Bank marketing is the aggregate of functions, directed at providing services to satisfy customers financial (and other related) needs and wants, more effectively and efficiently than the competitors keeping in view the organizational objectives of the bank.

.ƒ ƒ ƒ The existence of the bank has little value without the existence of the customer. Aim is not only to create and win more and more customer but also to retain them through effective customer service. Appropriate promise to a customer through a range of services (products) and also to ensure effective delivery through satisfaction is important.

ƒ ƒ ƒ ƒ ƒ Identifying the most profitable markets now and in future. Assessing the present and future needs of customers. Setting business development goals and making plans to meet them Managing the various services and promoting them to achieve the plans Adapting to a changing environment in the market place. .

ƒ Bank which are not facing acute competition could think of Market Development by offering the existing services to new customers. ƒ design new product range for their customers of various segments ƒ .Designed after taking into account the strengths and weaknesses of the organization. ƒ bank with clientele from various segments could think of market penetration by offering the existing range of services to existing customers.

How the seller s determines which buyer s characteristics produce the best partitioning of the particular market? The seller does not want to treat all customers alike nor does he want to treat them all differently .

. Market segments. developing products and marketing programs tailor-made for these segments. group of persons and corporates More or less homogenous groups in terms of their needs and expectations. targeting one or more segments.ƒ ƒ ƒ Banks deal with individuals.

4. 3. 3. ƒ 1. 2. Agricultural Sector Marginal 2 to 5 acres 5 to 10 acres 10 acres and above Industrial Sector Tiny Co-operative Small-sized Large. 4. 2.sized .ƒ 1.

ƒ ƒ 1. Services Sector Household Sector Marginal Low Income Middle Income High Income . 4. 2. 3.

. Positioning which is the act of establishing a viable competitive position of the firm and its offer in the target segment chosen.ƒ ƒ Market Targeting in which each segment s attractiveness is measured and a target segment is chosen based on its attractiveness.

Traditional external marketing Internal marketing Interactive marketing .

Place and Promotion of marketing mix Product: The products offered are the services which includes various types of bank accounts. . online banking. investment services. Credit cards. Demat accounts. mobile banking and many more.ƒ ƒ consists of usual four Ps of Product. Price. different types of loans.

Also the interest paid by the bank. .includes interest . Organizations are supposed to sub-serve weaker sections and the rural regions of the country. Typical for banking sector since RBI regulates rates of interest. fees or commission charged by the bank.

ƒ ƒ ƒ Buyers look for satisfaction which differs from person to person. the banks have to frame the pricing strategies. The interest charged and the interest paid should have a co-relation between them. . Keeping in view the level of satisfaction of a particular segment.

Calculate cost .Develop marketing strategy Make marketing mix decisions Estimate the demand curve.

access to large section of people Proximity may play a determinant role in selecting the right places at right time at the least cost. .ƒ ƒ ƒ ƒ It refers to the establishment and functioning of a network of branches and other offices through which banking services are delivered. Extensive branch network. Objective is to get the right product .

Such as: ATM Telephone banking Online banking Mobile banking Video banking etc. With the advent of technology other point of contacts have come up. banks acquisition and amalgamation so as to have sufficient point of contacts with the customer. specialized branches. . mobile branches.ƒ ƒ ƒ ƒ ƒ ƒ ƒ Banks are coming up with extension counters.

ƒ ƒ ƒ ƒ ƒ Advertising Publicity Sales Promotion Personal Selling Push and Pull Strategies .

Quality Human resource can be a point of differentiation . Employees should also be treated as internal customers.e.ƒ ƒ ƒ It involves the people(5th P) of the bank i. the employees. and sort of marketing mix should be followed.

It involves : Process (6th P) Physical evidence (7th P) .ƒ ƒ ƒ ƒ The quality of service provided during the buyer-employee interaction. Efforts for previous strategies will turn futile if the interaction does not takes place satisfactorily.

ƒ ƒ ƒ Refers to the systems used to assist the organization in delivering the service. . Aids to the promotion of customer satisfaction It involves: speeding delivery of services reducing the paper work standardization of procedures customization as per individual demand simplicity etc.

reports. writing pads to the customers. other tangibles. employee s dress code etc. Punch lines: Depicts the philosophy and attitude of the bank. The company s financial reports are issued to the customers to emphasis or credibility.ƒ ƒ ƒ ƒ ƒ It includes signage. It creates visualization and corporate identity for the banks. Banks have influential punch lines to attract the customers. Tangibles: banks give pens. Signage: Each and every bank has its logo by which a person can identify the company. punch lines. .

ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ Referral services Direct mailing Cold calling Offering items having your brand identity Using the media Getting celebrities to endorse the product or service. Sponsoring events Using permission-based Marketing .

. 15th of every month (next day if 15th is a holiday) to be observed as customer s day at branches and administrative offices. Provision of complaint-cum-suggestion box in every branch. Customer meets to be held at the branches at least once in a half year.ƒ ƒ ƒ ƒ ƒ Recommendation of Talwar s committee.1975: Establishment of customer service committee/staff committee in the every ranch.

ƒ Immediate credit of cheques up to Rs.500 which has since been increased to Rs. ƒ In the year 1995 Banking Ombudsman was established by RBI with objective of resolving customer grievances in a quick and inexpensive manner.2.Provision of May I help you counter in branches.000.15. ƒ . ƒ Payment of penal interest in case of delay of collection of cheques.

institutional facilities etc. Process of change should be known to him Status of various development plans should be known .ƒ ƒ ƒ ƒ ƒ ƒ Follows 80-20 Parato principal Bankers need to understand the rural psychology Employing local literate youth for confidence building Banker must be aware of agriculture aspects. cultural and communal aspects.

Investment. Infrastructure R: Animal Husbandry & Allied Activities A: Agri Production(Field Crops.R:Retail Business for Rural Community As (Consumer & Producer) U: Urban facilities. Plantation) L: Linkages & Synergy .

Aqua-Culture & Others.ƒ ƒ ƒ ƒ ƒ ƒ Horticulture. Sericulture. Floriculture. Irrigation Projects & Wasteland Developments. . aromatic and medicinal plants. Bio-diesel plants etc. Plantation. Rural Tourism & Other emerging areas. Vegetable growing. for high investment Opportunities Post Harvest and Food Processing Seed Multiplication & Processing Dairy Farming.


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