the

Season 2

Case Study
Round I

volving Customer Needs

Technology over the years has evolved at a lightning speed. Organizations have leveraged
this digital shift to come up with disruptive models that have set the benchmark definition of
ease and convenience for customers. The pace of technological change sweeping boldly
across businesses and society is staggering. The modern customer by virtue of being t
 Evolving Customer Needs

Technology over the years has evolved at a lightning speed. Organizations have leveraged
this digital shift to come up with disruptive models that have set the benchmark definition of
ease and convenience for customers. The pace of technological change sweeping boldly
across businesses and society is staggering. The modern customer by virtue of being tech-
savvy, has evolved from a passive recipient to a hyper-informed one, who is constantly on
the lookout for something new. From having a plethora of options to choose from, customers
are now expecting their needs to be met instantaneously. Businesses have also benefitted by
capturing the increasing disposable income and redefined the market with ‘access-on-
demand’ applications like Uber, Netfilx, Amazon, iMobile etc. The purchasing power of
customers has increased manifold, and the traditional buying decision process has become
more dynamic. The expectation of customers with respect to service providers has hence
transitioned from information keepers to trusted advisors. Organizations are therefore,
revisiting their customer value proposition and attempting to make it a game changer.

India’s Population Distribution (in millions)

Household Economic $ day 2010 CAGR 2021 (projection) %

income/ year Class per 1.19 billion % 1.36 billion
(INR) capita population population
Upper
>8,50,000 >10 80 9.7 190 14
middle+
3,00,000-
Middle 5- 10 170 6.3 300 23
8,50,000
1,50,000- Emerging
1.7- 5 470 1.9 570 42
3,00,000 Middle
<1,50,000 Lower <1.7 460 -4.6 290 21

Source: Profitable Growth for the Globally Emerging Middle, PwC

A Minute on the Internet

2.4 lacs likes 38 lacs search requests

65,000 photos uploaded 87,000 hours of videos

watched

2.9 crores messages sent

400 hours of videos uploaded

12 new accounts created 15.6 crores e-mails sent

Source: Every 60 seconds on the internet, Times of India, March

1|Page
Changing Landscape of BFSI Sector

Like other industries, the BFSI sector too, is keeping up with ever-changing customer tastes
and preferences. Not long ago, it was a common practice to go directly to a local bank’s
branch to make a transaction or transfer funds. As the penetration of phones increased, banks
capitalized on this shift and introduced the phone-banking channel. Further, with the onset of
the internet age and computers becoming a household phenomenon, the banking industry
leveraged this opportunity to provide services to customers within the comfort of their own
homes through internet banking. With the advent of smartphones, banks innovated with
mobile banking with ‘banking on your fingertips’ being the core idea. A comprehensive
coverage of multitude of services ranging from InstaBanking, instant disbursement of pre-
approved loans, digital credit etc. could now be availed by the customer in the blink of an eye.
Nowadays, with the help of data analytics, these new age banking apps have the ability to
analyze customer spends, pitch products relevant to the customer’s life-stage requirement
and suggest avenues for investment, in a way becoming the customer’s very own personal
finance manager. For example: Basis past trends, a reminder goes to customer on 8th of every
month to transfer funds for rent or pay EMI; if someone travels frequently, the app can nudge
them to take the ICICI Bank - Make My Trip credit card.

Banks are currently taking the digital route for growth by partnering and investing in financial
technology and moving towards a phygital model. Preserving the physical mode of
interaction in branches helps in building a comfort zone for the customers when they are
advised on high-impact financial decisions. The banks are also focusing on the network of
ATMs as a medium to serve the customers beyond the transactional cash withdrawals.
However, with the advent of Fintech, banking organizations are now at crossroads. The choice
is imminent: to either partner with these Fintech organizations or to compete with them. Co-
existence, by leveraging the strengths of different entities will promote synergy which will
eventually boost growth. That is, unless, the banking space is disrupted by a new wave of
innovation.

Projected Branch and ATM Growth (per million population)

450
400
350
300
250
200
150
100
50
0
2014 2034 (Projected)
Branch Density 126 297
ATM Density 141 422

Source: Future of India: The Winning Leap, PwC

2|Page
ICICI Bank- Where are we
ICICI Bank has expanded and established itself as one of the front runners in the industry with
a global footprint. Having an employee base of almost 1,00,000 and network of over 19,000+
branches and ATMs in country, the Bank has many firsts to its name. The company is a young
organization with an average employee age of 27 years.

ICICI Bank offers a wide range of products and services across various consumer segments.
Its tech- friendly orientation has been a key driver of agile and world-class customer service.
Some of the very firsts/differentiated propositions offered by ICICI Bank are:

E-locker and Pockets: 2012 Akodara- First Digital Village: 2015

Smart Vaults: 2015 Robotic Arm in Note Sorting: 2017

Mera iMobile, Revamped iMobile: 2018 Pay Later- Digital Credit: 2018

3|Page
Your Challenge
To stay ahead of the market, ICICI Bank is looking at the next wave of innovation that will take
over the banking sector by 2025. ICICI Bank invites you on board as innovators to recommend
a new vision for superior customer experience that will transform Banking forever. Your
suggestions may span across products, processes, banking experiences and others.

The following points must be covered in your submission:

 Your vision for a superior customer experience

 Primary and secondary research of customer preferences
 Emerging trends in consumer behavior and opportunities
 Your specific recommendations

Submission Format: PowerPoint Presentation in not more than 8 slides (including the cover
slide)

4|Page