Definition: A system of trading money

provides a safe place to save excess cash,

known as deposits.
supplies liquidity to the economy by loaning
this money out to help businesses grow and
to allow consumers to purchase consumer
products, homes, cars etc.


Institutions which deals in money and credit.
An intermediary, which handles other
peoples money both for their advantage and
to its own profits.
A financial institution that links the flow of
funds from savers to the users.
Plays an important role in the economy of any
country as they hold the saving of the public.

Central Bank: The Reserve Bank of India is the
central Bank that is fully owned by the
Government

Public Sector Banks: State Bank Group,
Regional rural banks

Private Sector Banks: Foreign Banks, Scheduled
and Non- Scheduled Banks

Co-operative Sector: State Co-operative Banks,
Central Co-operative Banks, Primary Agriculture
Credit Societies

Development Banks/Financial Institutions: IDBI,
ICICI, NABARD


Issue of banknotes (promissory notes
issued by a banker and payable to bearer
on demand)
Processing of payments by way of
telegraphic transfer, EFTPOS, internet
banking or other means
Issuing bank drafts and bank cheques
Accepting money on term deposit
Lending money by way of overdraft,
installment loan or otherwise
Providing documentary and standby letters of
credit (trade finance), guarantees, performance
bonds, securities underwriting commitments and
other forms of off-balance sheet exposures

Safekeeping of documents and other items in safe
deposit boxes

Currency exchange

Acting as a 'financial supermarket' for the sale,
distribution or brokerage, with or without advice,
of insurance, unit trusts and similar financial
products
Issue of money, in the form of banknotes and
current accounts subject to cheque or
payment at the customer's order.
Netting and settlement of payments.
Credit intermediation
Credit quality improvement
Maturity transformation
Bank marketing is the aggregate of functions,
directed at providing services to satisfy
customers financial (and other related) needs
and wants, more effectively and efficiently
than the competitors keeping in view the
organizational objectives of the bank.

The existence of the bank has little value
without the existence of the customer.
Aim is not only to create and win more and
more customer but also to retain them
through effective customer service.
Appropriate promise to a customer through a
range of services (products) and also to
ensure effective delivery through satisfaction
is important.
Identifying the most profitable markets now
and in future;
Assessing the present and future needs of
customers;
Setting business development goals and
making plans to meet them
Managing the various services and
promoting them to achieve the plans
Adapting to a changing environment in the
market place.

Designed after taking into account the strengths
and weaknesses of the organization.
bank with clientele from various segments could
think of market penetration by offering the
existing range of services to existing customers.
Bank which are not facing acute competition
could think of Market Development by offering
the existing services to new customers.
design new product range for their customers of
various segments
How the sellers determines which
buyers characteristics produce the best
partitioning of the particular market?


The seller does not want to treat all
customers alike nor does he want to
treat them all differently
Banks deal with individuals, group of persons
and corporates
More or less homogenous groups in terms of
their needs and expectations.
Market segments, targeting one or more
segments, developing products and
marketing programs tailor-made for these
segments.
Agricultural Sector
1. Marginal
2. 2 to 5 acres
3. 5 to 10 acres
4. 10 acres and above

Industrial Sector
1. Tiny
2. Co-operative
3. Small-sized
4. Large- sized
Services Sector
Household Sector
1. Marginal
2. Low Income
3. Middle Income
4. High Income

Market Targeting in which each segments
attractiveness is measured and a target
segment is chosen based on its
attractiveness.
Positioning which is the act of establishing a
viable competitive position of the firm and its
offer in the target segment chosen.
Traditional
external
marketing
Internal
marketing
Interactive
marketing
consists of usual four Ps of Product, Price,
Place and Promotion of marketing mix
Product: The products offered are the
services which includes various types of bank
accounts, different types of loans, investment
services, Credit cards, Demat accounts,
online banking, mobile banking and many
more.

includes interest , fees or commission charged
by the bank. Also the interest paid by the bank.
Typical for banking sector since RBI regulates
rates of interest, Organizations are supposed to
sub-serve weaker sections and the rural regions
of the country.
Buyers look for satisfaction which differs from
person to person.
Keeping in view the level of satisfaction of a
particular segment, the banks have to frame
the pricing strategies.
The interest charged and the interest paid
should have a co-relation between them.
Develop
marketing
strategy
Make
marketing
mix
decisions
Estimate the
demand
curve.
Calculate
cost
It refers to the establishment and functioning
of a network of branches and other offices
through which banking services are delivered.
Objective is to get the right product ,at right
places at right time at the least cost.
Extensive branch network- access to large
section of people
Proximity may play a determinant role in
selecting the bank.





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


Advertising

Publicity

Sales Promotion

Personal Selling

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




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




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




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

Referral services

Direct mailing

Cold calling

Offering items having your brand identity

Using the media

Getting celebrities to endorse the product or service.

Sponsoring events

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




Provision of May I help you counter in
branches.
Immediate credit of cheques up to Rs.2,500
which has since been increased to Rs.15,000.
Payment of penal interest in case of delay of
collection of cheques.
In the year 1995 Banking Ombudsman was
established by RBI with objective of resolving
customer grievances in a quick and
inexpensive manner.

Follows 80-20 Parato principal
Bankers need to understand the rural
psychology
Employing local literate youth for confidence
building
Banker must be aware of agriculture aspects,
cultural and communal aspects, institutional
facilities etc.
Process of change should be known to him
Status of various development plans should
be known
R:Retail Business for Rural Community As
(Consumer & Producer)
U: Urban facilities, Investment, Infrastructure
R: Animal Husbandry & Allied Activities
A: Agri Production(Field Crops, Plantation)
L: Linkages & Synergy
Horticulture, Plantation, Vegetable growing,
Floriculture, aromatic and medicinal plants,
Bio-diesel plants etc. for high investment
Opportunities
Post Harvest and Food Processing
Seed Multiplication & Processing
Dairy Farming, Sericulture, Aqua-Culture &
Others.
Irrigation Projects & Wasteland
Developments.
Rural Tourism & Other emerging areas.




Industrial Credit and Investment corporation
of India bank - largest private sector bank in
market capitalization
Second largest overall in terms of assets.
largest issuer of credit cards in India

Product :
Saving account: offers a power packed
Savings Account with a host of convenient
features and banking channels to transact
through.
Senior citizen services: convenience with
benefits
Fixed Deposits : Safety, Flexibility, Liquidity
and Returns




Recurring Deposits: Affordability and higher
earnings.
Roaming Current: access your accounts at over 500
networked branches across the country.
Loans: Home Loans. Personal Loans. Car Loans,
two Wheeler Loans, Commercial Vehicle Loans.
Loans against Securities, educational loans etc
Investments: ICICI Bank Tax Saving ,Foreign
Exchange Services, Senior Citizens Savings Scheme,
2004.
Cards: Credit card, ATM card, travelers card
Demat services
Online money transfer
Mobile banking



Pricing
1. Pricing Decisions related to interest, fee
or commission.

2. RBI and IBA

3. Raising Number of Customers

4. 2 Fold Strategies
Place
1. Services are sold through branches

2. Making Promised Services available to the
ultimate users.

3. Branches OF ICICI:
1900 in India and 33 in Mumbai.
Promotion
1. Advertising - Television, radio, movies, theatres
2. Print Media- Hoardings, newspaper, magazines
3. Publicity- Road shows, campus visits, sandwich
man, Sponsorship
4. Sales Promotion- Gifts, discount and commission,
incentives, etc.
5. Personal Selling- Cross-sale (selling at
competitors place), personalized service
6. Telemarketing- ICICI one source Call center
(mind space)
Process
1. Standardization- ICICI bank has got standardized
procedures got typical transactions

2. Customization- Specialty counters at each branch
to deal with customers of a particular scheme

3. Simplicity- Separate counters exist with clear
indication

4. Customer Involvement- Money matters and
signature


Physical Evidence
1. Signage

2. Financial Reports- The Companys financial reports
are issued to the customers to emphasis or credibility

3. Tangibles- Pens, Writing Pads to the internal
customers. Passbook and Cheque books to the
customers.

4. Punch lines- Hum Hai Naa

5. Employees Dress Code- ICICI bank follows a dress
code for their internal customers

People
1. All people directly or indirectly involved in
the consumption of banking services.

2. Workers, Employees, Management and
other Consumers

3. Employees of a Bank represents the
organization to its customers.

4. Internal Marketing




THANK YOU
MADE BY:

HIMANSHU SHARMA
11
th
A