Market Research

Survey on

Submitted By
V. Sharanya
PGDM 1st year
Page 1

Batch- 2015 - 2017

Roll no.: 01517G19

EXECUTIVE SUMMARY

Private banking is a concept which is new and fast emerging in the world of
banking where changes have become a necessity in order for banks to survive in
this competitive environment vis--vis not only from the public and private sector
banks but also from the foreign banks. The objective of the research is to explore
the various products, which a private banker deals into and the systematic process
involved to match client requirements with the right kind of product.
Through this research one of the main objectives is to explore the reason why most
of the banks are injecting private banking as business profile to their set of service
offerings.
Though private banking evolved in late 80s in Asia, in India its not more than 5
years old. ICICI started it in Aug 2002 and since then it has been a remarkable
success. Today there are enormous solutions to cater client needs but what suits
best to a client is where private banking fits in. Every client will have different
needs, liking and preferences. So a customized portfolio for every client is the need
of the day.

Page 2

This research will highlight more on the product portfolio of ICICI Private
Banking, how they have changed or innovatively structured to be attractive and
competitive.

Research objective
1. To draw the comparative analysis of ICICI BANK Ltd with SBI etc.
2. To identify the major attributes of customer satisfaction.
3. To study customer perception about ICICI BANK Ltd.
4. To identify and study the various ways of ensuring customer satisfaction
adopted by ICICI BANK Vs HDFC & SBI.

Page 3

BANKING STRUCTURE IN INDIA

Scheduled Banks in India
(A) Scheduled Commercial Banks
Public sector
Banks

Private sector
Banks

Foreign Banks
in India

Regional Rural
Bank

(28)
Nationalized
Bank
Other Public
Sector Banks
(IDBI)
SBI and its
Associates

(27)
Old Private
Banks
New Private
Banks

(29)

(102)

(B) Scheduled Cooperative Banks

Scheduled Urban Cooperative
Banks (55)

Scheduled State Cooperative

Banks (31)

Here we more concerned about private sector banks and competition among them.
Today, there are 27 private sector banks in the banking sector: 19 old private sector
banks and 8 newprivate sectorbanks.Thesenew bankshave brought in state-of-the-art

Page 4

technology andaggressively marketed their products. The Public sector banks are
facing a stiff competition from thenew private sector banks.
The banks which have been setup in the 1990s under the guidelinesof the
Narasimham Committee are referred to as NEW PRIVATE SECTOR BANKS.

INTRODUCTION
The banking section will navigate through all the aspects of the Banking System in
India. It will discuss upon the matters with the birth of the banking concept in the
country to new players adding their names in the industry in coming few years.
The banker of all banks, Reserve Bank of India (RBI), the Indian Banks
Association (IBA) and top 20 banks like IDBI, HSBC, ICICI, ABN AMRO, etc.
has been well defined under three separate heads with one page dedicated to each
bank.However, in the introduction part of the entire banking cosmos, the past has
been well explained under three different heads namely:
History of Banking in India
Nationalization of Banks in India
Scheduled Commercial Banks in India
The first deals with the history part since the dawn of banking system in India.
Government took major step in the 1969 to put the banking sector into systems and
it nationalized 14 private banks in the mentioned year. This has been elaborated in
Nationalization Banks in India. The last but not the least explains about the
scheduled and unscheduled banks in India. Section 42 (6) (a) of RBI Act 1934 lays
Page 5

down the condition of scheduled commercial banks. The descriptions along with a
list of scheduled commercial banks are given on this page.

Major Banks in India

ABN-AMRO Bank

Indian Overseas Bank

Abu Dhabi Commercial Bank

IndusInd Bank

American Express Bank

ING Vysya Bank

Andhra Bank

Jammu & Kashmir Bank

Allahabad Bank

JPMorgan Chase Bank

Bank of Baroda

Karnataka Bank

Bank of India

KarurVysya Bank

Bank of Maharastra

Laxmi Vilas Bank

Bank of Punjab

Oriental Bank of Commerce

Bank of Rajasthan

Punjab National Bank

Bank of Ceylon

Punjab & Sind Bank

BNP Paribas Bank

Scotia Bank

Canara Bank

South Indian Bank

Catholic Syrian Bank

Standard Chartered Bank

Central Bank of India

State Bank of India (SBI)

Centurion Bank

State Bank of Bikaner &

Jaipur

China Trust Commercial Bank

Citi Bank
City Union Bank

State Bank of Hyderabad

State Bank of Indore
State Bank of Mysore
Page 6

 Corporation Bank

State Bank of Saurastra

Fact Files of Banks in India

The first, the oldest, the largest, the biggest, get all such types of informations
about Banking in India in this section.
Bank of India was founded in 1906 in Mumbai. It became the first Indian bank to
open a branch outside India in London in 1946 and the first to open a branch in
continental Europe at Paris in 1974.

PUBLIC SECTOR BANKS

Among the Public Sector Banks in India, United Bank of India is one of the 14
major banks, which were nationalized on July 19, 1969. Its predecessor, in the
Public Sector Banks, the United Bank of India Ltd., was formed in 1950 with the
amalgamation of four banks viz. Camilla Banking Corporation Ltd. (1914), Bengal
Central Bank Ltd. (1918), Camilla Union Bank Ltd. (1922) andHooghlyBank Ltd.
(1932).
Oriental Bank of Commerce (OBC), Government of India Undertaking offers
Domestic, NRI and Commercial banking services. OBC is implementing a
GRAMEEN PROJECT in Dehradun District (UP) and Hanumangarh District
(Rajasthan) disbursing small loans. This Public Sector Bank India has implemented
14 point action plan for strengthening of credit delivery to women and has
designated 5 branches as specialized branches for women entrepreneurs.
Page 7

The following are the list of Public Sector Banks in India

Allahabad Bank
Andhra Bank
Bank of Baroda
Bank of India
Bank of Maharastra
Canara Bank
Central Bank of India
Corporation Bank
List of State Bank of India and its subsidiary, a Public Sector Banks
State Bank of India
o State Bank of Bikaner & Jaipur
o State Bank of Hyderabad
o State Bank of Indore
o State Bank of Mysore
o State Bank of Saurastra
o State Bank of Travancore

Page 8

PRIVATE SECTOR BANKS:

Private banking in India was practiced since the beginning of banking system in
India. The first private bank in India to be set up in Private Sector Banks in India
was IndusInd Bank. It is one of the fastest growing Bank Private Sector Banks in
India. IDBI ranks the tenth largest development bank in the world as Private Banks
in

India

and

has

promoted

world

class

institutions

in

India.

The first Private Bank in India to receive an in principle approval from the Reserve
Bank of India was Housing Development Finance Corporation Limited, to set up a
bank in the private sector banks in India as part of the RBI's liberalization of the
Indian Banking Industry. It was incorporated in August 1994 as HDFC Bank
Limited with registered office in Mumbai and commenced operations as Scheduled
Commercial Bank in January 1995.
ING Vysya, yet another Private Bank of India was incorporated in the year 1930.
Bangalore has a pride of place for having the first branch inception in the year
1934. With successive years of patronage and constantly setting new standards in
banking, ING Vysya Bank has many credits to its account.

Page 9

INDIAN BANKING INDUSTRY

The Indian banking market is growing at an astonishing rate, withAssets expected
to reach US$1 trillion by 2010. An expanding economy,

middle class,

and

technological innovations are allcontributing to this growth.

The countrys middle class accounts for over 320 million People. In correlation
with the growth of the economy, rising income levels, increased standard of living,
and affordability of banking products are promising factors for continued
expansion.The Indian banking market is growing at an astonishing rate, with
Assets expected to reach US$1 trillion by 2010. An expanding economy, middle

Page 10

class,

and technological innovations are allcontributing to this growth.

The Indian banking Industry is in the middle of an IT revolution, Focusing

on the expansion of

retail and rural

increasingly customer - centric in

banking. Players

their approach, which has resulted in

innovative methods of offering new bankingproducts and services.

now realizing

are becoming
Banks are

the importance of being a big player and are beginning to

focus their attention on mergers

and acquisitions to

economies of scale and/or comply with Basel II

take

advantage of

regulation.Indian banking

industry assets are expected to reach US$1 trillion by 2010 and are poised to
receive a greater infusion of foreign capital, says PrathimaRajan, analyst in
Celent's banking group and author of the report. The banking industry should
focus on having a small number of large players that can compete globally rather
than having a large number of fragmented players."

Page 11

Type
Founded

Private, BSE & NSE, NYSE

1955 (as Industrial credit and
Investment corporation of
India)
ICICI Bank Ltd.,
ICICI Bank Towers,

Headquarters

Key people

Industry

Products
Revenue
Total assets

BandraKurla
Mumbai, India
N Vaghul, K.V. Kamath,
Chanda Kochhar, V
Vaidyanathan, MadhabiPuri
Banking
Insurance
Capital Markets and allied
industries
Loans, Credit Cards, Savings,
Investment vehicles,
Insurance etc.
USD 5.79 billion
Rs. 3,997.95 billion (US$ 100
billion) at March 31, 2008.

OVERVIEW
ICICI Bank (formerly Industrial Credit and Investment Corporation of
India). ICICI Limited was established in 1955 by the World Bank, the Government
of India and the Indian Industry, for the promotion of industrial development in
India by giving project and corporate finance to the industries in India. ICICI Bank
Page 12

has grown from a development bank to a financial conglomerate and has become
one of the largest public financial institutions in India. ICICI Bank has financed all
the major sectors of the economy, covering 6,848 companies and 16,851 projects.
As of March 31, 2000, ICICI had disbursed a total of Rs.1,13,070 crores, since
inception.
ICICI Bank Fact Files:
Total assets: Rs.146,214 crore (December 31, 2004)
Network: 530 branches
ATMs: Over 1,880
Abroad Subsidiaries: United Kingdom and Canada
Abroad branches: Singapore and Bahrain
Representative offices: United States, China, United Arab Emirates, and
Bangladesh and South Africa.

ICICI Bank currently has subsidiaries in the United Kingdom, Russia and
Canada, branches in Singapore, Bahrain, Hong Kong, Sri Lanka and Dubai
International Finance Center and representative offices in the United States, United
Arab Emirates, China, South Africa and Bangladesh. Our UK subsidiary has
Page 13

established a branch in Belgium. ICICI Bank is the most valuable bank in India in
terms of market capitalization.

BUSINESS OBJECTIVES
Vision
To be the leading provider of financial services in India and a major global bank.
Mission
We will leverage our people, technology, speed and financial capital to:
be the banker of first choice for our customers by delivering high quality, worldclass
service.
Expand the frontiers of our business globally.
Play a proactive role in the full realisation of Indias potential.
maintain a healthy financial profile and diversify our earnings across
businesses and
geographies.
Maintain high standards of governance and ethics.
Contribute positively to the various countries and markets in which we
operate.
Create value for our stakeholders.
Product and Services
Service and banking of ICICI bank categorized in to personal banking, business
banking and NRI banking services.
Personal banking- Deposit in form of saving, recurring, term deposit, senior
citizen deposit and children depository account are there for individual customer
can also avail of their housing, automobile, farm equipment, business or personal
loan scheme. Personal client can also invest in mutual funds and participate in
stock trading through ICICI bank.
Page 14

Business banking Business banking services of ICICI Bank are exhaustive.

Project financing, deal assessment, and land evaluation are investment banking
services offered to corporate clients. Global trade and cash management
transaction services facilitate remittances and receipts across important cities.
Capital market and custodial services enable business houses to participate in
equity trading and transfer acrossmajor stock markets of world.
Customer
ICICI bank targets all segment of customer with various types of products and
services. I interacted with aa lot of customers and collect their feedback on the
given services of company, and feedback are positive response from all point of
view. Customers are beneficiary from both sides monetary as well as non
monetary. The bank targets to add nearly 500,000 customers under the new scheme
in the next one year and plans to offer auto loans through the new online channel in
the future, ICICI Bank's Executive Director, V Vaidyanathan, said here.As of now,
nearly 24 per cent of our customer transactions are happening through internet. We
are primarily targeting our urban customers, who constitute nearly 70 per cent of
our total customer-base," Vaidyanathan said.
Conform to legal requirements or comply with legal process;
Protect and defend ICICI bank's or its affiliates rights, interests or property;
Enforce the terms and conditions of the products or services; or
Act to protect the interests of ICICI bank, its affiliates, or its members,
constituents or of other persons.

Competitor
The main competitor of is ICICI bank is SBI because this bank is totally taken by
government after this bank HDFC bank is the main competitor of ICICI bank
.There are different types of segment operation semment, investment and services,
demat and NRI services.The competitor from the operation segment are State Bank
of India(SBI), Axis, Housing Development and Financial corporation(HDFC)
Page 15

etc.From the investment And service sector HDFC standard life insurance
corporation, Bharati Axa life insurance ,Reliance Life Insurance Corporation, Max
new work life insurance SBI Life insurance,Life Insurance Corporation of India.In
demat section India bull,Anangram,SBI,HDFC,India Infoline are the main
competitor of ICICI bank.In the NRI service section the Western Union bank is the
main competitor of ICICI bank.There are some other company who also compete
with the ICICI bank After the SBI the HDFC bank is the main competitor of ICICI
bank.
HDFC Bank Ltd. is a commercial bank of India, incorporated in August 1994,
after the Reserve Bank of India allowed establishing private sector banks. The
Bank was promoted by the Housing Development Finance Corporation, a premier
housing finance company (set up in 1977) of India. HDFC Bank has 1,500
branches and over 2,890 ATMs, in 530 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.
State Bank of India is the largest bank in India. It is also, measured by the number
of branch offices and employees, the second largest bank in the world.[citation
needed] The bank traces its ancestry back through the Imperial Bank of India to the
founding in 1806 of the Bank of Calcutta, making it the oldest commercial bank in
the Indian Subcontinent. There are some other banks which gives challenging some
how in the banking and service sectorthey are:

Allahabad Bank
Andhra Bank
Bank of Baroda
Bank of India
Page 16

 Bank of Maharashtra
Canara Bank
Central Bank of India
Corporation Bank
Dena Bank
IDBI Bank
Indian Bank
Indian Overseas Bank
Oriental Bank of Commerce
Punjab & Sind Bank
Punjab National Bank
Syndicate Bank
UCO Bank
Union Bank of India
United Bank of India
Vijaya Bank
Environment
An employer the bank extends a lot of authority along with justified accountability
to you. The working culture is very collaborative in nature. It can be owed to the
fact that the bank is highly segmented with a lot of overlapping and mostly distinct
roles and responsibility.ICICI Bank has established itself as a one stop solution
(Universal Bank) for all financial need of individuals and institutions alike. The
credit for the same can be attributed to its vast network, probably the largest among
private sector banks.This makes the life of an employee a lot easier, especially for
Page 17

those who face the external customers. You do not have to justify your
organization, it is only the product that has to be pitched. As far as employee
benefits are concerned, ICICI Bank offers a lot of financial benefits ranging from
your family health insurance to your kids school donations. The organization is
sensitive to the needs of its employees as this quality is one of the building blocks
(DNA) of the organizational culture. The organization will be giving you enough
flexibility to innovate and come-up with new ideas. It will also exhibit its in terms
of well laid systems, processes and infrastructure.

TECHNOLOGY
ICICI use many type of advance technological software like Pinnacle 7.0 and
Pinnacle7.016.Among from this software ICICI bank uses the e-banking, core
banking, mobile banking electronic display sy ICICI Bank was using Teradata for
its data warehouse. However, due to its proprietary hardware, the cost of
procurement, upgrades and administration was soaring. The closed box
architecture of Teradata imposed restrictions on scalability. Secondly, querying and
loading could not happen simultaneously. Queries could only be run during
business hours because the loading of data had to take place during off-business
hours. This meant that the refresh rate of EDW was delayed, so queries may not
reflect the most current data. ICICI Bank was also dependent on Teradata for
support and other activities: The bank was completely tied down to that solution.

ERP Systems Integration

Pinnacle Software Solutions has the expertise and experience to assist you with
your enterprise systems integration. From developing your strategy, through
implementation and support, we bring the right combination of resources,
management skillsets, and technical know-how. We will help you successfully
integrate your Enterprise Resource Planning (ERP) systems into your overall
business and technology infrastructure.
Whether you are planning an upgrade of an existing ERP system, or a complete
replacement of a legacy application and platform, we can help you improve your
financial, human resources, electronic mail, and other business systems. We work
with the leading ERP systems, including the latest versions of the Oracle and
PeopleSoft applications:
General Ledger
Project Costing
Accounts Payable
Human Resources
Accounts Receivable
Payroll
Page 18

 Purchasing
Asset Management

Benefits
Compensation

ICICI Bank Product & Customer Segment:

PERSONAL BANKING
Loan Product
Auto Loan
Loan
Against
Security
Loan
Against
Property
Personal loan
Credit card
2-wheeler loan
Commercial
vehicles finance
Home loans
Retail business
banking
Tractor loan
Working Capital
Finance
Construction
Equipment

Deposit Product

Saving a/c
Current a/c
Fixed deposit
Demat a/c
Safe
Deposit
Lockers

Page 19

Investment & Insurance

Mutual Fund
Bonds
Knowledge Centre
Insurance
General and Health
Insurance
Equity
and
Derivatives
Mudra Gold Bar

Finance
Health
Care
Finance
Education Loan
Gold Loan

PRODUCT

ICICI Bank offers wide variety of Deposit Products to suit your requirements.
Coupled with convenience of networked branches/ ATMs and facility of Echannels like Internet and Mobile Banking, ICICI Bank brings banking at your
doorstep. Select any of our deposit products and provide your details online and
our representative will contact you for Account Opening.
SAVING ACCOUNTS

ICICI Bank offers you a power packed Savings Account with a host of
convenient features and banking channels to transact through. So now you can
bank at your convenience, without the stress of waiting in queues
Page 20

SENIOR CITIZEN SERVICES

We understand that as you reach the age to retire, you do have
certain concerns whether your hard earned money is safe and
secure whether your investments give you the kind of returns
that you need. That's why we have an ideal Banking Service for those who are 60
years and above. The Senior Citizen Services from ICICI Bank has several
advantages that are tailored to bring more convenience and enjoyment in your life.
YOUNG STARS
It's really important to help children learn the value of finances and
money management at an early age. Banking is a serious business,
but we make banking a pleasure and at the same time children learn
how to manage their personal finances.
FIXED DEPOSITS
Safety, Flexibility, Liquidity and Returns!!!! A combination of
unbeatable features of the Fixed Deposit from ICICI Bank.

RECURRING DEPOSITS
When expenses are high, you may not have adequate funds to make big
investments. But simply going ahead without saving for the future is not
an option for you. Through ICICI Bank Recurring Deposit you can invest
small amounts of money every month that ends up with a large saving on
maturity. So you enjoy twin advantages- affordability and higher earnings
Page 21

HOME LOAN
The No. 1 Home Loans Provider in the country, ICICI Bank Home
Loans offers some unbeatable benefits to its customers - Doorstep
Service, Simplified Documentation and Guidance throughout the
Process. It's really easy!
PERSONAL LOANS
If you're looking for a personal loan that's easy to get, your search
ends here. ICICI Bank Personal Loans are easy to get and absolutely
hassle free. With minimum documentation you can now secure a loan
for an amount up to Rs. 15 lakhs
CAR LOAN
The NO 1 financier for car loans in the country.Network of more
than 1500 channel partners in over 780 locations.Tie-ups with all
leading automobile manufacturers to ensure the best deals.Flexible
schemes & quick processing.Hassle-free application process on the click of a
mouse.
COMMERCIAL VEHICLE LOANS
Range of services on existing loans & extended products like funding
of new vehicles, refinance on used vehicles, balance transfer on high
cost loans, top up on existing loans, Extend product, working capital
loans & other banking products.
TWO WHEELER LOANS
Page 22

Avail attractive schemes at competitive interest rates from the No 1

Financier for Two Wheeler Loans in the country. Finance facility up
to 90% of the On Road Cost of the vehicle, repayable in convenient
repayment options and comfortable tenors from 6 months to 36 months. Ride home
on your Dream Two Wheeler with our hassle free finance.
FARM EQUIPMENT LOANS
Preferred financier for almost all leading tractor manufacturers in the
country. Flexible repayment options in tandem with the farmer's
seasonal liquidity. Monthly, Quarterly and Half-yearly repayment
patterns to choose from. Comfortable repayment tenures from 1 year to 9 year
CREDIT CARDS
ICICI Bank Credit Cards give you the facility of cash, convenience
and a range of benefits, anywhere in the world. These benefits range
from life time free cards, Insurance benefits, global emergency
assistance service, discounts, utility payments, travel discounts and much more.
DEBIT CARDS
The ICICI Bank Debit Card is a revolutionary form of cash that
allows customers to access their bank account around the clock,
around the world. The ICICI Bank Debit Card can be used for
shopping at more than 100,000 merchants in India and 13 million merchants
worldwide.
TRAVEL CARD
Page 23

Presenting ICICI Bank Travel Card.The Hassle Free way to Travel

the world. Traveling with US Dollar, Euro, Pound Sterling or Swiss
Francs; Looking for security and convenience; take ICICI Bank
Travel Card. Issued in duplicate. Offers the Pin based security. Has the
convenience of usage of Credit or Debit card.
PRE PAID CARDS
ICICI Bank brings to you a complete bouquet of pre-paid cards
providing payment solutions at your fingertips. ICICI Bank pre-paid
cards are a safe & convenient way for associate payments,
disbursements, gifting & small ticket transactions. Pre-paid cards are available on a
VISA platform thus providing accessibility to over one lakh merchant
establishments & cash withdrawal from all VISA ATMs in India.
Investments
s
At ICICI Bank, we care about all
your needs. Along with Deposit
products and Loan offerings, ICICI Bank assists you to manage your finances by
providing various investment options ranging from ICICI Bank Tax Saving Bonds
to Equity Investments through Initial Public Offers and Investment in Pure Gold.
ICICI Bank facilitates following investment products:

ICICI Bank Tax Saving Bonds

Government of India Bonds
Investment in Mutual Funds
Initial Public Offers by Corporate
Investment in "Pure Gold"
Page 24

 Foreign Exchange Services

Senior Citizens Savings Scheme, 2004
You can invest in above products through any of our branches. For select products
ICICI Bank also provides the ease of investing through electronic channels like
ATMs and Internet (ICICIdirect.com)

STRENGHTS
1) Online Services: ICICI Bank provides online services of all its banking
facilities. It also provides D-Mart account facilities on-line, so a person can access
his account from anywhere he is.
[D-Mart is a dematerialized account opened by a salaried person

for

purchase & sale of shares of different companies.]

2) Advanced Infrastructure: Branches of ICICI Bank are well equipped with
advanced technology to provide the customers with taster banking services. All the
computerized machines are located in suitable manner & are very useful to the
customers & staff of the bank.
3) Friendly Staff: The staff of ICICI Bank in all branches is very friendly & help
the customers in all cases. They provide faster services along with bonding &
personal relationship with the customers.
4) 12 hrs. Banking services: Compared to other bank ICICI bank provides long
hrs. of services i.e. 8-8 services to the customers. This service is one of its kind &
is very helpful for the customers who are in urgent need of money.
5) Other Facilities to the Customers & Employees: ICICI Bank also provides
other facilities like drinking water facilities, proper sitting arrangements to the

Page 25

customers. And there are also proper Ventilation & sanitary facilities for the
employees of the bank.
6) Late night ATM services: ICICI bank provides late night ATM services to the
customers. The ATM centers of ICICI bank works even after 11:00pm. at night in
certain branches.
Weakness
1) High Bank Service Charges: ICICI bank charges highly to customers for
the services provided by them when compared to other bank & that is why it is
only in the reach of higher class of society.
2) Less Credit Period: ICICI bank provides credit facilities but only upto
limited period. Even when the credit period is not over it sends reminder letters to
the customers which may annoy them.
OPPORTUNITIES
1) Bank Insurance services: The bank should also provide insurance services.
That means the bank can have a tie-up with a insurance company. The bank will
advertise & promote the different policies introduced by the insurance company &
convince their customers to buy insurance policies.
2) Increase in percentage of Returns on increase: The bank should provide
higher returns on deposits in comparison of the present situation. This will also
upto large extent help the bank earn profits & popularity.
3) Recruit professionally guided students: Bank & Insurance is a special non-aid
course where the students specialize in the functioning & services of the bank &
also are knowledge about various tax policies. The bank can recruit these students
Page 26

through tie-ups with colleges. Such students will surely prove as an asset to the
bank.
4) Associate with social cause: The bank can also associate itself with social
causes like providing relief aid patients, funding towards natural calamities. But
this falls in the 4th quadrant so the bank should neglect it.
THREATS
1) Competition: ICICI Bank is facing tight competition locally as well as
internationally. Bank like CITI Bank, HSBC, ABM, Standered Chartered, HDFC
also provide equivalent facilities like ICICI do and also ICICI do not have
consistency in its international operation.
2) Net Services: ICICI Bank provides all kind of services on-line. There can be
easy access to the e-mail ids of the customers through wrong people. The
confidential information of the customers can be leaked easily through the e-mail
ids.
3) Decentralized Management: Each branch manager is given the authority of
taking decisions in their respective branches. The decisions made by different
managers are diverse and any one wrong decision can laid to heavy losses to the
bank.
4) No Proper Facilities to Uneducated customers: ICICI Bank provides all
services through electronic computerized machines. This creates problems to the
less educated people. But this threat falls in the 4th quadrant so its negligible. The
company can avoid this threat.

Page 27

RESEARCH METHODOLOGY

Data Collection Techniques:

This project consists of two parts.
The first part is a study of the banking industry, ICICI Bank using secondary data
sources. This secondary information has been sourced from the internet and from
business related magazines and newspapers.
The second part of the study has been done using an exploratory research process
and a structured questionnaire was developed for this purpose. For the collection of
primary data this was the only method used. The reason I used this method is
because a need was felt for the free influx of information about the products. Also
this method allowed the use of skills gained in class.
Sample Design:
The population considered for the purpose of the survey was people residing in
Hyderabad, Telangana State.
Sampling Technique Used:
Since the information required was not of a very technical nature and also looking
at the scope of the project and the extent of the target segment, the sampling
technique

employed was

Convenience

questionnaires.
Page 28

Sampling. I

administered

the

Sample Size:
I have restricted the sample size to 50 respondents. This was done keeping in mind
the time constraints and the fact that I felt that this number would be enough to
serve the information needs required to show the trends.
Customer Satisfaction:
Customer satisfaction is equivalent to making sure that product and service
performance meets customer expectations. It is the perception of the customer that
the outcome of a business transaction is equal to or greater than his/her
expectation. Customer satisfaction occurs when the acquisition of products and /or
services provides a minimum negative departure from expectations when
compared with other acquisitions and when the marginal utility of a transaction is
equal

to

or

greater

than

preceding

acquisitions.

Customer satisfaction occurs when the perception of the reward from the purchase
of goods or services by the customer meets or exceeds his/her perceived sacrifice.
The perception is a consequence of matching past purchase and consumption
experience

with

the

current

purchase.

Customer Service and Satisfaction:

When we talk about customer service and/or satisfaction, we talk about creativity.
Creativity allows us to handle or diffuse problems at hand or later on rather in the
process of conducting the everyday business. We talk about how, or what, does the
organization have to do to gain not only the sale but also the loyalty of the
customer. We want to know the payoff of the transaction both in the short and long
term. We want to know what our customers Want? We want to know if our
Page 29

customers are satisfied. Satisfaction, Of course, means that what we delivered to a

customer met the customers Approval. We want to know if customers are
delighted and willing to come
Employees must adhere to a rigid chain of command
Employees are closely supervised
Conflictin whatever formis not allowed
Rewards are based on carrot-and-stick principles
Wrong objectives are measure.
Level 1.Expectations are very simple and take the form of assumptions, must have,
or take it for granted. For example, I expect the airline to be able to take off, fly to
my destination, and land safely. I expect to get the correct blood for my blood
transfusion and I expect the bank to deposit my money to my account and to keep a
correct tally for me.
Level 2.Expectations are a step higher than that of level 1 and they require some
form of satisfaction through meeting the requirements and/or specifications. For
example, I expect to be treated courteously by all airline personnel. I went to the
hospital expecting to have my hernia repaired, to be in some pain after it was done,
to be out on the same day, and to receive a correctbill. And I went to the bank
expecting the bank teller to be friendly, informative, and helpful with my
transactions.
Customer satisfaction surveys help to:
Page 30

 Improve customer, client, or employee loyalty.

React quickly to changes in the market.
Identify and capitalize on opportunities.
Beat the competition.
Retain or gain market share.
Increase revenue.
Reduce costs.

COMPANYS EFFORT TO ENSURE SATISFACTION OF CUSTOMERS:

Objectives of ICICI
Promote good and fair banking practices by setting minimum
standards in dealing with you
Increase transparency so that you can have a better understanding of
what you can reasonably expect of the services;
Encourage market forces, through competition, to achieve higher
operating standards;
Promote a fair and cordial relationship between you and your bank;
Foster confidence in the banking system
To Help You To Understand How Our Financial Products And Services Work By:
Page 31

 Giving you information about them in any one or more of the following
languages: Hindi, English or the appropriate local language.
Ensuring that our advertising and promotional literature is clear and not
misleading
Ensuring that you are given clear information about our products and
services, the terms and conditions and the interest rates/service charges,
which apply to them.
Giving you information on what are the benefits to you, how you can avail
of the benefits, what are their financial implications and whom you can
contact for addressing you queries.
To Help You Use Your Account Or Service By:
Providing you regular appropriate updates.
Keeping you informed about changes in the interest rates, charges or terms
and conditions.
Information
You can get information on interest rates, common fees and charges through any
one of the following:
Looking at the notices in our branches ;
Phoning our branches or help-lines;
Looking on our website;
Page 32

 Asking our designated staff/help desk ;or

Referring to the service guide/Tariff Schedule.
Before You Become a Customer we will:
give you clear information explaining the key features of the services and
products you tell us you are interested in;
give you information on any type of products and services which we offer
and that may suit your needs;
tell you if we offer products and services in more than one way [for
example, through
ATMs, on the Internet, over the phone, in branches and so on] and tell you
how to find out more about them;
tell you what information we need from you to prove your identity and
address, for us to comply with legal, regulatory and internal policy
requirements.
Advertising, Marketing and Sales
We will make sure that all advertising and promotional material is clear, and
not misleading.
In any advertising in any media and promotional literature that draws
attention to banking service or product and includes a reference to an interest
rate, we will also indicate whether other fees and charges will apply and that
full details of the relevant terms and conditions are available on request.
Page 33

 If we avail of the services of third parties for providing support services, we

will require that such third parties handle your personal information (if any
available to such third parties) with the same degree of confidentiality and
securityas we would.
We may, from time to time, communicate to you various features of our
products availed by you. Information about our other products or
promotional offers in respect of our products/services, will be conveyed to
you only if you have given your consent to receive such information/ service
either by mail or by registering for the same on our website or on our phone
banking/customer service number.
Privacy and Confidentiality
We will treat all your personal information as private and confidential [even
when you are no longer a customer], and shall be guided by the following
principles and policies.
Data Analysis
1. WHICH OF THE FOLLOWING ATTR IBUTES COMPELLED YOU To
MOST OPEN SAVING ACCOUNT IN ANY BANK?

Page 34

People Like To Open an A/c

ATM
CHEQUE BOOK

10%

15%

Internet Banking

37%

21%

working Hour
Value added
Services

17%

2:-Which TYPE OF SERVICE PREFERS THE MOST by you?

services prefer most by customer

ATM
5% 10%
15%

Net Banking
50%

20%

Core Banking
Mobile Banking
Retail Banking

3:-Which of following banks do you have account?

Page 35

Customer Having Bank A/C

25
20

20

Customer Having Bank

A/C

15
11
10

8
6

5
0
SBI

ICICI

Axis

Hdfc

Others

4:-WHAT TYPE OF ACCOUNT DO YOU HAVE IN BANK?

Customer Having A/C

60
50

50

40

43
Customer Having A/C

30
20
10
0

12

10
Saving

Current

Fixed Deposit

Others

5:-How many services offered by your banks have been usedby you?
Page 36

Customer Using Services Offered by Their Bank

50
45
40
35
30
25
20
15
10
5
0

47
Customer Using Services
Offered by Their Bank
27
22

19

Demat A/C Matual Fund E- tasaction

LI & GI

6:-How would you know about these services?

Awareness
Others; 14%
Adtiesment; 36%
Selling agent; 21%
Friends & Relative; 29%

7:-What the people think about the Banks?

People Think About Bank

Security
Saving
Imposition of a burden of expenses
Others

11%
7% 49%
33%

Page 37

8:-What a respondent see in purchase of new plan from Banks?

Peope See In Perchasing New Plan

Advertisement being released by the company; 18%
Standing and goodwill of the company ; 41%
Services being given by the company; 28%
Product range of the company; 13%

9:-Is ICICI Bank Provide better facilities than SBI & HDFC Bank?

Services
Yes

No

Can`t Say

17%
38%
45%

10:-Do you know what type of value added services provide by ICICI
BANKS?

Page 38

Awareness About Value Add Services

60
50

50

40
30

31

20
16

10

31

Awareness About Value

Add Services

11

11:-How would you rate product offered ICICI Bank than other?
Rating

Very Good
5

Good
4

Moderate
3

Less
2

Poor
1

COMPARISON OF ICICI WITH SBI

ICICI bank is the largest private sector bank in India and the second largest
commercial bank in India. It has branches all over India and even in smaller towns
in South India after the takeover of Bank of Madurai. The bank also has foreign
subsidiaries like ICICI bank, Canada in Canada, Britain and Russia, representative
offices in USA, China, UAE, Bangladesh, South Africa and branches in Bahrain,
Singapore .
It offers a platform for online share trading through ICICI Direct and
insurance services - ICICI Prudential. NRI services include money transfer

Page 39

through Money2India, which offer better foreign exchange rates for lower
amounts compared to other services.
Like most private sector banks, all ICICI bank branches in India are
networked. You can access your account from any ICICI bank branch in
India. Anyone can also deposit cash/local cheque in your account at any
branch of ICICI bank.
FINDINGS, SUGGESTIONS & CONCLUSION
1. It was found from the study that bank believes in quality service rather than
quantity of service.
2. The officials employed are very much enthusiastic about their job.
3. The officials try to make best relation with the customers.
4. There is separate counter for NRI services.
5. The limit of cash vault is Rs. 10, 00,000 for a day.
6. The registers and files are maintained on a daily basis.
7. The registers are maintained in a well-organized manner.
8. The marketing strategy of the bank is very attractive.
9. The bank always tries to attract customers with innovative offers.
10. The bank is very keen to implement 5's plan in its entire branch.
11. ICICI and SBI credit deposit ratio is on the side though ICICI banks show a
little decreasing trend to the extent of 2.24 % Over mar2007 _ mar 2008.

SUGGESTIONS
Page 40

A. Best play in a buoyant environment Favorable macro, buoyant Market related

revenues and a benign environment for asset quality.
1 ICICI as a player focused on maintaining and /or improving Market share in
key business segments, particularly retail lending- Will, in our view, benefit
immensely form a positive operating Environment.
2. ICICI is viewed as it is benefited from the procyclicality effect of the
economic cycle as its borrowers in the legacy project financing Activity witnessed
their debt servicing ability increasing considerably. It is believed that the
profitability of this segment has improved as a Result of lower loan loss provisions
and lower taxable rates of Income from this source. Expectations are on the
procyclical benefit, To continue and hence profitability of legacy lending to be
sustained At levels seen earlier.
3. Market related revenues are believed to contribute 14% - 15% to ICICIB's
operating revenues and have boosted its preprovision RoAA. Buoyant environment
to sustain the contribution from market -related revenues is expected and hence the
operating profitability.
4. Pricing power in consumer financing segment profitability against potential
shocks.
5. ICICIB enjoys a dominant market position across customer Categories in retail
lending. The strong market position and robust Demand for consumer financing
vests significant pricing power With ICICIB is believed either by allowing a hike
in lending rats, Negotiating higher subvention form manufacturers of cutting
Distribution costs.

Page 41

Conclusion
Thus, ICICI has been able to use technology to provide value-added service to its
customers during the last few years. For ICICI, technology is an integral part of
their business. However, their overall progress could have been smoother but for
certain internal and extraneous factors and also a pressure on spreads due to a
competitive market (Annual report, 2000 01). E-banking has become a necessary
survival weapon and is fundamentally changing the banking industry worldwide.
Today, the click of the mouse offers customers banking services at a much lower
cost and also empowers them with unprecedented freedom in choosing vendors for
their financial service needs. No country today has a choice- whether to implement
E-banking or not given the global and competitive nature of the economy. ICICI
have top-grade and constantly think of new innovative customized packages and
services to remain competitive. The invasion of banking by technology has created
an information age and commoditization of banking services. ICICI have come to
realize that survival in the new e-economy depends on delivering some or all of
their banking services on the Internet while continuing to support their traditional
infrastructure. The rise of E-banking is redefining business relationships and the
most successful banks will be those that can truly strengthen their relationship with
their customers. Without any doubt, the international scope of E-banking provides
new growth perspectives and Internet business is a catalyst for new technologies
and new business processes.

Page 42

Bibliography
www.rbi.org.in
www.moneycontrol.com
www.nseindia.com
www.icicibank.com
www.google.com
Economic times
Business world

Page 43