Blackbook Bhagya

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MARKETING STRATEGY OF DENA BANK

1. INTRODUCTION OF MARKETING:-
Marketing is the science of meeting the needs of a customer by providing

valuable products to customers by utilizing the expertise of the organization, at same
time, to achieve organizational goals. According to The American Marketing
Association marketing is the activity, set of institutions, and processes for creating,
communicating, delivering, and exchanging offerings that have value for customers,
clients, partners, and society at large.
With this definition, it is important to realize that the customer can be an

individual user, a company, or several people who contribute to the purchasing
decision. The product can be a hard good, a service, or even an idea – anything that
would provide some value to the person who provides an exchange. An exchange is
most often thought of as money, but could also be a donation of time or effort, or
even a specific action. A producer is often a company, but could be an individual or
non-profit organization.
ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

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1.1 MEANING OF MARKETING:-
Marketing are activities of a company associated with buying and selling a

product or service. It includes advertising, selling and delivering products to
people. People who work in marketing departments of companies try to get the
attention of target audiences by using slogans, packaging design,
celebrity endorsements and general media exposure.
1.2 DEFINITION OF MARKETING:-
The activities that are involved in making people aware of a

company's products, making sure that the products are available to be
bought, etc.

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1.3 CHARACTERISTICS OF MARKETING:-

1. Marketing mix is the crux of marketing process:-
Marketing mix involves many crucial decisions relating to each element of the
mix. The impact of the mix will be the best when proper weight age is assigned to
each element and they are integrated so that the combined effect leads to the best
results.
2. Marketing mix has to be reviewed constantly in order to meet the

changing requirements:-
The marketing manager has to constantly review the mix and conditions of the
market and make necessary changes in the marketing mix according to changes in
the conditions and complexity of the market.
3. Changes in external environment necessitate alterations in the

mix:-
Changes keep on taking place in the external environment. For many industries,
the customer is the most fluctuating variable of environment. Customers’ tastes
and preferences change very fast. Brand loyalty and purchasing power also change
over a period. The marketing manager has to carry out market analysis constantly
to make necessary changes in the marketing mix.
4. Changes taking place within the firm also necessitate changes in

marketing mix:-
Changes within the firm may take place due to technological changes, changes in
the product line or changes in the size and scale of operation. Such changes call for
similar changes in the marketing mix.
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5. Applicable to business and non-business organization:-

Marketing mix is applicable not only to business organizations but also to non-
business organizations, such as clubs and educational institutions. For instance, an
educational institution is expected to provide the right courses (product), charge
the right fees (price), promote the institution and the courses, and provide the
courses at the right place.
6. Helps to achieve organizational goals:-

An application of an appropriate marketing mix helps to achieve organizational
goals such as profits and market share.
7. Concentrates on customers:-
A thorough understanding of the customer is common to all the four elements. The
focus point of marketing mix is the customer, and the marketing mix is expected to
provide maximum customer satisfaction.

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1.4 Functions:-
1. Marketing Planning:
In order to achieve the objectives of an organization with regard to its marketing,

the marketer chalks out his marketing plan. For example, a company has a 25%
market share of a particular product. The company wants to raise it to 40%. In
order to achieve this objective the marketer has to prepare a plan +in respect of the
level of production and promotion efforts.
2. Product Designing and Development:-

Product designing plays an important role in product selling. The company whose
product is better and attractively designed sells more than the product of a
company whose design happens to be weak and unattractive.
3. Standardization and Grading:-
Standardization refers to determining of standard regarding size, quality, design,

weight, colour, raw material to be used, etc., in respect of a particular product. By
doing so, it is ascertained that the given product will have some peculiarities.
Products having the same characteristics (or standard) are placed in a

given category or grade. This placing is called grading. For example, a company
produces commodity – X, having three grades, namely A’. ‘B’ and ‘C’,
representing three levels of quality; best, medium and ordinary respectively.

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4. Packaging and Labelling:-
Packaging aims at avoiding breakage, damage, destruction, etc., of the

goods during transit and storage. Packaging facilitates handling, lifting, conveying
of the goods. Many a time, customers demand goods in different quantities. It
necessitates special packaging. Label is a slip which is found on the product itself
or on the package providing all the information regarding the product and its
producer. This can either be in the form of a cover or a seal.
5. Branding:-
Every producer/seller wants that his product should have special identity in the
market. In order to realize his wish he has to give a name to his product which has
to be distinct from other competitors. Giving of distinct name to one’s product is
called branding.
6. Customer Support Service:-
Customer is the king of market. Therefore, it is one of the chief functions of

marketer to offer every possible help to the customers. A marketer offers primarily
the following services to the customers:
(i) After-sales-services
(ii) Handling customers’ complaints
(iii) Technical services

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7. Pricing of Products:-
It is the most important function of a marketing manager to fix

price of a product. The price of a product is affected by its cost, rate of profit, price
of competing product, policy of the government, etc. The price of a product should
be fixed in a manner that it should not appear to be too high and at the same time it
should earn enough profit for the organization.
8. Promotion:-
Promotion means informing the consumers about the products of the

company and encouraging them to buy these products. There are four methods of
promotion: (i) Advertising, (ii) Personal selling, (iii) Sales promotion and (iv)
Publicity.
9. Physical Distribution:-
Under this function of marketing the decision about carrying things

from the place of production to the place of consumption is taken into account. To
accomplish this task, decision about four factors are taken. They are: (i)
Transportation, (ii) Inventory, (iii) Warehousing and (iv) Order Processing.

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1.5 Importance of marketing can be studied as follows:

(1) Marketing Helps in Transfer, Exchange and Movement of
Goods:
Marketing is very helpful in transfer, exchange and movement of goods. Goods
and services are made available to customers through various intermediaries’ viz.,
wholesalers and retailers etc. Marketing is helpful to both producers and
consumers. To the former, it tells about the specific needs and preferences of
consumers and to the latter about the products that manufacturers can offer.
According to Prof. Haney Hansen “Marketing involves the design of the products
acceptable to the consumers and the conduct of those activities which facilitate the
transfer of ownership between seller and buyer.”
(2) Marketing Is Helpful In Raising And Maintaining The Standard

Of Living Of The Community:
Marketing is above all the giving of a standard of living to the community. Paul
Mazur states, “Marketing is the delivery of standard of living”. Professor Malcolm
McNair has further added that “Marketing is the creation and delivery of standard
of living to the society”.
By making available the uninterrupted supply of goods and services to consumers

at a reasonable price, marketing has played an important role in raising and
maintaining living standards of the community. Community comprises of three
classes of people i.e., rich, middle and poor. Everything which is used by these
different classes of people is supplied by marketing.
In the modern times, with the emergence of latest marketing techniques even the
poorer sections of society have attained a reasonable level of living standard. This
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is basically due to large scale production and lesser prices of commodities and
services. Marketing has in fact, revolutionized and modernized the living standard
of people in modern times.
(3) Marketing Creates Employment:
Marketing is complex mechanism involving many people in one form or the other.
The major marketing functions are buying, selling, financing, transport,
warehousing, risk bearing and standardization, etc. In each such function different
activities are performed by a large number of individuals and bodies. Thus,
marketing gives employment to many people. It is estimated that about 40% of
total population is directly or indirectly dependent upon marketing. In the modern
era of large scale production and industrialization, role of marketing has widened.
This enlarged role of marketing has created many employment opportunities for
people. Converse, Huegy and Mitchell have rightly pointed out that “In order to
have continuous production, there must be continuous marketing, only then
employment can be sustained and high level of business activity can be continued”.
(4) Marketing as a Source of Income and Revenue:-

The performance of marketing function is all important, because it is the only way
through which the concern could generate revenue or income and bring in profits.
Buskirk has pointed out that, “Any activity connected with obtaining income is a
marketing action. It is all too easy for the accountant, engineer, etc., to operate
under the broad assumption that the Company will realize many dollars in total
sales volume.

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However, someone must actually go into the market place and obtain dollars from
society in order to sustain the activities of the company, because without these
funds the organization will perish.”
Marketing does provide many opportunities to earn profits in the process of buying
and selling the goods, by creating time, place and possession utilities. This income
and profit are reinvested in the concern, thereby earning more profits in future.
Marketing should be given the greatest importance, since the very survival of the
firm depends on the effectiveness of the marketing function.
(5) Marketing Acts as a Basis for Making Decisions:-

A businessman is confronted with many problems in the form of what, how, when,
how much and for whom to produce? In the past problems was less on account of
local markets. There was a direct link between producer and consumerIn modern
times marketing has become a very complex and tedious task. Marketing has
emerged as new specialized activity along with production.
As a result, producers are depending largely on the mechanism of

marketing, to decide what to produce and sell. With the help of marketing
techniques a producer can regulate his production accordingly.
(6) Marketing Acts as a Source of New Ideas:-

The concept of marketing is a dynamic concept. It has changed altogether with the
passage of time. Such changes have far reaching effects on production and
distribution. With the rapid change in tastes and preference of people, marketing
has to come up with the same.

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Marketing as an instrument of measurement, gives scope for understanding this

new demand pattern and thereby produce and make available the goods
accordingly.
(7) Marketing Is Helpful In Development Of An Economy:

Adam Smith has remarked that “nothing happens in our country until somebody
sells something”. Marketing is the kingpin that sets the economy revolving. The
marketing organization, more scientifically organized, makes the economy strong
and stable, the lesser the stress on the marketing function, the weaker will be the
economy.

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2. INTRODUCTION OF MARKETING STRATEGY:-

Marketing strategy has the fundamental goal of increasing sales and
achieving a sustainable competitive advantage. Marketing strategy includes all
basic, short-term, and long-term activities in the field of marketing that deal with
the analysis of the strategic initial situation of a company and the formulation,
evaluation and selection of market-oriented strategies and therefore contribute to
the goals of the company and its marketing objectives.
2.1 MEANING OF MARKETING STRATEGY:-

An organization's strategy that combines all of its marketing goals into one
comprehensive plan. Good marketing strategy should be drawn from
market research and focus on the right product mix in order to achieve the
maximum profit potential and sustain the business.
2.2 DEFINITION OF MARKETING STRATEGY:-

An organization's strategy that combines all of its marketing goals into
one comprehensive plan. A good marketing strategy should be drawn from market
research and focus on the right product mix in order to achieve the maximum profit
potential and sustain the business. The marketing strategy is the foundation of a
marketingplan

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2.3 ADVANTAGES & DISADVANTAGE OF MARKETING
STRATEGY:-
You create a marketing strategy to gain advantages in the marketplace,
but you must remain aware of the disadvantages of any given marketing strategy.
Your marketing choices require awareness of advantages vs. disadvantages, and as
you weigh these, you must be prepared to change strategies when disadvantages
become too great. Examine the areas where marketing strategies can benefit or
harm your business, so that you can act quickly to adjust your marketing to benefit
your company.
Objectives:-
You may set marketing objectives such as achieving a percentage of market share,
maximizing cash flow or maintaining profitability through market expansion. As
you create a marketing strategy to achieve any of these objectives, you must
remain aware of one potential disadvantage: You may have chosen the wrong
objective. An effective marketing strategy aimed at the wrong objective can take
you in a harmful direction. For example, if you seek to maintain profitability by
expanding your markets, you may find that you would be better off improving
customer service to your existing markets so that you can improve your reputation.
Costs:-
Each marketing strategy has costs you must evaluate in terms of how effectively
you spend your money. An e-mail campaign may be relatively cheap, but it could
waste your marketing message by getting lost in your customers’ spam filters.
Magazine advertising, on the other hand, may cost more than you can afford.
Direct mail can be cheaper than print ads, but your product or service may not be
well-suited to this kind of campaign, so you could be wasting your money. You

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must constantly weigh costs vs. benefits for any marketing strategy, so that you use
your marketing dollars wisely.
Branding:-
Your marketing strategy creates an impression of your company. If the strategy for
a specific product or service is ineffective, you can give your customers the
impression that you are not a viable company. You must decide how much of your
marketing strategy should focus on promoting your brand and now much of it
should tout the specific benefits of a particular product. One way to handle this
dilemma is to divide your marketing into two phases. In the first phase, focus your
marketing on the product. Once it gains acceptance, tie your brand to that product.
Because consumers already have a favorable impression of the product, they will
be likely to transfer that favorable impression to your brand. This strategy
minimizes the disadvantage of harming your brand when the public does not like a
product.
Effectiveness:-
Any marketing strategy that does not allow you to measure effectiveness puts you
at a disadvantage. You can continue an ineffective marketing strategy indefinitely
if you don’t have some way to measure how well it works. A marketing strategy
that contains measurable objectives offers you the advantage of continuing plans
that work. You can build effectiveness into your marketing strategy by expressing
your objectives in terms of numbers. For example, “we will increase sales by 20
percent” is effective; “we will increase sales” is not.

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2.4 FEATURES OF MARKETING STRATEGY:-
The article discusses 5 important features of strategy:-
1. Strategy relates the firm to its environment, particularly the external
environment in all actions whether objective setting, or actions and resources
required for its achievement. This definition emphasizes on the systems
approach of management and treats an organization as part of the society
consequently affected by it.
2. Strategy is the right combination of factors both external and internal. In
relating an organization to its environment, the management must also consider
the internal factors too, particularly its strengths and weaknesses, to take various
courses of action.
3. Strategy is relative combination of actions. The combination is to meet a
particular condition, to solve certain problems, or to attain a desirable objective.
It may take any form; for every situation varies and, therefore, requires a
somewhat different approach.
4. Strategy may even involve contradictory action. Since strategic action depends
on environmental variables, a manager may take an action today and revise or
reverse his steps tomorrow depending on the situations.
5. Strategy is forward looking. It has orientation towards the future. Strategic
Ac-tion is required in a new situation. Nothing-new requiring solutions can
exist in the past, and so strategy is relevant only to the future

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2.5 Why do you need a marketing strategy?
In our experience, businesses that come to us without a marketing strategy often

have one thing in common – they’re spending money on marketing but not seeing
a return on their investment.
This frequently happens when an opportunity for marketing presents itself, perhaps
the chance to run radio ads or advertise in a local magazine, and the business
decides to invest. Yet when this is done outside of a marketing strategy, the
activity often doesn’t have the desired impact.
For example, if you ran a radio advert that encouraged people to visit your website,
but didn’t optimize your website for the visitors, it’s likely you missed out on sales
or enquires as a result.
Putting together a marketing strategy is the best way to ensure that all the effort
and investment you put into marketing is working towards achieving the goals you
have for your business.
How a marketing strategy can help you reach your business goals
The right tactics
Writing a strategy will help you determine which marketing tactics are most likely
to help you achieve your goals and reduce the likelihood of your marketing activity
failing.

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An integrated approach:-
We’ve found that the very best results come from an integrated approach. When all
you’re online and offline marketing activity is working seamlessly together it
provides a consistent experience for people who encounter you, making it more
likely that they might become a customer in the future.
You say the right things to the right people:-
A strategy helps you get clear about what message you want to be conveying with
your marketing activity, and exactly who you want to see it. This will ensure you
are targeting the right people (and not just everyone).
Who could benefit from a marketing strategy?
Many businesses could benefit from a marketing strategy, but it can be particularly
beneficial for businesses who are:
 Looking to grow.
 Seeing a decline in sales.
 Launching a new product or service.
 Moving into a new market.
 Looking to target a new audience.
 Seeing increased competitor activity.

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2.6 ELEMENTS OF MARKETING STRATEGY:-

There are many elements of marketing and, if a marketing-led view of
the firm is taken, they touch all aspects of the company.
Although these elements are discussed separately below, they are all interlinked
and can have bi-directional influence on one another.
Segments:-
The first big decision is who should be our customers and who should not. In
other words, what customer segments will be addressed?
This is based first on the overall strategic intent of the firm, for example to be a
high-end exclusive and low-volume provider, or to compete in mass markets
where price is critical.
The decision is also based on research that indicates the profitability of different
customers groups and how well the company is able to compete in each segment.
Brand
The brand is the overall intended message of the company, its products and
services. It describes what customers and others should think and feel whenever
they encounter the company or its products and services.
Brand is influenced by and influences the strategic intent of the firm and helps
focus all other communications, products and interactions.
Brand is fragile in that it is what customers think and feel rather than what the
company communicates. This makes shaping decisions about brand critical.

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Competition:-
An important marketing decision is the nature of competition, for example whether
to compete on quality, price, service, etc.Decisions here will be affected by brand
and will shape further activity such as the approach towards promotion, the use of
advertising, the response to competitive action, and so on.
Products:-
Having understood and selected customers, marketing strategy should have a
significant influence on the products created.This not only includes the overall
functionality but also the focus on quality, features, price points and so on, in order
to produce products that align with the brand and complete effectively in the
marketplace.
Price:-
While the exact price may not decided in strategic planning, the price ranges should
be understood particularly in terms of what the target customers are willing and able
to pay, and also what price breaks are important to be able to compete in the markets
being addressed.
Promotion:-
Promotional strategy includes decisions about what approaches to promotion will be
used, for example TV advertising, direct marketing and so on.Promotion can be
extremely expensive, so a key part of the strategic decision here is in the amount of
budget that is being allocated.

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Communication
Related to brand and promotion, the way that communications with customers and
other stakeholders (such as the media) needs to be decided.
This includes broadcast information about products, one-to-one and things in

between. It also includes how service conversations will be conducted, for
example using web interfaces or directs phone conversation.
Outsourcing:-
A big decision that can be applied within any of the above is the 'make or buy'
choice of whether to do things in-house, bring in external experts or pass on the
work to third party suppliers.Two key factors in the outsourcing decisions are first
the ability of the company to do the work in comparison with suppliers, and
secondly the costs of doing this.The impact on brand should be a key
consideration also. Many companies who outsource such as service calls have
suffered huge brand damage from suppliers who do not deliver brand values.

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3. INTRODUCTION OF MARKETING MIX:-
The marketing mix is one of the most famous marketing terms. The mix
is the tactical or operational part of a marketing plan. The marketing mix is also
called the 4Ps and the 7Ps. The 4Ps are price, place, product and promotion. The
services are also called the 7Ps and include the addition of process,
people and physical evidence.
The marketing mix is the set of controllable tactical marketing tools – product,

price, place, and promotion – that the firm blends to produce the response it wants
in the target market.
3.1 MEANING OF MARKETING MIX:-
Marketing Mix - A mixture of several ideas and plans followed by a

marketing representative to promote a particular product or brand is called
marketing mix. Several concepts and ideas combined together to formulate final
strategies helpful in making a brand popular amongst the masses form marketing
mix.
3.2 DEFINITION OF MARKETING MIX:-
According to Philip Kotler - "Marketing Mix is the combination of

four elements, called the 4P's (product, Price, Promotion, and Place), that every
company has the option of adding, subtracting, or modifying in order to create a
desired marketing strategy".

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3.3 ELEMENTS OF MARKETING MIX:
3.4 ELEMENTS OF MARKETING MIX:-

1. PRODUCT:-
The term "product" is defined as anything, either tangible or intangible (such
as a service), offered by the firm; a solution to the needs and wants of
the consumer; profitable or potentially profitable; and as meeting the
requirements of the various governing offices or society.
NEWPRODUCTDEVELOPMENT:-
New product development tends to happen in stages. Although firms often go
back and forth between these idealized stages, the following sequence is
illustrative of the development of a new product:
 New product strategy development:-Different firms will have different

strategies on how to approach new products. Some firms have stockholders who
want to minimize risk and avoid investing in too many new innovations. Some
firms can only survive if they innovate frequently and have stockholders who are
willing to take this risk. For example, Hewlett-Packard has to constantly invent
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new products since competitors learn to work around its patents and will be able to
manufacture the products at a lower cost.
 Idea generation:-Firms solicit ideas as to new products it can make. Ideas

might come from customers, employees, consultants, or engineers. Many
firms receive a large number of ideas each year and can only invest in some
of them.
 Screening and evaluation:- Some products that after some analysis are
clearly not feasible or are not consistent with the core competencies of the
firm are eliminated.
 Business analysis:- Ideas are now exposed to more rigorous analysis. Profit
projections, risks, market size, and competitive response are considered. If
promising, market research may be done.
 Development:-The product is designed and manufacturing facilities are
planned.
 Market testing:- Frequently, firms will try to “test” a product in one region
to see if it will sell in reality before it is released nationally and
internationally. There is a lesser risk if the firm only commits money to
advertising and other marketing efforts in one region. Retailers will also be
more receptive in other parts of the country and world if it has been
demonstrated that the product sold well in one region. The firm may also
experiment with different prices for the product.
 Commercialization:- Facilities to manufacture the product on a larger scale
are now put into operation and the firm starts a national marketing campaign
and distribution effort.
PRODUCT LIFE CYCLE:-

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PRODUCTLIFECYCLE: -
Products often go through a life cycle. Initially, a product is introduced.
Since the product is not well known and is usually expensive (e.g., as microwave
ovens were in the late 1970s), sales are usually limited. Eventually, however, many
products reach a growth phase—sales increase dramatically. More firms enter with
their models of the product. Frequently, unfortunately, the product will reach
a maturity stage where little growth will be seen. For example, in the United States,
almost every household has at least one color TV set. Some products may also
reach a decline stage, usually because the product category is being replaced by
something better. For example, typewriters experienced declining sales as more
consumers switched to computers or other word processing equipment. The
product life cycle is tied to the phenomenon of diffusion of innovation. When a
new product comes out, it is likely to first be adopted by consumers who are more
innovative than others—they are willing to pay a premium price for the new
product and take a risk on unproven technology. It is important to be on the good
side of innovators since many other later adopters will tend to rely for advice on
the innovators who are thought to be more knowledgeable about new products for

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At later phases of the PLC, the firm may need to modify its market strategy. For
example, facing a saturated market for baking soda in its traditional use, Arm &
Hammer launched a major campaign to get consumers to use the product to
deodorize refrigerators. Deodorizing powders to be used before vacuuming were
also created.
It is sometimes useful to think of products as being either new or existing.

Many firms today rely increasingly on new products for a large part of their sales.
New products can be new in several ways. They can be new to the market—noone
else ever made a product like this before. For example, Chrysler invented the
minivan. Products can also be new to the firm—another firm invented the product,
but the firm is now making its own version. For example, IBM did not invent the
personal computer, but entered after other firms showed the market to have a high
potential. Products can be new to the segment—e.g., cellular phones and pagers
were first aimed at physicians and other price-insensitive segments. Later, firms
decided to target the more price-sensitive mass market. A product can be new
for legal purposes. Because consumers tend to be attracted to “new and improved”
products, the Federal Trade Commission (FTC) only allows firms to put that label
on reformulated products for six months after a significant change has been made.
2. PRICE:-
Price is the value that is put to a product or service and is the result of a
complex set of calculations, research and understanding and risk taking
ability. A pricing strategy takes into account segments, ability to
pay, market conditions, competitor actions, trade margins and input costs,
amongst others.

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Objectives of pricing:-
The objectives of pricing should include:
 to achieve the financial goals of the company (i.e. profitability)

 to fit the realities of the marketplace (will customers buy at that price?)
 to support a product's market positioning and be consistent with the other
variables in the marketing mix
price is influenced by the type of distribution channel used, the type of promotions
used, and the quality of the product
 price will usually need to be relatively high if manufacturing is

expensive, distribution is exclusive, and the product is supported by
extensive advertising and promotional
 a low cost price can be a viable substitute for product quality, effective
promotions, or an energetic selling effort by distributors
From the marketer's point of view, an efficient price is a price that is very close
to the maximum that customers are prepared to pay. In economic terms, it is a
price that shifts most of the consumer economic surplus to the producer. A
good pricing strategy would be the one which could balance between the price
floor (the price below which the organization ends up in losses) and the price
ceiling (the price be which the organization experiences a no-demand
situation).

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The two methods of pricing are as follows:-
A. Cost-oriented Method
B. Market-oriented Methods.
There are several methods of pricing products in the market. While selecting the
method of fixing prices, a marketer must consider the factors affecting pricing. The
pricing methods can be broadly divided into two groups—cost-oriented method
and market-oriented method.
A. Cost-oriented Method:-
Because cost provides the base for a possible price range, some firms may consider
cost-oriented methods to fix the price.
Cost-oriented methods or pricing are as follows:-

1. Cost plus pricing:-
Cost plus pricing involves adding a certain percentage to cost in order to
fix the price. For instance, if the cost of a product is Rs. 200 per unit and the
marketer expects 10 per cent profit on costs, then the selling price will be Rs. 220.
The difference between the selling price and the cost is the profit. This method is
simpler as marketers can easily determine the costs and add a certain percentage to
arrive at the selling price.

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2. Mark-up pricing:-
Mark-up pricing is a variation of cost pricing. In this case, mark-ups are
calculated as a percentage of the selling price and not as a percentage of the cost
price. Firms that use cost-oriented methods use mark-up pricing.
Since only the cost and the desired percentage markup on the selling price are
known, the following formula is used to determine the selling price:
Average unit cost/Selling price
3. Break-even pricing:-
In this case, the firm determines the level of sales needed to cover all the relevant
fixed and variable costs. The break-even price is the price at which the sales
revenue is equal to the cost of goods sold. In other words, there is neither profit nor
loss. For instance, if the fixed cost is Rs. 2, 00,000, the variable cost per unit is Rs.
10, and the selling price is Rs. 15, then the firm needs to sell 40,000 units to break
even. Therefore, the firm will plan to sell more than 40,000 units to make a profit.
If the firm is not in a position to sell 40,000 limits, then it has to increase the
selling price.
The following formula is used to calculate the break-even point:

Contribution = Selling price – Variable cost per unit
4. Target return pricing:-

In this case, the firm sets prices in order to achieve a particular level of return on
investment (ROI).

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The target return price can be calculated by the following formula:

Target return price = Total costs + (Desired % ROI investment)/ Total sales in
units
For instance, if the total investment is Rs. 10,000, the desired ROI is 20 per
cent, the total cost is Rs.5000, and total sales expected are 1,000 units, then the
target return price will be Rs. 7 per unit as shown below:
5000 + (20% X 10,000)/ 7000
Target return price = 7
The limitation of this method (like other cost-oriented methods) is that prices are
derived from costs without considering market factors such as competition,
demand and consumers’ perceived value. However, this method helps to ensure
that prices exceed all costs and therefore contribute to profit.
5. Early cash recovery pricing:-
Some firms may fix a price to realize early recovery of investment involved, when
market forecasts suggest that the life of the market is likely to be short, such as in
the case of fashion-related products or technology-sensitive products.
Such pricing can also be used when a firm anticipates that a large firm may enter
the market in the near future with its lower prices, forcing existing firms to exit. In
such situations, firms may fix a price level, which would maximize short-term
revenues and reduce the firm’s medium-term risk.

30
B. Market-oriented Methods:-
1. Perceived value pricing:-

A good number of firms fix the price of their goods and services on
the basis of customers’ perceived value. They consider customers’ perceived value
as the primary factor for fixing prices, and the firm’s costs as the secondary. The
customers’ perception can be influenced by several factors, such as advertising,
sales on techniques, effective sales force and after-sale-service staff. If customers
perceive a higher value, then the price fixed will be high and vice versa. Market
research is needed to establish the customers’ perceived value as a guide to
effective pricing.
2. Going-rate pricing:-
In this case, the benchmark for setting prices is the price set by
major competitors. If a major competitor changes its price, then the smaller firms
may also change their price, irrespective of their costs or demand.
The going-rate pricing can be further divided into three sub-methods:

a. Competitors ‘parity method:-
A firm may set the same price as that of the major competitor.
b. Premium pricing:-
A firm may charge a little higher if its products have some additional
special features as compared to major competitors.

31
c. Discount pricing:-
A firm may charge a little lower price if its products lack certain
features as compared to major competitors.
The going-rate method is very popular because it tends to reduce the

likelihood of price wars emerging in the market. It also reflects the industry’s
coactive wisdom relating to the price that would generate a fair return.
3. Sealed-bid pricing:-
This pricing is adopted in the case of large orders or contracts,
especially those of industrial buyers or government departments. The firms submit
sealed bids for jobs in response to an advertisement.
In this case, the buyer expects the lowest possible price and the seller is
expected to provide the best possible quotation or tender. If a firm wants to win a
contract, then it has to submit a lower price bid. For this purpose, the firm has to
anticipate the pricing policy of the competitors and decide the price offer.
The following are some the types of differentiated pricing:-

a. Customer segment pricing:-
Here different customer groups are charged different prices for the
same product or service depending on the size of the order, payment terms, and so
on.

32
b. Time pricing:-
Here different prices are charged for the same product or service at
different timings or season. It includes off-peak pricing, where low prices are
charged during low-demand tunings or season.
c. Area pricing:-
Here different prices are charged for the same product in different
market areas. For instance, a firm may charge a lower price in a new market to
attract customers.
d. Product form pricing:-

Here different versions of the product are priced differently but not
proportionately to their respective costs. For instance, soft drinks of 200,300, 500
ml, etc., are priced according to this strategy.
3.5 FACTORS AFFECTING PRICING:-

1. Price-quality relationship:-
Customers use price as an indicator of quality, particularly for products
where objective measurement of quality is not possible, such as drinks and
perfumes. Price strongly influences quality perceptions of such products.
2. Product line pricing:-

A company extends its product line rather than reduce price of its existing
brand, when a competitor launches a low price brand that threatens to eat into its
market share. It launches a low price fighter brand to compete with low price
competitor brands.

33
3. Explicability:-
The company should be able to justify the price it is charging, especially if
it is on the higher side. Consumer product companies have to send cues to the
customers about the high quality and the superiority of the product.
4. Competition:-
A company should be able to anticipate reactions of competitors to its
pricing policies and moves. Competitors can negate the advantages that a company
might be hoping to make with its pricing policies. A company reduces its price to
gain market share
5. Negotiating margins:-
A customer may expect its supplier to reduce price, and in such situations the
price that the customer pays is different from the list price. Such discounts are
pervasive in business markets, and take the form of order-size discounts,
competitive discounts, fast payment discounts, annual volume bonus and
promotions allowance.
6. Effect on distributors and retailers:-

When products are sold through intermediaries like retailers, the list price to
customers must reflect the margins required by them sometimes list prices will be
high because middlemen want higher margins.
7. Political factors:-
Where price is out of line with manufacturing costs, political pressure may
act to force down prices. Exploitation of a monopoly position may bring short term
profits but incurs backlash of a public enquiry into pricing policies. It may also

34
invite customer wrath and cause switching upon the introduction of
suitable alternatives.
8. Earning very high profits:-

It is never wise to earn extraordinarily profits, even if current circumstances
allow the company to charge high prices. The pioneer companies are able to charge
high prices, due to lack of alternatives available to the customers.
9. Charging very low prices:-

It may not help a company’s cause if it charges low prices when its major
competitors are charging much higher prices. Customers come to believe that
adequate quality can be provided only at the prices being charged by the major
companies.
3. PLACE:-
Place in the marketing mix refers to the channel, or the route, through which

goods move from the source to the final user. Place could be the intermediaries,
distributors, wholesalers and retailers.
Place and Distribution Intermediaries Defined:-
Manufacturer: Person, group or firm that makes the product.
Wholesaler: The party that buys large quantities of a product from manufacturers
and sells it to retailers. Wholesalers sell goods to other businesses, they do not sell
directly to consumers.

35
Retailers: The organization that sells products directly to consumers and end users.
As they are selling to consumers for personal use, the goods are usually sold in
small quantities.
Place and Distribution Strategies:-
The three most common distribution strategies are discussed below
1. Intensive Distribution: Used commonly to distribute low priced products or

impulse purchases. For example snacks such as chocolates, soft drinks and
crisps
2. Exclusive distribution: Involves limiting distribution to a single outlet. The
product is usually highly priced, and requires the intermediary to place much
detail in its sell. An example of would be the sale of vehicles through
exclusive dealers.
4. PROMOTION:-
Promotion refers to raising customer awareness of a product or brand, generating

sales, and creating brand loyalty. It is one of the four basic elements of
the market mix, which includes the four P's: price, product, promotion, and place.
PUPOSE
Fundamentally, there are three basic objectives of promotion. These are:
1. To present information to consumers and others.

2. To increase demand.
3. To differentiate a product.

36
The purpose of a promotion and thus its promotional plan can have a wide range,
including: sales increases, new product acceptance, creation of brand
equity, positioning, competitive retaliations, or creation of a corporate image
The term promotion is usually an "in" expression used internally by the marketing
company, but not normally to the public or the market, where phrases like "special
offer" are more common. Examples of a fully integrated, long-term, and large-
scale promotion are My Coke Rewards in the U.S. or Coke Zone in the UK
and Pepsi Stuff.
TYPES:-
There have been different ways to promote a product in person or with different
media. Both person and media can be either physically real or virtual /electronic.
In a physical environment:-
Promoters have used newspapers, special events, endorsements, Promotions

can be held in physical environments at special events such as concerts, festivals,
trade shows, and in the field, such as in grocery or department stores. Interactions
in the field allow immediate purchases. The purchase of a product can be incentive
with discounts (i.e., coupons), free items, or a contest. This method is used to
increase the sales of a given product. Interactions between the brand and the
customer are performed by a brand ambassador or promotional model who
represents the product in physical environments. Brand ambassadors or
promotional models are hired by a marketing company, which in turn is booked by
the brand to represent the product or service. Person-to-person interaction, as
opposed to media-to-person involvement, establishes connections that add another
dimension to promotion. Building a community through promoting goods and
services can lead to brand loyalty.

37
Traditional media:-
Examples of traditional media include print media such as newspapers and

magazines, electronic media such as radio and television, and outdoor media such
as banner or billboard advertisements. Each of these platforms provide ways for
brands to reach consumers with advertisements.
Digital media:-
Digital media, which includes Internet, social networking and social

media sites, is a modern way for brands to interact with consumers as it releases
news, information and advertising from the technological limits of print and
broadcast infrastructures.[Digital media is currently the most effective way for
brands to reach their consumers on a daily basis. Over 2.7 billion people are online
globally, which is about 40% of the world's population. [ 67% of all Internet users
globally use social media.
Mass communication has led to modern marketing strategies to continue

focusing on brand awareness, large distributions and heavy promotions. The fast-
paced environment of digital media presents new methods for promotion to utilize
new tools now available through technology. With the rise of technological
advances, promotions can be done outside of local contexts and across geographic
borders to reach a greater number of potential consumers. The goal of a promotion
is then to reach the most people possible in a time efficient and a cost efficient
manner.
Social media, as a modern marketing tool, offers opportunities to reach larger

audiences in an interactive way. These interactions allow for conversation
ratherthansimplyeducatingthecustomer. Facebook, SnapChat, Instagram, Twitter,
Interest, Google Plus, Tumbler, as well as alternate audio and media sites
38
like Sound Cloud and Mix cloud allow users to interact and promote music online
with little to no cost. You can purchase and buy ad space as well as potential
customer interactions stores as Likes, Followers, and clicks to your page with the
use of third parties.
5. PEOPLE:-
There have been different ways to promote a product in person or with different
media. Both person and media can be physically real or virtual /electronic.
In a physical environment:-
Promoters have used newspapers, special events, endorsements, Promotions

can be held in physical environments at special events such as concerts, festivals,
trade shows, and in the field, such as in grocery or department stores. Interactions
in the field allow immediate purchases. The purchase of a product can be incentive
with discounts (i.e., coupons), free items, or a contest. This method is used to
increase the sales of a given product. Interactions between the brand and the
customer are performed by a brand ambassador or promotional model who
represents the product in physical environments. Brand ambassadors or
promotional models are hired by a marketing company, which in turn is booked by
the brand to represent the product or service. Person-to-person interaction, as
opposed to media-to-person involvement, establishes connections that add another
dimension to promotion. Building a community through promoting goods and

services can lead to brand loyalty.
Traditional media:-
Examples of traditional media include print media such as newspapers and

magazines, electronic media such as radio and television, and outdoor media such
39
as banner or billboard advertisements. Each of these platforms provides ways for
brands to reach consumers with advertisements.
Digital media:-
Digital media, which includes Internet, social networking and social

media sites, is a modern way for brands to interact with consumers as it releases
news, information and advertising from the technological limits of print and
broadcast infrastructures. Digital media is currently the most effective way for
brands to reach their consumers on a daily basis. Over 2.7 billion people are online
globally, which is about 40% of the world's population. 67% of all Internet users
globally use social media.
Mass communication has led to modern marketing strategies to continue

focusing on brand awareness, large distributions and heavy promotions. The fast-
paced environment of digital media presents new methods for promotion to utilize
new tools now available through technology. With the rise of technological
advances, promotions can be done outside of local contexts and across geographic
borders to reach a greater number of potential consumers. The goal of a promotion
is then to reach the most people possible in a time efficient and a cost efficient
manner.
Social media, as a modern marketing tool, offers opportunities to reach larger

audiences in an interactive way. These interactions allow for conversation rather
thansimplyeducatingthecustomer. Facebook, SnapChat, Instagram, Twitter, Pintere
st, Google Plus, Tumbler, as well as alternate audio and media sites like Sound
Cloud and Mix cloud allow users to interact and promote music online with little to
no cost. You can purchase and buy ad space as well as potential customer
interactions stores as Likes, Followers, and clicks to your page with the use of third
parties. As a participatory media culture, social media platforms or social
40
networking sites are forms of mass communication that, through media
technologies, allow large amounts of product and distribution of content to reach
the largest audience possible. However, there are downsides to virtual promotions
as severs, systems, and websites may crash, fail, or become overloaded with
information. You also can stand risk of losing uploaded information and storage
and at a use can also be affected by a number of outside variables.
Brands can explore different strategies to keep consumers engaged. One popular
tool is branded entertainment, or creating some sort of social game for the user.
The benefits of such a platform include submersing the user in the brand's content.
Users will be more likely to absorb and not grow tired of advertisements if they
are, for example, embedded in the game as opposed to a bothersome pop-up
Personalizing advertisements is another strategy that can work well for brands, as it
can increase the likelihood that the brand will be anthropomorphized by the
consumer. Personalization increases click-through intentions when data has been
collected about the consumer.
6. PROCESS:-
Process is another element of the services marketing mix or 7Ps.There is a
number of perceptions of the concept of process within the business
and marketing literature. Some see processes as a means to achieve an outcome,
for example – to achieve a 30% market share, a company implements
a marketing planning process.
Process as part of the marketing mix:-
Process is another element of the services marketing mix or 7Ps.There is a number

of perceptions of the concept of process within the business and marketing

41
literature. Some see processes as a means to achieve an outcome, for example – to
achieve a 30% market share, a company implements a marketing planning process.
At each stage of the process, marketers:
Deliver value through all elements of the marketing mix. Process, evidence

and people enhance services.
Feedback can be taken and the mix can be altered.
Customers are retained, and other services or products are extended and marked to
them.
The process itself can be tailored to the needs of different individuals, experiencing
a similar service at the same time.
Processes essentially have inputs, throughputs and outputs (or outcomes).
Marketing adds value to each of the stages. Take a look at the lesson on chain
analysis to consider a series of processes at work.
There are a number of types of processes. Technological processes include the

process of manufacturing goods and adapting them for the needs of clients. For
example Rolls-Royce motor cars will build a Phantom which is adapted to the
requirements of each individual client. There are also electronic processes which
include things like Electronic Point-Of-Sale (EPOS), barcodes on products which
are scanned on phones or by checkout people and other means such as loyalty
cards.
Processes include direct activities and indirect activities. Direct activities add value
at the customer interface as the consumer experiences the service. Many processes
are supported by indirect activities, often known as back office activities, which
support the service before, during and after it has been consumed.

42
Another view is that marketing has a number of processes that integrate together to
create an overall marketing process, for example – telemarketing and Internet
marketing can be integrated. A further view is that marketing processes are used to
control the marketing mix, i.e. processes that measure the achievement of
marketing objectives. All views are understandable, but not particularly customer
focused.
For the purposes of the marketing mix, process is an element of service that sees
the customer experiencing an organization’s offering. It’s best viewed as
something that your customer participates in at different points in time. Here are
some examples to help you build a picture of a marketing process, from the
customer’s point of view.
Going on a cruise – from the moment that you arrive at the dockside, you are
greeted; your baggage is taken to your room. You have two weeks of services from
restaurants and evening entertainment, to casinos and shopping. Finally, you arrive
at your destination, and your baggage is delivered to you.
7. PHYSICAL EVIDENCE:-
The elements of marketing mix which customers can actually see or experience
when they use a service, and which contribute to the perceived quality of the
service, e.g. the physical evidence of a bank could include the state of the branch
premises, as well as the delivery of the banking service ...
If you have read the service marketing mix, then you would know that
physical evidence is one of the additional 3 P’s of the service marketing mix. This
is because it is specifically used for services. The problems with services are of
differentiation. How do you differentiate a premium restaurant from a regular
restaurant? To create such differentiation physical evidence is used.

43
Physical evidence comprises of the elements which are incorporated into a service
to to make it tangible and somewhat measurable. At the same time, it also helps in
the positioning of the brand and for targeting the right kind of customers. The best
example of Physical evidence in use is the hospitality industry. Airlines offer
premium travel as well as economy classes. Similarly, restaurants are known to be
3 stars, 4 stars, 5 stars. All such differentiation, and the target customer that
accompanies such differentiation, is because of the use of physical evidence in
marketing.
Role of physical evidence in marketing mix:-

The marketing mix is always made after segmentation, targeting and
positioning. The objective of the marketing mix is to incorporate the right elements
which attract the desired customer profile. Thus, in services, to attract the right
segment and target, and to achieve the right positioning, physical evidence is used.
Off course, in marketing it is not used for services only but also for products
nowadays. This is because products are nowadays sold through mainly retail and e
commerce. Both these areas are services within themselves. And hence retailers
always focus on elements which can make their services better.

44
Tools which can be used:-
Ambiance – The look and feel of a restaurant can be described as the ambiance.
For example – the Sofa that the restaurant uses, the music that it plays, the lighting
it has maintained etc.
Layout – Especially applicable in retail, the layout of the showroom contributes to
the role of physical evidence in marketing. For example – in Ikea, the store is laid
out in such a manner that the customer is able to get to his choice of furniture very
fast.
Branding – Although part of promotions, the packaging, branding and use of
corporate communications also plays an important role in physical evidence in the
marketing mix.
How physical evidence effects other P’s in marketing mix :-

Incorporating physical evidence is not free of charge and has an inherent cost
involved. Thus, if you want to establish a premium restaurant, then you need to
invest for plush furniture, promote in premium areas, get the right people, so on
and so forth. The pricing for a premium restaurant will be higher also. Thus,
physical evidence in marketing is dynamic in nature, and a change in physical
evidence factors will bring a change to all other P’s in the marketing mix.
Thus, if you want to succeed in your business endeavor, you need to plan all the
P’s of marketing mix. And if you are in the services sector, then physical evidence
as well as people are two of the most important P’s of the marketing mix.

45
4. INTRODUCTION OF DENA BANK:-
Dena Bank (Hindi: दे ना बैंक), headquartered in Mumbai, is owned by the

Government of India, and as per latest data the total branch network stands at
1,773 and plans to open 404 new branches in FY 2015-16 The bank was founded
in 1938 and the Indian government nationalized it in 1969.

46
4.1 HISTORY OF DENA BANK:-
Dena Bank was founded on 26th May, 1938 by the family of Devkaran

Nanjee under the name Devkaran Nanjee Banking Company Ltd
It became a Public Ltd. Company in December 1939 and later the name was
changed to Dena Bank Ltd.In July 1969 Dena Bank Ltd. along with 13 other major
banks was nationalized and is now a Public Sector Bank constituted under the
Banking Companies (Acquisition & Transfer of Undertakings) Act, 1970. Under
the provisions of the Banking Regulations Act 1949, in addition to the business of
banking, the Bank can undertake other business as specified in Section 6 of the
Banking Regulations Act, 1949. In July 1969 Dena Bank along with 13 other
major banks was nationalized and is now a Public Sector Bank constituted under
the Banking Companies (Acquisition & Transfer of Undertakings) Act, 1970.
Under the provisions of the Banking Regulations Act 1949, in addition to the
business of banking, the Bank can undertake other business as specified in Section
6 of the Banking Regulations Act, 1949. Dena Bank serves its customers with its
1,122 branches spread across the length and breadth of India and 295 ATMs
Milestones
 One among six Public Sector Banks selected by the World Bank for
sanctioning a loan of Rs.72.3 crores for augmentation of Tier-II Capital
under Financial Sector Developmental project in the year 1995.
 One among the few Banks to receive the World Bank loan for technological
up gradation and training.
 Launched a Bond Issue of Rs.92.13 crores in November 1996.
47
 Maiden Public Issue of Rs.180 Crores in November 1996.
 Introduced Tele banking facility of selected metropolitan centers.
Dena Bank has been the first Bank to introduce:
 Minor Savings Scheme.

 Credit card in rural India known as "DENA KRISHI SAKH PATRA"
(DKSP).
 Drive-in ATM counters of Juhu, Mumbai.
 Smart card at selected branches in Mumbai.
 Customer rating system for rating the Bank Services.
4.2 7 P’S OF DENA BANK:-
1. PRODUCT:-
(A) Dena Premium Savings Account Scheme:-
Quarterly Average Balance: Rs.50000/-
Eligibility criteria: The revised Dena Premium Savings Account Scheme offers
concessions on all service charges, if Quarterly Average Balance of Rs.50000/- is
maintained in Savings Account.
The 100% concessions are provided on following services.
 Cash Handling Charges

 Intersol /Clearing Charges
 ATM-cum-Debit card Charges

48
 Internet Banking/NEFT/RTGS
 DD/MT/POCharges
 Cheque book issue Charges
 Cheque Return Charges
 Collection of outstation cheque (one Branch to other of the Bank)
 Ledger Folio Charges
 Stop Payment Charges
 Standing Instructions Charges
 No penalty will be charged for non-maintenance of Minimum Balance
however for the Closure of Account within one year, a Charge of
Rs.200/- to be levied as per service charges circular.
(B) DENA FIXED DEPOSIT:-
Dena Fixed Deposit Scheme allows you to choose the intervals of

receiving your interest. You can choose yearly, half-yearly, quarterly or even
monthly interest payments according to your needs of income.Duration: The
deposit is accepted under this scheme for any period from 7 days to 10years.
Your money is never idle and your receipt of your interest income can be planned
according to your needs.
(C) DENA RECURRING DEPOSIT:-
Life Insurance covers available to the RD Account holders at a very low

premium. In case of death of depositor, the nominee / legal heirs of the
deceased depositor will be paid the sum assured + deposit proceeds kept in
RD together with interest accrued. Nomination facility is available.
Dena Recurring Deposit Scheme enables the depositor to save in fixed monthly

49
installments. One can choose different maturity plans depending on one's saving
goals desired.
By putting away only a little amount every month, the depositor gets a tidy lump-
sum amount of principal plus interest at the end of the chosen period. Minimum
amount of monthly installment Rs.50/. Further amount in multiple of Rs. 5.
As the old adage goes “little drops of water, makes a mighty ocean". This scheme
is ideally suited for young salaried people to inculcate regular and compulsory
saving habits.
(D) MOBILE BANKING:-
Dena Bank offers Dena M Connect the convenient and secure way to conduct

banking transactions using your mobile handset. Dena Mobile Banking offers an
easy, hassle free means to access banking information at the touch of a button 24
hours a day, 7 days a week. That means customer will be able to access his/her
account better anytime, anywhere with just his/her mobile phone.
CARRY THE BANK WHEREVER YOU GO:-
1.Mobile Banking is currently available for single account holders (Self, Proprietor
and Authorized Signatory) and in Joints Accounts with mode of operation as either
or Survivor for the primary account holders.
2. Currently Android users, Apple iOS users and Windows users can enjoy the
Dena Bank Mobile Facility.

50
4.Facilities offered:-
Facility Name Description

Financial Funds Transfer:
1.Self-Linked Accounts
2.Third Party Transfer
3.IMPS 24 X 7 fund transfer
facility
Non – Financial 1.Balance Enquiry
2.Mini Statement (Last 5
transactions)
3.Change of passwords (MPIN /
Login)
Others 1.Add beneficiaries details
2.Locate Branch & ATMs
3.Generate & Retrieve MMID

51
4.FAQs
4.TransactionCharges:-
 Dena bank offer mobile facility

• All the transactions within Dena Bank are free of cost however Funds
transfer using IMPS is chargeable as given as per the table given below:
Sr From To Service Charges

No Amount (In Amount (In Rs.)
Rs.) (in Rs.) (excluding
taxes)
1 1 10000 2.5
2 10001 100000 5
5. Transaction Limit: Maximum Rs. 1.0 Lac per day.
6. Activation of USSD Facility through Mobile Banking:
Dear Customer, once you are registered for Mobile Banking, you can also enjoy
USSD facility which is the most simple and convenient way of banking from your
registered mobile phone.
• You don’t need to download any application.
• You don’t need to have internet connection
• You can simply enjoy the USSD facility by dialing *99*65# from your register
mobile and can enjoy the following services:

52
a.) Balance Enquiry b.) Mini Statement – Last 5 transactions
c.) Fund Transfer using beneficiary IFSC & Account No.
d.) Fund transfer using beneficiary mobile no & MMID

(E) DENA BANK SMS ALERT FACILITY:-
Customers may note that from Apr-June 2014 quarter onwards, for SMS
alert facility, per Quarter Rs.10 + Service Tax will be applicable.
"Alerts" are messages that are sent to the customer in form of SMS on occurrence
of events. Through this service, an SMS is automatically sent to the customers
when a certain event happens (defined by the Bank.
S.No. Alert Category Alert Type

1. One Time Password Registration of third party beneficiary
(OTP) Funds Transfer (Third Party within
bank & NEFT / RTGS), bill
payments
Setting of intenet banking passwords
for new as well as existing registered
users.
2. Delivery Channels Any financial transaction done
through ATM and Point of Sale
Terminal.
Any financial transaction done
through mobile & internet banking.
Internet Banking user activated /
enabled / disabled

53
3. Branch Transactions For all customer induced transactions
like cash deposits / withdrawals /
clearing credit / debits / RTGS /
NEFT
EMI alerts 7 days before / 7 / 14 days
after due date.
Term deposit renewal before 7 days.
Alert to the customer if he exceeds
the DP / limit sanctioned from his CC
/ OD account.Cheque returned
(F) LOAN AGAINST PROPERTY:-
If you have free hold, un-encumbered, non-agricultural property, residential

or commercial- you can fulfill all your needs with Dena Mortgage Loan. Be it
to finance a marriage, higher education, a foreign trip or medical treatment.
You are eligible if:
·You are 21 years of age.
·You are a salaried individual, professional, self-employed, agriculturist.
·You are an income tax assesses for at least 2 years.
·Your net monthly income is at least Rs. 12,000/-. Income of spouse (co-applicant)

can be clubbed for enhanced eligibility.
Loan Amount:-
·Minimum- Rs. 2 lakhs

54
·Up to- Rs. 500 lakhs
Margin
50%
Rate of Interest
Please check out the Interest Rates Section to find latest Interest Rates applicable
INTEREST CHARGED ON DAILY REDUCING BALANCE
Security
Equitable mortgage of the property.
Process Fees
1% of the sanctioned limit
Repayment
Up to 10 years
Prepayment Charges
0.50% of the sanctioned amount.
(G) VEHICLE LOAN SCHEME:-

55
Take the smooth road to own your Dream Machine
Get on the right track with Dena Auto Loan and drive home your home machine.
Eligible Income:
1. For Motor Cycle / Scooter : Minimum Rs. 1. Lac per annum
2. For Four Wheeler:
For Individual / Proprietary Firm: Minimum Rs. 2.50 Lacs per annum
For Partnership Firm / Company: Minimum Rs. 3 Lacs per annum
Loan Amount:-
•Up to Rs. 50 lakhs for purchase of a new two wheeler.
•Up to Rs. 200 lakhs for purchase of a new car.
Margin
For New Vehicles: 15 %.

In case of Corporate Salary Arrangement, 10% of on road price for new car.
In case of Old Car 20% (up to 3 year old).
Rate of Interest
Please check out the Interest Rates Section to find latest Interest Rates applicable.
INTEREST CHARGED ON DAILY REDUCING BALANCE
NO PREPAYMENT CHARGES
Security

56
Hypothecation of the vehicle purchased.
Mode of disbursement
Loan disbursed directly to the authorized dealer.
Process Fees
• Two wheeler- Rs. 250/- (Plus service tax as applicable from time to time)
• For Car Loan: Rs 500/- irrespective of loan amount. (Plus service tax as
applicable from time to time)
Repayment
Maximum up to 84 months for new vehicle.

2nd hand four-wheeler (up to 3 year old)- Maximum up to 36 months.
2. PRICE:-
All our esteemed customers are hereby informed that the SDV Locker Charges are
modified w.e.f.01/08/2016.All are requested to take note of the sa

57
All our esteemed customers are hereby informed that the service charges on
closure of a Savings Bank / Current Account within 14 days from first deposit in
the account are modified as under:
Existing Service Charges for Modified Service Charges for Closure of
Closure of account account.
Closure of a Savings /Current a) Closure of Savings /Current account by the
account within 1 year attracts customer
Service Charges are as follows: within 14 days of first credit –
a) Savings Bank Service Charges =NIL
Account=Rs.200/- b) Closure of Savings /Current account by the
b)Current Account =Rs.300/- customer
within period from 15 days to 1 year from
first credit in
the account Service Charges will be as
follows.
(i) Savings Bank Account=Rs.200/-
(ii) Current Account =Rs300/-
The Rates of Interest on Gold Deposit Schemes:-
Parameters/ Short Term Bank Medium Term Long Term Govt

Schemes Deposit Scheme Govt Deposit Deposit Scheme
(STBD) Scheme (MTGD) (LTGD)
Maturity Period 1-3years 5-7 years 12-15 years
Denomination of In grams of Gold denominated up to 3 decimal points
Principal

58
Denomination of In grams of Gold INR on the value INR on the value
Interest denominated up to 3 of Gold in INR of Gold in INR at
decimal points at the time of the the time of the
deposit deposit
Rate of Interest 0.25 % per annum 2.25% p.a 2.50% p.a.
(for 1 to 3 Years)
To be compounded
on annual basis for
deposits for more
than 1 year
Payment of Interest At the time of redemption of deposit either at maturity or
premature withdrawal as per the scheme.
Minimum Lock-in 1 Year 3 Years 5 Years
Period
Penalty on Premature Redemption:

Type of Lock-in Interest /Penalty
Deposit period
Years
STBD 1 year 1.Premature withdrawal after the initial lock-in period
would be entertained in cash equivalent to the price of
the gold as per conversion rate calculated as per RBI
guidelines.

59
2. No Interest will be paid for premature withdrawal.
3. In case of pre-mature encashment after the lock-in
period but before 2 years, besides no interest as
indicated above, swap charges and assaying & refining
charges will be recovered from the depositor, at the
discretion of the bank.
Type of Lock-in Actual period for which deposit has run years
Deposit period
Years
> 3 and < 5 =5 and < 7
MTGD 3 years Applicable Rate for Applicable Rate for MTGD at the
MTGD at the time of time of deposit minus 0.25%
deposit minus
0.375%
Type of Lock-in Actual period for which deposit has run years
Deposit period
Years
> 5 and < 7 =7 and < 12 =12 and < 15
LTGD 5 years Applicable Applicable Rate Applicable Rate for
Rate for for LTGD at the LTGD at the time of
LTGD at the time of deposit deposit minus 0.25%
time of minus 0.375%
deposit minus
0.25%

3. PLACE:-
DENA BANK ZONAL OFFICES:-
60
Dena Laxmi Bldg, 188-A,

Ashram Road, 079/26584729
1. Ahmedabad Ahmedabad - 380009, Fax-26580864
Email: ro.ahmedabad@denabank.co.in
PSR Vishishta Dhama,

No. 38 12th Cross Near
CBI Office Ganganagar 080-23555500/01/02
2 Bangalore North, Fax – 2355550404
Bangalore 560 032, Email: ro.bangalore@denabank.co.in

DenaBhavan,LokhandBazar
, (0278) 2439779
Bhavnagar- 364 001 (0278) 2423964
3 Bhavnagar
Gujarat Fax (0278)2427005
Email: ro.bhavnagar@denabank.co.in
Plot No. 274, Zone -II,

M. P. Nagar, 0755-2559081-85
4 Bhopal Bhopal - 462016, Fax - 2559084,
Email: ro.bhopal@denabank.co.in
5 Bhuj ShriMuktjeevan 02832/221064,02832/223467

61
Swamibapa SmrutiBhavan,
1st Floor, Opp. G K
General Hospital, Fax - 02832 250466
Lotus Plot,Bhuj - 370001 Email: zo.bhuj@denabank.co.in

BKRConvention
Centre,32,Venkatesan
Street, 044 - 24330438,24311241
6 Chennai T-Nagar Fax - 044 - 24330448
Chennai - 600 017 Email: ro.chennai@denabank.co.in

Dena Bank, North India 0172-2585304/05

Zonal Office, SCO-66, 0172 - 2584825
7 Chandigarh
Second Floor, Sector- 11, Fax - 0172 - 2584826
Panchkula,Pin- 134 112 Email: ro.northindia@denabank.co.in
1st Floor, Surana
0788-2292992
8 Durg Complex , StationRoad,
Email : zo.durg@denabank.co.in
Durg – 491001 (C G)
Dena Laxmi Building

(079) 23220144
1st floor, Plot No. 320-321,
Gandhinaga (079) 23220154
9 Sector-16,GH-4
r (079)23220155
Gandhinagar-382016, (Guja
Fax (079)23220143
rat)
Email: ro.gandhinagar@denabank.co.i

62
n
Uma Asishwarya House,

(040-23353600 to 03)
1 8-2-502/AG, 1st Floor,
Hyderabad Email :
0 Road No.7, Banjara Hills,
zo.hyderabad@denabank.co.in
Hyderabad - 500 034
B-12, Business avenue, 5th

1 fl., Govind marg, Near 0141-2605069 / 2605070/ 2605071
Jaipur
1 Barafkhana, Adarsh Email : zo.jaipur@denabank.co.in
NagarJaipur – 302004
Dena Bank , Kolkata Zonal 033-22873860

1 Office ,Avani Heights ,1st 033-22873669
Kolkata
2 Floor,59A, Chowranghee Fax - 22870393
Road, Kolkata - 700 020 Email: ro.kolkata@denabank.co.in
28- A Pravin House, 0522-2611615, 2615413,

1
Lucknow Vidhan Sabha Marg, Fax - 2614814
3
Lucknow - 226001 Email: ro.lucknow@denabank.co.in
3rd floor, SCO - 17,

1 18 Sector 32A, 0161-2622102
Ludhiana
4 Chandigarh Road, Ludhiana Email zo.ludhiana@denabank.co.in
Punjab 141010
2nd Floor, Sriram 02762-251433

1
Mehsana Complex,Radhanpur Road. Fax - 02762 - 250874
5
Mehsana - 384002 Email: ro.mehsana@denabank.co.in
1 Mumbai Mumbai Main Office 022-22662466

63
022-22661918
Bldg.No.1, 2, Horniman
Fax - 022-22666831
6 city Circle, Fort,
Email: ro.mumbaicity@denabank.co.i
Mumbai - 400023
n
4. Promotion:-
Promotion mix includes advertising, publicity, and sales promotion, word – of –

mouth promotion, personal selling and telemarketing. Each of these services needs
to be applied in different degree.
Advertising:-
Advertising is paid form of communication. Banking organizations use this
component of the promotion mix with motto of informing, sensing and persuading
the customers. While advertising it is essential to be aware of key decision making
areas so that instrumentally helps banks at micro and macro levels.
Finalizing the budget:-
This is related to the formulation of the budget for advertisement. The bank
professionals, senior executives and even the policy planners are found to be
involved in the process. The business of a bank determines the scale of the
Advertisement budget. In addition, the intensity of competition also plays a

decisive role since in the majority of cases; we find a increase in the budget due to
a change in the competitor’s strategy.
Suitable vehicle:
There are a number of devices to advertise, such as broad cast media, telecast

64
media and print media. In the face of the budgetary provisions, it is necessary to
select a suitable vehicle. For promoting the banking business, the print media is
found to be economic as well as effective.
Making possible creative:-

The advertising professionals bear the responsibility of making the appeals,
slogans and messages more creative. Here, creative means making the
advertisement programs distinct to the competitive organizations, which are active
in influencing the impulse of the customers and successful in informing and
sensing the customers. This requires an in-depth knowledge of the receiving
capacity of the target market for which the advertisements are designed.
Testing the effectiveness:-

It bears an analogous significance that our advertisements are effective in
influencing the impulse of customers by energizing persuasion. For making the
process effective, it is essential to test the effectiveness before launching of the
commercial advertisements.
Instrumentality of branch:-
At micro level, a branch manager bears the responsibility of advertising locally so
that the messages reach the target audience.
Characters and themes:-

At apex level it is also important that while advertising the senior executives watch
the process minutely and select events, characters having a regional orientation.
The popular characters and sensational moments are likely to be impact generating.
The theme for appeals and messages also needs due attention. Of course, they have
a legitimate right of advertising but it is not meant that like the goods
manufacturing organizations, the service generating organizations also start
65
making invasion on culture. It is necessary to regulate a bias to gender, profession
Public relation
In the banking services the effectiveness of public Relations is found in high
magnitude. It is in this context that difference is found in designing of the mix for
promotingthebankingservices.
Telemarketing:-
The telemarketing is a process of promoting the business with the help of
sophisticated communication network. Telemarketing is found instrumental in
advertising the banking services and the banking organizations can use this tool of
the promotion mix both for advertising and selling. This minimizes the dependence
of banking organizations on sales people and just a counter or center as listed in the
call numbers may service multi- dimensional services.
Telemarketing is likely to play an incremental role in marketing the banking
services. The leading foreign banks and even some of the private sector
commercial banks have been found promoting telemarketing and they have been
getting positive results for their efforts.
Word-Of-Mouth:-
Much communication about the banking services actually takes place by word- of-
mouth information, which is also known as word- of- mouth promotion. The oral
publicity plays an important role in eliminating the negative comments and
improving the services. This also helps the banker to know the feedback, which
may simplify the task of improving the quality of services. This component of
promotion mix is not to influence budget adversely or generate additional financial
burden. By improving the quality of services and by offering small gifts to the
word- of- mouth promoters, bankers can get more business command in their area

66
5.People:-
Sophisticated technologies no doubt, inject life and strength to our efficiency but
the instrumentality of sophisticated technologies start turning sour id the human
resources are not managed in a right fashion. We can’t deny the fact that if foreign
banks are performing fantastically; it is not only due to the sophisticated
information technologies they use but the result of a fair synchronization of new
information technologies and a team of personally committed employees. The
moment they witness lack of productive human resources even the new generation
of information technologies would hardly produce the desired results. In addition
to the professional excellence, the employees working in the foreign banks are
generally value- based. Thus we accept the fact that generation of efficiency is
substantially influenced by the quality of human resources. The quality for banking
sector is an aggregation of all the properties, which are found essential for
generating the efficiency and projecting a fair image. Even efficiency essentially is
supported by ethical dimension, humanity and humanism.
The development of human resources makes the ways for the formation of human
capital. Human resources can be developed through education, training and by
psychological tests. Even incentives can inject efficiency and can motivate people
for productive and qualitative work.
6. Process:-
• Flow of activities: all the major activities of banks follow RBI guidelines.
There has to be adherence to certain rules and principles in the banking operations.
The activities have been segregated into various departments accordingly.
• Standardization: banks have got standardized procedures got typical

67
transactions. In fact not only all the branches of a single-bank, but all the banks
have some standardization in them. This is because of the rules they are subject to.
Besides this, each of the banks has its standard forms, documentations etc.
Standardization saves a lot of time behind individual transaction.
• Customization: There are specialty counters at each branch to deal with
customers of a particular scheme. Besides this the customers can select their
deposit period among the available alternatives.
• Number of Steps: numbers of steps are usually specified and a specific

patternisfollowedtominimizetimetaken.
• Simplicity: in banks various functions are segregated. Separate counters exist

with clear indication. Thus a customer wanting to deposit money goes to ‘deposits’
counter and does not mingle elsewhere. This makes procedures not only simple but
consume less time. Besides instruction boards in national boards in national and
regional language help the customers further.
• Customer involvement: ATM does not involve any bank employees.

Besides, during usual bank transactions, there is definite customer involvement at
some or the other place because of the money matters and signature requires.
7. Physical evidence:-

68
The physical evidence includes signage, reports, punch lines, other tangibles,
employee’s dress code etc .the company’s financial reports are issued to the
customers to emphasis or credibility .even some of banks follow a dress code for
their internal customers this helps the customers to feel the ease and comfort
signage’s each and every bank has its logo by which a person can identify the
company .thus such signage’s are significant for creating visualization and
corporate identity.
Tangibles: banks give pens, writing pads to the internal customers. Even the
passbooks, chequebooks. Etc reduce the inherent intangibility of services
Punch lines: punch lines or the corporate statement depict the philosophy and
attitude of the bank. Banks have influential punch lines to attract the customers.
Banking marketing consists of identifying the most profitable markets now and in
future , assessing the present and future needs of customer , setting business
development goals, making plans –all in the context of changing environment
5. CONCLUSION:-
A marketing strategy is something that constantly evolves, adapting to

changing market conditions. Within Enterprise, the outcomes from its many
different types of business are constantly reviewed and evaluated. Judgments are

69
then fed into the decision making process. This enabled new
strategiestobedevelopedtoimproveoperations.However, while strategies change,
one aspect of the business has remained in place. This is a continued focus on high
levels of customer service and employee relations. This strategy has enabled
Enterprise to enjoy continued growth for more than 55 years and the prospect of
further growth in the future. Dena bank has its business mainly in Gujarat and
Chhattisgarh the bank has focused more on rural area. The bank has started various
schemes for rural population so has to help them mainly in agriculture sector bank
plan to grow the business mix and targeting the value of Rs 360 crores which its
reflected in “Goal post 2013” Dena bank is taking various steps to achieve this
goal.
6. REFERENCE
WEBLIOGRAPHY:-
70
www.denabank.com
http;//books.google.com/in. Books
BIBLIOGRAPHY:-
Basic marketing a global – managerial approach
Author- William D. Perreault,Jr.
E. Jerome Mc Carthy

Blackbook Bhagya

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1

MARKETING STRATEGY OF DENA BANK

Marketing is the science of meeting the needs of a customer by providing

With this definition, it is important to realize that the customer can be an

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

Marketing are activities of a company associated with buying and selling a

1.2 DEFINITION OF MARKETING:-

The activities that are involved in making people aware of a

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

1.3 CHARACTERISTICS OF MARKETING:-

2. Marketing mix has to be reviewed constantly in order to meet the

3. Changes in external environment necessitate alterations in the

4. Changes taking place within the firm also necessitate changes in

5. Applicable to business and non-business organization:-

6. Helps to achieve organizational goals:-

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

In order to achieve the objectives of an organization with regard to its marketing,

2. Product Designing and Development:-

Standardization refers to determining of standard regarding size, quality, design,

Products having the same characteristics (or standard) are placed in a

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

Packaging aims at avoiding breakage, damage, destruction, etc., of the

6. Customer Support Service:-

Customer is the king of market. Therefore, it is one of the chief functions of

(ii) Handling customers’ complaints

(iii) Technical services

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

It is the most important function of a marketing manager to fix

Promotion means informing the consumers about the products of the

Under this function of marketing the decision about carrying things

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

1.5 Importance of marketing can be studied as follows:

(2) Marketing Is Helpful In Raising And Maintaining The Standard

By making available the uninterrupted supply of goods and services to consumers

(3) Marketing Creates Employment:

(4) Marketing as a Source of Income and Revenue:-

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

(5) Marketing Acts as a Basis for Making Decisions:-

As a result, producers are depending largely on the mechanism of

(6) Marketing Acts as a Source of New Ideas:-

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

Marketing as an instrument of measurement, gives scope for understanding this

(7) Marketing Is Helpful In Development Of An Economy:

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

2. INTRODUCTION OF MARKETING STRATEGY:-

2.1 MEANING OF MARKETING STRATEGY:-

2.2 DEFINITION OF MARKETING STRATEGY:-

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

In our experience, businesses that come to us without a marketing strategy often

The right tactics

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

You say the right things to the right people:-

Who could benefit from a marketing strategy?

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

2.6 ELEMENTS OF MARKETING STRATEGY:-

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

This includes broadcast information about products, one-to-one and things in

ST.GONSALO GARCIA COLLEGE OF ARTS AND COMMERCE TY.B.B.I

The marketing mix is the set of controllable tactical marketing tools – product,