PRE PAID CARDS

⇒ ICICI Bank brings to you a complete bouquet of pre-paid cards providing

payment solutions at your fingertips. ICICI Bank pre-paid cards are a safe & convenient way for associate payments, disbursements, gifting & small ticket transactions. Pre-paid cards are available on a VISA platform thus providing accessibility to over one lakh merchant establishments & cash withdrawal from all VISA ATMs in India.

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INVESTMENTS

At ICICI Bank, we care about all your needs. Along with Deposit products and Loan offerings, ICICI Bank assists you to manage your finances by providing various investment options ranging from ICICI Bank Tax Saving Bonds to Equity Investments through Initial Public Offers and Investment in Pure Gold. ICICI Bank facilitates following investment products:
• • • • • • •

ICICI Bank Tax Saving Bonds Government of India Bonds Investment in Mutual Funds Initial Public Offers by Corporate Investment in "Pure Gold" Foreign Exchange Services Senior Citizens Savings Scheme, 2004

You can invest in above products through any of our branches. For select products ICICI Bank also provides the ease of investing through electronic channels like ATMs and Internet (ICICIdirect.com)

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DEMAT SERVICES

ICICI Bank Demat Services boasts of an ever-growing customer base of over 11.5 lacs account holders. In our continuous endeavor to offer best of the class services to our customers we offer the following features:
e-Instructions: You can transfer securities 24 hours a day, 7 days a week through Internet & Interactive Voice Response (IVR) at a lower cost. Now with "Speak to transfer", you can also transfer or pledge instructions through our customer care officer. Consolidation Demat Account: Dematerialize your physical shares in various holding patterns and consolidate all such scattered holdings into your primary demat account at reduced cost Digitally Signed Statement: Receive your account statement and bill by email. Corporate Benefit Tracking: Track your dividend, interest, bonus through your account statement. Mobile Request: Access your demat account by sending SMS to enquire about Holdings, Transactions, Bill & ISIN details Mobile Alerts: Receive SMS alerts for all debits/credits as well as for any request, which cannot be processed Dedicated customer care executives specially trained at our call center, to handle all your queries. Countrywide network of over 235 branches, you are never far from an ICICI Bank Demat Services outlet

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PRIVATE BANKING

The chosen few know that the secret to success in life is living it. To the fullest on your terms. Then life's luxuries follow naturally at home, at work, at play. Not as an exception, but as the rule. At ICICI Bank, we believe, it should be the same when it comes to banking. A world where talented people, synchronized processes and innovative products come together to create seamless global banking solutions. Solutions that go beyond wealth management. Solutions that are uniquely tailored to your specific needs.

PRICE
Growth due to increase in advances, net interest income The numbers Total income was Rs 6,316.19 crore in the first quarter from Rs 4,206.49 crore. The Net Interest Income (NII) of the bank increased by 52 per cent to Rs 1,475 crore from Rs 969 crore. Other income also rose to Rs 1,277.56 crore from Rs 1,090.5 crore. The net profit of ICICI Bank, the largest private sector bank in the country, increased 17 per cent to Rs 620.01 crore in the quarter ended June 30, 2006, from Rs 530.01 crore in the same quarter last fiscal. The growth in profit was mainly on account of increase in advances and the consequent rise in the net interest income. Total income was up at Rs 6,316.19 crore in the first quarter from Rs 4,206.49 crore.

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The net interest income (NII) of the bank increased by 52 per cent to Rs 1,475 crore from Rs 969 crore. Other income also rose to Rs 1,277.56 crore from Rs 1,090.5 crore. Ms Kalpana Morparia, Joint Managing Director, said the increase in NII and fee income was offset by a fall in treasury income and higher provisioning. While fee income rose by 50 per cent to Rs 985 crore from Rs 658 crore, treasury earnings fell to Rs 88 crore from Rs 183 crore. Total expenditure increased to Rs 5,084.83 crore from Rs 3,235.71 crore. Provisions and contingencies increased by 62 per cent to Rs 482.78 crore (Rs 297.88 crore). Ms Morparia said the increase in provision was purely a function of higher level of general provision after the Reserve Bank of India increased the risk weight age on standard assets. The bank's net interest margin for the quarter was 2.5 per cent, marginally down from 2.6 per cent. This was despite little or no securitisation in the first quarter, due the change in the guidelines, she said. "Repricing of loan products has helped the bank to maintain the margin. But the full effect of it will come from the second quarter," she said. ICICI Bank raised rates on retail and corporate loans and its benchmark prime-lending rate by 50 basis points in June 2006. Total advances increased by 50 per cent to Rs 1,47,184 crore (Rs 97,909 crore). Retail advances increased by 59 per cent to Rs 98,687 crore (Rs 62,063 crore). Retail assets constitute 67 per cent of advances. Total deposits increased by 61 per cent to Rs 1,83,006 crore (Rs 1,13,778 crore)

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PROMOTION
In recent times, many banks have unveiled a slew of attractive schemes, loans, special accounts and credit cards customized for women. Citibank and ICICI Bank's `Woman's Account' Women comprise an integral part of our client profile," explains Girish Kundan, Branch Manager at ICICI, Nehru Place, and New Delhi. ICICI's Women's Account allows one to deposit small sums in the form of a recurring deposit. What differentiate it from normal savings account is the value-added features. For the recurring deposit the minimum amount is Rs 500, against the normative Rs 1,000. Also, there are no tax deductions at source on the recurring deposit

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ICICI Bank ropes in Shah Rukh Khan
ICICI Bank has once again decided to resort to the celebrity endorsement route to promote its brand. Almost two-and-a-half years since superstar Amitabh Bachchan endorsed the brand, the company has signed up Shah Rukh Khan as its global ambassador. In a press release issued by the bank, Mr K.V. Kamath, Managing Director and CEO, ICICI Bank, said, "We are proud to have Shah Rukh Khan as our global brand ambassador. Having established our leadership in the retail business over the last five years, the bank is now poised to scale new heights in the global arena." Ms Lalita D. Gupte, Joint Managing Director, ICICI Bank, said, "ICICI Bank is happy to be associated with Shah Rukh Khan whose increasing global popularity brings synergy to our growing global presence". ICICI Bank has a presence in 12 countries including the UK, Canada, the US and West Asia.

ICICI Bank plans new-age ATMs for rural markets
ICICI Bank proposes to modify the technology behind ATMs that determines how the money-dispensing machine works. A project taken up in association with IIT, Chennai is looking at ways of dealing with a host of critical issues that may seem pretty run-of-the-mill in an urban neighborhood but insurmountable in a typical Indian village. Dr Nachiket Mor, Deputy MD of ICICI Bank, is working towards introducing futuristic machines as part of its plan to reach out to more customer segments, especially those in non-metros. New machines the new machines are likely to have security features not found in the ones commonly used. These may be able to recognize old, used notes as well. It is not known at this stage as to how many of such machines may be rolled out. ICICI Bank has already installed many new ATMs in the recent past as part of its programmed to provide greater off-site access to customers. The idea is to allow more people to use

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ATMs - which would eliminate their need to physically visit bank branches. "The technology we plan to use here is smarter. The plan is to overcome what is proving to be a major challenge for some of our customers," said Dr Mor.”

PLACE
MONITORING The Banking Codes and Standards Board of India whose directors include members of the Governing Council monitor the Code. The contact details are as follows: The Banking Codes and Standards Board of India Reserve Bank of India Building, C-7 , 4th floor , Bandra Kurla Complex, Mumbai-400051 Telephone: 26573716 ; Fax: 26573719 Email : ceo.bcsbi@rbi.org.in ; Website: www.bcsbi.org.in Getting Help If you have any enquiries about the Code, you should contact us at our designated telephone helpdesk or customer service number or contact the Indian Banks’ Association at the following address. Indian Banks' Association Stadium House, Block II & III Veer Nariman Road, Mumbai 400 020 Tel. No. 022-22844999 Fax: 022-22835638 Email: ibastadium@vsnl.net Website: www.iba.org.in

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Main Branches Of ICICI Bank Reach us around the clock Visit us at write to us at www.icicibank.com customer.care@icicibank.com 022-28307700 20, banjara hills p.o, hyderabad 500034, India
24 hour customer care no’s

email us at

call us at our 24hr ph no’s

fax us at

(number below)

• • • • • • • • • • • • • • • • • • • •

Ahemdabad 5530 9890 Banglore Coimbatore Chennai Cuttack 41131877 1800 345 3499 4208 8000 1800 345 3499

Chandigarh 505 5700 Delhi Mobile 9818178000 Delhi 4171 8000 Hyderabad 2312 8000 Darjeeling 1800 345 3499 Guwahati 1800 345 3499 Kochi 238 4500 Indore 402 2005 jamshedpur 1800 345 3499 Mumbai 2830 7777 Kolkata 98313 78000 lucknow 229 4577 Ranchi 1800 345 3499 Patna 1800 345 3499 pune 2610 3333 60

• • • • • • • • • • • • • • • • •

Chattisgarh 98932 08000 Siliguri 1800 345 3499 andhra pradesh 98495 78000 Haryana 98961 78000 Goa 98904 78000 98982 78000 Madhya pradesh 98932 08000 Karnataka 98455 78000 Kerala 98954 78000 Rajasthan 98292 22292 Maharashtra 98904 78000 Punjab 98155 58000 UP West 98973 08000 Tamil nadu 98944 78000 UP East 1800 345 3499 Bhibanshwar 1800 345 3499 Uttranchal 98973 08000

ICICI BANK HEAD OFFICE:
ICICI Bank 9th Floor, South Towers ICICI Towers Bandra Kurla Complex Bandra (E) Mumbai Phone : +91-022-653 7914 E-Mail: wecoveru@icici.com ; lifeline@icici.com

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SOME ABROAD BRANCHES
Bahrain Branch ICICI Bank Ltd. Manama Centre Manama Kingdom of Bahrain Tel: + 973 17 576 161 Fax: + 973 17 221 200 Bangladesh Representative Office ICICI Bank Ltd. Suite 11-01, Level 11 Unique Trade Centre, 8 Panthapath Kawran Bazar, Police Station Tejgaon, Dhaka Bangladesh Tel: + 88 02 912 4985 Canada Subsidiary ICICI Bank Canada Exchange Tower, 130 King Street West, Suite 2130 Toronto ON M5X 1B1 Canada Tel: + 1 416 360 0909 Fax: + 1 647 436 1178 China Representative Office

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ICICI Bank Ltd. 2805-2806,Bank of China Towers 200 Yincheng(M) Road Pudong Shanghai 200 120 P.R. China Tel: + 86 21 5888 2413 Fax: + 86 21 5888 2347

Dubai Representative Office
ICICI Bank Ltd. Suite No. 404, The Business Centre Building Khalid Bin Al Waleed Street Near Burjuman Dubai U.A.E. Tel: + 971 4 396 5333 Fax: + 971 4 396 6994

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CUSTOMER SATISFACTION
Customer satisfaction is equivalent to making sure that product and service performance meets customer expectations. It is the perception of the customer that the outcome of a business transaction is equal to or greater than his/her expectation. Customer satisfaction occurs when the acquisition of products and /or services provides a minimum negative departure from expectations when compared with other acquisitions and when the marginal utility of a transaction is equal to or greater than preceding acquisitions. Customer satisfaction occurs when the perception of the reward from the purchase of goods or services by the customer meets or exceeds his/her perceived sacrifice. The perception is a consequence of matching past purchase and consumption experience with the current purchase.

CUSTOMER SERVICE AND SATISFACTION
We must cultivate our garden. –Voltair When we talk about customer service and/or satisfaction, we talk about creativity. Creativity allows us to handle or diffuse problems at hand or later on rather in the process of conducting the everyday business. We talk about how, or what, does the organization have to do to gain not only the sale but also the loyalty of the customer. We want to know the payoff of the transaction both in the short and long term. We want to know what our customers Want? We want to know if our customers are satisfied? Satisfaction, Of course, means that what we delivered to a customer met the customer’s Approval. We want to know if customers are delighted and willing to come Back, and so on. Fleiss 2 and Feldman 3 present examples of that delightfulness in their writings. Fleiss has written about Ben and Jerry’s ice cream and Feldman has discussed excellence in a cab ride. As important as delightfulness is, some of us minimize it, or even totally disregard it. At this point, we fail. Some of the issues that will guarantee failure in sales, satisfaction, and loyalty are:

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• Employees must adhere to a rigid chain of command • Employees are closely supervised • Conflict—in whatever form—is not allowed • Rewards are based on carrot-and-stick principles • Wrong objectives are measure. We must understand customer expectation levels concerning quality. We must also understand the strategy for customer service quality, and next we must understand the measurement and feedback cycles of Customer satisfaction. The customer is the person or unit receiving the output of a process on the system. In fact, it is worth emphasizing that a customer can be the immediate, intermediate, or ultimate customer. Also, a customer may be a person or persons, or a process or processes. Customer satisfaction, however, is when the customer is satisfied with a product/service that meets the customer’s needs, wants, and expectations. There are at least three levels of customer expectations about quality: Level 1. Expectations are very simple and take the form of assumptions, must have, or take it for granted. For example, I expect the airline to be able to take off, fly to my destination, and land safely. I expect to get the correct blood for my blood transfusion and I expect the bank to deposit my money to my account and to keep a correct tally for me. Level 2. Expectations are a step higher than that of level 1 and they require some form of satisfaction through meeting the requirements and/or specifications. For example, I expect to be treated courteously by all airline personnel. I went to the hospital expecting to have my hernia repaired, to be in some pain after it was done, to be out on the same day, and to receive a correct bill. And I went to the bank expecting the bank teller to be friendly, informative, and helpful with my transactions. Level 3. Expectations are much higher than for levels 1 and 2. Level 3 requires some kind of delightfulness or a service that is so good that it attracts me to it. For example, an airline gives passengers traveling coach class the same superior food service that other airlines provide only for first-class passengers. In fact, I once took a flight where

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the flight attendants actually baked cookies for us right there on the plane. When I went to the hospital, I expected staff to treat me with respect and they carefully explained things to me. But I was surprised when they called me at home the next day to find out how I was doing. And at my house closing, the bank officer, representing the bank holding my mortgage, not only treated me with respect and answered all my questions about my new mortgage, but just before we shook hands to close the deal, he gave me a housewarming gift.

CUSTOMER SATISFACTION SURVEYS HELP TO:
Improve customer, client, or employee loyalty. React quickly to changes in the market. Identify and capitalize on opportunities. Beat the competition. Retain or gain market share. Increase revenue. 1. Reduce costs.

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COMPANY’S EFFORT TO ENSURE SATISFACTION OF CUSTOMERS
OBJECTIVES OF ICICI
 Promote good and fair banking practices by setting minimum standards in dealing with you  Increase transparency so that you can have a better understanding of what you can reasonably expect of the services;  Encourage market forces, through competition, to achieve higher operating standards;  Promote a fair and cordial relationship between you and your bank;  Foster confidence in the banking system

To Help You To Understand How Our Financial Products And Services Work By:
a. Giving you information about them in any one or more of the following languages:

Hindi, English or the appropriate local language.
b. Ensuring that our advertising and promotional literature is clear and not misleading c. Ensuring that you are given clear information about our products and services, the

terms and conditions and the interest rates/service charges, which apply to them.
d. Giving you information on what are the benefits to you, how you can avail of the

benefits, what are their financial implications and whom you can contact for addressing you queries and how.

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To Help You Use Your Account Or Service By:
a. Providing you regular appropriate updates. b. Keeping you informed about changes in the interest rates, charges or terms and

conditions.

INFORMATION
You can get information on interest rates, common fees and charges through any one of the following: a. Looking at the notices in our branches ; b. Phoning our branches or help-lines; c. Looking on our website; d. Asking our designated staff/help desk ;or e. Referring to the service guide/Tariff Schedule. Before You Become a Customer we will:  give you clear information explaining the key features of the services and products you tell us you are interested in;  give you information on any type of products and services which we offer and that may suit your needs;  tell you if we offer products and services in more than one way [for example, through  ATMs, on the Internet, over the phone, in branches and so on] and tell you how to find out more about them;  tell you what information we need from you to prove your identity and address, for us to comply with legal, regulatory and internal policy requirements.

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Advertising, Marketing and Sales  We will make sure that all advertising and promotional material is clear, and not misleading.  In any advertising in any media and promotional literature that draws attention to banking service or product and includes a reference to an interest rate, we will also indicate whether other fees and charges will apply and that full details of the relevant terms and conditions are available on request.  If we avail of the services of third parties for providing support services, we will require that such third parties handle your personal information (if any available to such third parties) with the same degree of confidentiality and security as we would.  We may, from time to time, communicate to you various features of our products availed by you. Information about our other products or promotional offers in respect of our products/services, will be conveyed to you only if you have given your consent to receive such information/ service either by mail or by registering for the same on our website or on our phone banking/customer service number.  We have prescribed a code of conduct for our Direct Selling Agencies (DSAs) whose services we may avail to market our products/ services which amongst other matters requires them to identify themselves when they approach you for selling our products personally or through phone.  In the event of receipt of any complaint from you that our

representative/courier or DSA has engaged in any improper conduct or acted in violation of this Code, we shall take appropriate steps to investigate and to handle the complaint and to make good the loss.

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Privacy and Confidentiality We will treat all your personal information as private and confidential [even when you are no longer a customer], and shall be guided by the following principles and policies

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COMPARISON OF ICICI WITH SBI
ICICI bank is the largest private sector bank in India and the second largest commercial bank in India. It has branches all over India and even in smaller towns in South India after the takeover of Bank of Madurai . The bank also has foreign subsidiaries like ICICI bank, Canada in Canada, Britain and Russia ,representative offices in USA, China, UAE, Bangladesh, South Africa and branches in Bahrain, Singapore . ⇒ It offers a platform for online share trading through ICICI Direct and insurance services - ICICI Prudential. NRI services include money transfer through Money2India, which offer better foreign exchange rates for lower amounts compared to other services. ⇒ Like most private sector banks, all ICICI bank branches in India are networked. You can access your account from any ICICI bank branch in India. Anyone can also deposit cash/local cheque in your account at any branch of ICICI bank.

⇒ Also they have very convenient bank timings and are open for 12 hours from 8.00 a.m to 8 p.m from Monday to Saturday. When you deposit a cheque at their branch, they will readily give you a stamped acknowledgement for deposit. You can only deposit cash in your own account at the ATM, for depositing cash into a third party account, you have to visit the branch. You have to select the deposit cash option, you will get an envelope for depositing cash, which you can then fill in the details and deposit it back. At locations where ICICI bank does not have a branch, the queue at the ATMs are very long. Just after office hours , between 6 pm - 7.30 pm , customers sometimes have to wait for 15-20 minutes on some days, to access the ATM. Since ICICI bank was established after 1991 it offers online banking where you can check the balance in your account any time. The interface for savings accounts is much better and user friendly compared to that for their roaming current account • However, unlike other banks like HDFC bank, their online bank statement does not indicate the branch at which the amount is deposited. The information is available in the email statement sent to you the next day. You 71

have to contact phone banking , enter CRN and TPIN, during working hours to get this information. Very often, the system is slow, so you have to hold on for 10 minutes. • For savings account, up to 3 cash deposits per quarter (3 months) at the non base branch can be made at no cost. For additional cash deposits, the bank charges the recipient Rs 100 (+ service tax) per deposit, irrespective of the amount deposited. When the bank implemented this change, the ICICI bank customers were not informed about the revision in the charges. For outstation cheques, ICICI bank charges a minimum of Rs 30 (+ service tax) for savings accounts . This is very inconvenient for account holders in small towns, who receive the dividend warrant payable in major cities only. These warrants can be for small amounts like Rs 20. For salary accounts, the minimum AQB required is zero and you retain the account even after you leave the job. If your AQB is more than Rs 100000, you get a free at par chequebook. For an AQB of more than Rs 500000 (fixed deposit + savings account balance), you are eligible for private banking services. For non maintenance of average quarterly balance, not only do they deduct Rs 750 from your balance, they also deduct an additional service tax. Many of the ICICI bank customers are salary account holders, who are forced by their employers to open an account with ICICI bank to receive their salary. The account is opened at a branch which is convenient for the employer, but extremely inconvenient for the employee. If want any clarification or information, their customer support (through phone banking or email) will instruct you visit the nearest branch - where the concerned person may or may not be available. For savings account customers if you send an email asking for clarifications, it is usually answered after a week.

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⇒ They have discontinued the auto sweep-in facility (earlier called Quantum Optima ) , where the amount in savings account was automatically converted into a fixed deposit, if it exceeded Rs 15000. With the decline in interest rates for loans, providing this facility is no longer profitable for the bank. You now have to give an application at the branch if you wish to continue with this facility now. The form for making the application was sent along with the monthly bank statement. You can alternately open a recurring deposit, where a fixed amount is added to your fixed deposit every month. Making a new Fixed Deposit with ICICI bank for current accounts is extremely time consuming , especially when compared to HDFC bank. They will insist that you withdraw cash from your account for making the FD. Since withdrawals of amounts more than Rs 25000 are subject to cash withdrawal tax, for larger amounts , you will have to split the fixed deposit and visit the branch on 2 different days. ICICI bank is probably the only bank in India where they will not accept a ICICI bank cheque for making a fixed deposit. We had given a cheque with the fixed deposit form , but the bank officer insisted that we pay cash. She said she would fill the form for us, but she did not select the options which were initially indicated, causing further problems for us.

(SBI) IS THE LARGEST PUBLIC SECTOR BANK IN INDIA
SBI has branches and ATMs all over India , details of which are available at their website. State Bank of Hyderabad, State Bank of Patiala, State Bank of Saurashtra, State Bank of Bikaner and Jaipur ,State Bank of Indore, State Bank of Mysore and State Bank of Travancore are the seven subsidary banks of SBI. As of March 2006, SBI holding in these banks varies from 74% to 100% , but is likely to decrease in future. SBI has one of the largest network of ATMs in the Asia Pacific region. Many branches of State Bank of India are computerised. In places where the Reserve Bank of India, (RBI) the central bank of India does have an office, SBI carries out many of its functions. SBI timings vary according to location, for example the Powai, Mumbai branch of State Bank of India is open between 10.15 am to 2pm (Monday-Friday

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⇒ You can open a public provident fund (PPF) account at any State Bank of India branch. PPF accounts are one of the few savings instruments which offer a high tax free interest rate of 8% per year. All deposits made on or before 5th of a month earn interest for the entire month. If you deposit a cheque in your PPF account on the 5th of the month, you will get interest for the month, though your account may be debited at a later date. The interest is credited to the account at the end of the accounting year in India. ⇒ If you know an agent who is registered with that particular branch of State Bank , he will pay you back, a part of the commission he receives from the bank. So you can get back 0.5% - 0.6% of the amount deposited immediately by cash. Usually larger the amount, the higher the commission paid back by the agent (it is negotiable) . The pay-in slip for PPF has 3 sections - depositors copy, agents copy and bank copy. The agents copy has to be given to the agent and he will give part of the commission. Earlier financial services firm like Bluechip in Mumbai, would also give a commission of 0.25% , but they have stopped in the last 2 years. ⇒ The minimum amount that can be invested in one year is Rs 500 and maximum amount is Rs 70000. This investment has a lock in period of 15 years. No withdrawals are allow till 6 years after account opening and one withdrawal is allowed per year there after. It offers rebate under section 80C and the interest is tax free under section 10C. ⇒ For cash withdrawals, you can either use a withdrawal slip or cheque. If an account is inactive for a long time, State Bank of India does not charge any fee for reactivation. However, they have a verification process, which may take a long time. Payment of income tax , advance tax , sales tax can be done at SBI branches. Foreign currency drafts can also be obtained at the branches. Since SBI offers a variety of banking services, their branches are usually very crowded. ⇒ State Bank of India has increase home loan interest rates by 25-75 basis points. Also no fixed rate loans will be available for periods more than 10 years. These changes have come into effect from March 1, 2006. ⇒ SBI Railway Visa Card allows booking of railway tickets online at the Indian Railways website at zero transaction charges. Users of this credit card can get 74

back up to 10% of ticket fare as railway points. These points can be redeemed later, like frequent flyer miles offered by airlines. State Bank of India is the largest issuer of debit cards (Maestro) in India ⇒ State Bank customers who have to wait a long time to process a bank transaction can register their complaint through a touch screen device for customer feedback service at the branch. The information is recorded and processed in the central server. As of March 2006, it is implemented in 10 branches of SBI in Mumbai.When SBI employees go on strike, the Reserve Bank of India takes over all clearing operations. However, banking operations are affected since SBI has nearly 30% of the total customers of banks in India. Cheques/DD drawn on SBI were not cleared due to the strike. All government taxes like income tax, sales tax, service tax can be paid at any branch of SBI. ⇒ State Bank of India has 52 foreign offices in 34 countries including Australia, UK, USA, Canada, Bahrain, Nigeria, Bangladesh, Nepal, Bhutan Sri Lanka. These are useful for foreign trade transactions like opening of Letter of Credit

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STATE BANK OF INDIA
Contact Information State Bank of India Madame Cama Road Mumbai 400 021, India Tel. +91-22-20-22-426 Fax +91-22-28-52-708 Type: Public On the web: http://www.statebankofindia.com Employees: 205,515 Employee growth: (0.7%) State Bank of India is the nation's largest bank. Tracing its roots back some 200 years to the British East India Company (and initially established as the Bank of Calcutta in 1806), the bank operates more than 13,500 branches and over 5,000 ATMs within India, where it also owns majority stakes in seven associate banks. State Bank of India has more than 50 offices in nearly 35 other countries, including multiple locations in the US (California), Canada, and Nigeria. The bank has other units devoted to capital markets, fund management, factoring and commercial services, and brokerage services. The Reserve Bank of India owns about 60% of State Bank of India. Key numbers for fiscal year ending March, 2005: Sale: $12,456.0 One year growth: 11.6% Net income: $1,301.4 Income growth: 3.8% Officers: Chairman: Arun Kumar Purwar Managing Director and Group Executive (Corporate Banking): Tara Shankar (T.S.) Bhattacharya Deputy Managing Director and Chief Development Officer: Abhijit Datta

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STATE BANK OF INDIA

State Bank of India

Type: Founded:

Public (BSE, NSE:SBI) & (LSE: SBID) Calcutta, 1806 (as Bank of Calcutta) Corporate Centre, Cama Road,

Headquarters: Madam Mumbai 400 021 India

Chairman [Om Prakash Bhatt] industry = Banking Key people: Insurance Capital Markets and allied industries Products: Revenue: Website: Loans, Credit Cards, Savings, Investment vehicles, SBI Life (Insurance) etc. USD 13.775 billion (2005) www.statebankofindia.com

State Bank of India (SBI) (LSE: SBID) is the largest bank in India. It is also, measured by the number of branch offices and employees, the largest bank in the world. Established in 1806 as Bank of Bengal, it remains the oldest commercial bank in the Indian Subcontinent and also the most successful one providing various domestic, international and NRI products and services, through its vast network in India and overseas. With an asset base of $126 billion and its reach, it is a regional banking behemoth. The bank was nationalised in 1955 with the Reserve Bank of India having a 60% stake. It has laid emphasis on reducing the huge manpower through Golden handshake schemes and computerizing its operations 77

ROOTS
The roots to the State Bank of India are traceable to the first decade of 19th century, when the Bank of Calcutta, later renamed as the Bank of Bengal, was established on 2 June 1806. The Bank of Bengal and two other Presidency banks, namely, the Bank of Bombay (incorporated on 15 April 1840) and the Bank of Madras (incorporated on 1 July 1843) were amalgamated on 27 January 1921, and the reorganized banking entity was named the Imperial Bank of India. All these Presidency banks were incorporated as joint stock companies, and were the result of the royal charters. The Imperial Bank of India continued to remain a joint stock company. Until the establishment of a central bank in India the Imperial Bank and its early predecessors served as the nation's central bank printing currency. The Reserve Bank of India, which is the central banking organization of India, in the year 1955, acquired a controlling interest in the Imperial Bank of India and the Imperial Bank of India was christened on 30 April 1955 as the State Bank of India. This acquisition of the controlling interest was done pursuant to the provisions of the State Bank of India Act 1955, an Act enacted by the Parliament of India.

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TIMELINES

Offices of the Bank of Bengal
• • • • • •

June 2, 1806: The Bank of Calcutta established. January 2, 1809: redesignated as Bank of Bengal. April 15, 1840: Bank of Bombay established. July 1, 1843: Bank of Madras established. 1861: Paper Currency Act passed. January 27, 1921: all three banks amalgamated to form Imperial Bank of India.

July 1, 1955: State Bank of India formed; becomes the first Indian bank to be nationalised.

1959: State Bank of India (Subsidiary Banks) Act passed, enabling the State Bank of India to take over eight former State-associated banks as its subsidiaries.

Associate banks
There are seven other associate banks that fall under SBI. They all use the "State Bank of" name followed by the regional headquarters' name. These were originally banks belonging to princely states and were nationalised in 1959. In tune with the first Five Year Plan, emphasizing the development of rural India, these banks were integrated with the State Bank of India, to expand its rural outreach. The State Bank group refers to the seven associates and the parent bank. All the banks use the same logo of a blue keyhole. There has been a proposal to merge all the associate banks into SBI to create a "mega bank" and streamline operations.

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• • • • • • •

State Bank of Indore State Bank of Bikaner & Jaipur State Bank of Saurashtra State Bank of Hyderabad State Bank of Mysore State Bank of Patiala State Bank of Travancore

GROWTH
State Bank of India has often acted as guarantor to the Indian Government, most notably during Chandra Shekhar's tenure as Prime Minister of India. With more than 9400 branches and a further 4000+ associate bank branches, the SBI has extensive coverage. State Bank of India has electronically networked most of its metropolitan, urban and semi-urban branches under Core Banking System(CBS). The bank has one of the largest ATM networks in the region. The State Bank of India has had steady growth over its history, though it was marred by the Harshad Mehta scam in 1992. In recent years, the bank has sought to expand its overseas operations by buying foreign banks. It is the only Indian bank to feature in the top 100 world banks in the Fortune Global 500 rating and various other rankings. According to the Forbes 2000 listing it tops all Indian companies.

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GROUP COMPANIES
⇒ ⇒ ⇒ ⇒ ⇒ ⇒

SBI Capital Markets Ltd SBI Mutual Fund (A Trust) SBI Factors and Commercial Services Ltd SBI DFHI Ltd SBI Cards and Payment Services Pvt Ltd SBI Life Insurance Co. Ltd - Bancassurance (Life Insurance)

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DATA ANALYSIS
AGE GROUP

AGE GROUP

D, 9% C, 19% A, 47%

A B C D

B, 25%

⇒ IMPLICATION: If we closely look at the pie-chart, we can say that the people between the age group of 25 to 55 are the main customer of the bank, which contributes almost 75% of the bank’s customers. But the old age and the young people have been less attractive on this leading product of ICICI Bank, which is a matter of concern. So more focus should be given to them as they have the huge

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OCCUPATION
OTHERS 10% STUDENT 7% BUSINES S 32%
POTENTIAL. OCCUPATION
⇒ IMPLICATIONS: This pie chart clearly shows that service holder and the business people are the main customer of the bank. Reason for this could be as per interviewed was working hour and anywhere banking which suits them. 8 to 8 banking give them the freedom to do banking work after the office. Student’s contribution is less as student account is not available in Patna and 5000 as minimum balance is not possible for them. Other section should be increased by creating awareness about the banking products

SERVICE SERVICE 51% BUSINESS STUDENT OTHERS

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ANNUAL INCOME

ANNUAL INCOME
MORE THAN 4 LAKHS, 33% LESS THAN 1 LAKH, 8% 1-2 LAKH, 22% 3-4 LAKH, 37% LESS THAN 1 LAKH 1-2 LAKH 3-4 LAKH MORE THAN 4 LAKHS

⇒ IMPLICATIONS: Higher income or we can say that more than 34 LAKHS earning people are contributing 70% of the transactions. But it is advisable to penetrate more in the lower income group not only in terms of accounts but also in other banking products because they contribute a major part of the society. Target should be on that every section of the society should open saving account or other account in ICICI Bank.

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DO YOU EXPECT FROM A BANK WHILE OPENING AN ACCOUNT

FEATURES / ATTRIBUTES
VARIETY OF PRODUCTS, 6% LESS FORMALITIE S, 8% WORKING HOUR, 28% QUICK SERVICE , 44% QUICK SERVICE PROPER INFO WORKING HOUR LESS FORMALITIES VARIETY OF PRODUCTS

PROPER INFO, 14%

IMPLICATIONS:

When a customer visits a bank the first and

foremost thing he looks, that how quickly he is served, how his problem is entertained by the bank employee and what is the working hour of the bank. That’s why these three things contribute the maximum of this pie – chart. Less formalities and variety of products although contributes less but it has a major impact on the customer. So bank should follow on these things also. Service sector like banking, preference should be given to make.

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WHICH OF THE FOLLOWING ATTRIBUTES COMPELLED YOU MOST TO OPEN SAVING ACCOUNT IN ICICI BANK

SAVINGS A/C ATTRIBUTES
PHONE / INTERNET BANKING, 10% CHEQUE BOOK, 16% VALUE ADDED S. A/C, 48% ATM CUM DEBIT CARD ATM CUM DEBIT CARD, 26% VALUE ADDED S. A/C CHEQUE BOOK

PHONE / INTERNET BANKING

⇒ IMPLICATIONS: As we found in our finding that majority of the people like the saving account, this chart reveals that what are the factor and their contribution making their product really leading product of ICICI Bank. VALUE ADDED SAVING ACCOUNT is undoable a unique sub product of

ICICI Bank. Since it has the appeal catch maximum customer as it provides
the facility of FIXED deposit in saving account ATM cum debit card is also a major attributes as it made the banking easy. Personalized chequebook is also a major attraction in this section. As far as other factors are concern they are showing less appearance in this chart.

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WHAT TYPE OF ACCOUNT DO YOU HAVE IN ICICI BANK?

ACCOUNT TYPE
OTHER 5% NRI 8% FIXED 15% CURRENT 18% SAVING 54% SAVING CURRENT FIXED NRI OTHER

⇒ IMPLICATIONS: Saving account is the leading and attractive product for the ICICI Bank as it has occupied a major chunk in this chart. This number and percentage clearly shows that this product has all the quality to give the customer best services and ability to satisfy them. On the second and third position current and fixed deposit has also been helpful to increase the customer base but still their performance needs to be improved. As far as NRI and other accounts are concerned they have less appearance. So majority of the business is moving around few leading products. Reason could be either people are not aware about the various products of the bank or bank has limited range of products. So bank must ascertain that where things are going wrong and for that what sort of necessary step could be taken.

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WHICH FACTOR AMONG THE FOLLOWING INFLUENCED YOU MOST TO OPEN AN ACCOUNT IN ICICI BANK?

IN FLU E N C E D FAC TO R
PROSPECT US 11% BANK E M P LO YE E 12% A D V E R T IS E MENT 33% F R IE N D S / R E LA T IV E 44% F R IE N D S / R E LA T IV E A D V E R T IS E M E N T B A N K E M P LO Y E E PROSPECTUS

⇒ IMPLICATIONS: It has been said a satisfied customer is the best medium for an advertisement since in this chart friend / relative have played a key role in opening the accounts of others. Which implies that bank’s real customers are satisfied enough with facilities available on the products and services enjoyed by them. On the other hand advertisement also plays a vital role in influencing the customer. As their behavior not only please the customer but also attract the customer. Well maintained prospectus is also a major attributes of attracting the customer. Main focus of the bank should be no satisfaction of customer.

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IN COMPARISION TO OTHER BANKS HOW WOULD YOU RATE ICICI BANK?

CO PA M RISO N
CN SY A 'T A 7% P O O R 5% AE A E VRG 14% G O O D 47% E C LLE X E N T 27% E C LL N X E E T G O O D AE A E VRG P O O R CN SY A 'T A

⇒ IMPLICATIONS: Comparison with other banks depends on its overall performance in the eyes of the people. In this chart it is clearly showing that 74% of the people are satisfied with ICICI Bank. In a short span of time of its existence in this city with strong competition from major public sector bank like SBI and other private players bank has done well it has occupied a different position in the people’s mind.

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WOULD YOU RECOMMEND ICICI BANK TO OTHERS?

R EC OMMAN D ATION
NO 5% YES NO YES 95%
⇒ IMPLICATIONS: As per the chart we show that 5% of the people don’t want to recommend ICICI Bank to others. Bank must find the reason of their dissatisfaction because in this competitive world we have to achieve this target.

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RECOMMENDATIONS
Since the customer and his needs remain in focus in banking, it would be appropriate to have a view of the customers banking needs which include financial security, convenience, quick service, personalized service, investment counseling, return of investment, support by way of credit prestige, wide range of service, etc. and to be the best on these aspects ICICI Bank has and is trying it’s best, and has been successful too, but still there is some scope for improvement, which I observed during my training in this bank.

CUSTOMIZED SERVICE
Nowadays, customers are more service driven than product – driven and are not homogeneous in their behavioral pattern, attitude, needs and expectations. Therefore, a through understanding of the customer is a pre requisite to offer him satisfaction through providing services. ICICI Bank should also focus on to have the provision to make some changes in it’s core products on the basis of region, purchasing power of the people etc. because customers want that their special case must be considered, for that branches need to be empowered. In other word it can be said bank should alter it’s existing service to satisfy the customer needs, as and when it is needed in special cases. Bank should begin a clear understanding of the entire customer base in particular, of those customers are the most profitable.

SINCERE PRICING OF THE CORE PRODUCT
Pricing is in fact a very critical and sensitive issue while launching any product or inducing more features in existing product in such a highly competitive market of banking before the management of any bank. Because, price driven competition is one of the significant emerging trend in bank marketing. ICICI Bank should also be very careful while reconsidering the price of any core and leading product by closing understanding the behaviour up to what extent customers are in the position to tolerate it, since customer’s price sensitivity is not same across product categories. Price of any product is kept same across the country but for the some places is always not 91

correct, like New Delhi where delta increase in the price of any product matters for the customers. As it has been seen in the case of increase in charges of QAB of savings account that resulted in many closures of the account. The reaction of this increment in the charges from the customer was aggressive. So bank must price any product by keeping the view of region factor too-where people needs, attitude and purchasing power must be closely understood by the management of the bank. For this, branches also needs to be empowered to the some extent-where they can make necessary changes in the price of some selected core products, as they have better understanding of the behaviour of their customers than the policy makers of the bank. There should be effective publicity of new products of new products and relaunching of existing one too. Monitoring and customer feedback of all the new and old products should be one regular basis.

CUSTOMER AWARENESS
Bank should provide effective publicity of new product launched and educate the customer to go in for these products by highlighting the advantages of the products. Because if bank’s aim is to provide service matching the best in the banking industry so that it can get the most effective publicity, especially through word of mouth for this at the same it is inevitable to educate the customer about bank’s product and facilities available on it. As the products and services of the ICICI Bank are almost technology oriented where most advanced softwares are used and most of the banking work are executed on computer through Internet. In such situation where more technicalities is involved in both products and services there is a need to educate the customers so that they can easily use and avail all the facilities available on all the product. During my training, I observed that many customers, not to ask about Internet banking, Phone Banking even don’t know how to use ATM, which is really a area of concern. Customers do not know the complete rules and regulations and procedures of banks and bankers preserve them for themselves and do not take interest in educating the customers because if you are giving a product in the hands of the customers keeping the view to serve them better, it is equally important to aware not only about the facilities that are available on any product but also how to use them. Until and unless this thing is practices as a campaign, it would be difficult to

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retain existing customers as it is said retaining the existing customers is less expensive than creating new one. For this bank need to educate the customer from the grass root of banking.

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CONCLUSION
“More than a bank you need a trusted partner”- is the core principle on which Private Banking at ICICI Bank is structured. Though products have been added and modified in the past but the motto has not changed which is to grow and develop relationship with top end client age and generate returns for the bank. Private banking at ICICI Bank has been a great success lately thanks to their expertise in financial advisory, skilled team of Relationship Managers and being proactive in approach right from the beginning. The analysis of the research shows that around two-third of their client age are banking with them from more than two years which is commendable in terms of client retention. Also for nearly all of their clients ICICI Private banking is the only solution provider. From a high net worth individual aspect the private banking is truly a brilliant experience to be recognized and treated as a priority customer. Relationship Manager’s need to be more proactive in approach and concentration should be on enlarging the customer base of HNI clients and also stress should be given on client retention techniques. To sum up ICICI is going great guns with its Private Banking division but this business model is still at its growing stage of life cycle in India and there is still a lot more to be achieved by everyone involved with this.

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ANNEXURES
QUESTIONNAIRE
Dear Sir / Madam, I am conducting a survey on ICICI. I shall be very thankful to you to give your few minutes to me for answering my few questions below.
Name Address

Sex Occupation

Q1) Which attributes, while opening an account do you expect from a bank? (a) Quick Service (b) Varity of Product (c) Less formalities of Documents (d) Working Hours (e) Proper Information

Q2) which of following banks do you have account? (a) ICICI Bank (b) IDBI Bank (c) HDFC Bank (d) UTI Bank

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Q3) If yes, which features compelled you most to open an account in ICICI Bank? (a) Quick Services (b) Variety of Products (c) Less Formalities of Document (d) Working Hour (e) Proper Information

Q4) Who influenced to open an account in ICICI Bank? (f) Bank Employees (g) Prospectus (h) Advertisement (i) Friend

Q5) What kind of account do you have in ICICI Bank? (j) Saving Account

(k) Current Account (l) Fixed Deposit

(m) N.R.I. Services Q6) Which of the following attributes compelled you most while opening a Saving Account? (n) ATM Cum Debit Card (o) Cheque Book Facility (p) The Internet Banking (q) Value Added Saving Account (r) Phone banking

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Q7) would you recommend ICICI Bank to other? (a) YES (b) NO

THANK YOU

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BIBLIOGRAPHY
 www.icicibank.com  June & July issue of IBA Bulletin  Brochures of ICICI BANK LTD.  www.iciciuniverse.com  Business Magazines

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