In the Indian market, HDFC is a significant provider of financial services.

The headquarters of the private

sector baking company are in Mumbai, Maharashtra. The firm was founded in August of 1994, and its
first branch opened in February of 1995. On February 18, 2019, it celebrated its 25th anniversary by
launching its 5000th branch in Mumbai. HDFC has had rapid expansion in the Indian market and
maintains a strong physical presence across the country. The company provides a wide range of financial
goods and services to individuals, corporations, small businesses, and government entities. The goal of
HDFC is to meet the different banking needs of Indians. It is also one of the most prominent suppliers of
digital banking services in India.

The firm has swiftly expanded its range of services targeted towards semi-urban clients as a key
participant in the Indian financial services market. More than half of the company's retail stores are in
India's semi-urban and rural areas. Demand for digital financial services in rural regions has also
increased, opening up new prospects for banking and finance businesses. The web of services offered by
HDFC is constantly developing. Its huge physical network of banking locations and ATMs across India
enables it to service clients in every corner of the country. To improve its social image, the corporation is
also investing in social responsibility.

Product:

HDFC provides a wide range of goods and services, including internet banking, savings and current
accounts, financial loans, debit and credit cards, investment choices, and more, all of which are tailored
to meet the banking needs of Indian consumers from all demographics. The retail banking services
offered by HDFC to individual customers have progressed significantly. In India, digital technology has
assisted the rapid expansion of financial services.

Personal and online banking services by HDFC:

Current, savings, salary, Demat, and other accounts, as well as credit cards and a variety of money
transfer alternatives, are all available through HDFC's personal banking services. Using a smartphone,
HDFC's mobile banking software allows users to make online payments and perform a variety of
operations such as paying bills, moving money to other accounts (HDFC and other banks), and applying
for extra services.

Credit Cards by HDFC:

HDFC has a far broader choice of credit cards to meet the demands of various consumer categories than
most other Indian banks. HDFC offers premium, super-premium, cash-back, normal, commercial, and
other credit card categories that cater to the needs of businesses, professionals, self-employed people,
and other types of customers. Consumers in cities can utilise personal banking services to access online
services and pay bills using credit and debit cards or e-banking.

Investment options by HDFC:

Customers may choose from a variety of attractive investing alternatives,
including Demat accounts, mutual funds, stocks and derivatives, and more.
Loans targeting different needs of consumers:
HDFC has a wide selection of loan solutions for different types of customers. It provides a variety of
loans to individuals and companies to meet a variety of requirements and conditions. Apart from house
loans, personal loans, and company expansion loans, HDFC also provides automotive loans, education
loans, and special loans to rural customers. The firm offers two-wheeler, three-wheeler, superbike, and
new or pre-owned car loans in the field of automobile loans. Consumers may also borrow money from
HDFC using their assets as collateral. HDFC, for example, provides credit card loans, gold loans, and
loans against stocks, property, and automobiles.

HDFC Life Insurance:

Protect Life, Secure Children's Future, Protect Life and Grow Wealth, as well as
pension programmes, are some of the life insurance alternatives offered by HDFC
to its customers. Personal and accidental policies, such as Mediclaim, Critical
Illness insurance, personal accident insurance, and a Super Top Up health
insurance plan, are also available from HDFC. Private automobile, two-wheeler,
and commercial vehicle insurance are all available via the organisation. Travel
insurance, house insurance, and cyber insurance are some of the other forms of
insurance that HDFC offers. PM Mudra Yojana, Atal Pension Yojana, Jyoti Bima
Yojana, and Pradhan Mantri Jeevan Yojana are among the HDFC social security
plans available to customers.

Place:
HDFC's headquarters are in Mumbai, India. However, through its banking locations and ATMs, the
financial services industry has retained a widespread presence in India. The firm is constantly extending
its physical network across India, even in rural regions. HDFC's physical network comprises 5,103
banking branches and 13,168 ATMs in 2,748 cities and towns during the most recent fiscal year (Annual
Report 2018-19). More than half of the company's banking locations are in semi-urban and rural areas.
HDFC is serving more than 4.9 crore clients directly or indirectly as it celebrates its 25th anniversary. The
corporation added 316 banking locations in the most recent fiscal year. HDFC's entire network has a 53
percent share of semi-urban and rural outlets, reflecting the bank's concentration on the rural and semi-
urban market (Annual Report 2018-19).

Price:
When it comes to pricing, HDFC's approach is competitive when seen in the context of banking and
financial services, but its rates or charges may be higher when compared to rival public sector suppliers.
The corporation, on the other hand, is aiming to make its services available to clients from all parts of
India, especially those living in rural and semi-urban regions. While banking with public sector banks can
be more cost-effective in some cases, HDFC consumers feel the bank to be better acceptable for their
banking and insurance needs for a variety of reasons. Apart from excellent service, HDFC is the most
chosen bank for a variety of reasons, including its affordable interest rates.

HDFC provides low-cost banking services to its consumers in both rural and urban locations. The
organisation provides hassle-free services at low pricing, whether it's creating a new account or taking
out a loan. People in rural regions just require INR 2500 as a minimum average balance.

Consumers in cities and semi-urban areas have a higher Minimum Average Balance restriction. At HDFC,
loan rates and credit card interest rates are both reasonable. However, as compared to public sector
service providers, the fees for processing loans and interest rates may be greater. HDFC charges up to
2.5 percent of the loan amount in loan processing fees. In comparison to most other Indian banks, this is
a tad costly. The organisation also guarantees that its clients, whether in India or elsewhere, have the
utmost ease when using its services. While its services may appear to be a bit pricey in comparison to
others, the degree of convenience it provides more than compensates for the costs. Most clients find it
quite reasonable because every HDFC bank account comes with specific benefits, the majority of which
make it worthwhile to bank with India's biggest financial institution.

Promotion:
Apart from conventional marketing and promotion channels, HDFC promotes its brand and services via
digital technology and other new tools and approaches. From its website, the firm offers its services,
which include credit cards, loans, and other products. As a significant financial services firm in India, it
has amassed a sizable market share throughout time. Because of its ongoing focus on consumer
convenience, HDFC has a great brand equity. Through its commitment to service, it has been able to
gain the trust of its clients. However, the business also advertises itself through other digital platforms,
such as social media. HDFC Bank's Facebook page has over 2.8 million followers. Twitter is also used by
the corporation to market its products and services. HDFC is one of India's most technologically
sophisticated financial service providers. In addition to banking via your mobile device, you can enjoy
highly secure transactions and more creative features than other providers. It has consistently
prioritised increased consumer convenience and financial data security, resulting in positive word-of-
mouth and a great competitive edge over its major competitors, including government banks. Its digital
offerings, such as the smartphone app, are far more advanced, allowing it to give services to a wide
range of clients in a seamless manner.

Customer loyalty has increased as a result of a greater emphasis on customer care, as well as a stronger
company image overall. At the touchpoints, such as banking shops and ATMs, there is a lot of marketing
going on. For HDFC, the banking locations serve as both marketing and sales vehicles. Its customer care
staff work hard to keep existing customers informed and to attract new ones. As a result, HDFC's client
base in India has increased rapidly. HDFC is regarded as a respectable and trustworthy financial services
company that offers unrivalled service quality and overall comfort. Outdoor advertising and promotions,
as well as print and media advertisements, are used by the brand to promote certain items or services.
Aside from that, the corporation invests in social activities in order to project a socially responsible
image in its core market. Its social programmes, dubbed the Parivartan movement by the bank, are
affecting millions of people across India. HDFC has also received several honours and plaudits for its
outstanding contributions to Indian banking. In its annual study of global banks, Forbes rates HDFC as
India's top bank. In addition to digitization, marketing, and digital security of online transactions, the
firm has won a number of additional honours.

People:
Apart from the other categories, HDFC also excels in human resources. The organisation focuses solely
on hiring and training employees that can assist the company realise its aim of being a "World Class
Indian Bank." The business strategy of HDFC is based on five basic values. Operational excellence,
customer focus, product leadership, people, and sustainability are the pillars on which the company is
built. Apart from being an essential core value, the company's employees' pleasure and contentment
are also a strategic focus. The organisation believes that its success is ultimately determined by the great
quality of its employees and their amazing efforts. As a result, HDFC seeks for, develops, inspires, and
retains the top talent in the banking and financial services industries. The number of permanent workers
at HDFC was 98,061 as of March 2019. In addition to competitive salary and other significant bonuses,
the firm focuses on other elements of HR management. It educates its staff on how to deliver world-
class customer service and conducts frequent performance reviews and management so that employees
may advance in their careers. The median compensation of HDFC workers increased by 10.31 percent
for the fiscal year 2018-19. (Annual Report 2018-19). Employee happiness is constantly prioritised at the
organisation, which provides the suitable work environment as well as all other necessary resources and
tools for employees to reach their full potential.

For individuals interested in pursuing a successful career in banking, the organisation has created a
customised recruiting and training programme. HDFC's Future Bankers programme aims to recruit and
develop young people interested in pursuing a career in banking. This curriculum seeks to develop
recent graduates into well-trained customer service representatives. Apart from on-campus instruction
for the first six months, the learning programme also includes a six-month internship. Successful
candidates will receive a post-graduate diploma degree as well as a full-time employment offer from
HDFC. Candidates will gain knowledge and skills in fundamental banking areas such as banking products,
procedures, systems, regulations, and compliance frameworks that are used in everyday banking
operations as part of this training programme. The major goal of this programme is to address the
banking industry's scarcity of skilled personnel and develop future banking leaders.

Processes:
In order to deliver hassle-free banking to all of its clients, HDFC places a high priority on the efficiency of
banking operations. In recent years, the corporation has made significant investments in digital
technology and artificial intelligence (AI) in order to make banking safer and more accessible. In terms of
digitization and security, HDFC Bank now leads the Indian banking market. The introduction of
customer-centric goods and services has always been a priority for HDFC. The bank places a high value
on innovative procedures and activities. In July 2014, HDFC launched its Digital Transformation and
Mobile Banking business as part of its Go Digital strategy. The DTMB team is dedicated on advancing
HDFC's digital innovations in the areas of digital, mobile, and social media. The organisation has
introduced a wide range of digital tools that make banking more convenient and safe.
Aside from its robust web banking portal and mobile banking app, the corporation has introduced a slew
of very popular digital banking products, including fast loans and a variety of additional apps. It has also
recently installed robotic assistants at HDFC Bank branches. Customers may soon see a humanoid in one
of the firm's city locations, as the corporation plans to debut humanoids in the domestic banking arena.
HDFC Bank also allows users to communicate with bank employees through chat and Facebook
Messenger and take advantage of numerous services like as bill payments, event reservations, and trip
bookings to make banking even more convenient. Overall, the firm has been able to enhance the
process of banking and transactions by utilising AI, Augmented Reality, and digital technologies to make
them much quicker, faster, more comfortable, and safe.

Physical Evidence: 
In this digital age, a big number of clients use their cellphones and smartphone applications to conduct
banking transactions and access their bank accounts online. HDFC, on the other hand, has a large
physical network that stretches across India, including rural areas. Customers may access the majority of
services online, but they can also visit a nearby office to speak with a representative in person or inquire
about new goods or services. The usage of paper has practically been removed from most operations
due to the rising popularity of online banking.

Customers may complete most forms online and apply for loans using their cellphones or desktops.
However, there are a few instances where a consumer may prefer to speak with a representative face to
face. They can contact HDFC at any of its touchpoints across India in this scenario. While there are other
banks in India with a large network, HDFC's stores and ATMs are clearly identifiable thanks to their
distinctive emblem and blue, white, and red colours. The number of HDFC ATMs around the country has
increased rapidly, allowing users to withdraw money and use other services.

Pattern of demand fluctuation

HDFC Bank says it will double retail loans, sees

'robust demand' in economy
Uncertainty is declining as businesses seek to bolster growth after Covid-19, says the
bank's country head for retail assets.

As consumer demand recovers from a pandemic-induced slowdown, India's largest private lender, HDFC
Bank Ltd., expects to quadruple the amount of loans it gives to retail borrowers over the next two years.

Uncertainty is fading and demand is growing as firms attempt to boost growth following Covid-19. It's a
chance to reverse the market's dropping percentage of loans to this category, which was necessary to
maintain asset quality.

“They are planning to double our retail assets book in a focused manner,
Of the bank’s total 11.5 trillion rupees ($156 billion) loan book, , which is expected to
reach almost 8 trillion rupees within the next two years.

If successful, this would be a significant shift from the bank's policy a year ago, when it reduced retail
lending to safeguard its asset quality while the pandemic resulted in millions of job losses and company
closures.

From an average of 54 percent to 55 percent earlier, HDFC Bank's retail lending share of overall loans
decreased to 47 percent in March, the lowest in at least five years. The nation's most valued bank has
the lowest bad-loan percentage among peers and is currently focusing on unsecured loans for salaried
workers, auto loans, and government business.

In the June quarter, the Mumbai-based lender's retail loans increased 9.3% slower than its entire book,
which expanded 14.4%. That's much less than rivals like State Bank of India, which grew its portfolio by
16.5 percent, and ICICI Bank, which grew it by 20%. Nonetheless, as an unexpected and more deadly
fresh wave of the virus swept through India in the June quarter, lenders noticed a jump in bad loans in
retail lending.
Complaint handling procedures

To deliver exceptional customer service to all segments of customers, HDFC Bank recognises the need of
timely and effective processing of complaints, as well as swift corrective and preventative steps to
enhance operations.

To do this, the bank has a well-documented procedure for resolving consumer complaints. This policy,
however, has been adequately updated in accordance with RBI standards stated in paragraph 16 of the
Master Circular on Customer Service dated 3 November 2008, and is being presented for the Board's
approval. The bank will ensure that a sufficient process exists for receiving and addressing complaints
from its customers / constituents through this policy, with a particular emphasis on resolving such
complaints fairly and promptly regardless of the source of the complaints.

The policy seeks to ensure that:

 The Bank shall comply with the Grievance Redressal Procedure outlined in Paragraph 7 of the
Banking Code and Standards Board of India (BCSBI) Code of Commitment to Individual
Customers, as well as Paragraph 16 of the Master Circular on Customer Service (RBI/2008-
09/261/DBOD.No.Leg.BC.75/09.07.005/2008-09) Dtd. 3rd November 2008.
 All customers shall have access to adequate information through different channels for the
purpose of seeking redress of grievances arising from any perceived shortfall in service by the
Bank or noncompliance with the Code of Commitment. This will be updated if and when any
changes in the procedures occur as a result of internal causes or changes in regulatory rules.
 To carry out the grievance redressal policy, the bank will prepare a thorough method
(Complaints Management Note). Every quarter, the Procedure will be reviewed and revised.
 Customers' complaints will be registered into the state-of-the-art web-based software Nexstep
CRM and Vision Plus (for Credit Card related complaints) if they are received verbally, by email,
or in writing. The bank will not only guarantee that all complaints are documented and handled,
but will also implement an efficient monitoring and escalation procedure to the senior
functionary in charge, ensuring that no complaints go unsolved.
 All complaints received at retail locations will be put into Nexstep CRM and followed up on by
the branches for resolution. Only once the customer's complaint has been resolved should
complaints be monitored and closed. The bank's Quality Initiatives Group will be in charge of
keeping track of ongoing complaints and providing assistance to ensure that they are resolved
quickly.
 Credit card complaints received over the phone will be recorded electronically at the moment of
consumer interaction with the bank and forwarded to the relevant backend unit for resolution.
 Except for complaints about collections, all complaints about retail assets will be handled by the
Retail Asset Central Complaint Management unit, which will guarantee that complaints are
processed within the required TAT.
 Collections complaints should be directed to the collections department, which will handle them
appropriately. Customers will be able to address their complaints about Retail Asset Collections
by calling a toll-free number or sending an email to a dedicated email address that will be
published in newspapers by the collections department. Customers can register for a Toll-Free
 number on the Bank's website, and any query/complaint relating to Retail Liabilities, Retail
Assets, Depository, Credit Cards, and Collections will be processed at this desk.To assist
escalation of complaints, the name and phone number of the code compliance officer will be
displayed in all Collection reminder letters.
 Customer queries/complaints relating to the nonretail segment will be handled by a dedicated
Client Service Desk (CSD).
 All complaints received by the bank's corporate office will be referred to the Grievan
ce Redressal Cell for timely resolution.
 A specialised staff under the Service Quality Unit will address all complaints received at the
Chairman's and Managing Director's desks from beginning to end. All complaints received at the
Chairman's and MD's desks will be updated weekly and reported to the Chairman and MD.
 All complaints submitted through the routes listed below will be processed centrally by an audit
and compliance department resource.
o Complaints received at the Reserve Bank of India's Corporate Office
o Complaints received from the Government of India at the Corporate Office
o At the Corporate Office, BCSBI complaints are received.
· Complaints received at the Corporate Office from the Consumer Forum
o Corporate Office receives CORE Centre complaints
 In accordance with Clause 15 (3), Chapter IV, of the Banking Ombudsman Scheme 2006, the
bank shall designate Nodal officers at various locations, and a list of state-by-state nodal officers
of the bank shall be made available on the bank's website and through displays at the branches.
The same will be updated on a regular basis.
 For any complaints received for or against HDFC Bank, the Bank shall offer an email address
(customer service@hdfcbank.com) to the National Consumer Helpline (NCH). The plan is for the
forum to forward these concerns to the Bank at the above-mentioned email address for action.
 In accordance with the Tarapore committee's recommendations, the bank would establish a
Grievance Redressal Cell. If a client is dissatisfied with the resolution offered by the front office
employees, he or she will be given the option of writing to the Grievance Redressal Cell, either
by e-mail or by letter. The Grievance Redressal Cell's contact information will be listed in all of
the Bank's branches as well as on the internet. The Unit will be in charge of resolving all
complaints received at their location.
 Customers will also be given explicit instructions on how to escalate the issue if the resolution is
not suitable or appropriate. Through posters at branches, the bank will take the required efforts
to raise consumer knowledge that if they are dissatisfied, they may approach the Branch
Manager, then the GRC, and finally the Banking Ombudsman.
 Complaints must be addressed properly and within a reasonable time frame, with clear advice
given to the consumer. If the resolution takes longer than expected, an interim answer
recognising the complaint will be sent.
 Customer complaints filed through email will only receive an email response. Customers who
file complaints through email will receive a final resolution answer from the bank's Email
Management Unit.
 Complaints and organised Customer Service Committee meetings will provide feedback that will
be examined and acted upon. The bank's Quality Initiatives Group will be in charge of driving
process improvement in collaboration with other departments.
 Internal mechanisms for registering and resolving complaints must function properly at all times
and be reviewed on a daily basis. In this aim, the Bank will establish a Complaints Management
Cell inside the bank's Quality Initiatives Group to monitor complaints filed in Nexstep CRM
software on a regular basis.
 At regular periods, the Bank's top management will analyse and examine the quality of
customer service provided by the Bank. The same will be considered in a meeting of the
Standing Committee on Customer Service and reported to the Board of Directors' Customer
Service Committee.