ICICI INTERNSHIP PROGRAM REPORT

LEVERAGING DIGITAL CHANNELS FOR ENHANCING CUSTOMER

EXPERIENCE AND ANALYSIS OF MICRO MARKETS.
(REPORT ON MICRO MARKET ANALYSIS FOR ICICI BANK)

Rukmini Devi Institute of Advanced Studies (RDIAS)

In partial fulfilment of the requirement of summer internship project for the

award of the degree of Master of Business Administration (MBA)

Name: Vishal Singh Tanwar

ICICI Applicant ID: 4288149

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 TABLE OF CONTENTS
S.no Particulars Page no.

1 Declaration 3

2 Preface 4

3 Acknowledgement 5

Introduction of Banking

4  Meaning of banking 6
 Indian banking structure

About ICICI Bank

 History
5  Subsidiaries of ICICI Bank 7
 Objective
 Products offered by ICICI Bank & E-Services

6 Research Methodology 12

7 Micro Market Analysis 13

8 Findings 20

9 Recommendation 21

10 Bibliography 22

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 Declaration

I, Vishal Singh Tanwar student of 2nd semester MBA, from Rukmini Devi Institute of Advance
Studies, hereby declare that the dissertation entitled “LEVERAGING DIGITAL CHANNELS FOR
ENHANCING CUSTOMER EXPERIENCE AND ANALYSIS OF MICRO MARKETS.” Embodies the
report of my project work carried out independently by me during 17 th May to 1st July at ICICI
BANK under the supervision of Mr. Puneet Ranjan.

I further declare that the personal data and information received from any respondents has
not been shared with anyone and is used for academic purpose only.

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 PREFACE

Today, Management is must for day-to-day life. Management is the integral part of the
business. In this world, all things need proper management for its success. Business without
proper management is like a castle of sand built on seashore. Even individuals need proper
management for running their life smoothly. Only theoretical knowledge is not enough in MBA
along with one needs some practical exposure in the corporate world also.

In MBA theory of any subject is important but without its practical knowledge it becomes
useless, particularly for the Management Students. As a student of the Business
Administration, we have studied many theories and concepts in the classroom, but only after
taking up this project work, we have experienced & understood those Management theories
& practices in its fullest sense, which plays a very vital role in business field today. The
knowledge of management is incomplete without knowing the practical application of the
theories studied.

Project report plays an important role as a part of the curriculum of MBA in Rukmini Devi
Institute of Advance Studies. Consequent report on the industry allowed studying us the real
business environment. This practical training in the field of MBA program develops the feeling
of awareness in management student about the difficulties and challenges of the business
world. Only theoretical knowledge does not impart complete education. It is accompanied
with practical experience to add meaning to education. Here I have tried my level best to
represent my project report and explain my understanding level through it.

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 Acknowledgement
No task is single man’s effort. Any job in this world whether trivial or tough cannot be
accomplished without the assistance of others. An assignment puts the knowledge and
experience of an individual to decisive test. There is always a sense of gratitude that one likes
to express towards the persons who helped to change an effort in a success. The opportunity
to express my indebtness to people who have helped me to accomplish this task.

I deem it a proud privilege to extend my greatest sense of gratitude to my Project Guide MR.
Puneet Ranjan for the keen interest, inspiring guidance, continuous encouragement, valuable
suggestions and constructive criticism throughout the pursuance of this report.

Last but not the least, it would be unfair if I don’t express my indebtness to my parents and all
my friends for their active cooperation which was of great help during the course of my
training project.

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 INTRODUCTION OF BANKING
Banking Means “Accepting Deposits for the purpose of lending or Investment of deposits of
money from the public, repayable on demand or otherwise and withdraw by cheque, draft or
otherwise.”
-Banking Companies (Regulation) Act,1949

INDIAN BANKING STRUCTURE

The structure of the banking system of India can be broadly divided into scheduled banks,

non-scheduled banks and development banks. Banks that are included in the second schedule
of the Reserve Bank of India Act, 1934 are considered to be scheduled banks.

All scheduled banks enjoy the following facilities:

 Such a bank becomes eligible for debts/loans on bank rate from the RBI
 Such a bank automatically acquires the membership of a clearing house.

All banks which are not included in the second section of the Reserve Bank of India Act, 1934
are Non-scheduled Banks. They are not eligible to borrow from the RBI for normal banking
purposes except for emergencies.

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 History of ICICI Bank

ICICI Bank was established by the Industrial Credit and Investment Corporation of India
(ICICI), an Indian financial institution, as a wholly owned subsidiary in 1994
in Vadodara however the parent company was formed in 1955 as a joint-venture of the World
Bank, India’s public-sector banks and public-sector insurance companies to provide project
financing to Indian industry. The bank was founded as the Industrial Credit and Investment
Corporation of India Bank, before it changed its name to ICICI Bank. The parent company was
later merged with the bank.

ICICI Bank launched Internet Banking operations in 1998.

ICICI’s shareholding in ICICI Bank was reduced to 46 percent, through a public offering of
shares in India in 1998, followed by an equity offering in the form of American depositary
receipts on the NYSE in 2000. ICICI Bank acquired the Bank of Madura Limited in an all-stock
deal in 2001 and sold additional stakes to institutional investors during 2001–02.

In the 1990s, ICICI transformed its business from a development financial institution offering
only 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. In 1999, ICICI become the first Indian company and the first bank or a financial
institution from non-Japan Asia to be listed on the NYSE.

ICICI, ICICI Bank, and ICICI subsidiaries ICICI Personal Financial Services Limited and ICICI
Capital Services Limited merged in a reverse merger in 2002.

In 2008, following the 2008 financial crisis, customers rushed to ICICI ATMs and branches in
some locations due to rumours of an adverse financial position of ICICI Bank. The Reserve
Bank of India issued a clarification on the financial strength of ICICI Bank to dispel the
rumours.

In March 2020, the board of ICICI Bank Ltd. Approved an investment of Rs 1,000 crore in Yes
Bank Ltd. This investment resulted in ICICI Bank Limited holding in excess of a five percent
shareholding in Yes Bank.

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 Subsidiaries of ICICI Bank

Domestic
• ICICI Prudential Life Insurance Company Limited
• ICICI Lombard General Insurance Company Limited
• ICICI Prudential Asset Management Company Limited
• ICICI Prudential Trust Limited
• ICICI Prudential Pension Funds Management Company Limited
• ICICI Securities Limited
• ICICI Securities Primary Dealership Limited
• ICICI Venture Funds Management Company Limited
• ICICI Home Finance Company Limited
• ICICI Investment Management Company Limited
• ICICI Trusteeship Services Limited
International
• ICICI Bank Canada
• ICICI Bank USA
• ICICI Bank UK PLC
• ICICI Bank Germany
• ICICI Bank Eurasia Limited Liability Company
• ICICI Securities Holdings Inc.
• ICICI Securities Inc.
• ICICI International Limited.

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 OBJECTIVE

Vision – To be the leading provider of financial services in India and a major global bank.

Mission – We will leverage our people, technology, speed and financial capital to:
• Be the banker of first choice for our customers by delivering high quality,
world-class products and services.
• Expand the frontiers of our business globally.
• Play a proactive role in the full realisation of India’s potential.
• Maintain a healthy financial profile and diversify our earnings across
businesses and geographies.
• Maintain high standards of governance and ethics.
• Contribute positively to the various countries and markets in which we
operate.
• Create value for our stakeholders.

Objective
• Assistance in the formation, development, and modernization of business in the non-
public sector.
• Provides medium and long-term loans in rupees and foreign currencies.
• Underwrites new issues of debentures and shares.
• Provides equipment finance
• Promoting and supporting the expansion of markets and motivating private ownership
of the industrial investment.

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 Product Portfolio of ICICI Bank

Accounts and Deposits Insurance

• Savings Account • Life Insurance
• Demat Account • General Insurance
• Salary Account • Pradhan Mantri Social Security
• Paylater By ICICI Bank Schemes
• Pension Account
• Defence Salary Account
• Other Accounts
o Child Education Plan
o Outward Remittance
o EEFC Account
o New Pension Scheme
Tax Loans
• Tax Solutions • Cardless EMI
• Goods and Services Tax (GST) • Home Loan
• Tax e-filling • Loan against Property
• Car Loan
• Personal Loan
• Consumer Finance
• Education Loan
• Gold Loan
• Loan Against Securities
• Commercial Business Loan
• Pradhan Mantri Mudra Yojana
(PMMY)
• Stand-up India Scheme

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Cards Investment
• Credit Cards • Fixed Deposit
• Debit Cards • National Pension System
• Prepaid Cards • Public Provident Fund
• Travel Cards • Mutual Fund
• Unifare Metro Cards • Senior Citizen Saving Schemes
• Commercial Cards • Sukanya Samriddhi Yojana (SSY)
• Merchant Services Account
• Gold Monetisation Scheme
• IPO through ASBA (Applications
Supported Blocked Account)

Agri & Rural Pockets

• Instant Gold Loan • Pockets Offers
• Agriculture Term Loan • Touch & pay
• Tractor Loan
• Micro Banking

Services Provided via Mobile Banking / E-Banking

• Account Management
• Fund Transfer
• Cardless Cash Withdrawal
• Recharge Prepaid Mobile/DTH
• Pay Utility Bills
• Virtual Debit/credit card facility

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 Research Methodology

Scope of the Study

This study is limited to the consumers within Naraina and Nearby Area. The study will be able
to reveal the preferences, needs, satisfaction of the customers regarding the banking services,
it also helps banks to know whether the existing products or services they are offering are
really satisfying the customers’ needs

Objective of the Study

To acknowledging the uniqueness of each market and providing enablers to increase the
market share in each micro-market profitably.

Research Design Descriptive Research

Data Collection Method Survey Method

Respondents from Naraina and nearby Area

Population
who are availing Banking services

Sample Size 53 Respondents

Non-Probability Using
Sampling Method
Convenience Sampling

• E-survey via Questionnaire For

Data Collection Instrument primary Data
• Internet for secondary data

Data Processing Tool MS Excel, Google Forms

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 Micro Market Analysis
The Micro Marketing Analysis System (MMAS) is an M&T’s tool to support companies and
consulting activities in the areas of sales and trade intelligence. It’s based on decades of
experience. The large amount of information gathered and updated continuously, allows
Company to draw an accurate picture of the distribution channel, which results in periodically
analysis and in the news that are published every six months.

My Catchment area: Naraina (South West Delhi Area) and Nearby area.

Economic Value Per capita Income: ₹40,000 – ₹60,000 Approx.

No. of Household 2,500 approx.

Schools 17 (only major schools)

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 Interpretation Of the Analysis
1. Gender of the Respondents:

Gender Frequency Percentage

Male 30 56.6%
Female 22 41.5%
Other 1 1.9%
Total 53 -

From the above representation, it concludes that out of 53 respondents 30 were male, 22
were female and 1 was other gender, which comprises of 56.6%, 41.5% and 1.9%
respectively.

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 2. Age of the Respondents:

Age Frequency Percentage

18-25 Years 22 41.5%

26-45 Years 22 41.5%

46-65 Years 4 7.5 %

65 – 100 Years 5 9.4%

Total 53 -

From the above representation, it concludes that out of 53 respondents 22 were from the
age group of 18-25, 22 were from the age group of 26-45, 4 were from the age group of
46-65 and 5 was from the age group of 65-100, which comprises of 41.5%, 41.5%, 7.5%
and 9.4% respectively.

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3. Bank accounts of the Respondents:

Response Frequency Percentage

Yes 30 56.6%

No 23 43.4%

From the above representation, it concludes that out of 53 respondents 30 respondents

don’t have account in ICICI bank and 23 respondents have account in ICICI bank, which
comprises of 56.6% and 43.4% respectively.

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4. Reason for visiting physical Branch of bank:

Reason Frequency Percentage

Deposit/Withdrawal 43 81.1%

Query resolution 20 37.7%

Document verification 19 35.8%

Inquiries of any product 1 1.9%

From the above representation, it concludes that 53 respondents Prefers to visit physical
bank branch mainly for Deposit/withdrawal and query resolution mainly.

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 5. How much respondents use digital mode for banking:

Usage Frequency Percentage

Once/Twice a Month 8 15.4%

Once/Twice a Week 15 28.8%

Everyday 9 17.3%

Sometimes 14 26.9%

Doesn’t Use Digital banking 6 11.5%

From the above representation, it concludes that out of 53 respondents 8

respondents uses digital banking Once/Twice a month, 15 respondents use digital
banking Once/Twice a week, 9 respondents use digital banking Everyday, 14 respondents
uses digital banking Sometimes and 6 respondents doesn’t use digital banking, Which
comprises of 15.4%, 28.8%, 17.3%, 256.9% and 11.5% respectively.

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 6. Points which attract respondents for digital mode of banking

From the above representation, it concludes that the 53 respondents Majorly use digital
banking Because of Fast transaction and because it’s convenient.

7. Future banking need:

From the above representation, it concludes that out of 53 respondents 15 are in need of
credit card, 11 in need of debit card, 10 in need of life insurance, 10 in need of a new ICICI
account, 5 in need of home loan, 4 in need of car loan, 3 education loan, and 3 in need of
some other needs and rest are not in need of any product, which comprises 28.3%, 20.8%,
18.9%, 18.9%, 9.4%, 7.5%, 5.7%, 5.7% and 41.5% respectively.

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 FINDINGS
 People are more inclined over Digital Banking.
 Most of the Respondents prefer public sector banks over ICICI
 Respondents do have various needs however they prefer not to avail them during the
crisis and keep cash handy for emergencies.
 Most of the Respondents prefer digital banking rather than visiting a physical branch.
 The respondents consist of mainly students or those who are newly working, and prefer
those banks which provides good service and have minimum requirement of balance.
 Few of the respondents were elderly and prefer physical branch rather than digital
banking, main reason is that they don’t trust digital banking and they don’t know how
to use it.
 As naraina is divided in 3 parts (NARIANA VILLAGE, NRAINA VIHAR, NARIANA
INDUSTRIAL AREA), all 3 area have different needs and standard in village people prefer
HDFC or SBI banks over ICICI and prefer not u avail debit card or such services, in Vihar
section The people have high living standard and mostly uses Digital banking and have
all the services of debit/credit and have different investments too and in the industrial
area People are more into loans and policies and have no such need for debit/credit or
investments.
 Major reason for using digital banking among the respondents is fast and convenient
transactions.

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 RECOMMENDATIONS

 Educate elderly aged People about e-banking and convincing them that its safe and
reliable.
 Due to pandemic people are facing monetary losses, and to catch a big segment of
population from naraina ICICI bank should give more offers and rewards to attract more
customers.
 Paytm is in boom in nariana, as most of the shops here have gone digital hence
promoting the digital banking/imobile will increase the ICICI reach.
 Majority of the people from naraina village are tenants and living with big families
hence ICICI can track such people and offer education load or house loans to those.
 In Naraina There are many institutes/ coaching centres and Tie-up with them to
promote education loan will be very beneficial.
 Providing POS machines to the retail stores ate cheaper rate will also increase the
customer reach.

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 BIBLIOGRAPHY

 https://www.knightfintech.com/knowledge-center/articles/learning/structure-of-the-
indian-banking-system
 https://www.icicibank.com/Personal-Banking/products.page
 https://en.wikipedia.org/wiki/ICICI_Bank
 https://www.icicibank.com/aboutus/history.page
 https://www.investopedia.com/terms/m/micromarketing.asp
 https://g.co/kgs/7FeLeC
 https://www.toppr.com/guides/general-awareness/banking/structure-of-banking-in-
india/
 https://www.studocu.com/in/document/the-maharaja-sayajirao-university-of-
baroda/mba/other/micro-market-study-for-icici-bank-for-silvassa/14203035/view
 https://geoiq.io/places/Block-B,-Naraina/kqYAqTBLA7#:~:text=The%20neighbourhood
%20Block%20B%2C%20Naraina,is%20about%200.14%20square%20kilometer.

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