Deepika Saini

THE CUSTOMER PERCEPTION & COMPARATIVE ANALYSIS OF HDFC BANK PRODUCTS AND SERVICES
A Training Report submitted in partial fulfillment of the requirements for the award of
the Degree of Master of Business Administration (Industry Integrated), Maharishi
Dayanand University on
THE CUSTOMER PERCEPTION & COMPARATIVE

ANALYSIS OF HDFC BANK PRODUCTS AND
SERVICES
For Housing Development Finance Corporation Limited
Under Organizational Guidance of:

Institutional Guidance Of:
Under
Mrs. Gurvinder
Kaur (NIAM)
Prepared And Submitted By:

Deepika Saini
43
Registration No.100049 of 2009-11.
CERTIFICATE
This is to certify that Deepika Saini, a student of the MAHARISHI DAYANAND
University Rothak has prepared her Training Report entitled the customer
perception & Comparative analysis of HDFC Bank products and services
under my guidance. She has fulfilled all requirements under the regulations of the
MBA (II) Maharishi Dayanand University Rothak, leading to the M.B.A (II) degree.
This work is the result of her own investigation and the project; neither as a whole nor
any part of it was submitted to any other University or Educational Institution for any
research or diploma.
I wish her all success in life.
Dr. Jai Deep Singh

Head of
the Department
B
hikaji Gama Place, New Delhi
43
STUDENTS DECLARATION
I hereby declare that the Training Report conducted at
MAHARISHI DAYANAND UNIVERSITY, ROHTAK
Under the guidance of

Mrs. Gurvinder Kaur
Submitted in Partial fulfillment of the requirements for the
Degree of
MASTER OF BUSINESS ADMINISTRATION

(Industry Integrated)
TO
MAHARISHI DAYANAND UNIVERSITY, ROHTAK
Is my original work and the same has not been submitted for the
Award of any other Degree/diploma /fellowship or other similar titles
Or prizes.
Place:
Deepika Saini
Date:
Reg. No:
ACKNOWLEDGEMENT
43
I am sincerely thankful to Mr. Gaurav Kapoor (Branch Manager) & Mr. Devender
Nagi (HR Manager) who helped me enough to make my project. Without their help
it wouldnt have been possible. My sincere thanks to all the team members. Especially
to my seniors who taught a lot of new things during my training.
A special Note of thanks to Mrs. Gurvinder Kaur who guided me in preparing this
project report. I also thanks all the faculty of my college i.e. NIAM especially
Mr.N.K Sharma, Mr. Rajiv Mehta and all other faculty for their support. It will not
be justified if I dont mention a word of thankfulness to all my colleagues and friends
for always being there when I needed them.
Deepika Saini
43
CHAPTER 1
INTRODUCTION . ..7-17
1.1
General Introduction .7
1.2
Industry Profile...8
a. Origin and Development of the industry...8
b. Growth and Present Status of the industry...........10
c. Future of the industry ..16
CHAPTER 2
PROFILE OF THE ORGANISATION..18-37
2.1
Origin of the Organization .. ..18
2.2
Growth and Development of the Organization ..20
2.3
Present Status of the Organization
2.4
Functional Departments of the Organization .................27
2.5
Organization Structure and Organization Chart 30
2.6
Product and Service Profile of the Organization Competitors ...32
2.7
Market Profile of the Organization .. ..36
CHAPTER 3
.......24
DISCUSSIONS ON TRAINING - 38-40
3.1
Student's Work Profile (Roles and Responsibilities) .. 38
3.2
Description of Live Experience . 39
CHAPTER 4
STUDY OF SELECTED RESEARCH PROBLEM 41- 55
4.1
Statement of Research Problem.. 41
4.2
Statement of Research Objectives ........ .42
4.3
Research Design and Methodology.42
4.4
Analysis of Data ..43
4.5
Summary of Findings 52
CHAPTER 5
SUMMARY AND CONCLUSIONS . .. 54-58
5.1
Summary of Learning Experience54
5.2
Conclusions and Recommendations 55
APPENDIX .59-63
BIBLOGRAPHY.63
43
CHAPTER-1
1.1General Introduction:-
43
The report was carried out for understanding the customer perception &
Comparative analysis of HDFC Bank products and services and its market
potential .HDFC Bank was established in the year 1994, they are old player in
banking sector, the bank has two principle client segments customer and asset
management. The bank follows values such as Integrity, teamwork, respect,
professionalism, & Mission. The segment of bank we are considering here isCorporate banking. The product out of which we have chosen for research is
Saving Accounts. This research helps us in finding out the customers view
regarding the product and Services offered by the HDFC bank and awareness
by promotion and also identifying market potential of the product offered by
the HDFC bank.
1.2Industry Profile:a.) Origin and development of the industry:-
43
Banking in India originated in the first decade of 18th century. The first banks were
The General Bank of India, which started in 1786, and Bank of Hindustan, both of
which are now defunct. The oldest bank in existence in India is the State Bank of
India, which originated in the "The Bank of Bengal" in Calcutta in June 1806. This
was one of the three presidency banks, the other two being the Bank of Bombay and
the Bank of Madras.
The presidency banks were established under charters from the British East India
Company. They merged in 1925 to form the Imperial Bank of India, which, upon
India's independence, became the State Bank of India. For many years the Presidency
banks acted as quasi-central banks, as did their successors. The Reserve Bank of India
formally took on the responsibility of regulating the Indian banking sector from 1935.
After India's independence in 1947, the Reserve Bank was nationalized and given
broader powers.
A couple of decades later, foreign banks such as Credit Lyonnais started their
Calcutta operations in the 1850s. At that point of time, Calcutta was the most active
trading port, mainly due to the trade of the British Empire, and due to which banking
activity took roots there and prospered.
First of all we must note the fact that these institutions have changed very much in
character since their origin, and consequently nowadays perform many functions
unknown to those of former times. The first banks seem to have arisen in connection
with the business of exchanging money. In ancient times and especially in the Middle
Ages the varieties of coins were greater even than at the present day, and they were
much less perfectly and honestly minted. Specialists were, therefore, required to
determine their exact value and equivalence and to exchange coins of one mintage for
those of another, and their BANK were in great demand at fairs and other places
where merchants of different nations met for purposes of trade. Inasmuch as they kept
their boxes or chests of coins on benches or "banken," the name bankers came to be
applied to them. On account of their technical knowledge and the fact that they were
obliged constantly to keep on hand considerable quantities of the precious metals,
this business in the early Middle Ages was usually carried on by goldsmiths, but later
it was sometimes assumed by the governments of large commercial cities, as, for
example, by Amsterdam in 1609, by Hamburg in 1619, and by Nurnberg in 1621. Of
these latter the Bank of Amsterdam was the most important and may be regarded as
typical of these early institutions.
From the earliest times also, bankers have been the chief agents through which
foreign exchanges have been conducted. As dealers in coin and bullion they had
international connections and knowledge of international affairs not possessed by
other merchants, and was, therefore, in a position to undertake the settlement of
international accounts by means of orders drawn on bankers in other countries or
43
other cities with whom they had regular business transactions. As keepers of other
people's money they also promoted saving, and banks thus became in time the chief
savings institutions of the country.
b. Growth and present status of the industry:Currently, banking in India is generally fairly mature in terms of supply, product
range and reach-even though reach in rural India still remains a challenge for the
private sector and foreign banks. In terms of quality of assets and capital adequacy,
Indian banks are considered to have clean, strong and transparent balance sheets
relative to other banks in comparable economies in its region. The Reserve Bank of
India is an autonomous body, with minimal pressure from the government. The stated
policy of the Bank on the Indian Rupee is to manage volatility but without any fixed
exchange rate-and this has mostly been true.
With the growth in the Indian economy expected to be strong for quite some timeespecially in its services sector-the demand for banking services, especially retail
banking, mortgages and investment services are expected to be strong. One may also
expect M&as, takeovers, and asset sales.
In March 2006, the Reserve Bank of India allowed Warburg Pincus to increase its
stake in Kotak Mahindra Bank (a private sector bank) to 10%. This is the first time an
investor has been allowed to hold more than 5% in a private sector bank since the RBI
announced norms in 2005 that any stake exceeding 5% in the private sector banks
would need to be vetted by them.
Currently, India has 88 scheduled commercial banks (SCBs) - 27 public sector banks
(that is with the Government of India holding a stake)after merger of New Bank of
India in Punjab National Bank in 1993, 29 private banks (these do not have
government stake; they may be publicly listed and traded on stock exchanges) and 31
foreign banks. They have a combined network of over 53,000 branches and 17,000
ATMs. According to a report by ICRA Limited, a rating agency, the public sector
banks hold over 75 percent of total assets of the banking industry, with the private and
foreign banks holding 18.2% and 6.5% respectively
Introduction of many more products and facilities in the banking sector in its reforms
measure. In 1991, under the chairmanship of M Narasimham, a committee was set up
by his name which worked for the liberalization of banking practices.
The country is flooded with foreign banks and their ATM stations. Efforts are being
put to give a satisfactory service to customers. Phone banking and net banking is
introduced. The entire system became more convenient and swift. Time is given more
importance than money.
43
In 1995, the Brookings Institution published a paper entitled The Transformation of

the U.S. Banking Industry: What a Long, Strange Trip Its Been. Using a
breathtaking array of facts and figures, the paper described in great detail the
dramatic changes that had occurred in the U.S. commercial banking industry over the
15 years from 1979 to 1994. The banking industry was transformed during that
period, according to the paper (p. 127), by the massive reduction in the number of
banking organizations; the significant increase in the number of failures; the
dramatic rise in off-balance sheet activities; the major expansion in lending to U.S.
corporations by foreign banks; the widespread adoption of ATMs; . . . and the
opening up of interstate banking markets.
The paper went on to explain that most of these major changes in banking could be
traced to two developments: (1) the extraordinary number of major regulatory
changes during the period, from deposit deregulation in the early 1980s to the
relaxation of branching restrictions later in the decade; and (2) clearly identifiable
innovations in technology and applied finance, including improvements in
information processing and telecommunication technologies, the securitization and
sale of bank loans, and the development of derivatives markets. Other research
would later confirm the papers assessments and its explanation of the course of
events in the banking industry over the period 19791994.
43
Over the two decades 19842003, the structure of the U.S. banking industry indeed
underwent an almost unprecedented transformationone marked by a substantial
decline in the number of commercial banks and savings institutions and by a growing
concentration of industry assets among a few dozen extremely large financial
institutions. This is not news. As mentioned above, the decline in the number of
banking organizations has been ongoing for more than two decades and has been
well documented in the literature. Nevertheless, a brief overview will serve to clarify
both the scope of the decline and the increasing concentration of assets among the
nations largest banking organizations
43
At year-end 1984, there were 15,084 banking and thrift organizations (defined as
commercial bank and thrift holding companies, independent banks, and independent
thrifts). By year-end 2003, that number had fallen to 7,842a decline of almost 48
percent (figure 1). Distributed by size, nearly all the decline occurred in the
community bank sector (organizations with less than $1 billion in assets in 2002
dollars), and especially among the smallest size group (less than $100 million in
assets in 2002 dollars). Yet the community banking sector still accounts for 94 percent
of banking organizations.
43
43
c. Future of the industry:The burden of reporting and other regulatory requirements will fall heavily and
disproportionately on small banks unless remedial action is taken. Further advances in
information technology will permit the development of new products, BANK, and
risk-management techniques but may also pose important competitive and
supervisory issues. Nonbank entities will continue to offer bank-like products in
competition with banks, raising anew the question of whether banks are still special
and, more fundamentally, whether banks are sufficiently different from nonblank
firms to justify the maintenance of safeness for banks.
It is useful, therefore, to try to chart the course of the banking industry in the next five
to ten years and to consider what policy issues the industry and regulators will face.
The authors of this study do not pretend to be clairvoyant. They are mindful of the
many financial predictions that were once offered with confidence but turned out to be
wrong or premature. This study is perhaps best described as an exercise in strategic
thinking. Its approach is to analyze what has happened in the recent past, consider in
detail reasons for expecting recent trends to continue or to change, and draw the
consequences for bank and regulatory policies.
As always, uncertainties abound, and events that may now appear fairly improbable
may in fact shape the future. This paper closes with a discussion of a number of such
possible events. The future-of-banking study addresses three broad questions:
1. What changes in the environment facing banking can be expected in the next five to
ten years?
2. What are the prospects for different sectors of the banking industry in this
anticipated environment? Because the banking industry is not monolithic and different
segments of the industry have, to some degree, different opportunities and
vulnerabilities, the study considers separately the prospects for large, complex
banking organizations; regional and other midsize banks; community banks; and
limited-purpose banks.
3. What policy issues are the industry and regulators likely to face in the years ahead?
Separate consideration is given to
43
CHAPTER-2
2.1 Origin of the Organization:Housing Development Finance Corporation Limited, more popularly known as HDFC
Bank Ltd, was established in the year 1994, as a part of the liberalization of the Indian
Banking Industry by Reserve Bank of India (RBI). It was one of the first banks to
receive an 'in principle' approval from RBI, for setting up a bank in the private sector.
The bank was incorporated with the name 'HDFC Bank Limited', with its registered
office in Mumbai. The following year, it started its operations as a Scheduled
Commercial Bank.
43
HDFC Bank Limited. The Group's principal activities are to provide banking and
other financial BANK. The Group operates through four segments: Treasury, Retail
Banking, Wholesale Banking and Other Banking Business. The Treasury BANK
segment consists of net interest earnings on investments portfolio of the bank and
gains or losses on investment operations.
The Retail Banking segment serves retail customers through a branch network and
other delivery channels. This segment raises deposits from customers and makes
loans and provides advisory BANK to customers. The Wholesale Banking segment
provides loans and transaction BANK to corporate and institutional customers.
The Other Banking Operations segment provides BANK relating to credit cards, debit
cards, third party product distribution and primary dealership business and other
associated costs. The Bank was incorporated on 30th August 1994. A new private
sector Bank promoted by housing Development Corporation Ltd. (HDFC), a premier
housing finance company. The bank is the first of its kind to receive an in-principle
approval from the RBI for establishment of a bank in the private sector. Certificate of
Commencement of Business was received on 10th October 1994 from RBI. The
Bank transacts both traditional commercial banking as well as investment banking.
HDFC, the promoter of the bank has entered into an agreement with National West
minister Bank Pc. and its subsidiaries (Nat west Group) for subscribing 20% of the
banks issued capital and providing technical assistance in relation to the banks
proposed banking business.
2.2Growth and Development of the Organization:1994.

On 16.1.1995, 90, 79,930 No. of equity shares were allotted to Jarrington Pte. Ltd.
Another 400, 00,000 equity shares were allotted on private placement basis to
NatWest Group on 9.5.1995. 500,00,000 shares were allotted to the public on 9.5.95
The Bank opened its first branch in Ramon House at Church gate, Mumbai on
January 16th.
43
The Bank has created an efficient operating system using well tested state-of-the-art
software.
1995
70 No. of equity shares issued to subscribers to the Memorandum &Articles of
Association on 30th August 1994. On the same date 500,00,000 equity shares were
allotted to HDFC promoters. 509,20,000 shares were allotted to HDFC Employees
Welfare Trust and HDFC Bank Employees Welfare Trust on 22nd December,
1996
HDFC Bank has entered the banking consortia of over 50 corporates, including some
leading multinational companies, flagship companies of local business houses and
strong public sector companies.
HDFC Bank has set up a state-of-the-art dealing room to handle all transactions
possible in Indian financial markets.
The Certificates of Deposits were awarded a PP1+ rating which is the highest rating
for short term instruments indicating superior capacity for repayment.
2001
The Bank has opened its first branch in Aurangabad. HDFC Standard Life Insurance
has entered into a memorandum of understanding with the Chennai-based Indian
Bank. The Bank has launched the international Maestro debit card inassociation with
Master Card. HDFC Bank will launch its credit card in June through link-ups with
MasterCard and Visa.LTtrade.com has entered into a strategic tie-up with HDFC Bank
to provide Net banking BANK to online investors. Standard Chartered Bank, HDFC
Bank and Bharat Petroleum Corporation have joined the cash Forum which has been
set up by the Smart Card Forum of India. HDFC Bank has launched a new campaign
for its eage savings account. HDFC Bank entered into a strategic tie-up with Tally
Solutions Pvt. Ltd. to offer online real time accounting BANK to small and medium
enterprises.
Today HDFC Bank has 1,412 branches and over 3,295 ATMs, in 528 cities in India,
and all branches of the bank are linked on an online real-time basis. ] As of
September 30, 2008 the bank had total assets of INR 1006.82 billion. For the fiscal
year 2008-09, the bank has reported net profit of Rs.2, 244.9 crore, up 41% from the
previous fiscal. Total annual earnings of the bank increased by 58% reaching at
Rs.19, 622.8 crore in 2008-09.
RECENT DEVELOPMENT
43
The Reserve Bank of India has approved the scheme of

Amalgamation of Centurion Bank of Punjab Ltd. with HDFC Bank
Ltd. with effect from May 23, 2008.
All the branches of Centurion Bank of Punjab will function as
Branches of HDFC Bank with effect from May 23, 2008. With RBIs
Approval, all requisite statutory and regulatory approvals for the
Merger has been obtained.
The combined entity would have a nationwide network of 1167

Branches; a strong deposit base of around Rs.1, 22,000 crores and
Net advances of around Rs.89, 000 crores. The balance sheet size of
The combined entity would be over Rs.1, 63,000 crores.
43
Merger with Centurion Bank of Punjab Limited
On March 27, 2008, the shareholders of the Bank accorded their

Consent to a scheme of amalgamation of Centurion Bank of Punjab
Limited with HDFC Bank Limited. The shareholders of the Bank approved the
issuance of one equity share of Rs.10/- each of HDFC
Bank Limited for every 29 equity shares of Re. 1/- each held in
Centurion Bank of Punjab Limited.
This is subject to receipt of
Approvals from the Reserve Bank of India, stock
exchanges and
Other requisite statutory and regulatory authorities. The shareholders

Also accorded their consent to issue equity shares and/or warrants
convertible into equity shares at the rate of Rs.1,530.13 each to
HDFC Limited and/or other promoter group companies on preferential
basis, subject to final regulatory approvals in this regard.
The
Shareholders of the Bank have also approved an increase in the

authorized capital from Rs.450 crores to Rs.550 crores.
2.3Present Status of the Organization:-
March 2007
March 2008
March 2009
Citied
228
316
452
Branches
535
684
1412
43
ATMs
1323
1605
3275
Housing Development Finance Corporation Limited, more popularly known as HDFC

Bank Ltd, was established in the year 1994, as a part of the liberalization of the Indian
Banking Industry by Reserve Bank of India (RBI). It was one of the first banks to
receive an 'in principle' approval from RBI, for setting up a bank in the private sector.
The bank was incorporated with the name 'HDFC Bank Limited', with its registered
office in Mumbai. The following year, it started its operations as a Scheduled
Commercial Bank. Today, the bank boasts of as many as 1412 branches and over
3275
ATMs
across
India. Amalgamation
In 2002, HDFC Bank witnessed its merger with Times Bank Limited (a private sector
bank promoted by Bennett, Coleman & Co. / Times Group). With this, HDFC and
Times became the first two private banks in the New Generation Private Sector Banks
to have gone through a merger. In 2008, RBI approved the amalgamation of
Centurion Bank of Punjab with HDFC Bank. With this, the Deposits of the merged
entity became Rs. 1,22,000 crore, while the Advances were Rs. 89,000 crore and
Balance Sheet size was Rs. 1,63,000 crore.
Head Office
HDFC Bank
Ramon House, 169, Backbay Reclamation,
H T Parekh Marg, Churchgate
Mumbai - 400020
Phone: +91 (22) 66316000, 66636000, 66316060
Fax: +91 (22) 22048834
Website: www.hdfc.com
Tech-Savvy
HDFC Bank has always prided itself on a highly automated environment, be it in
terms of information technology or communication systems. All the braches of the
bank boast of online connectivity with the other, ensuring speedy funds transfer for
the clients. At the same time, the bank's branch network and Automated Teller
Machines (ATMs) allow multi-branch access to retail clients. The bank makes use of
its up-to-date technology, along with market position and expertise, to create a
competitive advantage and build market share.
Capital Structure
43
At present, HDFC Bank boasts of an authorized capital of Rs 550 crore (Rs5.5

billion), of this the paid-up amount is Rs 424.6 crore (Rs.4.2 billion). In terms of
equity share, the HDFC Group holds 19.4%. Foreign Institutional Investors (FIIs)
have around 28% of the equity and about 17.6% is held by the ADS Depository (in
respect of the bank's American Depository Shares (ADS) Issue). The bank has about
570,000 shareholders. Its shares find a listing on the Stock Exchange, Mumbai and
National Stock Exchange, while its American Depository Shares are listed on the New
York Stock Exchange (NYSE), under the symbol 'HDB'
HDFC Bank began its operations in 1995 with a simple mission: to be a "World-class
Indian Bank". They realized that only a single-minded focus on product quality and
service excellence would help us get there. Today, they are proud to say that they are
well on our way towards thatgoal. It is extremely gratifying that their efforts towards
providing customer convenience have been appreciated both nationally and
internationally.
2009
Euro money Awards 2009
'Best Bank in India'
Economic Times Brand Equity & Nielsen

Research annual survey 2009
Most Trusted Brand - Runner Up
Asia Money 2009 Awards
Best Domestic Bank in India'
IBA Banking Technology Awards 2009
Best IT Governance Award - Runner up'
Global Finance Award
'Best Trade Finance Bank in India for 2009
IDRBT Banking Technology Excellence

Award 2008
'Best IT Governance and Value Delivery'
Asian Banker Excellence in Retail

Financial Services
'Asian Banker Best Retail Bank in India

Award 2009 '
2.4 Functional Departments of the Organisation:The functional departments of the organization consist of the HR department, the
administrative department and the executive department. The HR department of the
organization consists of the people who employ the Persons who they think would be
43
able to do justice with the job handled.The administrative department of the

organization consists of the director and the manager of the organization. They
preside the organization and control all the operations of the organization such that the
organization could run in a smooth and effective manner. The executive department of
the organization consists of the various employees Who execute the job undertaken by
them. The employees consists of the team leaders, the Corporate financial
consultants,. the telecallers, various staffs and junior staffs who are the main structural
framework of the organization. The organization thus runs with the effective
coordination of the HR department, the administrative department and the executive
department such that the supervisors of the organization preside over the subordinate
employees to give them directions about fulfilling their works most efficiently and
effectively. Technical Consultancy Department: The Technical Consultancy
Department is responsible for technical appraisal of industrial projects. The mission of
the division is aimed towards the verification of the technical viability of industrial
projects and assisting the Funds management in taking the decisions that require
technical expertise. Moreover, it is responsible for conducting technical studies and
rendering technical consultancy BANK to certain industrial sectors for the purposes
of investigating modern technologies and productivity levels for local manufacturing
plants.
H R Department:
HDFC Human Resources department plans and direct for the employee population as
well as they are having the following functions as:
Hiring
Promotions
Reassignments
Position classification and grading
Salary determination
Performance appraisal review and processing
Personnel data entry and records maintenance
Policy development
Work permitting immigration visa program
Workers compensation
Finance Department:
The Finance Manager is responsible for all aspects of the accounting and financial
administration of the HDFC, the supervision of the implementation of the HDFC
43
financial policies, directives and procedures and the initiation of the financial plans
within the guidelines of HDFC The department contains several distinct sections, each
of which is responsible for a proportion of the activities taking place within the
finance department.
Marketing Consultancy Department:

The Marketing Consultancy Department plays and important role within the Fund as
it studies and analyzes marketing information in order to build solid base for
management decisions. The division also assists projects sponsors in formulating
solid marketing strategies to improve their industries and strengthen their position in
the local and international markets.
Research Department:
The Research Department is having the capacity to act through four composing units
i.e., the market research unit, economic studies unit, and statistical studies unit. It is
the mission of the division to provide support BANK for information and consultancy
to the senior management and division in the areas of economic, statistical and
marketing information and consultancy through data analysis, processing of economic
and statistical data, market research studies and publishing related periodical reports.
2.5Organization Structure and Organization Chart:The organization structure of the company HDFC is such that it comprises of the
departments and the employees in the hierarchical order so that they are able to
perform their functions and duties smoothly and effectively doing their job in a
manner in which it should be done.
The organization is headed by the administrative department which coordinates and
controls the executive department. The executive department is a link from the top
and the bottom comprising of the lower level employees such that they work together
to fulfill the common objective of getting business from the persons who get in touch
with them and see to it that they are provided with the best of the BANK which
constitute giving financial advise to providing Account to the customers.
43
The lower level employees and the corporate financial consultants work together to
see to it that the database for providing financial BANK to sufficient number of
people is made .They work together to see to it that this database is followed and
worked upon such that more and more number of people get themselves avail the
financial BANK of the organization. Team leaders who form the part of the
administrative department of the Organization make sure that the clients that turn up
for the financial BANK are dealt with most efficiently and effectively.
The organizational structure is well planned out and it follows a simple format which
is follows:
43
Organization Chart:-
43
Each team lead has a team comprising only of both senior as well as junior market
research analyst who aid the team lead in the entire market research process as it has
been discussed previously. This is the basic organizational structure followed by
HDFC BANK.
2.6Product and service profile of the organization:HDFC Bank offers a bunch of products and services to meet the every need of the
people. The company cares for both, individuals as well as corporate and small and
medium enterprises.
For individuals, the company has a range accounts, investment, and pension scheme,
different types of loans and cards that assist the customers. The customers can choose
the suitable one from a range of products which will suit their life-stage and needs.
For organizations the company has a host of customized solutions that range from
funded services, Non-funded services, Value addition services, Mutual fund etc.
These affordable plans apart from providing long term value to the employees help in
enhancing Goodwill of the company.
The products of the company are categorized into various sections which are as
follows:
Personal Banking
Savings Accounts
Salary Accounts
Saving Accounts
Fixed Deposits
Demat Account
Safe Deposit Lockers
Loans
Credit Cards
Debit Cards
Prepaid Cards
Investments & Insurance
43
Forex Services
Payment Services
Net Banking
InstaAlerts
Mobile Banking
Insta Query
ATM
Phone Banking
NRI Banking
Rupee Savings Accounts
Rupee Saving Accounts
Rupee Fixed Deposits
Foreign Currency Deposits
Accounts for Returning Indians
Quick remit (North America, UK, Europe, Southeast Asia)
India Link (Middle East, Africa)
Coequal Lock Box
In todays world many companies have emerged who have taken a serious note on the
importance of market research and he advantages of using it for the better growth and
development of the company. Hence, our competitors are those companys who are in
the market research and development field as well as the consultancies, since they
also make use of market research and business developers.
The products and BANK of our competitors are as follows:

A. Customer Satisfaction Analysis:
43
Customer analysis involves gathering data about the customers and their
characteristics. They also conduct tailored customer satisfaction surveys to gauze
customer satisfaction.
B. Risk These BANK is used by the competitors in order to gather external
information and research the possible effect on the competitiveness of company.
C. Product Research BANK:
The conduction of extensive product research by this service helps the competitors to
find out the marketability of a product or service. The research can be utilized to
leverage the major decisions of a company on the marketing of its products.
D. Advertising Research BANK:
Advertising research strives to gain valuable information about the effects and reach
of advertising the products in different forms of media.
Given below are the steps we follow for every assignment we take up:
1. The timetable for the search is indicated and the search process commences.
2. Target companies are examined, using any prior information provided by business
development executives in conjunction with sources of information and prospective
companies already known to us, augmented with original study by our search team.
3. We maintain a regular channel of communication with the client to keep them
apprised of the results emerging.
2.7Market profile of the organization:HDFC Bank Limited provides various financial products and services. It operates in
three segments: Retail Banking, Wholesale Banking, and Treasury. The Retail
Banking segment provides various deposit products, including savings accounts,
current accounts, fixed deposits, and demat accounts.
It also offers auto, personal, commercial vehicle, home, gold, and educational loans;
loans against securities, property, and rental receivables; and health care finance
43
working capital finance, construction equipment finance, and warehouse receipt loans,
as well as credit cards, debit cards, depository, investment advisory, bill payments,
and transactional services.
In addition, this segment sells third party financial products, such as mutual funds and
insurance, as well as distributes life and general insurance products through its tie-ups
with insurance companies and mutual fund houses. The wholesale banking segment
provides loans, non-fund facilities, and transaction services to large corporate,
emerging corporate, small and medium enterprise, supply chain, public sector
undertaking, central and state government departments, and institutional customers.
It offers deposit and transaction banking products, supply chain financing, working
capital and term finance, agricultural loans, and funded, non-funded treasury, and
foreign exchange products. These segments services include trade services, cash
management, money market, custodial, tax collection, and electronic banking.
In addition, it provides correspondent bank services to co-operative banks, private

banks, foreign banks, and regional rural banks; and wealth management products for
non-resident Indians. The Treasury Services segment operates primarily in areas, such
as foreign exchange, money market, interest rate trading, and equities. As of March
31, 2009, HDFC Bank had a network of 1,412 branches and 3,295 automated teller
machines in 528 cities in India. The company was founded in 1994 and is based in
Mumbai, India.
In todays growing world everyone needs to diversify their business so as to keep in
touch with the rapid development. By analyzing the growing concerns of the market,
HDFC has clients varying from investment banking sector, retail, web designing
companies, etc. Due to this rapid development HDFC Group has many teams working
for the above mentioned sectors.
HDFC Bank began operations in 1995 with a simple mission: to be a "World-class
Indian Bank". We realized that only a single-minded focus on product quality and
service excellence would help us get there. Today, we are proud to say that we are
well on our way towards that goal.
43
CHAPTER-3
3.1 Students work profile

Role and Responsibilities:-
43
The work profile of the student or the roles and responsibilities that are being handled
by the student on his internship programmed at HDFC BANK.
The first day and during the first week of the internship programmed the new
employee of the HDFC BANK was welcomed by giving an induction programme in
order to make him understand his role and responsibilities during his stay in the
organization.
Being appointed as a Financial Corporate Consultant at HDFC BANK during the
internship programmer my duty or the role is to meet 5 clients, collecting financial
health check, analyzing and giving them financial planning how their net asset value
will be increase and how they fulfill their short-term and long-term financial goal so
that it can be assessed that which ACCOUNT they need suiting their financial
obligations.
Leads and databases created by the students have to be used by them in order to
convince people of different age groups to take account according to their needs and
suitability.
The student calls people according to the leads and database created by him
and convinces people to take the account.
During the absence of the recovery executives/collection executives, it will be my
duty and responsibility to meet the customers against payments apart from my regular
job profile and reporting the same to my team leader at HDFC BANK.
To explain the customers how a particular account would help them to make
their lives more secure providing security to them.
I use all the financial knowledge that has been given by the company and
I has as a MBA student and a student of Mar. so that the customer
realizes that he definitely needs to take a particular account.
Must educate the clients about risks and various possible scenarios so that the
clients dont harbor unrealistic expectations.
3.2 Description of live experience:The office of HDFC BANK is blessed by brilliant and skilled professionals and team
leader who have the responsibility of handling the Financial Corporate Consultants.
The team leader provides the particular days plan of action and then guide show to go
about for executing the plan of action successfully .Till the time a Financial Corporate
43
Consultant is in the office he receives the valuable suggestions and insights of the
team leader. This prepares him for the days Work and provides him the necessary
directions to achieve not only the target of the day but the target of the month. In the
office the Financial Corporate consultant make calls continuously to fix the follow-up
appointments so that on the basis of the financial health check collected by him and
also getting the follow-up appointments from the telesales she goes in the field for
making up the appointments. The financial corporate consultants provide the persons
met the basics of why he should take a particular ACCOUNT to provide to him.
43
CHAPTER-4
4.1 Statement of research problem:PROBLEM DEFINATION:

Sales Executives were with good background human being and through rigorous
process of recruitment but still not able to perform up to the expectation level of
company, HR is not able to sort out the problem why the performance is not coming
43
even after giving the full marketing support. The communication technique and
dealing with the customers is also a problem to the sales
Executives.
4.2 OBJECTIVES
OF RESEARCH PROJECT:-
RESEARCH OBJECTIVES:
To find out the customer preferences while opening Savings A/c.
To study brand image of the bank.
To increase the business of the bank.
4.3
Research Design and Methodology
Primary data source: All the people from different profession were personally
visited and interviewed. They were the main source of Primary data. The method of
collection of primary data was direct personal interview through a structured
questionnaire.
Secondary Data Source: It was collected from internal sources. The secondary data
was collected on the basis of organizational file, official records, news papers,
magazines, management books, preserved information in the companys database and
website of the company.
SAMPLING PLAN:
Since it is not possible to study whole universe, it becomes necessary to take sample
from the universe to know about its characteristics.
Sampling Units: Customers
Sample Technique: Random Sampling.
Research Instrument: Structured Questionnaire.
Contact Method: Personal Interview.
SAMPLE SIZE:
43
My sample size for this project was 100 respondents. Since it was not possible to
cover the whole universe in the available time period, it was necessary for me to take
a sample size of 100 respondents.
RESEARCH LIMITATIONS:
It was not possible to understand thoroughly about the different marketing aspects of
the Financial Consultant within 60 days. As stipend, money was not given it was
difficult to continue the project work. All the work was limited in some limited areas
of Delhi so the findings should not be generalized. The area of research was Delhi and
it was too vast an area to cover within 60 days.
All the findings and conclusions obtained are based on the survey done in the working
area within the time limit. I tried to select the sample representative of the whole
group during my job training. I have collected data from people linked with different
profession at Bangalore.
4.4 Data Analysis

Q 1: What is your Monthly Transaction in your account?
Monthly transactions
No. of respondents
% (percentage)
5-20 lakhs
28
28%
20-40 lakhs
59
59%
40 lakhs and above
13
13%
Total
100
100%
Chart 1:
70%
60%
50%
05L- 20L
40%
20L - 40L
40L - Above
30%
20%
10%
43
0%
05L- 20L
20L - 40L
40L - Above
Analysis:
59% respondents gave their answer in 20-40 lakhs transactions.
28% respondents gave their answer in 0-20 lakhs transactions.
13% respondents gave their answer in 40 lakhs and above transactions.
Question 2
Do you have a Saving Account?
Response
Yes
No
No. of respondents
97
3
%
97%
3%
Chart 2:
Analysis: 97% respondents have the saving accounts and only 3% do not have saving
account.
43
Question 3: In Which Bank?

Bank
Kotak Mahindra
HDFC
Co-operative
ICICI
Nationalized
No. of respondents
3
33
48
5
31
%
3%
33%
48%
5%
31%
Chart 3
Analysis: 48% have saving account in co-operative, 3% in kotak Mahindra, 33% in

HDFC, 5% in ICICI, and 31% in nationalized bank.
Question 4: Which Factors do you consider for opening a Savings Account?

43
Accessibility
Minimum balance
DD/pay order
Free cheque
Debit card
Cash deposit
Cheque pick up
Net banking
Mobile banking
At per cheque
NEFT
RTGS
Total
No. of respondents
10
20
13
10
8
7
2
16
7
3
2
2
100
Chart 4
43
%
10
20
13
10
8
7
2
16
7
3
2
2
100
Analysis:
Respondents gave their answer
10% respondents gave their answer in accessibility, 20% Minimum balance, 13 %
DD/pay order,10% Free cheque, 8% Debit card, 7% Cash deposit, 2% Cheque pick
up, 16% Net banking, 7% Mobile banking, 3% At per cheque, 2% NEFT, 2% RTGS.
Question 5: Which mode of transaction do you avail of frequently?

Response
Pay order
DD
Cheque
Total
No. of response
12
22
76
100
43
%
12
22
76
100
Chart 5
Analysis:
12% Response in pay order, 32% like DD, and 76 % costumer want from cheque
mode.
Question 6: Which types of transaction do you make?

Response
No. of respondents
Intercity
33
33
Outside city
15
15
Both
52
52
Total
100
100
43
Chart 6
Inter city, 33%

Both, 52%
, 15%
City
Outsid
e
Analysis:
33% account holder transaction intercity, 52 % both, and 15% outside city.
Question 7: Does your bank assist you in case of any problem?

Response
No. of respondents
Yes
90
90
No
10
10
Total
100
100
Chart 7
43
Analysis:
90% say yes bank will assist you in case of any problem, only 10% say no.
4.5Summary of Findings:The final draft of the questionnaire was prepared on the basis of the observations from
the pilot study. These were then finally filled by 100 customer, for the conclusive
study.
Finally the data collected was fed into the data analysis
statistical techniques.
to be analyzed using
Types of Primary Data collected:
Socioeconomic Characteristics:
Characteristics are sometimes called states of being in that they represent the type
of people. The factors on which we are working are occupation. Monthly transaction
is also an important parameter but it is difficult to verify. Although the amount of
money that business unit earns in a month is an absolute, not a relative quantity but it
is a sensitive topic in our society and it is difficult to determine.
Attitudes/Opinions:
43
Through the questionnaire we have tried to get hold of business preference,

inclination and requirement. Attitude is an important notion in the marketing
literature, since it is generally thought that the attitudes are related to the behavior of
businessmen.
Motivation:
Through the questionnaire we have tried to find the hidden need or want of
businessmen and have tried to find if these people can be tapped as the potential
customer for HDFC Bank.
Behavior:
Behavior concerns what subjects have done or are doing. Through the questionnaire
we have tried to find out the behavior of the individuals regarding the product and
their responses. If the responses are favorable then the person can be said to be our
potential customer. The primary data serves as an important tool to measure the
behavioral trend of the customer. It helps in answering some of the vital Questions.
Obtaining the Primary Data:

The data collection was primarily done through communication. Communication
involves questioning respondents to secure the desired information, using a data
collection instrument called questionnaire. The questions were in writing and so were
the responses.
Versatility:
It is the ability of a technique to collect the information on the many types of primary
data of interest to marketers. It has also been found that some of the people do not
answer truthfully to all the questions especially in the case of the personal details
43
CHAPTER 5
43
5.1Summary of Learning Experience

Almost all the Banks offer similar features and facilities with their Savings accounts.
There are certain reasons for existing customers of Saving Account of any Bank to
shift to another Bank.
The level of service in terms of delivering whatever is promised, fast response in case
of problems, is the most important benefit that the customers seek, from the Bank they
have a Saving Account with.
1. Network reach and visibility of a Bank is a very important criterion for the
customer while opening a Saving Account. We can also conclude from our
43
analysis that network reach in terms of Branches and ATMs is directly

proportional to the market share in case of Private Players.
2. In case of a new customer, if a bank approaches it first for opening a Saving
Account with them, then there is a good chance for the bank of getting many
future businesses and cross sales from the deal.
3. Aggressive Marketing is the key to increasing the market share in this area,
since the market has a lot of potential both in terms of untapped market
5.2Conclusions and Recommendations
1. Contract Sales Executive (CSE) should be trained to explain the product

features and its value added services to make customers product selection
convenient.
2. Contract Sales Executive (CSE) should recommend right product to the right
customer so as to ensure a high degree of satisfaction among the customer.
3. The bank needs to make people aware about there products and the basic
benefits they can derive out of it. And also the differential features of its
savings account as compared to other banks.70% of the people did not even
know about the concept, benefits and features of its saving accounts.
4. The bank should also target small business unit for whom maintenance of the
AQB is not a problem as this segment is not much penetrated.
5. Though the bank offers free doorstep banking once a day this fact is also not
known to many customers or they still do not trust this service what ever the
reason the bank can popularize this service to gain an edge over nationalized
banks and Co-operative Banks.
6. Quality of service has been rated highly important by all demofigureic factors
as a reason for banking with a particular bank, Standard Chartered needs to
improve the services provided to its existing customers before attracting more
in the future and use word of mouth as a promotional tool to increase the sales
potential of its savings account.
5.4Limitation
43
Some of the limitations of the project are listed as below:
1. The time bound period is the major limitation in research projects.

2. Due to the financial and time constraints a cluster analysis of the population so
as to get better results was not feasible.
3. The research conduct in Bangalore city only.
4. It was difficult to break the ice with the common people initially. It was a
daunting task to convince them to fill in the personal details of the
questionnaire where they have to mention the monthly income, occupation etc.
5. To convince the people for a proper interviewing process is also difficult.
6. Compilation of data on competitor analysis was difficult due to nonavailability of correct information.
7. The figures have been taken as approximations.
43
43
SWOT Analysis is a powerful technique for understanding your Strengths and

Weaknesses, and for looking at the Opportunities and Threats you face. Used in a
business context, it helps you carve a sustainable niche in your market. Used in a
personal context, it helps you develop your career in a way that takes best advantage
of your talents, abilities and opportunities.
STRENGTH
Right strategy for the right products.

Superior customer service vs. competitors.
Great Brand Image
43
Products have required accreditations.

High degree of customer satisfaction.
Good place to work
Lower response time with efficient and effective service.
Dedicated workforce aiming at making a long-term career in the field.
WEAKNESSES
Some gaps in range for certain sectors.

Customer service staff needs training.
Processes and systems, etc
Management cover insufficient.
Sectoral growth is constrained by low unemployment levels and competition for
Staff
OPPORTUNITIES
Profit margins will be good.

could extend to overseas broadly.
New specialist applications.
could seek better customer deals.
Fast-track career development opportunities on an industry-wide basis.
an applied research centre to create opportunities for developing techniques to
provide
Added-value services.
THREATS
Legislation could impact.

Great risk involved
Very high competition prevailing in the industry.
Vulnerable to reactive
Attack by major competitors
Lack of infrastructure in rural areas could constrain investment.
High volume/low cost market is intensely competitive.
KEY POINT
SWOT Analysis is a simple but powerful framework for analyzing company's
Strengths andWeaknesses, and the Opportunities and Threats you face. This helps you
to focus on yourStrengths, minimize threats, and take the greatest possible advantage
of opportunities available to You.
APENDIX
43
ANNEXURELIKE:
QUESTIONNAIRE
Dear Sir/Madam,
Name:
Address:
Contact No :( O) (M)
City: ...............Pin: .State:
I am a student of NIAM Collage, FARIDABAD and presently doing a project on

THE CUSTOMER PERCEPTION & COMPARATIVE ANALYSIS OF
HDFC BANK PRODUCTS and SERVICES..
I request you to kindly fill the questionnaire below and I assure you that the data
generated shall be kept confidential.
1. Your Age: ____________________

2. Education Qualification.
Undergraduate
Graduate
Post graduate
3. Marital Status.
Married
Single
No. of Children: __________
43
4. Number Of years Are You in Pali.
Less than five years
More than five years
5. Occupation.
Business
Profession
Service
(Please mention below the type of business/profession you are in incase of service
please mention your organization name and designation)
6. Your annual household income.
<than 2 lack
Between 2 to 5 lack
Between 5 to 8 lack
>than 8 lack
7. Are you a member of a Club/Gym?
Yes
No
If yes, Name of the Club/Gym _______________________________________

8. What is your perception about different products?
And services offered by HDFC Bank?
Lucrative
Not lucrative
No idea
43
9. Do you want to open a Savings Account or Current?

Account with HDFC Bank?
Yes
No
Will tell later
10. Do you have all the documents which are required?

To open an account?
Yes
No
11. Are you aware of that HDFC Bank provide you a

you open a new savings
free Demat account if
account with the bank?
Yes
No
12. Are you aware of different terms and conditions?

Which are very much essential to maintain an
Yes
No
13. Do you know about HDFC Banks recruitment

executives?
43
account at HDFC Bank?
policies related to sales
Yes
No
Date:
Place:
Signature
BIBLIOGRAPHY
1. BOOKS AND AUTHORS
43
Marketing Management (10th Edition) Philip Kotler
Marketing Management (3rd Edition) V.S. Ramaswamy
Research Methodology (2nd Edition)
Research Methodology
2. NEWS PAPERS
Times of India
Financial Express
3. WEBSITES
www.hdfcbank.com
www.google.com
www.scribd.com
43

Deepika Saini

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Deepika Saini

Uploaded by

Copyright:

Available Formats

THE CUSTOMER PERCEPTION & COMPARATIVE ANALYSIS OF HDFC BANK PRODUCTS AND SERVICES

THE CUSTOMER PERCEPTION & COMPARATIVE

Under Organizational Guidance of:

Prepared And Submitted By:

Registration No.100049 of 2009-11.

I wish her all success in life.

Dr. Jai Deep Singh

Under the guidance of

MASTER OF BUSINESS ADMINISTRATION

MAHARISHI DAYANAND UNIVERSITY, ROHTAK

PROFILE OF THE ORGANISATION..18-37

Origin of the Organization .. ..18

Growth and Development of the Organization ..20

Present Status of the Organization

Functional Departments of the Organization .................27

Organization Structure and Organization Chart 30

Product and Service Profile of the Organization Competitors ...32

Market Profile of the Organization .. ..36

DISCUSSIONS ON TRAINING - 38-40

Student's Work Profile (Roles and Responsibilities) .. 38

Description of Live Experience . 39

STUDY OF SELECTED RESEARCH PROBLEM 41- 55

Statement of Research Problem.. 41

Statement of Research Objectives ........ .42

Research Design and Methodology.42

Analysis of Data ..43

SUMMARY AND CONCLUSIONS . .. 54-58

Summary of Learning Experience54

Conclusions and Recommendations 55

1.2Industry Profile:a.) Origin and development of the industry:-

In 1995, the Brookings Institution published a paper entitled The Transformation of

2.2Growth and Development of the Organization:1994.

The Reserve Bank of India has approved the scheme of

The combined entity would have a nationwide network of 1167

Merger with Centurion Bank of Punjab Limited

On March 27, 2008, the shareholders of the Bank accorded their

This is subject to receipt of

Approvals from the Reserve Bank of India, stock

Other requisite statutory and regulatory authorities. The shareholders

Shareholders of the Bank have also approved an increase in the

2.3Present Status of the Organization:-

Housing Development Finance Corporation Limited, more popularly known as HDFC

At present, HDFC Bank boasts of an authorized capital of Rs 550 crore (Rs5.5

'Best Bank in India'

Economic Times Brand Equity & Nielsen

Most Trusted Brand - Runner Up

Asia Money 2009 Awards

Best Domestic Bank in India'

IBA Banking Technology Awards 2009

Best IT Governance Award - Runner up'

Global Finance Award

'Best Trade Finance Bank in India for 2009

IDRBT Banking Technology Excellence

'Best IT Governance and Value Delivery'

Asian Banker Excellence in Retail

'Asian Banker Best Retail Bank in India

able to do justice with the job handled.The administrative department of the

Marketing Consultancy Department:

The products and BANK of our competitors are as follows:

In addition, it provides correspondent bank services to co-operative banks, private

3.1 Students work profile

4.1 Statement of research problem:PROBLEM DEFINATION:

Research Design and Methodology

4.4 Data Analysis