Term Project-Standard Chartered Bank

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SUBMITTED TO: MR.NAVEED ILYAS

SUBMITTED BY:
ATIYA MURSALEEN-13829
FARAH POONAWALA-13792

MARKETING MANAGEMENT-2013
2013
TERM REPORT-
MARKETING
MANAGEMENT
STANDARD CHARTERED BANK-CUSTOMER VALUE

SUBMITTED TO: MR.EJAZ WASAY
SUBMITTED BY: FARAH POONAWALA
STUDENT ID: 13792
MBA EXE-SPRING 2013

TERM REPORT- MARKETING MANAGEMENT

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LETTER OF AUTHORIZATION

28
th
April, 2013

Dear Readers
As student of MBA Executive, my course instructor of Marketing Management Mr. Ejaz Wasay
authorized me to present a research report on, STANDARD CHARTERED BANK PAKISTAN LIMITED-
CREATING CUSTOMER VALUE. Iam required to conduct the research on the selected topic, in
accordance with the acquired learning throughout the semester.
The report is required to be submitted on 28
th
April, 2013.

Sincerely,
Farah Poonawala


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LETTER OF TRANSMITTAL
28
th
April , 2013
Mr. Ejaz Wasay
Marketing Management facilitator
Institute of Business Management
Karachi

Subject: TERM REPORT ON STANDARD CHARTERED BANK PAKISTAN LIMITED-CREATING CUSTOMER
VALUE
Dear Mr.Ejaz Wasay
Here is the final term report on the topic, CREATING CUSTOMER VALUE-STANDARD CHARTERED BANK
PAKISTAN LIMITED which you had authorized me to conduct at the ending of this semester. The report
is now ready for your perusal.
This report is a brief portrayal of how a company or an organization works hard to create brand and not
just launching but making a place in your consumers minds and how they create value for their
customers in the competitive market. We have surveyed consumers choice as well as what makes your
brand different from the other brands that exist in the market and why would a customer would want to
bank with SCBPL rather than any other conventional or Islamic bank that are present in the market.. Our
main focus was to get a birds eye view of the current market standing and the current image that
STANDARD CHARTERED BANK enjoys at the moment! I fortunately managed to get my hands on one of
the companys Personnel who helped me throughout in the making of this report.
The making of this report has been a wonderful learning experience for me and I thank you for giving me
this opportunity to avail it. I have worked diligently with my toiling endeavors to provide you a real and
complete picture of how an organization builds up a value for its customers. I have tried to utilize all
your teachings to the maximum keeping in mind your guidelines and support that you gave me
throughout the semester.

Sincerely,
Farah Poonawala


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LETTER OF ACKNOWLEDGEMENT

28
th
April , 2013
Mr. Ejaz Wasay
Marketing Management facilitator
Institute of Business Management
Karachi

Dear Reader:
It has been a great honor for me to prepare a report on STANDARD CHARTERED BANK-CREATING
CUSTOMER VALUE which was assigned to me by my course facilitator of Marketing Management - Mr.
Ejaz Wasay, without his guidance and support the compilation of the report would not have been
possible.

Thanking you,

Sincerely,
Farah Poonawala


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EXECUTIVE SUMMARY
The entire purpose of this report was to study how Standard Chartered bank creates value for its
customers through offering proper products and services, how it has a competitive edge over other
foreign banks and why would their customers just come to them rather than going to any other foreign
bank or local bank. The answer to this question is that customers prefer banking with standard
chartered bank because they have their preferences and have their own perceptions about certain
products and Brand. Since Standard Chartered bank is the only foreign bank that has been serving its
customers diligently and throughout their services they have been standing out with high quality service
standards and providing value to its customers and increasing their portfolio by adding in new
relationships that will stay with them for lifetime. They focus on making long term relations with their
customers rather than short term. In an increasingly commoditized market, the way they serve their
customers and their focus on continually improving the customer experience are key differentiators
for their brand. Their service guarantees are time-bound assurances to serve our customers needs
within a set timeframe. They have backed these commitments by either making donations to charity or
crediting a customers account if they do not meet the specified timeframes. They represent a tangible
way to demonstrate their commitment to the Charter as they deliver fast, friendly and accurate service
whilst solving their customers financial needs and building relationships. The first service guarantee
they launched was their eight-minute service pledge. An industry first in many countries, this pledge is
now across nine markets including those in Greater China. It reinforces their commitment to instill a
strong service culture and demonstrates that they value their customers time. In 2012, we will be
extending our eight-minute service pledge in further eight markets.


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Table of Contents
1.Background of Standard Chartered Bank ................................................................................................. 7
1.1 Over view of the company ...................................................................................................................... 7
1.2 Standard Chartered in Pakistan7
1.3 Vision mission values .............................................................................................................................. 8
1.5 Who we are.8
1.5.1 Our business9
1.5.2 Our Strategy.9
1.5.3 Our growth.10
1.5.4 Our brand values..10
1.5.5 Diversity & inclusion11-12-13
2. Process for value creation & delivery14
3. How does the organizational structure support the process..15
4. Exploring creating and delivering value at SCB..16
4.1 EXPLORING17
4.2 CREATING18
4.3 DELIVERING19-20-21
4.4 The customer value hierarchy21-22
5. Competitive Scenario of SCB22-23-24
6. Challenges faced by SCB.24-25
6.1 Rules that must be followed..26
7. Support received from employees26-27
8. Conclusion.28
References29-30

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1. BACKGROUND OF STANDARD
CHARTERED BANK PAKISTAN
LIMITED
1.1 OVERVIEW OF STANDARD
CHARTERED BANK
Standard Chartered leading the way in Asia, Africa and the Middle East
Standard Chartered PLC, listed on both London and Hong Kong stock exchanges, ranks among the top 20
companies in the FTSE-100 by market capitalization. The London-headquartered Group has operated for
over 150 years in some of the world's most dynamic markets, leading the way in Asia, Africa and the
Middle East. We have produced seven years of record income and profit, primarily as a result of organic
growth.
Standard Chartered aspires to be the best international bank for its customers across its markets. The
Group earns around 90 per cent of its income and profits in Asia, Africa and the Middle East, from its
Wholesale and Consumer Banking businesses. The Group has 1700 branches and outlets located in 70
countries. The extraordinary growth of its markets and businesses creates exciting and challenging
international career opportunities.
Leading by example to be the right partner for its stakeholders, the Group is committed to building a
sustainable business over the long term and is trusted worldwide for upholding high standards of
corporate governance, social responsibility, environmental protection and employee diversity. It
employs around 75,000 people, nearly half of whom are women. The Group's employees are of 125
nationalities, of which about 70 are represented in the senior management

1.2 STANDARD CHARTERED BANK PAKISTAN
Standard Chartered is the largest and fastest growing International Bank in Pakistan. The Bank has been
operating in Pakistan since 1863 when it first established its operations in Karachi.
Standard Chartered now employees over 4,000 people and has a branch network of 132 branches across
29 cities in the country. Standard Chartereds core businesses in Pakistan are in Consumer Banking and
Wholesale Banking.
Standard Chartered Pakistan is the first international bank to get an Islamic Banking license and to open
the first Islamic Banking branch in Pakistan and has been given credit ratings of AAA/ A1+, the highest
long-term rating assigned by PACRA to any private sector commercial bank.
The Banks efforts have been recognized by independent and credible authorities; we won "Best Foreign
Commercial Bank in Pakistan" award by Finance Asia; "Best International Trade Bank in Pakistan 2009"
by Trade Finance Magazine, a publication of Euro money; "Best Foreign Exchange Provider" Award from
the Global Finance Magazine for 2010; Triple A awards for the 'Best Debt House in Pakistan' award by
The Asset; "Pakistan Deal of the Year 2009" award by the Islamic Finance News; 'Awards for
Excellence', London 2009, by the Global Custodian; Consumers Choice Award for being the "Best Credit
Card Provider in Pakistan" by the Consumer Association of Pakistan.
The Bank is engaged in the banking business as defined in the Banking Companies Ordinance, 1962

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1.3 VISION MISSION STATEMENT

To be the Best Bank in Pakistan, leading the way with superior performance, sustained service
excellence and engaged people

1.4 STANDARD CHARTERED BANK (PAKISTAN) LIMITED
BOARD OF DIRECTORS
(AS AT MARCH 08, 2012)

MR. CHRISTOS PAPADOPOULOS CHAIRMAN & NON EXECUTIVE DIRECTOR
MR. MOHSIN ALI NATHANI CEO / EXECUTIVE DIRECTOR
MR. RAHEEL AHMED NON EXECUTIVE DIRECTOR
MR. RAY DUGGINS NON EXECUTIVE DIRECTOR
MR. NAJAM I. CHAUDHRI INDEPENDENT NON EXECUTIVE DIRECTOR
& CHAIRMAN AUDIT COMMITTEE
MR. SHAHID ZAKI INDEPENDENT NON EXECUTIVE DIRECTOR
MR. PARVEZ GHIAS INDEPENDENT NON EXECUTIVE DIRECTOR

1.5 WHO WE ARE?

SCB
PAKISTAN
OUR
BUSINESS
OUR
STRATEGY

OUR
GROWTH
OUR
LOCATIONS
DIVERSITY
&
INCLUSION
BRAND &
VALUES


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1.5.1 OUR BUSINESS:

Standard Chartered bank provides a wide range of products and services for personal and business
customers across 68 markets. Since SCB has been operating in Pakistan for more than 140 years they
have really established themselves in the minds of the customers who have strong Brand loyalty with
Standard Chartered.

1.5.2 OUR STRATEGY:

We aspire to be the world's best international bank, leading the way in Asia, Africa and the Middle East.
We focus on building profound and old relationships with our clients and customers and constantly look
to improve the quality of our products and services.
Our success
In the last nine years we have reported record income and profits. Twenty-four of our markets now
deliver over US$100 million of income, fourteen over US$100 million in profit.
Listed on the London, Hong Kong and Mumbai stock exchanges, we rank among the top 20 companies in
the FTSE-100 by market capitalization.
Our focus on basic banking
Our success is a result of being passionate with the basics of banking - balancing the pursuit of growth
with a disciplined management of costs and risks and keeping a firm grip on liquidity and capital.
Through our international network and expertise, we facilitate trade across markets, enable
multinational clients to conduct complex business transactions and service the needs of an increasingly
international consumer base


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1.5.3 OUR GROWTH:
Pakistan

Our footprint:
143 branches
200 ATMS
4,500 employees
We opened our office in Pakistan in 1863 and employ 4,500 staff.
Were the oldest and largest international bank in Pakistan and the first to get an Islamic Banking license
and open an Islamic Banking branch.
We were awarded the Best Bank in Pakistan by The Asset Triple A Awards in 2011 and by Euro money
Awards for Excellence in 2010.
1.5.4 BRAND & VALUES:
By doing things the right way we can support our customers and clients while having a positive impact
on the wider economy

Our distinctive culture and values act as our moral compass and are the reason why clients and
customers choose to bank with us, and our employees want to join and stay with us.
Our five core values are about openness, collaboration and putting the needs of the customer first. At
all times, we aspire to be courageous, responsive, international, creative and trustworthy.


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OUR BRAND PROMISE

Strategic
Intent

The worlds best international bank leading the way in Asia, Africa
and the Middle East

Brand
Promise

Here For Good
Values
Courageous Responsive International Creative Trustworthy

Competitive
Positioning
Delivery
Collaborating to combine
global capability and deep
local knowledge to provide
innovative solutions
Customers & Clients
Building long term relationships
with our customers and clients
delighting them with our service
and solutions
Discipline
Balancing the pursuit or
growth with firm control of
costs and risks
Commitment
to
stakeholders
Our People
A great place to
work, enabling
individuals to
grow and teams
to succeed
Communities
Trusted and caring,
dedicated to being a
force for good
Investors
A distinctive
investment,
delivering
consistently
superior quality.
Regulators
Demonstrating exemplary
governance and ethics

Here for good captures the essence of who we are. It's about sticking by our clients and customers and
always trying to do the right thing.

1.5.5 DIVERSITY & INCLUSION

Our strength is the diversity of our people, who mirror our customers and communities, enabling us to
better understand their needs

We employ over 89,000 people, who speak 170 languages and represent 127
nationalities. Women make up almost half of our workforce, representing 21% of our senior
management and 34% of our people managers.

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A. INCLUSIVE AT WORKPLACE
Our inclusive environment helps us attract, retain and develop the best talent.
We make each employee feel valued and respected for who they are and what they bring to the Bank.
We also aim to improve the work-life balance of our people.
How were inclusive
We employ people based on merit, regardless of age, physical ability or disability, gender or nationality.
We don't adopt quotas or positive discrimination.
These are some of the ways were working towards an inclusive workplace:
We have employee networks to provide social support, contacts, information and guidance
All our mandatory training programmes are translated into our core languages, including Thai, Chinese,
Bahasa Indonesian and Korean
All new and renovated buildings are accessible to those with disabilities
We use targeted recruitment programmes to support women who are returning to the workforce after
a career break
We run Women in Leadership programmes for talented women at middle management level
We have flexible working arrangements including working from home, flexible hours and part-time
working in process or in place in several markets
We have a support guide for employing visually impaired employees
We encourage our employees to leave the office earlier and spend time with family, friends or
colleagues on a Friday. This has been adopted in over 30 markets.

B. DIVERSITY FOR OUR CUSTOMERS
We're continually developing products and services that respond to our customers needs. In some
cases, this involves adapting products and services and tailoring them to be appropriate and accessible.
Here are some of our tailored products:
partially secured loans with lower interest rates to women entrepreneurs in Bangladesh and Malaysia
Islamic banking products in accordance with Shariah principles
non-resident banking, providing discounted remittance charges between markets and other benefits
Providing more than USD500 million to microfinance institutions. 80% of microfinance users are women

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my dream account, which helps families save and manage their childrens future financial needs
all-women branches in India and Sri Lanka, providing customers with a safe and comfortable
environment in which to discuss their financial matters
our Diva account, which caters specifically for womens needs, with customized debit cards, discounts,
benefits, and membership of the Diva club
our Kenyan 'X Account' for men, which specifically caters to men with active lifestyles
Networking opportunities such as roundtable breakfasts for female customers.

C.DIVERSITY FOR THE COMMUNITY (CSR)
We support financial education and empowerment in the community as well as community
engagement, through a range of initiatives, including our:
Clinton Global Initiative commitment to provide financial literacy training to at least 5,000 women
across Asia - announced in 2008
commitment to raise USD100 million by 2020 to help eliminate avoidable blindness and visual
impairment through our Seeing is Believing Programme
HIV and AIDS education programme, Living with HIV, which has educated more than one million people
to help them make safer choices and stop the spread of HIV
community investment initiative, Goal, which uses sport and life skills education to transform the lives
of disadvantaged young women in India, Bangladesh, Nigeria, Jordan and Indonesia
Employee volunteering scheme. Our staff are encouraged to spend two days volunteering for
community-based non-profit organizations
Process for evaluating and selecting suppliers also takes their diversity and inclusion into consideration.
We actively participate in external networks to learn and share best practice through groups such as the
Global Banking Alliance for Women, Community Business Diversity and Inclusion Asia Network.


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2. PROCESS FOR VALUE EXPLORATION CREATION &
DELIVERY AT STANDARD CHARTERED BANK

For a business to be successful the only value your company will ever create is the value that comes
from customers the ones you have now and the ones you will have in the future. Business succeeds by
getting, keeping and growing customers. Customers are the only reason you build factories, hire
employees, schedule meetings or engage in any business activity. Without customers you dont have a
business.
Standard Chartereds culture and values have proved a source of competitive advantage for them and
are a key ingredient in the emotional connection between the organization and their employees - and,
in turn, between their employees and their customers. They encourage customers and employees to
join them and to stay with them.

how can Standard Chartered Bank
identify new value opportunities for
its customers?

Value
Exploration

officially create more promising new
value offerings?
Value Creation
use its capabilities and infrastructure
to deliver the new value offerings
more efficiently?
Value Delivery

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3. HOW DOES THE ORGANIZATIONAL STRUCTURE AND
CULTURE SUPPORT THE PROCESS
At Standard Chartered Bank employees are trained to live the values that the organization holds since
its inception.
HERE FOR GOOD
We bring our brand promise to life every day by living the values in how we work with our customers,
colleagues, regulators, communities and suppliers. Our brand promise is at the heart of who we are as
a bank and sets us apart from the competitors

Our team is here to give you
Friendly fast and accurate service
Solutions to your Financial Needs

Our goal is to be the bank You
Recommend to Friends and
Colleagues

PARTICIPATION
MODEL
CUSTOMER
FOCUS
BACK TO
BASICS
OUR CULTURE
Responsive
Trustworthy
Creative
International
Courageous

OUR BRAND
Here for
good
Marathons
Volunteering

Solutions to your Financial Needs

Recognition of your overall Banking
Relationship

Relationship

Friendly fast and accurate service
Our 2013 Aspiration: $10bn Income, $3bn Operating Profit

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4. EXPLORING, CREATING & DELIVERING VALUE AT
SCBPL
4.1 EXPLORING NEW VALUE
OPPORTUNITIES AT
STANDARD CHARTERED
BANK
How can Standard Chartered Bank explore new
opportunities of growth in this competitive scenario?
They constantly need to grow and develop themselves through exploring new opportunities and ideas
through market research, coming up with new and innovative product offerings and services that the
customers would want with their overall banking experience with Standard chartered bank
Standard Chartered recently relaunched their
Mobile Banking services in collaboration with
IPHONE and IPAD
Standard Chartered Bank is an international
bank with 1800 branches on six continents,
dozens of recent industry awards, and
steadily increasing profits through organic
growth and acquisitions. IPhone and iPad
provide a perfect platform to expand the
banks mobile services, both internally and to
its increasingly tech-savvy customers.
In the wake of the 2009 global financial crisis,
Standard Chartered Bank immediately set to
work reinforcing customer relationships. As
a leader in the industry, they needed to
regain customer confidence, and rebuilding
that confidence is not about just pushing
products and services its about using the best technology to foster deep, longstanding relationships
with their customers. Its about helping them manage their money better.
IPad and iPhone enable the bank to forge new customer connections and strengthen existing bonds.
With iPhone and iPad, they are really looking at the next generation of banking, managing their
customers money is a responsibility that they take very seriously, and their mobile services reflect that.

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4.2 CREATING VALUE AT STANDARD CHARTERED BANK
After exploring new values for your customers and having done a complete analysis of the market that
how the launch of Mobile banking would benefit the customers. Does it actually meet the customers
thinking of what they perceive or expect out of that product. Is this what the customers of Standard
Chartered Bank want or thinks about. To do these marketers must think from their customers point of
view of how they perceive Mobile banking or any other service that is being provided to them.
The Customer Perceived value of a product is the difference between the prospective customer's
evaluation of all the benefits & all the cost of an offering & the perceived alternatives. Formally it may
be conceptualized as the relationship between the consumer's perceived benefits in relation to the
perceived costs of receiving these benefits. It is often expressed as the equation:
Value = Benefits / Cost
The customers get benefits and assume costs. Value is thus subjective (i.e., a function of consumers'
estimation) and relational (i.e., both benefits and cost must be positive values).
The components of customer value are deceptively simple. Product quality, service Quality, price, and
image shape a customers perception of value. A firms strategy and Performance in these areas are
integrated by customers into a perception of the value Proposition. This is particularly important for
first time customers. In this highly competitive business environment, the customer will compare the
perceived value of competitive offerings. The ultimate winner in the battle for the customers pocket
book is the firm that delivers the best value from the customers perspective. These Components of
customer value can be shaped into a simple model


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COMPONENTS OF VALUE

According to the above diagram it is very important for the marketers or in this case the people at
Standard Chartered though have been working really hard to retain their customers not just for
temporary basis but for lifetime relationship and to do that they need to put themselves in their
customers shoes and think like them. Customer is the most important part of any organization and
customer satisfaction is the only thing to get more customers, to make more profit. Bank is a service
organization, here it is mandatory to satisfy its customers. SCB is a multinational bank with a very good
reputation. Its always tried to provide better service to its customer. But it is not possible to any one or
any organization to satisfy the entire customer. If SCB provides best service to its customer, there will be
some people who will be not satisfied at all. Not only that, customer satisfaction level might be changed
day by day. I observed that one customers choice his/her opinion, feelings about SCB products,
behaviors are different from other customers, and satisfaction level is also varying from others. To run
business successfully, every organization must measure its customers satisfaction level.

CUSTOMERS
PERCEPTION
ABOUT
STANDARD
CHARTERED
BANK
PRICE
IMAGE SERVICES
PRODUCT

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4.3 DELIVERING VALUE TO ITS CUSTOMERS
UNDERPROMISE & OVER DELIVER!
The above statement UNDERPROMISE &OVER DELIVER is not just a statement its an entire banking
experience that Standard chartered delivers to their customers in terms of services, products and the
brand itself. Consumers have varying degrees of loyalty to specific brands.
The Product that Standard Chartered is offering to its customers needs to be tailored according to what
the customers are actually expecting out of Standard Chartered Bank.
The below mentioned diagram shows a small survey that I conducted by visiting one of Standard
Chartereds known branch. I met a few customers who have been banking with Standard Chartered for
years and would not stop banking with SCB for any other bank because they now maintain a relationship
with their Relationship Managers and are very satisfied with the services that are provided to them and
how their opinions are valued and taken into consideration by the employees.
CUSTOMER CHARTER PROOF POINTS

They are courteous and friendly however I contact them
The language they use is simple and easy to understand
Opening my account is simple and hassle free
On-line banking, phone banking and ATMs make my banking easier

I never have to wait too long to be served
Staff always helps me on the spot
Everything is processed very quickly

WE WILL PROVIDE SUPERIOR SERVICE
FRIENDLY
SERVICE
FAST
SERVICE

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Any problems are resolved quickly and satisfactorily
Information is always accurate and I can complete
My transactions correctly the first time

My needs are understood
Advice provided is suitable, comprehensive and unbiased and helps me make my financial
decisions
I am confident that the products and services do what they say they will

I know my overall banking relationship is valued because of the additional benefits I receive such
as better pricing and rewards and a Relationship Manager
My overall banking relationship is recognized with my spouse and family receiving similar
benefits and services
I am recognized when I am overseas and it is easy to do my banking globally.

CUSTOMER SERVICE

For understanding the quality of customer services of Standard Chartered Bank I have collected opinions
from the customers. Standard Chartered follows modernized services for attracting more customers.
They have launched 24 hours telephone banking by which customers can easily be updated with their
transactions and queries can easily be answered. They launched internet banking i.e. iBanking and SMS
Banking in Pakistan by which one customer can access his/her account by sitting inside the house
through internet/ mobile which is totally cost free. These are the three special features of SCB for
capturing more customers. Commercial banks, in general, render certain services to their customers. It is
expected that better service will bring more business for the concern. It is intended to estimate the level
of satisfaction and to compare customer satisfaction level with bank executives perception about the
level of satisfaction of customers. Usually customer want to get maximum service from a bank and the

WE WILL SOLVE YOUR FINANCIAL NEEDS
ACCURATE
SERVICE
WE WILL RECOGNIZE YOUR OVERALL BANKING RELATIONSHIP

21
bank officers also want to provide maximum customer satisfaction. In this connection I collected
customers opinions through customers query.
Customer relationships and company profitability are linked closely to product and service quality result
in greater customer satisfaction. Standard Chartered plays a very important role in the banking sector in
our country. It is very popular to all. I met different types of customers and talked with them about
products and services SCB provides to them. I asked to the customers how many times they visit the
bank and which type of transactions they do. Most of the customers informed me that they visit the
bank several times in a month and get the different types of services. Without any official advertisement
the branch set up Intelligence Queue Management System. A major part of the customers liked it
because depending on the waiting time which was mentioned, they could do other work at nearby
places like having food or talking on cell phone or they could take other services from Customer Service
Officers or from the Service Ambassador or can meet with the Branch Manager. If waiting time is
mentioned 10 minutes (approx.) then they can come back to the branch after 7/8 minutes for taking
service outside. Before the implementation at Zamzama Branch, customers used to stand in the long
queue but after that they can get service in a short time. Most of the customers choose the bank for
banking for various reasons. They informed me various reasons behind choosing the bank better
services, desired products, good will and international reputation. I asked few customers why they are
banking with this branch not with the other branches. They replied me that the branch was situated
near to their business offices or residents. Few customers told for familiar staffs and their swiftness and
dealings capability. Standard Chartered fully understands the importance of time, convenience and
efficiency to the success of customers business. They make easy the complex financial world for
customers and help to maximize every opportunity.
4.4 THE CUSTOMER VALUE HIERARCHY
CORE BENEFIT: For Standard chartered customers core benefit would be the
services or benefit the customer is really buying. For instance a lot of
customers use Debit card facility because they donot have to carry
money in their pockets. Thats the benefit that they get from the
product
BASIC PRODUCT: Secondly turning the core product into the basic
product, through inserting your debit card in the atm machine you
can avail other facilities provided to you by the bank e.g. mini
statement, balance inquiry, funds transfer bill payment etc.
EXPECTED PRODCUT: when you hear the word debit card the first thing that
the customer expects is that they will be able to withdraw cash anytime they want to from anywhere
without visiting the branch. That is the Expected product.

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AUGMENTED PRODUCT: Exceeding customer expectations is like a cherry on the icing because giving
the customer what they expect is an easy task by surprising them with something that they arent aware
of is an achievement. Example recently the State Bank announced that now you can withdraw up to
50,000.This is something the customers were not expecting.
POTENTIAL PRODUCT: This consists of all the benefits and services that Standarad Chartered Banks
Debit card is providing to its customers. The potential product is the final product with all the services
and benefits attached with it and the overall standing of one particular product definitely does affect the
banks overall standing.

5. COMPETITIVE SCENARIO OF STANDARD CHARTERED
BANK PAKISTAN

THREAT OF NEW ENTRANTS: The threat of new entrants is high as there are more
banks which are coming up to satisfy customers. The number of banks is increasing at a faster
pace for the last 6 to 7 years. Moreover some foreign banks like HSBC, Citi bank, UBL, Bank
ALfalah and many Islamic banks are coming up and are expanding their network at a very fast
pace and to survive in this scenario Standard Chartered has to maintain its level of innovation
and keep growing at every stage.


23
BARGAINING POWER OF SUPPLIERS & CUSTOMERS: The bargaining
power for individual customers and corporate customer is very different. The main reason
behind it is that the deposit of an individual customer is very insignificant compared to the total
amount of deposits. Some corporate entities do have large deposits in Standard Chartered Bank
and exercise strong bargaining power to receive special rates from the bank. SCB is currently
market leader in providing wide range of banking services as of result of that they have strong
strategic advantage. Depositors are supposed to be the suppliers of the banks. There are
thousands of depositors from all walks of life. There are businessmen, service holders, farmers,
students and people from virtually any other professions who are depositors of the banks. Big
amount depositors have strong powers in determining interest rate of their deposits. Creditors
are considered to be the buyers of the banks. There are thousands of creditors from all walks of
life, mainly businessmen and the major buyers of banks credit amounts. Banks distinguish their
prime customers from others by setting a prime interest rate for them. So currently the
bargaining power of buyers (customers) is low and the bargaining power of the suppliers (banks)
is moderately high.

THREAT OF SUBSTITUTE SERVICES: Various financial institutions are coming up
to provide financial services which might act as a replacement for the banking services. But
these institutions will take time to establish so threat is absent in the short or medium term.
There are substitute financial institutions that do many of the activities and transactions of a
bank in the leasing field but these financial and leasing institutions are too small in size. These
institutions can shrink the profit margin of commercial banks.

RIVALRY AMONG EXISTING BANKS: The competition level among the foreign
banks is very intense but what is more amazing and gradually more remarkable is the growing
aggressiveness and competitiveness of the lead banks to battle with the foreign banks. Local
banks such as MCB, UBL, Soneri Bank are coming up with new banking products and services to
compete and even make better products and services from foreign banks. Therefore there is
intense competition in the banking industry. By analyzing the above points we can say that the
threat of new entrants is considerable and there is intense competition and rivalry. It would be
very difficult to survive in a market where almost every bank foreign and local is waiting to grab
market share away with the slightest of chances. Therefore SCB must strive to be more
innovative and competitive in order to protect its customer base and expand it. In banking
rivalry among the competing banks is moderate to high due to the following reasons

Major rivals are equal or close to in size and capability ( revenue and volume)
Exit barriers are high

24
New private banks are snatching share from SCB and each others customers by
providing extra benefit.
Slow market growth
Depositors cost of switching bank is low
6. CHALLENGES FACED BY STANDARD CHARTERED IN DELIVERING
VALUE
Standard chartered bank Pakistan limited has been operating in Pakistan for a very long time and like
other multinational banks it did face certain challenges in delivering value to its customers not just
because of the competitiveness but also because of the socio economic and political conditions that
have been a huge part of Pakistan since its inception, banking sector does badly get affected because of
the political situation in the country.
At Standard Chartered, they are determined to lead by example within the markets in which they
operate. As well as contributing to economic growth through their core business activities, they want to
help protect the environment and to have a broader positive impact on the societies in which we live
and work. And as they engage as a partner with governments and communities in addressing these
wider challenges, they are learning more about how the issues interact with each other and our their
business objectives.
By being a high-performing bank, helping people and companies borrow, save and make transactions,
they naturally play a role in creating wealth and stimulating growth. From the perspective of
shareholder value creation, the more successful a country becomes, the more successful we can be. But
long-term growth depends on how well we all manage risk, including the social and environmental
issues that can impede or undermine sustainable growth.
So why is sustainability important to them? With our business spread across Asia, Africa and the Middle
East, the Bank is hosted by communities that are the most vulnerable to climate change and widening
social and economic disparities. We have a key role to play in stimulating economic and social
development through the services we provide and by being a force for good. The success of our business
depends on this.
Standard Chartered has long valued relationships with customers, governments, social organizations and
regulators that they have built over 150 years of business experience in these markets. This puts them in
a strong position to collaborate effectively with various stakeholders to respond to the challenges faced.
The issues present both risks and opportunities for them
But banking industry being so huge in Pakistan and with so many banks coming up with new promotions
and offerings it is very challenging for Standard Chartered Bank to stand up to its current position and
constantly keep working on making and providing the best of value to its customers.

25
CHALLENGES FACED IN PROVIDING VALUE
Uncertainties in the major financial markets caused by huge corporate losses are affecting
business sentiments and eroding growth and margins for international banks
To develop and implement systems and practices to achieve customer satisfaction they need to
have the best customer relationship management system
To strengthen the bank's operations processes and systems to continuously improve its risk
management.
Retaining old customers and making new ones is a challenge
Compromising on Banks profit to provide best offerings to its customers
Increasing customer base in competitive scenario is the biggest challenge SCB is currently facing
Exploiting new business opportunities because every bank is out there to grab the very first
opportunity that comes in their way
Attracting and retaining key talent because the market is so competitive and is ready to offer
anything to talent that has the Knowledge, skills and abilities to retain the customers and
provide out class services and value to them
OVERCOMING THESE CHALLENGES
How can Standard chartered bank overcome these challenges is very important. How can they make the
best of a not-so-great situation? First, address the low interest rate environment by looking carefully at
fee opportunities. It certainly seems that consumers are tired of bank fees, but it is totally unrealistic to
expect banks to provide deposit products at a loss. Bankers need to do a better job explaining the
economics of checking accounts how high interest rates allowed banks to provide free checking, but
todays low interest rates necessitate higher fees.
Low interest rates and weak loan growth mean that deposits are not very valuable. Banks should make
sure that they are offering very low interest rates on time deposits. Just when you think you are as low
as you can possibly go, you will see a competitor go lower. Follow him down. If you lose a few
depositors, know that you didnt have a good use for the funds anyway. Within the bank, every
institution needs a well-run compliance function. This is difficult for smaller institutions, but its just as
vital as opening the doors in the morning. Knowing what is expected of you by your customers is very
important because it is they who can take you to the top and vice versa.
6.1 RULES OR PRINCIPLES THAT MUST BE FOLLOWED
If Standard Chartered bank wants to become the bank that its customers suggest to their friends, family
and colleagues they need to maintain strong hold on their customer satisfaction and how they can keep
on improving and creating new values for its customers.
Timely surveys should be conducted so that their service performance can be measured properly and
accurately and and on timely basis so that the employees as well as the bank is aware of where they
stand in their customers mind.

26
Identifying customers financial needs and advancing the best solution plan. Making the customer
comfortable and giving them more than just a banking experience
Attend- To out serve with passion using the correct opening statements, remaining visually attentive
and interested, using the customers name at least twice, using courteous and positive words and
phrases, sounding passionate and willing to serve and controlling the conversation effectively
Listen and identify customer needs-Listening actively and attentively, using a positive statement of
intent, asking effective questions to gain a full understanding of the customer situation.
Offer Solutions-Explaining the customer how you can help them, recommending the benefit for their
solutions, managing expectations and gaining the customers agreement.
Handle Recovery-Use a cushion statement to address customers emotional needs, clarifying all facts
leading to the service breakdown, explaining what I can do to recover and reassuring the customer.
Appreciate- Reassuring the customer, restoring his confidence, thanking and personalizing the close,
using the correct closing statement.
Keeping in view the above mentioned ALOHA CONVERSATION FLOW each and every employee should
work for only one reason and that is satisfying the customer and providing him with the best value any
bank could ever provide to their customers. Following their core values and objectives Standard
chartered needs to live up to the expectations that their customers have from them in order to be the
best bank in the country as well as worldwide
7. SUPPORT RECEIVED FROM STANDARD CHARTERED
BANK PAKISTAN LIMITED
When we hear the name of brand that has been in the field for quite a long time and is the oldest player
in the field Standard chartered bank was the first bank that came in my mind when I heard the letters
CUSTOMER VALUE. Standard chartered bank truly lives to its values morals and standards that they have
been maintaining for the past years.
I got an opportunity of visiting one of the best branches of Standard Chartered situated at the main
street of Zamzama one of the best areas in Karachi in assistance with my sister who is currently part of
Standard Chartered bank and is working as a Relationship Manger for the past 2 years. this was actually
an opportunity of a lifetime because with my sisters help as well as the other employees who
welcomed me in their branch and allowed me to stay there and observe how they deal with their
customers and how their customers are treated as family members, how there issues and grievances are
taken care of. I spoke to a lot of customers personally asking them whether they were satisfied with SCB
and majority of them were very confident in answering YES WE ARE BECAUSE STANDARD HAS BEEN
TAKING CARE OF US AND NOT JUST US BUT OUR FOUR FATHERS ASWELL.

27
The overall culture of SCB is very liberal and everybody has a say in the decision making process. Open
door policy and socializing is something that is strongly encouraged, employees are self motivated and
enjoy doing their work and looking after their customers. They take ownership of each and every
customer and the customers treat their relationship managers as their friends and caretakers of their
assets.
As an employee they know what is expected of them, they know how they are performing, they know
that their performance does make a difference on the banks performance, they know their strengths
and weaknesses, they are aware that they will be rewarded for whatever they achieve. Keeping in mind
all these KPIS they out perform in whatever they do.
As a manger the manager engages and energizes people to reach clear goals, provide coaching to
maximize individual and team performance, boosting his team results, creating greater capability in the
team, attracting and retaining key talents, reinforcing performance through reward differentiation is
what the manager at Standard chartered bank does.
As a bank they exceed their annual targets, exploit new business opportunities, out serve their
customers, and enhance knowledge, skills and creativity to exceed banks ambition.


28
8. CONCLUSION
Standard Chartered Bank is unique in terms of constitution, its mandate, its objectives and modes of
operation. Through this the Bank has in the mean time found its own special position in the sector at the
higher rack of the self. Bank is expected to continue to maintain strong competitive edge in banking
sector in Pakistan in the years ahead. Through Banks specialization and integrated approach, The Bank
aims to build a strong position in the industrial development of Pakistan. The Bank also plans to
maintain its focus on managing capital and costs to maximize shareholders value. In this environment,
The Bank expects to make further gains in revenue, income and return on capital.
Recent Banks performance in different arena of banking strongly suggests that Standard Chartered
Bank is one of the soundest banks operating in the country. Continual improvement in different
segment with a proactive attitude can make a difference in the banking business.
The Standard Chartered Bank is redefining the traditional banking concepts and transforming it into
relationship banking. The Standard Chartered Bank considers the borrower as clients. The mutual
relationship is the essence of long-term success in the banking industry. The ever-increasing competitive
nature of banking business determines the direction of the bank. Sustainability in better performance is
the prime focus in Standard Chartered Bank.


29
REFERENCES
http://reports.standardchartered.com/ar2011/operatingandfinancialreview/consumerbanking/
serviceguarantees.html

http://reports.standardchartered.com/ar2011/operatingandfinancialreview/consumerbanking/
nextgenerationbanking.html

http://priority.standardchartered.com.pk/en/

http://www.standardchartered.com/en/about-us/who-we-are/our-strategy.html

http://www.standardchartered.com/en/answers/index.html

http://www.lawteacher.net/international-law/essays/compare-and-contrast-different-
organizational-structure-and-culture-law-essay.php

http://www.booz.com/global/home/what-we-think/industry-perspectives/display/2013-FS-
retailbanking-industry-perspective?pg=all

http://www.apple.com/iphone/business/profiles/standard-chartered/

http://dspace.bracu.ac.bd/bitstream/handle/10361/819/Afrin%20Akter%20Rumi.pdf?sequenc
e=1


30
http://www.banking-business-
review.com/companies/standard_chartered_bank_pakistan_limited

http://dspace.bracu.ac.bd/bitstream/handle/10361/789/Snigdha%20Iqbal.pdf?sequence=1

http://www.dgtrdt.gov.pk/Research/38th_syndicate_reports/2.pdf


31

Deposits

Saving Accounts

Young Savers Account
Senior Save Account
Savings Account-i (Islamic Savings Account)
Basic Savings Account
e$aver Account
Current Accounts

Conventional Current Account
M2 Account
Current Account-i (Islamic Current Account)
Basic Current Account
MoneyHome Card
Fixed Deposits

Cards
Standard Chartered Priority Banking Visa Infinite Card
Standard Chartered Preferred World MasterCard Credit Card
Standard Chartered Platinum Visa & MasterCard
Standard Chartered Business Visa Platinum & Gold
Standard Chartered Gold Visa & MasterCard
Standard Chartered Classic Visa & MasterCard
Standard Chartered Supplementary Visa & MasterCard

Personal Loans

CashOne
Quick Cash EDGE
Personal Financing-i

Home Loans


32
HomeSuite
MortgageKLIBOR
MortgageOne Optimizer
MortgageOne
MortgageOne Low Start
MortgageOne Bonus
JustHome-i (Islamic financing)
Conventional Housing Loan

Investing
Unit Trust
Foreign Currency Account
Premium Currency Investment
Portfolio Management Services
Money Manager

Insurance

General Insurance
Permanent Disability Plan
Critical Illness Protection Plan
Premier Personal Accident Plan
Senior Citizen Personal Accident Plan
Home Contents Insurance
TravelRight Plus
Life Insurance
Whole Life
Endowment
Term
Supplementary Benefits or Riders
Investment-linked Policy
MultiAssure


33
Target Market Description
1. Mar ket s egment s
Overall market industry for banks in general and SCB in particular can be
Divided into following categories:

Personal Banking
Accounts and Deposits
Debit & Credit cards
Loans & Mortgages
Insurance
Investment

Islamic Banking: Standard Chartered, with an aim to meet the unique needs of its customers has setup an Islamic
Banking system. The bank is offering Shariah compliant products to its customers.

Wholesale Banking
Transaction Banking
Financial Markets
Corporate Finance

2. Primary Market
3 . S e c o n d a r y ma r k e t
4. Mar ket c har ac t er i s t i c s
Geographic
D e m o g r a p h i c
P s y c h o g r a p h i c
Behavioral

5.Marketing Objectives
Need Satisfying objectives
Long and short term sales target objectives

6.Marketing mix

a. Product
Consumer banking

Standard Chartered provide mortgages, Credit Cards, personal loans,
auto loans, deposit accounts, and wealth management products.

Corporate and institutional banking
Corporate & Institutional Banki ng provides trade finance, cash management
And lending services.


34
Global markets
Global Markets provides foreign exchange, interest rate management and debt
c api t al mar ket s s er vi c es t hat ar e ver y dynami c i n Paki s t an as t her e ar e
a l ot of changes in the economic climate.

Services Provided

Foreign Exchange
Spot and Forward
Asset & Liability management
Short Term loans/deposits
Interest rate / Liquidity management
Economic Research & Analysis
Customer Risk Management
Non Deliverable Forwards
FX Options
Interest Rate Derivatives

Advertising Plan of Standard Chartered Bank

Interest Rate Swaps
Cross Currency Swaps
FRAs
Interest Rate Options
Financial Engineering

b.Price
Standard Chartered Bank Pakistan Limited is an active price maker in the market and handles
Flows of multinationals and foreign investors in the stockmar ket . Var i abl e s er vi c e c har ges
on appl y on eac h c at egor y of s er vi c e offerings, these range from bank charge rates to
Transaction costs etc.

c.Distribution
Standard Chartered Bank is one of the world's leading banks in foreign exchange
And money market operations with special ist strengths in exotic currency products.
Clients have access to a 24-hour dealing service through 20 dealing rooms in the principal financial
Centers. The bank has also established a strong reputation for dynamic involvement in
New financial products such as options and derivatives and is particularly strong in the emerging
market currencies of Asia, Africa and Latin America where it is recognized as being a first choice
Provider in many markets. With presence i n more than 50 countries and 150 years of experience,
The bank has a Large local customer base in each of these markets attracting large volume transactions.
Standard Chartered Bank (Pakistan) Limited is Pakistan's oldest and l argest foreign
Bank with over 150 branches in the country. The history of Standard Chartered in Pakistan dates
back to 1863, when the Chartered Bank of India, Australia and China first established its operations in
Karachi.In 2006 Standard Chartered Bank acquired Pakistan's Union Bank.

35
On 30December 2006, Standard Chartered merged Union Bank with
Its own subsidiary, Standard Chartered Bank (Pakistan), to create Pakistan's sixth largest bank.

d. Communication
In Pakistan the communication mix for SCB had been more of below the lineadvertisement
Rather than an open traditional promotional and communication mix.
They usually prefer to paint-out the entire bank branch using it as an attractive outdoor
Advertising medium.

7.Intended role of Advertising in the communication mix
Banks operate in a significantly more competitive environment than they did a decade ago in Pakistan.
The number of commercial banks became larger through acquisitions, and entered new markets as
geographic market entry restrictions were gradual ly removed, first at the city, and then at the
Provincial level. Thi s not only allowed banks to capitali ze on economies of scale but also to
Spread their operations over the geographic space to diversify the local economy risk during
1980s and 1990s. Competition from credit unions whi c h ar e ex empt f r om i nc ome t ax es , and
non- bank f i nanc i al s er vi c es , s uc h as money mar ket m u t u a l f u n d s a n d f i n a n c e
c o m p a n i e s w h i c h a r e e x e m p t f r o m b a n k i n g regulations, also stiffened during this
Period. Banks tried to counter non-bank competition by offeri ng a wider range of products and
Services, ranging fromi ns ur anc e t o i nves t ment bank i ng, bet t i ng on t he ec onomi es of s c ope.
The dramatic changes i n the banking sector suggest that the role of advertising in commercial
Bank production and performance may have increased i n the new competitive environment.
This means that major role of Advertising so far by Standard Chartered Bank inP a k i s t a n
h a d b e e n t o r e t a i n i t s e x i s t i n g ma r k e t s h a r e a s we l l a s t o g a i n competitive
edge through its non advertising measures such as acquisition of Uni on Bank so that to not
only increase its distribution network of branches all over Pakistan but to Advertise its presence
through its signature painted building branches all across Pakistan as well.

8. Advert i si ng Obj ect i ves
Advertising in no matter what format, has primarily three major objectives:
1 . I n f o r m
2 . P e r s u a d e
3 . R e m i n d

The advertising objectives thus for Standard Chartered Bank
are and must be aligned such that people or target audience is informed of the service offerings that the
bank is making. The awareness in thi s regard would help this deicide,compare and evaluate the
service offerings of SCB with other competitive banks and thus rational decision on their part could
be made. Once the awareness of service offerings is made, and then comes the persuasion part.
Here SCB would work through it advertisements in such a way that the target audience would be persuaded
to buy the service offerings from SCB rather than its competitors. And finall y remi ndi ng the customers
in regular cycle of servi ce offerings from SCB would help to not only retain the existing
customer base but would also help to start the cycle of informing to newer customers too.

36
9. Advert i si ng Strat egy
Developing an Advertisi ng Strategy
7
t o achi eve t he obj ect i ves of a campai gn r e q u i r e s t h a t c o n s i d e r a t i o n b e g i v e n t o b o t h t h e Me s s a g e wh i c h wi l l b e communicated and the Media through
which it will be sent.
As per BCG:
7
http://www.examstutor.com/business/resources/studyroom/marketing/advertising/3-advertisingstrategy.php

11

http://www.scribd.com/doc/16406715/Standard-Charter-Bank-Advertising-Report

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