A PROJECT REPORT

ON

³CUSTOMER¶S PERCEPTION ABOUT INVESTMENT OPTIONS AND PRODUCTS´ AT ICICI BANK BY ABHISHEK KUMAR UNDER GUIDANCE OF Mr. PAWAN PATIL
IN THE PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF THE DEGREE OF

MASTERS IN MARKETING MANAGEMENT TO PUNE UNIVERSITY
Through

INSTITUTE OF BUSINESS MANAGEMENT AND RESEARCH CHINCHWAD, PUNE- 411019

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Acknowledgement:

This project is a culmination of task undertaken by me after the First year during my summer Internship.

Acknowledgement is not a mere formality or ritual but a genuine opportunity to express the indebtedness to all those without who¶s active support and encouragement this project wouldn¶t have been possible. My special thanks to Mr. Gurdev Singh Gandhi (Industry Guide, Branch operation manager, ICICI Bank) & Mr. Pawan Patil (Faculty Guide, IBMR) who gave me the proper guidance.

I have used questionnaire method to collect data and had analysed them. I got some findings by analysing data as in the end I have also given the recommendations to the company, which I thought would help the company in some way. I used direct interview from the customers for collecting data.

ABHISHEK KUMAR MMM 2009-2011

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EXECUTIVE SUMMARY:

The project has been undertaken in a renowned bank ³ICICI´. The main objective behind the project is to know the consumer perception about the Investment and to get an insight about the various product offerings of the bank. The research is conducted at the ICICI Bank, Jamshedpur. The research involves collection of information through questionnaire from people. This research covers respondents of customers of Jamshedpur Branch. A sample of 300 respondents was taken for the study, whose response were taken and interpreted. The sampling design was used judgemental sampling. The process of analysis was done through excel work sheets, percentage analysis, frequency table. Both primary and secondary data were used to collect information regarding this p roject.

The main purpose of selecting this project topic is to understand the customer¶s perception towards the investment after the recent economic crisis which shook the whole world. During the crisis the share market crash down in most part of the world. The prices of real estate was the worst affected. Almost all the investors were badly hit by that crisis. As we know that there are many options available to the customer¶s to make an investment and it is not possible to look into all the options so we decided to constrain our research into options like fixed deposit, Gold, Mutual fund and Equity.

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INTRODUCTION 4 .

......... Board Members: Mr........ Hong Kong..... branches in Unites States..... Chanda D..... Mr.... M.. Dr. Russia and Canada... Mr. Malaysia and Indonesia.... Managing Director & CEO .. ICICI Bank is the second amongst all the companies listed on the Indian stock exchanges in terms of free float market capitalisation...... Thailand. Deputy Managing Director 5 .... Bahrain....997...... Mr. SridarIyengar. Homi R. Qatar and Dubai International Finance Centre and representative offices in United Arab Emirates.. SandeepBakhshi....S. Sharma ...Introduction: Company Profile ICICI Bank is India's second-largest bank with total assets of Rs. 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 specialised subsidiaries and affiliates in the areas of investment banking..... South Africa.. Ms....950 ATMs in India and a presence in 18 countries. The bank¶s UK subsidiary has established branches in Belgium and Germany.... 2008... PremWatsa . The Bank has a network of about 1.K... 3. Singapore............ Pujari.308 branches and 3..... Tushaar Shah. Sridar Mr. K.......58 billion for the year ended on March 31..... V.... Mr.. China....95 billion (US$ 100 billion) at March 31.. Ramachandran.. venture capital and asset management or wealth management..... Kamath.. life and non-life insurance....... Anup K. M. The Bank currently has its subsidiaries in the United Kingdom. 41.... V. Mr. V........ Khusrokhan........... Chairman ...... ICICI Bank's equity shares are listed in India on Bombay Stock Exchange (BSE) and the National Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE)... Mr.. 2008 and profit after tax of Rs.. Bangladesh..... Kochhar.. Sri Lanka... Dr.

............ Mr............. N. Executive Director ....... Executive Director Vision of ICICI Bank: Objective of ICICI Bank: ³Our objective of creating a universal bank providing end-to-end financial services....................... Chanda Kochhar....... Mr................... Mr....... Executive Director & CFO ......... S..... Rajiv Sabharwal......... Managing director and CEO.... clearly required solutions which were based on new-generation technology....... Kannan.... Ramkumar......................... offered endto-end functionality and were highly flexible and scalable´................................ 6 . K.

The vision is to develop ICICI Bank into an organization that is empowered by bright and talented individuals. an equity offering in the form of ADRs listed on the NYSE in fiscal year 2000. Going forward. The principal objective was to create a development financial institution for providing the mediumterm and long-term project financing to Indian businesses. the challenge for ICICI will be to continue innovating to improve market shares and maintain its competitive edge. the ICICI 7 . an Indian financial institution. will allow it to bring innovative practices to the world of financial services in India. With technology playing the key role mainly. enterprise and the depth of its human resources. and secondary market sales by ICICI to institutional investors in fiscal year 2001 and fiscal year 2002. In this endeavour. and was its wholly owned subsidiary. working in teams and riding on the backbone of world class technology. ICICI was formed in year 1955 at the initiative of the World Bank. HISTORY OF ICICI BANK: The ICICI Bank was originally promoted in 1994 by ICICI Limited. In the 1990s. With the recent addition of insurance. the proposition of ICICI Bank is now fulfilled. the Government of India and representatives of Indian industry. The speed with which it has been able to transform the organization and successfully start so many new businesses is almost singularly owing to the skills. ICICI will continue to benchmark with global best practices to ensure optimum utilization of its resources and the finest exposure to its work force. ICICI Bank's acquisition of Bank of Madura Limited in an all-stock amalgamation in fiscal year 2001.Over the last few years. ICICI Bank is committed to enriching this valuable resource which in turn. the ICICI Bank has taken rapid strides in developing new businesses in line with its proposition to offer complete financial services to both corporate and retail customers. ICICI's shareholding in ICICI Bank was reduced to 46% through a public offering of shares in India in fiscal year 1998.

much greater opportunities for earning fee-based income and the ability to participate in the payments system and provide transaction-banking services. Consequent to the merger.transformed its business from a development financial institution offering only single project finance to a diversified financial services group offering a wide variety of products and services. both directly and through a number of subsidiaries and affiliates like ICICI Bank. by the High Court of Gujarat at Ahmadabad in March 2002. In October 2001. the ICICI group's financing and banking operations. have been integrated in a single i. In 1999. 8 . the ICICI Bank.e. particularly feebased services. entry into new business segments. the ICICI Personal Financial Services Limited and the ICICI Capital Services Limited. The merger was approved by shareholders of the ICICI and ICICI Bank in January 2002. and would create the optimal legal structure for the ICICI group's universal banking strategy. The merger would enhance value for the ICICI Bank shareholders through a large capital base and scale of operations. the managements of the ICICI and ICICI Bank formed the view that the merger of ICICI with ICICI Bank would be the optimal strategic alternative for both of the entities. and access to the vast talent pool of the ICICI and its number of subsidiaries. After consideration of various corporate structuring alternatives in the context of the emerging competitive scenario in the Indian banking industry. the ICICI become the first Indian company and the first bank or financial institution from non-Japan Asia to be listed on the New York Stock Exchange (NYSE). The merger would enhance value for the ICICI shareholders through the merged entity's access to low-cost deposits. and by the High Court of Judicature at Mumbai and the Reserve Bank of India in April 2002. both the wholesale and retail. and the move towards universal banking scenario. higher market share in various business segments. with the ICICI Bank. the Boards of Directors of the ICICI and ICICI Bank approved the merger of ICICI and two of its wholly owned retail finance subsidiaries. seamless access to ICICI's strong corporate relationships built up over five decades.

MARKETING STRATEGIES 9 .

either through a single or through a group of companies. India faces a very high regulatory burden although now a conglomerate structure of the universal banking has already been permitted . and participate directly in the corporate governance of firms that rely on the banks for funding or as insurance underwriters. asset management. JP Morgan Chase. commercial banking. sell and underwrite all the types of products and services to any set of clients. hold several claims on firms (including equity and debt). Lehman Brothers have realized the benefits of Universal Banking. Deutsche Bank. diversified resource base. In universal banking.Market Strategy of ICICI Bank: ICICI Bank uses the concept of Universal Banking. Citigroup. investor services and insurance. large banks operate extensively in networks of branches. The Universal Banking provides competitive advantage in the current scenario through large product suite. The practice of Universal Banking varies across several countries. HSBC.e. investment banking. The ICICI Bank has also joined these international players. personal banking. The ICICI Bank functions as a universal bank through itself and its associate companies in the areas of corporate finance. Optimization of human and financial capital. 10 .Many international players like ABN-AMRO. It means the ability to offer i. provide many different services. Economies of scale and scope.

With a retail book of over Rs 56. the ICICI Bank is aggressively foraying into overseas markets and also has an eye on the rural India. and which had 158 branches in Maharashtra state and another 31 in Karnataka State. somewhat premature. Its legacy of non-performing assets (NPAs) -. and had acquired the Chettinad Mercantile Bank (est. which was headquartered in Sangli.it has a share of over 30 per cent ± The ICICI Bank today has reached a commanding position. The Bank of Madura was a Chettiar bank. Bank is looking at new agri lending as something that is directed.In a span of just four years.000 crores (Rs 560 billion) and a market share that is the envy of competition -. in 1904) in the 1960s. but in the next 12-18 months the bank¶s strategy will be seen there. In 1933) and the Illanji Bank (est. Rural India is an opportunity. it's a viable business proposition. corporate providing inputs or buying products from the farmer and self-help groups. The solution to this problem is to partner with the micro-credit institutions. 11 .is now almost history with net NPLs (non-performing loans) down to 2 per cent. in Maharashtra State. but it has to be driven very carefully. The bank can't have branches there because that is not workable in terms of costs. ICICI Bank Eurasia opened a second branch in St. Armed with a much stronger balance sheet. In 1943). Major Steps Taken: In 2001 ICICI acquired the Bank of Madura (est. In 2007 ICICI amalgamated the Sangli Bank.for which it has been rated below its peers earlier -. the ICICI Bank has emerged as a consumer banking behemoth. Petersburg. ICICI also received permission from the government of Qatar to open a branch in Doha and from the US Federal Reserve to open a branch in New York city. The bank boasts of the widest integrated technology platform in the country and only a fourth of its business takes place at its branches and subsidiaries.

Advertising Strategy : 12 . The NRI (people living abroad) is a great customer and the other is the Indian corporate who is globalising -. the bank¶s global business will contribute one-third of the book top line and bottom-line. he wants to remit money. and they get new customers. The NRI is an interesting link because today he has tremendous needs in India. buy a home. This year 10 per cent of the home loans will be lended to NRIs. a comprehensive Mobile banking solution.either in the trade business or is setting up businesses abroad. and in the next three years. Today it's about only 10-12 per cent. In 2010 the ICICI Bank acquired the Bank of Rajasthan. purchase a commodity. In the United Kingdom the ICICI bank have a partnership with Lloyds Bank and are present in 30 branches there. especially the H1 visa guys. In the United States the ICICI bank have a tie-up with Wells Fargo and their customers can start a remittance into India from any channel. Global Market Strategy: The global opportunity spectrum is changing dramatically. it can get customers to talk to his constituents online. iMobile is considered to be a breakthrough innovation in the Indian Banking which allows a customer to do all possible transactions through a GPRS-enabled mobile phone easily and conveniently. promoting joint products. Bank¶s USP (unique selling proposition) is a unique technology.In 2008 the ICICI Bank launched iMobile.

print and outdoor medium. Shahrukh Khan is a truly global Indian who embodies the Indian winning spirit in a true sense. Mr. the company has signed up Shah Rukh Khan as its global ambassador. US and the Middle East. the ICICI Bank has established its presence in 12 countries including UK. various campaigns. ShahRukh Khan as global brand ambassador of ICICI: After Mr. Bachchan the ICICI Bank has decided to resort to the celebrity endorsement route to promote its brand.Amitabh Bachchan as brand ambassador of ICICI: Under the agreement. Shah Rukh Khan whose increasing global popularity gives synergy to the growing global presence of ICICI Bank. Amitabh Bachchan endorsed and promoted all the products and services offered by ICICI and its Group companies for a period of two years. He endorsed the ICICI brand through corporate and product campaigns on television. and customer reward programmes etc. Mr. Canada. Almost two-and-a-half years since superstar Amitabh Bachchan endorsed the ICICI brand. 13 . Bachchan also participated in select events such as new product launches. During his term as the brand ambassador. Within a short span of four years. he played a key role in all major brand and product communication by ICICI. The energy and innovation which Shahrukh Khan represents coupled with his popularity both in India and abroad make him the ideal choice for the ICICI Bank. particularly as the Bank makes its global forays.

PRODUCT OFFERINGS 14 .

Product Offerings : 15 .

1) DEPOSITS ICICI Bank offers wide variety of Deposit Products to suit the requirements of the customers. e) Recurring Deposits 16 . b) Life Plus Senior Citizens Savings Account : ICICI Bank understand that a Savings Account needs to do more after people reach the age of seniority. Flexibility. a) Savings Account: A Savings Account for everyone with a host of convenient features and banking channels to transact through. Children learn how to manage their personal finances. A combination of unbeatable features of the Fixed Deposit from ICICI Bank. c) Young Stars Savings Account : It's really important to help children learn the value of finances and money management at an early age. ICICI service savings accounts with 8 to 8 banking and µout of branch¶ banking. The bank has an ideal Savings Bank 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 their life. So now people can bank at their convenience. Banking is a serious business. Liquidity and Returns in the case of fixed deposits. the bank understand customers concerns for safety and security. without the stress of waiting in queues. Convenience of networked branches/ ATMs and facility of Echannels like Internet and Mobile Banking. but ICICI make banking a pleasure and at the same time fun. d) Fixed Deposits : ICICI provides Safety.

Doorstep Service. Coupled with convenience of networked branches/ ATMs and facility of Echannels like Internet and Mobile Banking. people may not have adequate funds to make big investments. With minimum documentation people can now secure a loan for an amount up to Rs. 15 lakhs. A number of flexible 17 . ICICI Bank Personal Loans are easy to get and absolutely hassle free. f) Easy Receive Savings Account : Easy receive account is a unique savings account that caters to domestic banking needs. It has tie-ups with all leading automobile manufacturers to ensure the best deals. a) Home Loans: The No. Simplified Documentation and Guidance throughout the Process. c) Car Loans: ICICI Bank is the No. It has network of more than 2500 channel partners in over 1000 locations. while offering additional benefits for remittances received in the account from abroad. 1 financier for car loans in the country. So the customers enjoy twin advantages. ICICI Bank brings banking at customer¶s doorstep. 2) Loans: ICICI Bank offers wide variety of Loans Products to suit your requirements. An ICICI Bank Recurring Deposit lets the customers invest small amounts of money every month that ends up with a large saving on maturity.affordability and higher earnings. 1 Home Loans Provider in the country.When expenses are high. b) Personal Loans: If customers wants personal loan that's easy to get with the help of ICICI Bank. ICICI Bank Home Loans offers some unbeatable benefits to its customers .

e) Farm Equipment Loans: ICICI is the preferred financier for almost all leading tractor manufacturers in the country. Quarterly and Half-yearly repayment patterns. and offer them flexibility and convenience in managing their finances. Its range includes Credit Cards. Hassle-free application process is available on the click of a mouse. working capital loans & other banking products. These cards offer customers convenience for their financial transactions like cash withdrawal. balance transfer on high cost loans. shopping and travel. The bank offer different types of credit cards to suit the different needs and requirements for added features 18 . Debit Cards and Prepaid cards. ICICI Bank credit cards provide a host of exciting offers and benefits to the customers such as low interest rates. a)Credit Cards: Credit Cards give customers a smart way to shop. f) Business Instalment Loans: Business Instalment Loan (BIL) by ICICI Bank helps the entities take giant strides by fulfilling their business requirements. rewards programs. top up on existing loans. They can choose from Monthly.schemes & quick processing are available. These cards are widely accepted both in India and abroad. refinance on used vehicles. 3) CARDS: ICICI Bank offers a variety of cards to suit different transactional needs of its customers. business expansion or to grab that once in a lifetime business opportunity. and a high credit and cash limit. d) Commercial Vehicle Loans: Range of services on existing loans & extended products like funding of new vehicles. There is flexible repayment options in tandem with the farmer's seasonal liquidity. There are comfortable repayment tenures from 1 year to 9 years. extend product. be it working capital requirement.

Anywhere Banking'. ICICI¶s current roaming accounts empower people with 'Anytime.500 branches. Looking for security and convenience. It is issued in duplicate. 4)Transaction Banking: The Bank delivers world class banking services to the financial sector clients. They are designed for the customer¶s convenience. Euro. can opt for ICICI Bank Travel Card. Pound Sterling or Swiss Francs. Customers travelling with US Dollar. It offers Pin based security and has the convenience of usage of Credit or Debit card.b) Travel Cards: The traveller¶s card is the Hassle Free way to Travel the world. The bank provides correspondent banking tie-ups with foreign banks to assist them in their India-related businesses. The comprehensive collection and payment services span India's largest CMS network of over 4. 5)Current Account : Roaming Current Account: 19 .

000 Rs. Internet Banking. customers can enjoy the convenience of Anytime Anywhere banking. They even have the flexibility of changing their current account variant every quarter based on their changing business needs.00. Accounts for businesses.000 Rs.00.000 Rs. This is why customer¶s account should be unique too. RCA offers a wide range of variants that include: ‡Standard ‡Classic ‡Premium ‡Gold ‡ Platinum These variants are based on committed Quarterly Average Balance with differential charges applicable to each variant.1.With the Roaming Current Account (RCA). It also offers the facilities of International Business Banking Debit Card. They can operate their RCA from any ICICI Bank branch in any city. Customers can choose the variant most suitable for their business requirements. E-mail Banking & Mobile Banking.000 Rs. big and small The business needs and requirements are unique. national reaches: 20 .000 Anywhere cheque.5.50.25. Phone Banking. Account Standard Classic Premium Gold Platinum Quarterly Average Balance Requirement Rs. ICICI Bank offers people a range of RCAs to meet varying banking requirements.10.

Every branch manager is the personal manager. Now customers can use the phone to make Balance Enquiries. Banking has never been so convenient before. People can get personal attention wherever their business takes them. ICICI ask the customer¶s to deposit the cheques at the nearest ICICI Bank Branch. view mini account statement. the business goes national! Bank anytime anywhere banking. Better cash flows. Corporate Internet Banking. The customers can check their balance. The suppliers can encash it at over 249 centres all over India. and they will see to it that the cheque reflects in customer¶s account fast. Request for a Cheque Book.000 VISA ATMs. 21 . and transacts at various 90. plus over 10. pay their bills. Mobile Banking. When the cheque is `local' everywhere. Banking on call.Issue a cheque from customer¶s place of business. The bank helps customer¶s money work harder for them. Stop Payment and more. ICICI Bank's RCA comes with a powerful Debit/ATM card that allows the customers to deposit and withdraw cash at over 2000 ICICI Bank ATMs.com. Now every ICICI Bank branch becomes people¶s branch.icicibank. With ICICI Bank's Internet Banking customers can access their account from wherever they are. by logging in to their account at www. The customers can also check their balance. Customer¶s always had one bank branch. Card Power. transfer funds or even pay their taxes sitting at their desk.000 merchant establishments across the country. For customer¶s convenience. Customers can do all the banking they want without getting up from their chair.

Now the entire customer¶s need to keep in touch with their account through their mobile. Sign up for alerts on daily balance, cheque clearing alerts or bounced cheque alerts! Card-to-Card Transfer Transfer funds for free from the customer¶s existing ICICI Bank account to any Visa Card (debit or credit) in India. They can even pay their Visa credit card bill through this facility available on www.icicibank.com

Free daily email statement Customers can get a daily email detailing your their ICICI Bank current account transactions and balance. Sub scribal to this service is free.

6) Travel & Tourism:
ICICI Bank¶s industry-specific solutions help customer leverage every opportunity for growth and maximize their profits. Bank¶s team of industry experts customizes solutions designed to fit customer¶s unique business requirements. Customer¶s leverage the µanytime anywhere¶ business banking advantage to manage their finances efficiently and easily. With the national reach and global network, the bank can now take the business places. Derivatives for Risk Mitigation: ICICI help customers hedge the foreign currency inward remittances and local currency outward remittances through our forex services.

7) DEMAT SERVICES: Demat Services ICICI Bank Demat Services boasts of an ever-growing customer base of over 11.5 lacs account holders. In ICICI¶s continuous endeavour to offer best of the class services to the customers the bank offer the following features:
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e-Instructions: Customers 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", customer can also transfer or pledge instructions through our customer care officer. Consolidation Demat Account: Customers can dematerialise the physical shares in various holding patterns and consolidate all such scattered holdings into the primary demat account at reduced cost. Digitally Signed Statement: Customers can receive the account statement and bill by email. Corporate Benefit Tracking: Customers can track the dividend, interest, bonus through the account statement. Mobile Request: Customers can access the demat account by sending SMS to enquire about Holdings, Transactions, Bill & ISIN details. Mobile Alerts: Customers can receive SMS alerts for all debits/credits as well as for any request which cannot be processed. 1) Dedicated customer care executives specially trained at the bank¶s call centre, to handle all their queries. 2) Countrywide network of over 235 branches, customers are never far from an ICICI Bank Demat Services outlet.

8) Mutual Funds:
A Mutual Fund is a trust that pools the savings of a number of investors who share a common financial goal. The money thus collected is then invested in capital market instruments such as shares, debentures and other securities. The income earned through these investments and the capital appreciation realised are shared by its unit holders in proportion to the number of units owned by them. Thus a Mutual Fund is the most suitable investment for the common man as it offers an opportunity to invest in a
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diversified, professionally managed basket of securities at a relatively low cost. The flow chart below describes broadly the working of a mutual fund:

There are many entities involved and the diagram below illustrates the organisational set up of a mutual fund:

Domestic Mutual Funds Mutual Funds pool money of various investors to purchase a wide variety of securities while pursuing a specific goal. Selection of Securities for the purpose is done by specialists from the field. Returns generated are distributed to the Investors. At ICICI
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This may include the following types of funds: 1. Why to Invest? 1) Professional Money Management and Research: Mutual funds are managed by professional fund managers who regularly monitor market trends and economic trends for taking investment decisions. one can be part of a large and welldiversified portfolio with very little investment. 2. People can invest in various schemes of multiple mutual funds with decent performance record. The wealth manager helps people to identify an appropriate mix of Mutual Fund schemes for their portfolio using asset allocation strategies. Sector Schemes. 25 .Pension Schemes. 3. Child education Schemes etc. As mutual funds have huge corpuses to invest in. Hybrid Funds: Balanced Schemes. 4) Liquidity: One of the greatest advantages of Mutual Fund investment is liquidity. which is extremely beneficial especially during rising or falling Markets. availability of NAVs and performance details through journals. easy subscription and redemption processes. 3) Convenience: With features like dematerialized account statements. Index Schemes etc. Equity: Diversified Equity Schemes. Monthly Income Schemes etc. G-sec schemes. It is about not putting all the eggs in one basket. Income schemes. 2) Risk Diversification: Diversification reduces risk contained in a portfolio by spreading it. Debt: Liquid schemes. they help the customers to determine which types of funds customers need to meet their investment goals. Mutual Funds are sure a convenient way of investing. Open-ended funds provide option to redeem on demand. They also have dedicated research professionals working with them who make an in depth study of the investment option to take an informed decision. newspapers and updates and lot more.Bank NRI services. Special Schemes .

Where to Invest? : ICICI Bank has tied up with several Mutual Funds so as to provide customers the convenience of Varied Investment. Also. 6) Tax Advantages: Investment in mutual funds also enjoys several tax advantages.5) Reduction in Costs: Mutual funds have a pool of money that they have to invest. People have a choice to invest with the top 17 AMCs in India offering around 300 schemes. So they are often involved in buying and selling of large amounts of securities that will cost much lower than when customers invest on their own. Dividends from Mutual Funds are tax-free in the hands of the investor (This however depends upon changes in Finance Act).as funds have to make full disclosure of investments on a periodic basis. 7) Other Advantages: Indian Mutual fund industry also presents several other benefits to the investor like: transparency . very well regulated by SEBI with very strict compliance requirements to investor friendly norms. capital gain accrued from mutual funds investments for period of over one year is treated as long term capital appreciation and is taxed at a lower rate of 10% without benefit of indexation or 20% with benefit of indexation. flexibility in terms of needs based choices. Advantages of Mutual Funds: The advantages of investing in a Mutual Fund are: Professional Management Diversification Convenient Administration Return Potential 26 .

An ideal plan for protection with wealth creation that offers the flexibility of a limited premium paying term.Low Costs Liquidity Transparency Flexibility Choice of schemes Tax benefits Well regulated 9) INSURANCE: 1) LIFE INSURANCE: Investment and Saving Plans Endowment policies are a good way of putting aside the savings today for a future goal whether it's to buy a house in India or fund the entrepreneurial vision.Choose from among four funds.Choice to switch between investments options (4 free switches every policy year). ICICI¶s savingsoriented policies are designed to make the savings grow and have them available to the customers at the end of a fixed number of years or through the term of the plan. protection and investment needs at every stage in life. These solutions have been developed to meet the savings. Investment: . 27 . -. Life Time II Presenting Life Time & Life Time II ± unit ±linked plans that meets the changing needs over a lifetime. based on the investment objective and risk appetite. which offers the benefit of a limited premium payment term. Invest shield Gold A unit-linked insurance plan with an assurance of Capital Guarantee.

which is a minimum multiple of 1 and a maximum multiple of 25 times the annual contribution. and other charges declared upfront. .Facility to make withdrawals from the 6th policy year onwards till the end of the policy term. based on a multiple of the annual premium. .Additional credits payable as a percentage of the initial annual premium are paid along with the death or maturity benefit. Sum Assured along with the higher of value of units or the guaranteed value is payable. Every year withdraw up to 10% of the value of units.Choose from among four funds.Facility to top-up the investment any time customers have surplus funds. the higher of the value of units or the guaranteed value* is paid.Flexibility to make additional investment with the help of the top-up facility. 28 . . 7 or 10 year premium paying term. . On death. 15 or 20 years respectively.Total transparency with the premium allocations. -Flexibility to choose a specific level of protection (Sum Assured). 7 or 10 years for a maturity term of 10. The guaranteed value of the unit fund is the value of all invested premiums (premiums net of all charges) along with the declared bonus interests Premier Life: The key features of the plan are: .Limited premium payment option: Choose from among a 3.Flexibility to choose a premium payment term of 5.Choice to switch between investments options (4 free switches every policy year). . . 5. based on the investment objective and risk appetite. . .Flexibility to increase / decrease the annual premium amount . .Additional allocation of units on a periodic basis.At the end of the term (maturity).. .Choice of sum assured: Choose a sum assured.

based on investment objective and risk appetite. On the future retirement date.Flexibility to decrease the sum assured. so that they can enjoy all the things they have dreamed of when they retire. so it¶s important to save for the future from today. absolutely free. Power to invest in a plan based on the priorities: Choose from among four funds.75 years of age. or helping our child's career take wing. Financing all this will depend on their personal savings and investments. If at a later stage the financial priorities change. Power to choose the protection level: Choose from either a Zero sum assured or a sum assured.Add-on riders to protect against any eventuality. 4 times a year. which will be equal to the product of annual contribution and term. clients can switch between the various fund options. to generate potentially higher returns. These retirement plans are designed to help customers systematically save. .Loans against the policy. .going on a dream vacation. Power to choose the retirement date: Take advantage of market movements by choosing a vesting age between 45 . 29 . Power to increase your investments: Use your surplus funds to top-up the investments during the deferment period.to provide clients with regular income for life.. and invest in market-linked funds. the accumulated value of the units will be used to purchase an annuity . Life Time Pension-II Life Time Pension II gives the freedom to choose the amount of premium. Retirement Plans Many of the customers picture themselves enjoying the fruits of their labour after retirement .

increase or decrease the contribution. people want to ensure a hassle-free. Smart Kid Education Plans are designed to provide flexibility and to safeguard the child's future education and lifestyle. Avail 25% discount on 5 year and 15% discount on 3 year policy Car Insurance . taking all possibilities into account.Power to increase / decrease your contribution: Based on the requirements. seepage etc. Instant Policy issuance Also covers PA and third party legal liability 30 .for the parents and other family members visiting abroad  Covers both structure and contents of home Provides protection against natural and manmade calamities Protection against fire. Smart Kid Child Plans has a bouquet of three products which can help the clients secure their child's education.Unit-linked Regular Premium .for the parents and other family members in India  2 Years comprehensive medical cover for family Advanced treatment covering technologically advanced surgeries Re-imbursement of return Air Fare Nursing care benefit and free health check-ups with 'Cashless' benefit Overseas Travel Insurance . life is full of uncertainties and even the best-laid plans can go wrong. successful life for their child. Child Plans As a responsible parent. .Regular Premium Smart Kid 2) GENERAL INSURANCE: Rishtey Health Insurance . gas cylinder. burglary. However.for the four-wheelers in India  Transfer no claim bonus (NCB) Cashless claims facility No Documentation.Unit-linked Single Premium .

Home  Secure home and the loan against it Loan Liability cover exclusive to ICICI Bank Home Loan customers Critical Illness. drives ICICI too. save in Dollars Plan meets foreign universities insurance requirements No documentation. ICICI bank understand this and they work with customers to plan and manage their financial opportunities prudently.Structure * Contents 10) Wealth Management: Wealth is the result of a recognized opportunity. challenges.Two-wheeler Insurance . Instant policy issuance Effective cover against theft and insurance Guaranteed safety for client & its two wheeler Lightening fast claims service Student Medical Insurance .for the most prized possession. the bank also extend a host of services so that customers can remain focused on immediate objectives while the bank take care of all the wealth management requirements. That' s why the bank have put together a team of determined and seasoned professionals who not just 31 . TEAM: A perfect partnership is about similar perspectives Goals. milestones.for staying abroad during studies  Pay in Rupees. Instant policy issuance Policy is renewable for the second year Home Safe+ Insurance . Accidental Death and Disablement Benefit Protect Home . Instant policy issuance Effective cover against theft and insurance Guaranteed safety for yourself and your two wheeler Lightening fast claims service No documentation. No health check-up.for the two-wheeler in India  No documentation. Not just that. What drives customers.

who will complement their Wealth Manager. risk tolerance and existing investment pattern. 32 . These handpicked experts have a wealth of financial experience under their belt and will assist customers in their decision-making process. In fact he/she will be customer¶s personal guide to the possibilities of Wealth Management. Working silently behind the scenes is a team of product experts. Expert minds to give expert solutions The Wealth Manager is only a part of the larger team which ensures that the money works harder. PORTFOLIO BUILDING: The investment process starts with understanding customer ± their background. Customers will also have access to a Customer Service Manager/Officer. investment objectives. which are kept in mind while building their portfolio. and will work closely with clients in achieving their financial goals. Dedicated Wealth Manager A dedicated Wealth Manager is central to an ICICI Bank Wealth Management relationship and is the face of the Bank. but also partner closely in the growth to bring the dreams to fruition.assist customers in their requirements. A comprehensive Client Profiling exercise helps the bank in evaluating customer¶s risk appetite and understanding their investment objectives.

33 .

Gold . 34 . y To understand the perception of the customer regarding the investment after the economic slump down. Mutual fund and Equity. The main options which were mainly considered were Fixed deposit.SCOPE SCOPE OF WORK To help the company to have a better understanding about the consumer¶s perception towards investment options.

y To enables the company to focus the consumer¶s preferences and expectations on the product which they offer.y To help the company by creating awareness about perception of consumer¶s different ages and income levels. 35 .

These two objectives were: 1) To know about the customers perception about Investments .RESEARCH METHODOLOGY Objective of Research: There were basically two objectives of the Market Research that was conducted among the customers of ICICI Bank. 36 . This was done to find out that what the customers think about various kinds of Investments at ICICI Bank.

It is actually a voyage of discovery. RESEARCH METHODOLOGY What is Research? Research in common parlance refers to a search for knowledge. Ker linger ³Research is a systematic . This was done to find out customers¶ acceptance to invest in products available at ICICI Bank. According to Prof. Some people consider research as a movement. Research is an academic activity and as such the term should be used in a technical sense.  Definition of Research: 1.controlled. Research can also be defined as a scientific and systematic search for pertinent information on a specific topic. 37 . a movement from the known to the unknown.2) To find out the customer¶s investment in the various product available at ICICI Bank. research is an art of scientific investigation. commercial and proposition about presumed relation among natural phenomenon. In fact.

The following chart concerning various steps provides a useful procedural guideline regarding the research process  Research Process in Flow Chart: Define Research Problem 38 . all those methods. It is important for the researcher to know not only the research methods/techniques but also the methodology. The scope of the research methodology is wider than that of the research methods.  Research Process: Research process consists of series of actions or steps necessary to effectively carry out research and the desired sequencing of steps. In it we study the various steps generally adopted by a researcher in studying his research problem also with the logic behind them. are termed as research methods. In other words. Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research is done scientifically. When we talk of the research methodology we not only talk of the research methods but also consider the logic behind the methods we use in the context of our research study and explain why we are suing a particular method or technique and why we are not using other so that research results are capable of being evaluated either by the r esearcher himself or by others. nor are they separate and distinct. which are used by the researcher during the course of studying his research problem.2.  What is Research Methodology? Research methods or techniques refer to the methods the researchers use in performing research operations. The research process consists of a number of closely related activities. According to Prof. Bogardus ³Social research is the investigation of the under lying process operative in the lives of person who are in association. One should remember that the various steps involved in a research process are not mutually exclusive.

Review Concepts and theories Define Research Problem Formulate Hypothesis Design Research and sample design Collect Data Analyse Data RESEARCH DESING Interpretation of Data and Reporting A research design is the arrangement of conditions for collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure. In descriptive research studies the research is concerned with describing the characteristics of a particular individual. or of a group. Research designs are of following types  DESCRIPTIVE  DIAGNOSTIC  EXPERIMENTAL  CAUSAL  EXPLORATORY In this project. 39 . DESCRIPTIVE TYPE of research design has been used.

Research Approach: . Employed Research Design : 1. Sampling Unit: -Customers of ICICI Bank. Sampling Method: . Sampling Type: Convenience Sample 9.Structured. 8. Secondary data. 6. Jamshedpur. This is original in character and is gathered through surveys. Types of Question: Closed ended question.  Primary Data: This is the data which is collected by an investigator or an agency for the first time.Questionnaire.15th May to 15th July2010. 4. Contact Method: . Sampling plan: a. Primary data.Personal approach. Types of Questionnaire: . 3. b. Secondary data.Non Probability d.Descriptive research.  Population: 40 . DATA COLLECTION Types of Data Collection : There are two major types of data collection: Primary data. ii.Survey method. 2.  Secondary Data: When an investigator uses the data which has already been collected by ot ers. Data Sources:i. 7. Sample size: -300. Research Type: . c. 5. Research Instrument: . Duration of Research: . it is h called as the secondary data.

A complete enumeration of all the items in the population is known as census inquiry. a) Sample Frame:The entire list that contains the sample unit is known as sample frame. b) Sample Size: . 41 . In this case my sample frame was ICICI Bank of Jamshedpur city. It can be presumed that in such an inquiry when all the items are covered no element of chance is left and highest accuracy is obtained.My sample size for this project work was 300 respondents from above mentioned area. It is the collection of all values of the variable under study.A population or universe is the totality of items or things under consideration. SAMPLING PLAN Sample is a portion of the population or universe under consideration and sampling is the process of selecting the sample. respondent were chosen in such a way that they will provide maximum information in all the areas. As it is not possible to cover all the respondent in the gi ven branch and limited time period.

OPTIONS Below 3 lakh 3-5 lakh 5-8 lakh Above 8 lakh TOTAL NO. OF RESPONDENTS 132 89 46 33 300 42 b) 3-5 lakh c) 5-8 lakh d) above PERCENTAGE 44% 30% 15% 11% 100% .DATA ANALYSIS QUESTIONNAIRE : 1) Annual Income :a) Below 3 lakh 8 lakh.

OF RESPONSE 257 43 300 PERCENTAGE 86% 14% 100% 43 .  11% of the customers have the income level above 8 lakh. 44% of the customers have the income below 3 lakhs. 2) Do you make invesment : a) Yes OPTIONS Yes No Total b) No NO.  30% of the customers have the income between 3-5 lakhs.  15% of the customers have the income level between 5-8 lakh.

 14% of the respondents say no to it.OF RESPONSE 213 87 300 PERCENTAGE 71% 29% 100% 44 . 86% of the customers say they make investment. 3) After the recent economic slumpdown do you feel is it safe to invest in market: a) Yes b) No OPTION Yes No Total NO.

4) Do you make an investment for : a) Long term b) Short term c) Mixed OPTIONS Long term Short term Mixed Total NO. 71% of the respondents say that it is safe to make an investment.  29% of the respondents say no. OF RESPONSE 117 73 67 257 PERCENTAGE 46% 28% 26% 100% 45 .

OF RESPONSE 93 27 113 24 257 46 PERCENTAGE 36% 11% 44% 9% 100% .  26% of the respondents say that they invest in both. 5) Which of the following given options you feel safe to invest : a) Fixed deposit b) Gold c) Mutual fund d) Equity OPTIONS Fixed deposit Gold Mutual fund Equity Total NO.  28% of the respondents say that they invest for the short term. 46% of the respondents say that they invest for long term.

6) Are you looking to make an investment in near future : a) Yes b) No OPTION Yes No Total NO.  44% of the customer goes for mutual fund. 36% of the customer feels that fixed deposit is the safe bait for investment.  11% of the customer feel that gold is good for investment.  9% of the customer goes for equit. OF RESPONSE 143 114 257 PERCENTAGE 56% 44% 100% 47 .

7) If Yes . OF RESPONSE 43 11 67 22 48 PERCENTAGE 30% 8% 47% 15% . 56% of the respondents says that they are going to make an investment in coming few days. then that would be in which of the followings : a) Fixed deposit b) Gold c) Mutual funds d) Equity OPTIONS Fixed deposit Gold Murual fund Equity NO.  44% says that they are not going to make any investment in near future.

Total 143 100%  30% of the respondents says that they are going to invest in fixed deposit.  15% of the respondents says that they are going to invest in equity.  8% of the respondents says that they are going to invest in gold. OF RESPONSE 67 131 31 28 .  47% of the respondents says that they are going to invest in mutual fund. 8) While investing which of the following factors you look for : a) Saftey OPTIONS Safety Return Tax benefit Value b) Return c) Tax benefit d) Value PERCENTAGE 26% 51% 12% 11% 49 NO.

9) Have you invested in any of the below mentioned products at ICICI Bank: a) Fixed deposit b) Gold c) Mutual funds d) Equit OPTIONS Fixed deposit Gold Mutual fund Equity Total NO.  12% of the respondents look for tax benefit.Total 257 100%  51% of the respondents says that they look for higher return while investing.  11% of the respondents look for value of their investment.OF RESPONSES 89 34 103 31 257 50 PERCENTAGE 35% 13% 40% 12% 100% .  26% look for the safety of the capital.

OF RESPONSES 73 113 44 27 51 PERCENTAGE 28% 44% 17% 11% .  13% of the respondents have invested in gold at ICICI Bank. then which of the following factors make you to invest in ICICI Bank products: a) Brand b) Saftey c) Diversity d) Others OPTIONS Brand Saftey Diversity Others NO. 35% of the respondents have invested in fixed deposit at ICICI Bank.  40% of the respondents have invested in mutual fund at ICICI Bank. 10) If Yes .  12% of the respondents have invested in equity at ICICI Bank.

 17% of the respondents have invested at ICICI Bank due to diversity of products available under one roof.  44% of the respondents have invested at ICICI Bank for safety reason. 11) Do you take the service of Investment manager to manage your investment OR portfolio : a) Yes b) No OPTION Yes No NO. OF RESPONSE 91 166 52 PERCENTAGE 35% 65% . wealth manager.Total 257 100%  28% of the respondents have invested at ICICI Bank due to brand name. account etc.  11% of the respondents have invested at ICICI Bank due to various reasons like relationship.

53 .Total 257 100%  35% of the respondents take the assistance of investment manager at ICICI Bank while making and managing their investment.  65% of the respondents do not take their assistance while making investment.

3) Most of them think that the recent economic slump down is over and the risk of investing in market is minimal. 54 . 2) They were in the age group of 35 and above.OBSERVATION AND FINDING OBSERVATION: 1) Mostly the respondents who show willingness to invest were serviceman and businessman.

5) Greater percentage of the respondents looks for higher return on investment followed by safety of the capital. LIMITATIONS: 1) The time was very limited for this kind of research. 7) Most number of customers invest in products available at ICICI Bank. 6) Higher number of respondents look for higher return and safety of their capital. 3) Time constraint of the customers. The reason behind that was safety and brand name. 2) Uncooperative nature of some the respondents. 55 . 8) The percentage of respondents taking the service of the investment manager at ICICI Bank is less.4) Most of the respondents shown their interest in investing in Fixed deposit and Mutual fund.

RECOMMENDATIONS: With the help of my survey it was found that most of the customers were interested in investing their money in Mutual fund and Fixed deposit. They expect superior returns from the portfolios in which they invest. 56 . Principal protection and higher return is their main target .

R. Handbook of Banking Information 2) C. Research Methodology. So it become the job and duty of the employees of the bank to help them in making investment where they can get good return and at same time do not suffer from the capital loss.Most of the customers do not take the help of investment manager at the ICICI Bank which is the matter of concern for the bank authority. they also help the customers from Capital loss.55. 1. These investment managers not only help in achieving superior returns. page no. REFERENCES 1) Toor.S(2005). Kothari. So. N. they invest their hard earned money in the market. The product knowledge level of all the employees was not the same which is the matter of concern because of which sometimes they fails help the customers in decision making at the time of investment. the organization needs to give full training to their staff members on investment products. Most of the customers were service man. They must look into this matter and try to convince the customer to take the help of them while making investment for better and safe return. New age international publisher 2nd revised edition . 57 .

00 p.m. 7. ICICI Bank 5) ICICI Bank website: www.google. 6) Google website: www.3) ICICI Bank Year Book 2009.icicibank. 4) Product Offering Brochures. 12.30 p. 27 July2010.com 26 July 2010.m.com. 58 .

Thank you for spending your valuable time to fill this questionnaire. PERSONAL DETAILS: 59 . This questionnaire is aimed at understanding your perception about Investment options and your response will be dealt with strict confidentiality and it will be used only for academic purpose.ANNEXURE QUESTIONNAIRE: Dear respondent.

Mobile no««««««««««««««.Name «««««««««««««««««««««««««««««««. Email Id : ««««««««««««««««««««««««««««.. 2) Do you invest your savings : a) Yes 3) Do you make an investment for : a) Long term b) 3-5 lakh c) 5-8 lakh d) above b) No b) Short term c) Both 4) After the recent economic slumpdown do you feel is it safe to invest in market: a) Yes b) No 5) Which of the following given options you feel safe to invest : a) Fixed deposit b) Gold c) Mutual fund d) Equity 60 .. 1)Annual Income : a) Below 3 lakh 8 lakh. Phono«««««««««. Age Gender : 18-25 : Male Student 25-35 Female Housewife Service Business 35-50 50-60 Above 60 : Occupation : Contact no..

6) Are you looking to make an investment in near future : a) Yes b) No 7) If Yes . then that would be in which of the followings : a) Fixed deposit b) Gold c) Mutual funds d) Equity 8) While investing which of the following factors you look for : a) Saftey b) Return c) Tax benefit d) Value 9) Have you invested in any of the below mentioned products at ICICI Bank: a) Fixed deposit b) Gold c) Mutual funds d) Equity 10) If Yes . then which of the following factors make you to invest in ICICI Bank products: 61 .

a) Brand b) Saftey c) Diversity d) Others 11) Do you take the service of Investment manager to manage your investment OR portfolio : a) Yes b) No Thank you for spending your valuable time to fill this questionnaire 62 .