CIA 3

SUBJECT: MARKETING OF BANKING FINANACIAL SERVICES

TOPIC: HDFC BANK
SUBMITTED TO: ANURAG JAIN SIR
SUBMITTED BY: GROUP 5(MHR 2ND SEM)
GROUP MEMBERS
ERAGAM JEEVANA SOWJANYA 20MBAR0527
DIVYA SINHA 20MBAR0388
S. KAILASH KUMAR 20MBAR0274
SHREE HARI.R 20MBAR0196
RISHI GANESH 20MBAR0570
VIVEK. S 20MBAR0658
SUBHITCHA 20MBAR0301
INTRODUCTION:
HDFC Bank Limited is an Indian banking and financial services company, headquartered in Mumbai,
Maharashtra. HDFC Bank is India’s largest private sector bank by assets and by market capitalisation
as of April 2021. It is the third largest company by market capitalisation on the Indian stock
exchanges. Bank was incorporated in 1994 as a subsidiary of the Housing Development Finance
Corporation, with its registered office in Mumbai, Maharashtra, India. Its first corporate office and a
full-service branch at Sandoz House, Worli were inaugurated by the Union Finance Minister,
Manmohan Singh. As of 30 June 2019, the Bank's distribution network was at 5,500 branches across
2,764 cities. The bank also installed 430,000 POS terminals and issued 23,570,000 debit cards and 12
million credit cards in FY 2017. It has a base of 1,16,971 permanent employees as of 21 March 2020.

Products and services

HDFC Bank provides a number of products and services including wholesale banking, retail banking,
treasury, auto loans, two-wheeler loans, personal loans, loans against property, consumer durable
loan, lifestyle loan and credit cards. Along with these various digital products are Payzapp and Smart
BUY.
Brand visibility:

Reaching out to nook & corner of the country has helped the brand in increasing its visibility in the
market is not only metro or urban but also in the suburban center
BRAND MANAGEMENT OF HDFC:
Bank has the majority of its customer base who are tech-savvy, Young and are more inclined to
products coupled with technology. Product & services offered by the company are targeted to salaried
class, entrepreneurs, and High net worth Individuals (HNI’s). Bank has positioned itself as a preferred
provider of financial services by incorporating technological advancement in its core businesses. The
brand strategies of hdfc are creating product awareness, enhancing usage, sending personalized
mailers about the various product, contact with during these mass promotions. HDFC promotes itself
as the bank focuses on quality and not on quantity and deliver quality products to the customers. Its
branding strategies include tie-up with other brands, social media marketing. They launched
marketing campaigns to spread awareness about the products. The famous campaign of HDFC is the
festive campaign is looking at covering a wide range of categories including online as well as offline /
in-store offers and it is also tied up with large brands / OEMs such as Apple, Samsung, Benelli,
Suzuki, Hero, Hyundai, Mahindra, Audi etc.
Famous Festive season campaign:
https://youtu.be/dK3OHTtF2w0
HDFC Bank launched co-branded credit cards of Diners Club International. The tie-up marks the
comeback for Diners Club credit cards in India. These are the exclusive range of cards:
HDFC Bank Diners Club Black
• HDFC Bank Diners Club Premium
• HDFC Bank Diners Club Rewards etc
Recently it cobranded with Indigo to launch a co-branded credit card which will effectively work like
a loyalty program for the carrier. It offers many benefits like offering complimentary air tickets ,
cashback, Reward points on indigo bookings. co-branding helps to increase the market strength
brand awareness, Brand loyalty, positive associations etc
Branding in rural areas:
‘Har Gaon Hamara’ initiative whose objective is to reach the interiors of India and create awareness
of various financial, digital products and social security schemes in line with the government’s vision
for financial inclusion. In the process, ‘Har Gaon Hamara’ aims to create an understanding and a
conducive mechanism for agriculturist towards the formal banking in semi urban and underserved
areas. They have launched Toll free numbers to support the customers. They have initiated Adwalls
Campaign. HDFC Bank’s wall painting campaign are promoting their products like HDFC Gold
Loans, NRI Services, Vehicle loans, CASA facilities (current account and saving account) and
Grameen Mahotsav Product, a loan for agricultural products. Adwallz painted the walls with the
details of the products and services in regional languages. The paintings were done in the language as
per the regions
Branding strategies amid pandemic:
 For its customers, HDFC Bank removed minimum balance requirement, charges for cash
withdrawal from ATMs etc.
 From the societal benefit point of view, the brand did a marketing innovation by launching
#SafetyGrid campaign – it put its logo grid on the ground in front of essentials stores like
grocery and medical stores to ensure that people practice social distancing.
 The brand created a song of hope and positivity with the famous music composer A R
Rahman to boost the morale of Indians.
 There was a focus on safety and digital ways of banking in all its social media engagements

BRANDING PROCESS:
HDFC Bank, India’s second largest private sector lender, has decided to roll out an
aggressive brand campaign to cement its position as a digital bank. According to Parag Rao,
head (cards, merchant acquiring business and marketing) HDFC Bank, this is the “largest
ever brand campaign undertaken by the bank”. He said this is in line with the bank’s
philosophy of transforming itself into a digital bank. HDFC started journey of transforming
ourselves into a digital bank a year ago with our digital campaign, ‘Bank aapki mutthi main’.
Our objective has been to offer everything on the digital medium and with this in mind, we
launched several products such as 10-second loans, payzapp, etc on the digital platform.”
The bank decided to become a “digital bank” after its managing director Aditya Puri’s visit to
the Silicon Valley. Several investors cautioned him that banking was going to become
‘obsolete’ and banks were going to be a ‘dinosaur’, as technology players were looking at
ways to oust lenders. The lender has been successful in the transformation process, they have
decided to flag off this advertising campaign, which will be launched shortly and will run
over a course of two-three months. “We will be communicating via all the seven channels to
the customers — print, television, radio, digital, outdoor media, amplified internal
communications, automated teller machines (ATMs) and bank branches. The lender has
4,101 branches and 11493 ATMS. With these campaigns, the bank is also looking at
targeting and acquiring new customers. To push its digital focus, the bank took a slew of
initiatives this year. These include a mobile application that allows a customer to meet his or
her shopping and payment requirements; personal loan in 10 seconds; and auto loans within
30 minutes using the biometric authentication. Now the bank is set to launch top-up loans on
the existing auto loans in nano-seconds as well. The digital strategy has already begun to pay
off and the bank has seen robust growth on this channel. In FY15, 63 per cent of the total
transactions were carried out on the internet and mobile compared with 55 per cent in FY14
and 44 per cent in FY13.

BRAND EQUITY OF HDFC BANK

 Brand equity is a marketing term that describes the value of a brand. That value is
determined by consumer perception of and experiences with the brand.
 HDFC Bank Ltd has again emerged as the most valuable brand in India in 2020,
despite its ranking seeing an 11 per cent decline from 2019
 HDFC Bank has been ranked India’s Most Valuable Brand for the 7th consecutive
year. Known as the ‘2020 BrandZ Top 75 Most Valuable Indian Brands,’ the survey
values the HDFC Bank brand at $20.3 billion. HDFC Bank’s brand value over the
past 7 years, has grown from $9.4 billion in 2014 to $20.3 billion in 2020.
 Launched in 1994, India's HDFC Bank is now the world's 10th most valuable
bank and has surpassed Citibank and HSBC in worth standing at about $90 billion.
 HDFC Bank has been consistent in its financial performance and customer
experience. Consistent marketing efforts over the years has led the brand maintain a
leadership position on brand awareness and consideration. As a brand, HDFC broke
the regular category conversation around uncertainty and established our core emotion
around self respect and pride, introducing the concept of financial independence and
enabling people to live with their head held high.
 The brand tagline ‘Sar Utha Ke Jiyo!’ represents this philosophy. This year, HDFC
Life featured in BrandZ Top 75 Most Valuable Indian Brands 2019 by WPP and
Kantar in India. Ranking 27th, we featured as the most valuable private insurance
brand. Trust is an important key driver of brand value, with its impact on corporate
 performance a key theme in this year’s BrandZ ranking. This is exemplified by HDFC
Bank, which continued to build trust by clearly communicating the benefits of its
products to consumers and delivering differentiated financial services offerings
consistently and repeatedly.
 Since its inception, the bank has reached far and beyond into India’s “mega-cities and
rural backwaters”.
 With its “unlikely formula” of serving “consumers and firms” and steering clear of
“wilder reaches of investment banking and foreign adventures”.

MARKETING MIX OF HDFC BANK

Marketing Mix of HDFC Bank analyses the brand/company which covers 4Ps (Product,
Price, Place, Promotion) and explains the HDFC Bank marketing strategy. There are several
marketing strategies like product/service innovation, marketing investment, customer
experience etc. which have helped the brand grow.
Marketing strategy helps companies achieve business goals & objectives, and marketing mix
(4Ps) is the widely used framework to define the strategies.

HDFC Bank Product Strategy:

The product strategy and mix in HDFC Bank marketing strategy can be explained as follows:
HDFC Bank is one of the leading banks in India. HDFC offers a wide range of products in its
marketing mix strategy, namely in personal and enterprise sector. The various services
offered by HDFC Bank are summarized as follows. Accounts and deposits which covers
savings accounts, salary accounts, current accounts, deposits, safe deposit lockers, rural
accounts and pension accounts. HDFC Bank offers loans to meet the diverse needs and it
cover personal loans, car loans, business loans etc. HDFC offers cards which include credit
cards, debit cards, prepaid cards, credit card reward programs and loan on credit card. Demat
options for investors which includes demat account, 2 in 1 account, 3 in 1 account and
investment assist. Investment options covering Invest Track, investment products, investment
advisory group reports, PPF (public provident fund) and sukanya samriddhi account are
provided to HDFC customers. Insurances for various options like life, health, motor
insurance, travel, home, two wheeler and student travel - suraksha. Forex includes travel
solutions, remittance products, other forex services for help and purchase.
HDFC Bank also includes online payment options like Pay bills and shop online, Fund
transfer options, bill payments, tax payment, donate online etc. The premier options include
Direct equity, Mutual funds, Fixed income products, Insurance, Private equity funds,
Structured products and Estate planning

HDFC Bank Price/Pricing Strategy:

HDFC Bank follows a competitive pricing strategy in its marketing mix but maintains a
premium level at the same time.
It is clearly visible that it enjoys maximum market capital in terms of shares in India. The
other domestic competitors are either PSUs or national bank, HDFC Bank is always priced
higher in terms of minimum cap required to open a new account. RBI controls and regulates
the pricing policies, like for any other bank in India.

HDFC Bank Place & Distribution Strategy:

Following is the distribution strategy of HDFC Bank:
HDFC banks have got a strong presence all across India. Till 2016, HDFC outreached 4500+
branches in approx 2600 cities/towns with 12000 ATMs. HDFC Bank makes sure that its
presence is felt in each and every corner of the nation and every individual should avail its
facilities equally. HDFC has its major offices in cities and towns for smooth operation
process. Its website is well designed and well maintained.

HDFC Bank Promotion & Advertising Strategy:

The promotional and advertising strategy in the HDFC Bank marketing strategy is as follows:
HDFC Bank focuses a lot on the promotional strategy in its marketing mix. HDFC is
involved in large number of CSR activities for sustainable livelihood, financial literacy,
education, training and community initiatives. HDFC has always made its presence feel in the
media through advertisements, hoardings, posters, ads in newspapers, magazines,
promotional events, sponsorships, etc. HDFC also has shareholdings in corporate bodies,
mutual funds, financial institutions, etc which creates a sense of value and trust amongst the
shareholders and customers towards this particular brand.
Since this is a service marketing brand, here are the other three Ps to make it the 7Ps
marketing mix of HDFC Bank.

People:
HDFC Bank gives strong importance on its people ie customers and employees. Through its
multi demographic culture it is clearly visible that HDFC believes in diversity and inclusion.
In India it has spread its offices geographically in every state, to spread awareness to the
maximum number of people. With the help of this advanced technology, HDFC bank
employees will be highly satisfied and they will always get competitive edge over others.

Physical Evidence:
HDFC provides best in house facilities with up to date infrastructure and global environment
in all its offices. The complete setup helps the employees to experience the best work
environment so that they perform as per the organization’s expectations. HDFC offices,
branches, credit cards, website etc are all the physical evidence of the brand.

Process:
HDFC bank has several business processes like all other financial institutions. Through the
various social activities and best practices HDFC maintains a good relation with its customers
and investors, which in turn avoids a bad ‘word of mouth’. All these helps the organization to
grow in long term and motivates its employees to continue being loyal to it and give their
best throughout their tenure. The customers are also successfully retained and new ones are
attracted. Hence, this concludes the marketing mix of HDFC bank.
EFFORTS MADE BY THE HDFC TO ATTRACT CUSTOMERS:
HDFC had a several business process for both the personal and financial institutions. Because
of the social activity and particles the HDFC maintain a good relation with its customer and
investors that created a non-paid promotion for the bank and created a good brand image in
the mind of the people. The bank adapted different methods to attract more customers that
was developed through years to improve the quality of services, stronger their distribution
channels because of which the bank is among the top two banks in Indian. The bank has hug
consumer support as it provides both banking services and financial product associated to the
brand.
The key methods that was used by HDFC for promotion was advertising that was followed
by different social helping activities for the sustainability for stability of livelihood, education
that create a good brand name.
MARKETING MTHODS ADPOTED BY HDFC TO ATTARCT THE CONSUMER:
 COSTOMER RETENTION:
This method gave various advantage to the consumer such as all the charges were waived off,
services like locker de-mate account were created to the consumer at 50% charge. At the
same time charges on debit and credit cards were called off.
 Provision cover:
The bank increased the cover on loans. The HCFC stick to its 30% of profit during the both
good and bad time of the business. That interest in income increased by 22% and growth of
income was increased by 30%.

 ATM:
Availability of ATM in different location around 10,000+ ATM was setup in different
location. As under a survey it was found that 83% of the active customer use ATM most
frequency.
 LAUCHING OF MOBILE BANKING IN HINDI:
During the starting period the mobile banking was only available in English medium that was
not accessible by all. The HDFC developed mobile banking in Hindi with a target the Hindi
specking people in India for the android smartphone users.
 LAUCHING NET SAFE CARDS:
In order to reduce the online brands and make it easy to accessible the single-use virtual cards
were created that can be used for online shopping that gives complete security.
Video description ( promotional material):
Video: https://youtu.be/DljI5HwhMkc
Focusing on building preference for HDFC car loan and insurance in the minds of their
stakeholders as well as creating a need for life insurance, its categories and products. With
the ever-changing needs of the consumers, their financial needs have become very dynamic.
To remain relevant and stand out in the media clutter, their brand initiatives this year
revolved around authentic stories and experiences.
In this advertisement, they guide the customers in a way how to buy a car and about the steps
to be carried out for it. Consider usage, set budget and explore financing options, Automatic
or manual, Petrol or diesel or CNG, Sell or exchange old car, transfer existing insurance are
the steps discussed. By doing this the HDFC bank tries to speak about the financial options
like EMI and insurance. This creates an awareness to the customers about the available
services.