Major Research Project

Major Research Project

A study of effectiveness of Marketing Strategy of ICICI Securities

Faculty Guide: Prof. Deepak Banerjee 05/12/09

Aravali Institute of Management,Jodhpur

Presented by: Girish Harsha PGDBA-PGP-II Roll No. 16 Batch: 2007-09 1

Contents  

About Company Research Objective 

  

Research Design

Data Analysis Findings Recommendations

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About Company 

ICICI Securities Ltd is the largest equity house in the country providing end-to-end solutions (including web-based services) through the largest non-banking distribution channel so as to fulfill all the diverse needs of retail and corporate customers

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ICICI Securities (I-Sec) has a dominant position in its core segments of its operations 

Corporate Finance including Equity Capital Markets Advisory Services, Institutional Equities, Retail and Financial Product Distribution

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ICICI Securities is among the leading Financial Institutions both on the institutional as well as retail side

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ICICI Securities Inc. is also registered with the Financial Services Authority, UK (FSA) and the Monetary Authority of Singapore (MAS)

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ICICI Securities has a presence across most segments of the capital market: investment banking, institutional equity and debt broking 

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ICICIdirect.com, its retail broking business, is among the largest online brokerages in the country and has at least 1.4 million customers and handles, on average, around 350,000 trades a day I-Sec has over 300 ICICI direct stores www.icicisecurities.com

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Contd.. 

Stock market turnover has grown at a CAGR of 60% per annum in the last five years and stock trading at ICICI securities (in terms of daily turnover) has grown at a CAGR of 114% in the last four years

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Total consolidated revenue for the fiscal year 2007-08 (FY08) was Rs. 6005.46 Million, a growth of 29.51% over the previous year

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Manpower Strength  The Company had 4,481 employees as on March 31, 2008. During the year there was a net addition of 1,225 employees, which increased the employee strength by 37.62% over the previous year  Over 44% of the new recruits were freshers

www.icicisecurities.com 05/12/09

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Research Objective 



To understand and measure the effect of brand-building, brand re-calls of the ICICI Securities Research Design  Data Collection  Qualitative  Primary source  Questionnaire  Interviews  Secondary source  Internet  Books  Sample size  30 respondents  Sample technique  Convenience sampling

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    

Components of Marketing Strategy for determining its effectiveness

Segmenting-Targeting-Positioning (STP) Market Size Pricing Branding Customer Relationship

Source: Marketing Strategy, A. Nag 05/12/09

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Branding strategy and identity

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Implementation of Branding strategy is critical because it is the means by which the firm can help consumers to understand its products and services and organise them in their minds

Brand identity is comprised of: Pricing Distribution Quality Presence Awareness Reputation Image Benefits Preference Share of market Customer commitment Source :Philip Kotler

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Findings Knowledge of Financial Market(Stock Market)

How good respondents are in financial market knowledge

9, 30%

2, 22%

0, 0%

Expert

yes

4, 45%

no

Proficient limited Totally zero

21, 70% 3, 33%

30% respondents are having knowledge of financial market and out of 30% only 45% are expert in it. Source: Survey conducted 05/12/09

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Contd.. Source of brand awareness

How many knowns about ICICI-Securities

4, 13%

Financial Magazine and News paper

5, 17%

Sharekhan ICICI-sec

5, 17% 6, 20%

6, 20%

10, 34%

Financial News Channel Internet

IndiaBulls 4, 13%

Reliance Money Kotak Sec

10, 33%

7, 23%

Friends

3, 10% Through company agent

20% respondents are aware about the ICICI-Securities and 34% are get to known about the ICICI-Securities through agents

Source: Survey conducted

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Contd.. Services used by respondents of company

3, 10%

3, 10%

Paying attention to brand name while purchasing

Sharekhan

4, 13% 4, 13%

Kotak Sec

11, 37%

Yes

Indiabulls

No

ICICI-Sec 9, 31%

7, 23%

Reliance Money

19, 63%

Any other

31% are using the services of ICICI-Securities and 63% are paying attention to brand name Source: Survey conducted 05/12/09

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Contd.. Top rank given to company as per the Brand image

9, 30%

7, 23% ICICI-Sec Kotak-Sec Indiabulls 3, 10%

Sharekhan Reliance Money

5, 17%

6, 20%

23% are given ICICI-Securities the first rank as per the brand image in their mind Source: Survey conducted 05/12/09

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Value Proposition 

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ICICIdirect recently launched its Wealth G.R.I.P. (Goal, Retirement, Investment and Protection) that enables customers to articulate their needs, convert them into financial goals and effectively plan for the same. The final output for the customer will be     

Current position of customer What customer need to do to achieve his goals How they need to go about managing their savings and investments Risk profile and risk-taking ability A recommended asset allocation model

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Corporate Image Dimensions 

Corporate product attributes and benefits  

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People and relationships 

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Quality Innovative Customer orientation

Values and programs 

Social responsibility 

Door Step School 

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Support 

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A NGO focused on spreading education to kids residing in the slums A NGO which is into rehabilitation of street kids addicted to drugs

Corporate credibility  

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Expertise Trustworthiness Aravali Institute of Management,Jodhpur

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Awards and Achievements  

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IBA Business Technology Awards 2006 ICICI direct awarded the most preferred for financial advisory First web 18genius of the Web Awards 2007 Indian Bank’s Association Business Technology Awards 2007 Service Retailer of the year 2008-ICICIdirect Best E-Brokerage House, Outlook Money Awards  2003-04  2004-05  2006-07  2007-08

Source: Ms. Puja Ray, SRM, I-sec, Jaipur

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Recommendations 

Sponsor the investor games or programme to increase their brand image 

Such as  

“Chota Business Bade Sapne” Finance Club’s major activity “Investor Forum” of our Institute 

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Viral Marketing 

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Proposed activities can be  “Opportunities in Investment” for 2009-10  “Investors Trips” for 2009-10

Use of SMS

Provide demo on their website (icicidirect.com) for their customers to improve the accessibility of their customer’s trade

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Where to invest? How to invest? Get tips from Market Analysts At Town Hall on 27th Dec.

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