Marketing Strategies of NAGAD

Target Market & Market Segmentation

Non-user
Group with zero
financial access Potential user

First time user

Response
Regular user
High
The Whole
Medium Market

Low
Income Needs
Region
Urban

Rural
Marketing Mix 7Ps - Product

• Cash In

• Cash Out

• Send Money

• Card/Bank to Nagad

• Bill Payments

• Mobile Recharge

• Sanchay
Marketing Mix 7Ps - Price
Price
Less Same More

More
More for More for More for
the Less the Same the More

Benefits
Same
Same for
the Less

Less for

Less
the Less

• For cash amounts of 2100 or more, the Cash Out

charge is almost 3.5% less than its competitors
• Higher transaction limits
Marketing Mix 7Ps - Place
• Nagad has more than 1.60 lac agent points, also

known as Nagad Uddokta Points

NAGAD

?
Marketing Mix 7Ps - Promotion

1 Lowest Service Charge

2 Highest Profit Rate on Sanchay

PABEN
3 CashBESHI DEBEN
Back on Cash In KOM
4 Cash Offers on Bill Payment

5 Discounts on Online Purchase

25 times greater daily transaction limit, and

10 times greater monthly transaction limit
Marketing Mix 7Ps – People

Freelance Agents, Customer

Care Team, Marketing Team Front-end

Middle
Management

Back-end
Top
Manage
ment

Unlike Bkash or Rocket

• No separate customer care for each region
• No separate official agent points
• No fast track or ATM points
Marketing Mix 7Ps – Physical Evidence

NAGAD

Website APP USSD

*167#

Instructions Self-registration Requires no

internet
Latest offers Transactions
connection
Calculate charges Get notification
Transactions
and profit on Latest offers
Marketing Mix 7Ps – Process
The first DFS that introduced digital KYC, a one
1
minute registration process facilitated by OCR and
AI
Two type of accounts, I) Customer
2
account and II) Merchant account

Deposits (Sanchay), Investment, and

3
profit.

4 Gateways that handles the transactions

5 Utility billers for easy bill payments

Advertising and Branding
Interactive Marketing
Strategies Marketing through other apps or games
Marketing through own app
(Notifications)

Traditional Marketing Integrated Web/Social Media Marketing

TV commercials Marketing Facebook
Billboards Instagram
Newspaper Ads YouTube

Direct Marketing
SMS
Email Marketing
What Makes Nagad Different?
Nagad
• A Digital Financial Service (DFS) that operates under the
authority of Bangladesh Post Office .
• Aims to bring people in a fully digital financial platform.
• Marketing strategy and campaigns are targeted to catch
and fill the gaps that the competitors currently have. It
is more focused on determining the weak areas based
on two strategic dimensions i.e. Geographic and
segmental.
• Low service charges, higher transaction limits
• Focuses more on devoting its resources to design
thinking.
Other Competitors
• Extended subsidiaries of established private banks that
operates under the authority of the banks
• Aims to make banking and financial services easier and
smoother.
• Marketing strategy and campaigns are targeted to attain
and maintain larger market share.
• Market maturity, A combination of both digital and
traditional banking services.
• Focuses more on product development by seeking to
evolve and create more and more new features and
functionality.

Future Opportunities with Nagad:

SSL 2000+
Nagad
COMMERZ Merchants
SWOT
STRENGTH 1 WEAKNESS
Public-Private Partnership
allows them to provide
faster services with much
lower price
THREATS
Sudden changes to rules,
regulations and conditions.
Money laundering, Fraud
and abuse of the service
No separate packages for
different segments.
No official points in
different regions.
OPPORTUNITIES
Traditional banking services
do not reach rural and remote
areas.
Technological advancements,
digitalization, and increasing
popularity of DFS.
Marketing Mix 7Ps - Price
• NO CHARGE for services excluding Send Money and Cash Out
• Cash Out
Amount App charge USSD charge
(excluding VAT) (excluding VAT)
2100 taka or more 0.99% 1.29%
Less than 2100 1.52% 1.61%
taka

• VAT- Additional 0.15% on the service charge

• For cash amounts less than 2100, the charge is almost
equal to its competitors
• For cash amounts of 2100 or more, the charge is almost
3.5% less than its competitors