MARKETING

OF BANKING
SERVICES
STATE BANK OF INDIA
 SBI , with a 200 year history is the largest commercial
bank in india.
 In terms of assets, deposits, profile,
branches,customers,and employees SBI is largest bank.
 The government of india is the single largest
shareholder of his fortune 500 entity with 61.58%
ownership.
 SBI is ranked 60th in the list of top 1000 Bank in the
world by The Banker in july 2012.
OBJECTIVES OF SBI
 Accept deposit
 Gives loans and advances
 Invests and Borrows
 Deals in bill of exchange
 Deals in gold and silver
 Deals in foreign currencies
 Underwrite issues
 Housing schemes

SERVICES OF SBI
SBI s non – Banking subsidiaries/joint ventures are market
leaders in their respective areas and provide wide ranging
services, which include -
 Life insurance
 Merchant banking
 Mutual funds
 Credit card
 Factoring services
 Security trading and primary dealership etc..
OTHER SERVICES
 Agriculture/rural banking
 NRI Services
 ATM Services
 Demat Services
 Corporate banking
 Internet Banking
 Mobile Banking
 International Banking
 Safe Deposit Loccker
 RBIEFT
 E-Pay
 E – Rail
 Broking Services

State Bank of India (SBI)

Marketing Mix (4Ps) Strategy
Marketing Mix of State Bank of India (SBI) analyses the
brand/company which covers 4Ps (Product, Price, Place,
Promotion) and explains the State Bank of India (SBI)
marketing strategy. There are several marketing strategies
like product/service innovation, marketing investment,
customer experience etc. which have helped the brand grow.
Marketing strategy helps companies achieve business goals &
objectives, and marketing mix (4Ps) is the widely used
framework to define the strategies. This article elaborates
the product, pricing, advertising & distribution strategies
used by State Bank of India (SBI).
Let us start the State Bank of India (SBI) Marketing Mix &
Strategy:

State Bank of India (SBI) Product

Strategy:
The product strategy and mix in State Bank of India (SBI)
marketing strategy can be explained as follows-
State Bank of India offers services in various sectors such as
personal banking, rural banking, corporate banking,
International Banking. Rural & Agricultural Banking has many
services such as Kisan Credit Card, Farm Mechanization loan,
Poultry Loan, Gold Loan, Fisheries Loan, Dairy Loan, Micro
credit, Pradhan Mantri JanDhan Yojana, Direct Benefit
transport. Personal Banking by SBI includes deposits such as
Savings account, CC account, Salary account, Fixed deposit,
Recurring deposit. SBI Loans are available such as Gold loans,
car loans, education loan, personal loans, home loans, etc.
SBI gives corporate services such as Corporate account
groups, mid-corporate account groups, Project finance, etc.
International banking of SBI consists of wholesale banking,
retail, banking, Global trade service, correspondent banking,
treasury management. Other services offered are, Aadhaar
seeding, ATM services, mobile banking, Internet banking,
Cash deposit machines, Demat services, Invest Bonds, etc.
This covers the product strategy in the marketing mix of State
Bank of India. State Bank of India (SBI) Price/Pricing Strategy:
Below is the pricing strategy in State Bank of India (SBI)
marketing strategy:
State Bank of India has a pricing strategy based on
competition, RBI guidelines and customer demand.
The marketing mix pricing strategy governs the operations of
SBI bank as follows. Services provided by SBI follow the
guidelines provided by Reserve Bank of India. SBI
competitively prices its services because Banking sector has
become highly competitive. Government policies heavily
affect prices of the services provided by the bank. Since loan
is highly risky pricing also depends on the total to which the
assets and liabilities amount to. 

State Bank of India (SBI) Place &

Distribution Strategy:
Following is the distribution strategy of State Bank of India
(SBI):
SBI operates in over 18 thousand branches in India. Majority
of its banks are in rural areas since it is a public sector bank
and aims to serve the whole of India. SBI is present in 36
countries with over 190 branches overseas. SBI also provides
its services through mobile banking and Internet banking. It
also has cash deposit stations and a huge network of ATMs.
It also has its presence through associate banks such as State
bank of Hyderabad, State Bank of Patiala, State Bank of
Mysore, State Bank of Travancore, State Bank of Bikaner &
Jaipur, Bhartiya Mahila Bank, etc.

State Bank of India (SBI) Promotion &

Advertising Strategy:
The promotional and advertising strategy in the State Bank of
India (SBI) marketing strategy is as follows:
State Bank of India (SBI) promotes itself through various
media such as Print media and audio visual media such as
Radios Hoardings, Newspaper advertisements, TV-
commercials, movies, etc. Its tagline, ‘The Banker to every
Indian’ turns out to be perfectly apt given its presence across
India. SBI smartly conveys its policies through its
advertisements. Recently, it has been adapting to the
modern approach and devising its advertisements
accordingly. Thereby, it has employed famous personality to
reinforce the idea of trust and SBI in customers’ minds. Being
affordable and present at almost every town, village and city
has been its indirect promotion due to its increased
presence.

Since this is a service marketing brand, here are the other

three Ps to make it the 7Ps marketing mix of State Bank of
India (SBI).

Competitive analysis in the Marketing

strategy of SBI –
The advent of technology in Banking industry has provided
for the immense  opportunity to the players which has
stagnated or has been marred by Non Performing Assets in
recent years. Governments push by infusing in funds into the
public sector banks has given the industry some breathing
space which has been struggling in recent years. SBI seems to
have already taken a head start in Digital Banking when it
comes to its competitors with its bouquet of Digital services.

Major Competitors of SBI includes:

 Punjab National Bank

 ICICI Bank
 HDFC Bank
 Bank Of Baroda
 Axis Bank
HDFC BANK
 HDFC Bank Limited is an Indian banking and financial
services company headquartered in
Mumbai, Maharashtra.
  It is the largest bank in India by market capitalisation as
of March 2020.[12]
 A subsidiary of the Housing Development Finance
Corporation, HDFC Bank was incorporated in 1994, with
its registered office in Mumbai, Maharashtra, India. Its
first corporate office and a full-service branch at Sandoz
House, Worli were inaugurated by the Union Finance
Minister, Manmohan Singh.

HDFC Bank Marketing Mix (4Ps) Strategy

Marketing Mix of HDFC Bank analyses the brand/company
which covers 4Ps (Product, Price, Place, Promotion) and
explains the HDFC Bank marketing strategy. There are several
marketing strategies like product/service innovation,
marketing investment, customer experience etc. which have
helped the brand grow.
Marketing strategy helps companies achieve business goals &
objectives, and marketing mix (4Ps) is the widely used
framework to define the strategies. This article elaborates
the product, pricing, advertising & distribution strategies
used by HDFC Bank.
Let us start the HDFC Bank Marketing Mix & Strategy
HDFC Bank Product Strategy:
The product strategy and mix in HDFC Bank marketing
strategy can be explained as follows:
HDFC Bank is one of the leading banks in India. HDFC offers a
wide range of products in its marketing mix strategy, namely
in personal and enterprise sector. The various services
offered by HDFC Bank are summarized as follows. Accounts
and deposits which covers savings accounts, salary accounts,
current accounts, deposits, safe deposit lockers, rural
accounts and pension accounts. HDFC Bank offers loans to
meet the diverse needs and it cover personal loans, car loans,
business loans etc. HDFC offers cards which includes credit
cards, debit cards, prepaid cards, credit card reward
programs and loan on credit card. Demat options for
investors which includes demat account, 2 in 1 account, 3 in
1 account and investment assist. Investment options covering
Invest Track, investment products, investment advisory
group reports, PPF (public provident fund) and sukanya
samriddhi account are provided to HDFC customers.
Insurances for various options like life, health, motor
insurance, travel, home, two wheeler and student travel -
suraksha. Forex includes travel solutions, remittance
products, other forex services for help and purchase.
HDFC Bank also includes online payment options like Pay bills
and shop online, Fund transfer options, bill payments, tax
payment, donate online etc. The premier options include
Direct equity, Mutual funds, Fixed income products,
Insurance, Private equity funds, Structured products and
Estate planning.
HDFC Bank Price/Pricing Strategy:
Below is the pricing strategy in HDFC Bank marketing
strategy:
HDFC Bank follows a competitive pricing strategy in its
marketing mix but maintains a premium level at the same
time.
It is clearly visible that it enjoys maximum market capital in
terms of shares in India. The other domestic competitors are
either PSUs or national bank, HDFC Bank is always priced
higher in terms of minimum cap required to open a new
account. RBI controls and regulates the pricing policies, like
for any other bank in India.

HDFC Bank Place & Distribution Strategy:

Following is the distribution strategy of HDFC Bank:
HDFC banks has got a strong presence all across India. Till
2016, HDFC outreached 4500+ branches in approx 2600
cities/towns with 12000 ATMs. HDFC Bank makes sure that
its presence is felt in each and every corner of the nation and
every individual should avail its facilities equally. HDFC has its
major offices in cities and towns for smooth operation
process. Its website is well designed and well maintained.
It facilitates ease of net banking, online payment options, etc.
HDFC Bank Promotion & Advertising
Strategy:
The promotional and advertising strategy in the HDFC Bank
marketing strategy is as follows:
HDFC Bank focuses a lot on the promotional strategy in its
marketing mix. HDFC is involved in large number of CSR
activities for sustainable livelihood, financial literacy,
education, training and community initiatives. HDFC has
always made its presence feel in the media through
advertisements, hoardings, posters, ads in newspapers,
magazines, promotional events, sponsorships, etc. HDFC also
has shareholdings in corporate bodies, mutual funds,
financial institutions, etc which creates a sense of value and
trust amongst the shareholders and customers towards this
particular brand.

Since this is a service marketing brand, here are the other

three Ps to make it the 7Ps marketing mix of HDFC Bank.
People:
HDFC Bank gives strong importance on its people ie
customers and employees. Through its multi demographic
culture it is clearly visible that HDFC believes in diversity and
inclusion. In India it has spread its offices geographically in
every state, to spread awareness to the maximum number of
people. With the help of this advanced technology, HDFC
bank employees will be highly satisfied and they will always
get competitive edge over others.
Physical Evidence:
HDFC provides best in house facilities with up to date
infrastructure and global environment in all its offices. The
complete setup helps the employees to experience the best
work environment so that they perform as per the
organization’s expectations. HDFC offices, branches, credit
cards, website etc are all the physical evidence of the brand.

Process:
HDFC bank has several business processes like all other
financial institutions. Through the various social activities and
best practices HDFC maintains a good relation with its
customers and investors, which in turn avoids a bad ‘word of
mouth’. All these helps the organisation to grow in long term
and motivates its employees to continue being loyal to it and
give their best throughout their tenure. The customers are
also successfully retained and new ones are attracted. Hence,
this concludes the marketing mix of HDFC bank.