Assignment – Segmenting & Targeting

Company assigned to respective groups:

G1 IDFC FIRST
G2 ICICI
G YES
G4 AXIS
G5 HDFC
G6 IDFC FIRST
G7 ICICI
G8 YES
G9 AXIS
G10 HDFC

Product Categories:

1. Deposits (Refer link below for more info on types and sub types)
- https://www.bajajfinservmarkets.in/fixed-deposit/types-of-fixed-deposits.html
(Suggest 2 in all, each from different sub categories of your company)

2. Mutual Funds (Refer link below for more info on types and sub types)
- https://cleartax.in/s/mutual-fund-types
(Suggest 3 in all, each from different sub categories of your company)

3. Insurance (Refer the link on Acko for a reference understanding on the various types of insurance)
- https://www.acko.com/articles/general-info/types-of-insurance/
(Suggest 2 in all, each from different sub categories of your company)

4. Loans (Refer link below for more info on types and sub types)
- https://www.bajajfinserv.in/insights/the-different-types-of-loans-available-in-india
(Suggest 2 in all, 1 each from different sub categories of your company)

5. Card
- https://cleartax.in/s/credit-card-types
(Suggest 1)

6. Stock Market – Demat / PMS /Advisory services Etc.

- https://www.motilaloswalmf.com/knowledge-centre/investment-faqs/portfolio-management-services
- https://www.tflguide.com/portfolio-management-services-in-india-pms/
- https://www.angelone.in/investment-advisory
 - https://cleartax.in/s/mutual-fund-advisor
(Suggest 1 or 2)

Please note that I have put only the group’s name (E.g. ICICI) against your name. You are expected to study on net the sub product served by your group and its sister company’s
(e.g. ICICI Prudential for Insurance etc.) in each of the above product categories and eventually suggest products against each category that your group’s feels to be apt against
each of the segments mentioned below.

You will explain:

1. The details of the sub product of your choice (e.g. if you choose Axis Mutual fund Large cap fund for a segment below, what it means).
2. Your group’s reason for choosing this sub products over the others for the respective segment and also your teams specific approach or strategy for a particular segment
– (This can be tricky, because if my reading of my students is correct then I will surely expect a lot of cross questions here and your group’s defense will determine your
score).
3. In respect of some companies it can also include companies that also sell products on behalf of other companies for a said fees. (For e.g. Shriram Groups deposits can be
bought thru SBI bank).
4. PLEASE NOTE – I will need the exact name of the sub product (For e.g. (In Mutual Funds) Kotak Mahindra bank fund is selected and why it was selected over its Multi cap
or small cap for a particular segment the teams should explain).

Target Segments to sell products to:

1. The Reformer

Socially aware and prides himself on tolerance. They are often perceived as intellectual people. The core need in life is for enlightenment.

2. The Mainstream

These people live in a domestic and everyday world full of daily routines. They respond to big, established brands because the core need in life is for security.

3. The Struggler

Tend to live for today and have few plans for tomorrow. They are often seen as people with few aims and few resources. The core need in life is for escape.

4. The Resigned

Predominantly older people with unchanging values and gravitate towards nostalgia. They respect organizations that conduct themselves in more traditional fashion since
they are driven by a need for safety and economy.

5. The Explorer

Often the first to try out new ideas and experiences. They want to be seen as different or unique. The core need in life is for discovery.

6. The Aspirer

Materialistic and acquisitive people who are driven by others’ perceptions of them rather. The core need in life is for status — image, appearance and fashion.

7. The Succeeder
 Has strong goals, knows where they want to be, and has a plan on how to get there. They seek reward and prestige. The core need in life is for control.

8. Minimalists
Low level of self-confidence & low faith in financial institutions.

9. Opportunists
High level of self-confidence but no respect for financial institutions and will swap if he sees a better opportunity.

10. New Grads

Low level of confidence but with a high level of respect and awe for the financial institutions.

11. Careful Toms

Very Active financially, have a tendency towards low risk financial products unless very sure of it. Not a big fan of credit cards.

12. The Confused

Relatively well off, educated too but not much planning on their own wealth, like sometimes eve keeps reasonably big amount idle in low paying investments.

13. Newly Returned NRI

Wealthy, educated, not so well informed but will always cross check for facts, is careful and doubtful of financial marketers.

14. Newly returned NRI

Wealthy, Uneducated, not so well informed but is proud and arrogant about his financial accomplishments, is a risk taker but will not understand de-growth of his wealth.

15. Mid-sized - Agriculturist

P.S. – As also suggested in class, delegate the work amongst the 7-8 members of your group so that there is a focused study and approach and then eventually merge so that
every member knows the approach of the team for all the products).

Your Report would ideally look like below:

Example – Company name - SBI

Segment: Careful Toms

Reasons for choosing the product (IN DETAIL)

Sub Category
Category Product Category Name & Details of the Products (Min.2 reasons to justify your selection of
(where applicable)
product)
1.Xxxxx
Deposits 1.Bank Deposits 1. FD SBI 5 year tax saver FD / Flexi fd 2.xxxxx
3.xxxxx
 4.xxxx
1.
2.Corporate Shriram Gold fund / Shriram Transport 2.
FD (5 YEAR LOCK IN)
Deposit Deposit 3.
4
1.
Large cap /Multi cap 2.
1.Equity Fund SBI Blue Chip / Multi cap fund etc
3.
4
1.
2.
Mutual Fund 2.Tax Saving Large cap elss
3.
4
1.
3.Hybrid / 2.
Arbitrage fund 3.
4
1.
2.
1.
3.
4
Insurance
1.
2.
2.
3.
4
1.
2.
1.
3.
4
Loans
1.
2.
2.
3.
4
1.
2.
Cards 1.
3.
4
1.
2.
Stock Market 1.
3.
4