Marketing Mix In Icici

Service Sector Management Project On:

Marketing Mix in ICICI Submitted by: T.Y.B.M.S (B)

Page | 1

DECLARATION They the below mentioned students of T.Y.B.M.S (Div- B) hereby declare that, the study undertaken on Marketing

Mix in ICICI Bank is true

and to the best of their knowledge.

Group Members

Roll Number

Varad Oak

67

Bhushan Pawar

68

Amrin Shaikh

69

Imran Chouhan

70

Shraddha Sawant

71

Mohan Shirsat

72

Page | 2

ACKNOWLEDGMENT

One is filled with great sense of pride when students are able to distinguish themselves in work, even beyond the ftheir walls of the classroom.

They are grateful to many trans-generational stheirces and roots of wisdom that helped us to make this project viable and also on right time. The material and arrangement has slowly evolved and has imbued their deep and sincere immersion in it.

Their hearty thanks to all their friends and colleagues for cooperating and supporting us in completing the given assignment.

Page | 3

SERVICE MEANING:

A service is the action of doing something for someone or something. It is largely intangible (i.e. not material). A product is tangible (i.e. material) since you can touch it and own it. A service tends to be an experience that is consumed at the point where it is purchased, and cannot be owned since is quickly perishes. A person could go to a café one day and have excellent service, and then return the next day and have a poor experience. CHARACTERISTICS OF SERVICES

Many organizations have service elements to the product they sell, for example McDonald’s sell physical products i.e. burgers but consumers are also concerned about the quality and speed of service, are staff cheerful and theylcoming and do they serve with a smile on their face? There are five characteristics to a service: Inseparable - Services are inseparable from the point where it is consumed, and from the provider of the service. Intangible - Services are intangible and cannot have a real, physical presence as does a product. For example, motor insurance may have a certificate, but the financial service itself cannot be touched i.e. it is intangible. Perishable - Services are perishable in that, once it has occurred it cannot be repeated in exactly the same way. For example, once a 100 metres Olympic final has been run, there will be not other for 4 more years, and even then it will be staged in a different place with many different finalists. Variability - Since the human involvement of service provision means that no two services will be completely identical. For example, returning to the same garage time and time again for a service on ytheir car might see different levels of customer satisfaction, or speediness of work. Page | 4

MARKETING MIX The marketing mix is probably the most famous marketing term. Its elements are the basic, tactical components of a marketing plan. Also known as the Ftheir P's, the marketing mix elements are price, place, product, and promotion. Product - It must provide value to a customer but does not have to be tangible at the same time. Basically, it involves introducing new products or improvising the existing products. Price - Pricing must be competitive and must entail profit. The pricing strategy can comprise discounts, offers and the like. Place - It refers to the place where the customers can buy the product and how the product reaches out to that place. This is done through different channels, like Internet, wholesalers and retailers. Promotion - It includes the various ways of communicating to the customers of what the company has to offer. It is about communicating about the benefits of using a particular product or service rather than just talking about its features.

THE EXTENDED MARKETING MIX INCLUDES People – An essential ingredient to any service provision is the use of appropriate staff and people. Recruiting the right staff and training them appropriately in the delivery of their service is essential if the organization wants to obtain a form of competitive advantage. Consumers make judgments and deliver perceptions of the service based on the employees they interact with.. Process – Refers to the systems used to assist the organization in delivering the service. Imagine you walk into Burger King and you order a Whopper Meal and you get it delivered within 2 minutes.

Page | 5

THE IMPORTANCE OF MARKETING IN THE SERVICE SECTOR Marketing was not that popular in services-industries as it was with manufacturing firms. Many service businesses theyre small and theyre not using management techniques such as marketing which they thought would be expensive or irrelevant. There theyre also service businesses like law and accounting firms which believed that it is unprofessional to resort to marketing. They relied more on their knowledge and efficiency than marketing their services. In India services sector has grown significantly. Its growth is also quite important for India. The employment elasticity [to GDP growth] in the services sector is higher than as in the case of both agriculture and manufacturing sector. Secondly, the services sector by providing complementary services to agriculture and industry, acts as a catalyst in the growth of the entire economy. Thirdly, with its greater flexibility in location, low capital intensity and personal nature is ideally suited for the small sector, which is the most important sector for overall development of Indian economy. Accordingly, the services sector has grown faster than the commodity sector. BANK -

A bank is a financial institution licensed by a government. Its primary activities include borrowing and lending money. Many other financial activities theyre allotheyd over time. BANK MARKETING-

Marketing as it is vietheyd today is a way of managing a business so that each strategy is evolved with foreknowledge of the impact of such decision on the customer. Banks have broadly three dimensions, i.e., deposits, borrowings and other allied services. The concept of bank marketing encompasses: Page | 6

• 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; ABOUT THE BANKING INDUSTRY

The banking industry which started in the olden days with merchants lending money has today developed to a very great extent. The nationalization of banks in 1969 led to the identification of banking institutions as organizations that theyre meant to take the country towards development. Today banks are not mere suppliers of money but they have become providers of services such as selling insurance, mutual funds, investment opportunities etc. Today is the age of specialization and they can find specialization in all fields including banking. The banks have specialized in a particular line of finance. Various types of banks have developed to suit the economic development and requirements of the country. The principal banking institutions of a country may be classified into the Following types: 1. Central banks: Central bank is the bank of a country- a nation. Its main function is to issue currency know n as “bank notes”. This bank acts as the leader of the banking system and money market of the country by regulating money and credit. These banks are the bankers to the govt , they are bankers’ banks and the ultimate custodian of a nations foreign exchange reserves. There is now hardly any country that does not have a central bank of it’s own. It acts, as a great engine of Page | 7

growth of a state the central bank of India is reserve bank of India. 2. Commercial banks: A bank, which undertakes all kinds of ordinary banking business, is called a commercial bank. It is so called because it provides money and credit for commercial and trade activities. They receive short and medium term deposits from the public and grant short-term loans and advances. They supply working capital to industries and enable them to carry on production and manufacturing activities. They grant loans and advances on the stocks of agricultural commodities, industrial goods, etc. they discount internal and foreign bills. 3. Industrial banks or financial institutions: An industrial bank is one which specializes by providing loans and fixed capital to industrial concerns by subscribing to share and debentures issued by public companies. They play an important role in the establishment and growth of industries. Investment banks supply the block capital required for the acquisitions of fixed assets. They provide long-term loans and credits for periods varying bettheyen 5 and 15 years for industries to acquire fixed assets. 4. Exchange banks: These types of banks are primarily engaged in the transactions involving foreign exchange. They deal in foreign bills of exchange import and export of bullion and otherwise participate in the financing of foreign trade. They do a number of incidental services such as opening of letters of credit, issue of foreign currency drafts and travelers’ Cheques and supply of information about foreign customers. They provide credit and loans in foreign currency and also accept deposits in foreign currency. 5. Co-operative banks: They are organized on co-operative principles of mutual help and assistance. They grant short-term loans to the Page | 8

agriculturists for purchasing of seeds, harvesting and for other cultivation expenses. They accept money on deposit from and make loans to their members at a low rate of interest. 6. Land-mortgage banks: They are agricultural development banks. The land mortgage banks supply long-term loans for a period up to 15 yeas for development of land and to increase agricultural yield. They create negotiable bonds out of real estate such as land, building etc. 7. Savings banks: These are institutions that collect the periodical savings of the general public. Their main object is to promote thrift and saving habits 8. Supranational banks: Special banks have been created to deal with certain international finance matters. Asian development bank is a supranational bank, which provides finances for the economic development of poor Asian countries. They generally provide finance at concessional interest rates and for long-term needs. 9. International banks: International banks are those, which are operating, in different countries. While, the registered office/ head office is in one county, they operate through their branches in other countries. They specialize in banking business pertaining to foreign trade like opening of letters of credit, providing shot-term finances in foreign currency, issue of performance guarantee, arranging foreign currency credits, etc.

Page | 9

INCREASING IMPORTANCE OF MARKETING MIX IN BANKING INDUSTRY The various other factors which have led to the increasing importance of marketing in the banking industry are categorized as follows: Government Initiatives The Indian economy embarked on the process of economic reform and various policy measures initiated by the government resulted in the increasing competition in the banking industry, thereby highlighting the importance of effective marketing. The Narasimhan Committee Report evidence of the Government’s desire to ‘re-regulate’ the banking industry so as to enctheirage efficiency through competition. The Government initiatives include: Deregulation of Interest Rates The bank may reduce their Minimum Lending Rates so as to attract customers (individual and corporate). Such reduction in lending rates reduce the spread bettheyen the deposit rates and lending rates, Increasing Emphasis on Bank Profitability: With the Narasimhan Committee Report, banks have been directed to improve their efficiency, productivity and profitability. Banks are required to be self-sufficient. In fact, the report has adopted the BIS standards of capital adequacy (though in a phased manner). Foreign Banks Foreign banks offer stiff competition to the Indian Banks and with their superior services and technology offer them a competitive advantage. Thus Indian Banks have to effectively apply marketing concepts to attract customers.

Page | 10

Entry of New Private Banks In the early ‘90s new competition emerged in the form of new Private Banks, who brought along with them a high technologybased banking matching with International Standards and have made a significant dent in the banking business by capturing substantial share in the profits of the banking industry. Reduction of Statutory Liquidity Ratio With the Government’s aim of reducing the SLR to 25 percent, the banks will have surplus funds for which they will have to attract users.

LIST OF SERVICES PROVIDED BY ICICI The services provided by banks are • Accepting deposits, • Lending money to the public, • Transfer of money, • Trustee business( underwriting), • Safekeeping, • Government business, • Venture  capital (providing start up Capital to a new and risky business • operations), Automated teller machine (ATM):, • Phone banking, Net banking or Internet banking, • Deposit insurance scheme. Apart from the above, the different service portfolios of the banks are Credit card, Home loans, Educational loans, Business loans, Personal loans, Depository services, Term deposits, Payroll accounts, NRI accounts, Fund management services for prisoners Page | 11

and retired people, Consultancy, Mutual funds, Government securities, Smart cards, Currency exchange etc.,

Page | 12

MARKETING MIX IN BANKING INDUSTRIES 1. PROMOTION: Promotion mix includes advertising, publicity, sales promotion, word– of – mouth promotion, personal selling and telemarketing. 2. PRICE: The price must be high enough to cover costs and make a profit but low enough to attract customers. There are a number of possible pricing strategies. The most commonly used are: 3. PRODUCT: The business has to produce a product that people want to buy. They have to decide which ‘market segment’ they are aiming at – age, income, geographical location etc. 4. PLACE: Banks need to take into consideration the place factor as it decides the volume of business for them. 5. PEOPLE: Sophisticated technologies no doubt, inject life and strength to a bank’s efficiency but the moment there is a lack of productive human restheirces even the new generation of information technologies would hardly produce the desired results. Other than these are;

6. PROCESS: All the major activities of banks follow RBI guidelines. There has to be adherence to certain rules and principles in the banking operations. 7. PHYSICAL EVIDENCE: The physical evidences include the logo, the layout of the branch, the passbooks, cheque books, the furniture, the reports, punch lines, other tangibles, employee’s dress code etc. 8. PENETRATION PRICING : Page | 13

Charging a low price, possibly not quite covering costs to attain a position in the market. This is quite popular with new businesses trying to get a toehold.

ICICI

INTRODUCTION ICICI Bank is India's second-largest bank with total assets of Rs. 3,674.19 billion (US$ 77 billion) at June 30, 2009 and profit after tax Rs. 8.78 billion for the quarter ended June 30, 2009. The Bank has a network of 1,485 branches and about 4,816 ATMs in India and presence in 18 countries. ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialised subsidiaries and affiliates in the areas of investment Page | 14

banking, life and non-life insurance, venture capital and asset management. ICICI was established by the Government of India in the 1960s as a Financial Institution with the objective to finance large industrial projects. ICICI was not a bank - it could not take retail deposits; and nor was it required to comply with ICICI Bank now has the largest market share among all banks in retail or consumer financing. ICICI Bank is the largest issuer of credit cards in India. It was the first bank to offer a wide network of ATM's and has a large network of ATM's. ICICI Bank now has the largest market value of all banks in India, and is widely seen as a sophisticated bank able to take on many global banks in the Indian market.

HISTORY OF ICICI BANKING SYSTEM ICICI was formed in 1955 at the initiative of the World Bank, the government of India and Indian industry representatives. The principal objective was to create a development financial institution for providing medium-term and long-term project financing to Indian businesses. Until the late 1980s, ICICI primarily focused its activities on Project finance, providing long-term funds to a variety of industrial projects. ICICI Bank was incorporated in 1994 as a part of the ICICI group. ICICI Bank's initial equity capital was contributed for 75.0% by ICICI and for 25.0% by SCICI Limited, a diversified finance and shipping finance lender of which ICICI owned 19.9% at December 1996. Pursuant to the merger of SCICI into ICICI, ICICI Bank became wholly-owned subsidiary of ICICI. Effective March 10, 2001, ICICI Bank acquired Bank of Madura, an old private sector bank, in an all-stock merger.

IMPORTANCE OF CUSTOMER SERVICE IN ICICI BANK Page | 15

Bank is a commercial institution of outfit marketing financial products. Service performances, production and consumption of services occurs simultaneously. Therefore, the frontline people and their interaction with customers, thus everyday postures, gestures, actions, reactions, emotions, activities and impressions contribute significantly in projecting a particular image of the bank distinguishing it from the rest of the field. Further customer service has a tremendous retention-value. If they can not retain a customer, all their efforts in terms of time and money in creating and winning a customer would be a sheer waste. Besides, it is found that retaining customer is often cheaper than finding a new customer. In addition to that satisfied customers recommended the business to others. Thus a customer is vietheyd as a longterm relationship rather than a party to a stray single transaction. The initial transaction is taken as the starting point and opportunity to establish a relationship through providing total customer satisfaction, which in turn will ensure further business, from him. This is what they term as relationship banking. Qualitative customer service and total satisfaction forms the edifice of “Relationship Banking”. ICICI DIRECT ICICI Direct.com is a truly online share-trading site. Which means that from the time you punch in a buy or sell trade on ytheir computer to the final settlement in ytheir account, everything happens

completely

online?

The

3-in-1

e-invest

account

integrates ytheir brokerage, bank and one or more depository accounts

to

make

sure

that

you

can

do

the

otherwise Page | 16

cumbersome share trading from the comfort of ytheir home or office, at absolutely any time of the day or night.

Page | 17

7 P’s OF MARKETING OF ICICI BANK Marketing of services by ICICI bank

1. PRODUCT MIX A)DEPOSITS: Savings Account: ICICI Bank offers a potheyr packed Savings Account with a host of convenient features and banking channels to transact through, without the stress of waiting in queues. Senior Citizen Services: ICICI understands that a Savings Account needs to do more after one reaches the age of seniority. They have an ideal Savings Bank Service for those who are 60 years and above Fixed Deposits: Safety, Flexibility, Liquidity and Returns. A combination of unbeatable features of the Fixed Deposit from ICICI Bank. Recurring Deposits: Through ICICI Bank Recurring Deposit one can invest small amounts of money every month that ends up with a large saving on maturity. So one can enjoy twin advantages- affordability and higher earnings. B) INVESTMENTS:

• ICICI Bank Tax Saving Bonds •

Government of India Bonds

• Investment in Mutual Funds • Initial Public Offers by Corporates • Investment in "Pure Gold" • Foreign Exchange Services • Senior Citizens Savings Scheme, 2004 C) ANYWHERE BANKING: Page | 18

ICICI Bank is the second largest bank in the country. It services a customer base of more than 5 million customer accounts through a multi-channel access network. This includes more than 500 branches and extension counters, over 1800 ATMs, Call Centre and Internet Banking. Thus, one can access the various services ICICI Bank has to offer at anytime, anywhere and from anyplace D) LOANS: ICICI Bank offers wide variety of Loans Products to suit the customer’s requirements. Coupled with convenience of networked branches/ ATMs and facility of E-channels like Internet and Mobile Banking, ICICI Bank brings banking at their doorstep Home Loans Some of the key benefits for HOME LOAN are: • Guidance throughout the process •

Home loan amounts suited to ytheir needs

• Home Loan tenure up to 20 years • Simplified Documentation • Doorstep Service • Sanction approval without having selected a property. • Free Personal Accident Insurance •

Insurance options premium

for ytheir

home

loan

at attractive

Personal Loans Key Benefits of ICICI Bank Personal Loan: • Loan up to 15 lacks • No security/guarantor required • Faster Processing • Minimum Documentation • Attractive Interest Rates • 12-60 Months repayment options Page | 19

Car Loans

ICICI offer loans up to 100% of `on-road' cost on select models, and up to 95% of the ex-showroom price on others. The process for getting a loan involves only a few simple steps and they will tailor-make the loan to suit ytheir needs. 1. Loan on Phone for Customers: If you are an ICICI Bank customer, Go for a pre-approved car loan. Call Customer Care numbers or sms "carloan " to567676. 2. Loan on the Strength of Ytheir Income: Submit income proofs as required and avail of finance up to 100% of the `on-road' cost of the car!* 3. Loan in the absence of Income Proof: ICICI offer car loan for customers without income proof on producing the bank statement, loan repayment track record, etc. 4. Car Loans with Fixed and Floating Interest Rates: ICICI Bank now offers new car loans with both fixed and floating interest rate options. The customer can opt for fixed interest rate or floating interest rate for taking a car loan from ICICI Bank according to his/her discretion. Farm Equipment Loans Preferred financier for almost all leading tractor manufacturers in the country. Financing farm equipments in over 381 locations spread across the country. Fast processing of files with easy documentation. 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 6 years. Loan against Property Loan against Property is the perfect way to unlock the hidden value of ytheir property. With this loan, you can fully benefit from life's little surprises you may have earlier passed over due to lack of funds. Live ytheirdreams with a This multi-purpose loan puts funds at ytheir disposal to use as you wish. This loan is available at a reasonable rate and can be repaid comfortably over as many Page | 20

as 15 years. The ICICI Bank's Loan against Property can be used for any purpose. Expand ytheir business - No longer do you have to stifle ytheir creative ideas. With funds at ytheir disposal, you can now expand ytheir business without hesitation. ICICI helps you to meet all ytheir expenses with ease--when you take an ICICI Bank Loan against Property. Send ytheir child for higher studies - Education is the cornerstone of ytheir family's progress. With a Loan against Property, you can empotheyr ytheir son or daughter to grow into an outstanding achiever. Get ytheir child married - Put aside all ytheir monetary worries and celebrate ytheir child’s theydding with pomp and splendor. Meet all ytheir expenses with ease—when you take an ICICI Bank Loan Against Property. Farmer Finance Providing finance to the farmer for his various needs of inputs and consumption in the form of crop loans, dairy loans and loans for allied activities to agriculture like irrigation etc. for input needs and auto loans (two, three and ftheir wheeler) and personal loans for consumption needs. The customer can also avail of working capital term loan for setting up a poultry project. Flexible repayment pattern and tenure to align to the cash flow of the customers. Rural Education Loan ICICI Bank Rural Educational Institution Finance (REI) caters to the need of privately runs Educational Institution based out of Rural, Semi Urban and outside city limit locations. The product is designed to cater to the specific needs of the education institutions. New products and features in the existing product are introduced based on regular customer feedback. E) CARDS: Page | 21

ICICI Bank offers a variety of cards to suit different transactional needs of customers. This includes Credit Cards, Debit Cards and Prepaid cards. These cards offer convenience during financial transactions like cash withdrawal, shopping and travel. These cards are widely accepted both in India and abroad. Credit cards – ICICI Bank Credit Cards offer a smart way to shop, along with flexibility and convenience in managing ytheir finances. Choose from a wide range of credit cards designed to cater to ytheir specific lifestyle requirements. Commercial cards ICICI Bank Commercial Cards have been designed as payment solutions for large & mid-sized organizations. A widely accepted concept internationally, Commercial Cards help to better streamline payment processes & thus increase efficiencies. Business Card The ICICI Bank Business Card is aimed at SMEs as an enabler for their business. The Business card is a smart alternative to cheques, cash, and personal credit cards. With its purchasing convenience, cost savings, available credit, and detailed reporting facilities, the ICICI Bank Business Credit Card offers what ytheir business needs to stay on top. Travel Card 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. 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 Page | 22

shopping at more than 3.5 Lakh merchants in India and 24 million merchants worldwide.

Page | 23

F) DEMAT SERVICES: ICICI Bank Demat Services boasts of an ever-growing customer base of over 7 lacs account holders. In their continuous endeavor to offer best of the class services to customers they offer the following features: E-Instructions: Transfer securities 24 htheirs a day, 7 days a theyek through Internet & Interactive Voice Response (IVR) at a lotheyr cost. •

Digitally Signed Statement:

•

Corporate Benefit Tracking:

•

Mobile Request:

•

Mobile Alerts:

G) MOBILE BANKING: With ICICI Bank, banking is no longer what it used to be. ICICI Bank offers Mobile Banking facility to all its Bank, Credit Card and Demat customers. ICICI Bank Mobile Banking enables you to bank while being on the move. ICICI Bank Mobile Banking can be divided into two categories of facilities: Alert facility: The ICICI Bank Mobile Banking Alert facility informs you promptly of the significant transactions in ytheir accounts. It keeps you updated wherever you go. H) NRI SERVICES: ONLINE MONEY TRANSFER facility available to NRIs worldwide through www.money2India.com at the click of a button! Benefits: •

FREE Money transfers into accounts with over 30 banks in India

•

Demand Drafts issued and payable at over 1250 locations in India

•

ONLINE Tracking of the status of ytheir funds

• SUPERIOR Exchange rates Page | 24

• OFFLINE MONEY TRANSFER facility is also available across geographies through

2. PRICING MIX: The pricing decisions or the decisions related to interest and fee or commission charged by banks are found instrumental in motivating or influencing the target market. The RBI and the IBA are concerned with regulations. The rate of interest is regulated by the RBI and other charges are controlled by IBA. The pricing policy of a bank is considered important for raising the number of customers’ vis-à-vis the accretion of deposits. Also the quality of service provided has direct relationship with the fees charged. Thus while deciding the price mix customer services rank the top position. The banking organizations are required to frame twofold strategies. First, the strategy is concerned with interest and fee charged and the second strategy is related to the interest paid. Since both the strategies throw a vice- versa impact, it is important that banks attempt to establish a correlation bettheyen two. It is essential that both the buyers as theyll as the sellers have feeling of winning.

3. PLACE MIX: This component of marketing mix is related to the offering of services. The services are sold through the branches. The 2 important decision making areas are: • Making available the promised services to the ultimate users • Selecting a suitable place for bank branches. The number of branches OF ICICI: 1900 in India and 33 in Mumbai. LOCATION OF BRANCH: Palm Ctheirt, Ram Maruti Road, Naupada, Thane (W).

Page | 25

LOCATION OF ATMS: ICICI Bank has more than 25 ATMs in Thane and has been steadily installing ATMs at new locations for the convenience of the users. The following are the ICICI ATMs in Thane. GREEN ACERS VIJAY NAGARI ICICI Bank ATM, Shop #3, Green Acers, Vijay Nagari, Thane, 400705. RAMCHANDRA NAGAR ICICI Bank ATM, Shop #7, Shir Sidhi Puja, Plot #57-58, Ramchandra Nagar, Manpada Rd, Dombivali, Thane, 421201. SADDICHA TOTHEYRS ICICI Bank ATM, Saddicha Totheyrs, 29 Panchapakadi, Near Royal Inn, Thane, 400601. SHREEJI ARCADE ICICI Bank ATM, Shop #25, Shreeji Arcade, Thane(W), 400602. VARTAK NAGAR BRANCH ICICI Bank Ltd. Vedant Commercial Complex, Vartak Nagar, Opp. Kores Company, Thane, 400606. VASANT VIHAR Shop No. 6D, Amrapali Arcade, Pokhran Road No. 2, Page | 26

Vasant Vihar, Thane, 400601. GHODBUNDER ROAD Shop No 7, Vardhaman Vatika, Ghodbunder Road, Thane(W), 400607. GOKHALE ROAD Ground Floor, Shop No. 3, Saraswati Nivas, Opp. Malhaar Cinema, Naupada, Thane(W), 400602. HAPPY VALLEY, THANE ICICI Bank Ltd., Shop 35, bldg 7. Happy valley complex. Tiku jini wadi, Agra Rd Manpada. Thane, 400607. KALWA NAKA Ground Floor, Rupali Building, Shivaji Chowk, New Belapur Road, Kalwa, Thane, 400605. PANCHPAKHADI Shop No.1, Gagangiri Co-operative Housing Society, Panchpakhadi, Thane(W), 400602. The selection of a suitable place for the establishment of a branch is significant with the view point of making place accessible. The safety and security provisions should be Convenient to both the parties, such as the users and the bankers 4. PROMOTION MIX: Page | 27

The different components of promotion help bank professionals in promotion the banking business. Advertising: Television, radio, movies, theatres. ICICI uses this component of the promotion mix with the motto of informing, sensing and persuading the customers. The advertising professionals bear the responsibility of making the appeals, slogans, messages more creative. Print media: Hoardings, newspaper, magazines. There are a number of devices to advertise, such as broadcast media, telecast media and the print media Publicity: road Sponsorship

shows,

campus

visits,

sandwich

man,

Sales promotion: Gifts, discount and commission, incentives, etc. ICICI also thinks in favtheir of promotional incentives both to the bankers as theyll as the customers. The banking organizations make provisions for incentives Personal selling: Cross-sale (selling at competitors place),personalized Service. The personal selling is found instrumental in promoting the banking business. It is just a process of communication in which an individual exercise his/her personal potentials, tact, skill and ability to influence the impulse buying of the customers. Since ICICI gets immediate feedback, the personal selling activities energies the process of communication very effectively. Telemarketing: ICICI one sterile Call center

5. PROCESS MIX: Flow of activities: All the major activities of ICICI banks follow RBI Guidelines. There has to be adherence to certain rules and principles in the banking operations. The activities have been segregated into various departments accordingly.

Page | 28

Standardization: ICICI bank has got standardized procedures got typical transactions. In fact not only all the branches of a single-bank, but all the banks have some standardization in them. This is because of the rules they are subject to. Besides this, each of the banks has its standard forms, Customization: There are specialty counters at each branch to deal with customers of a particular scheme. Besides this the customers can select their deposit period among the available alternatives. Number of steps: Numbers of steps are usually specified and a specific pattern is follotheyd to minimize time taken. Simplicity: In ICICI banks various functions are segregated. Separate counters exist with clear indication. Thus a customer wanting to deposit money goes to ‘deposits’ counter and does not mingle elsewhere. This makes procedures not only simple but consume less time. Besides instruction boards in national boards in national and regional language help the customers further. Customer involvement: ATM does not involve any bank employees. Besides, during usual bank transactions, there is definite customer involvement at some or the other place because of the money matters and signature requires.

Page | 29

6. PHYSICAL EVIDENCE: Physical evidence is the material part of a service. Strictly speaking there are no physical attributes to a service, so a consumer tends to rely on material cues. There are many examples of physical evidence: •

Internet/theyb pages

• Paperwork • Brochures • Furnishings • Business cards • The building itself (such as prestigious offices or scenic headquarters) The physical evidences also include signage, reports, punch lines, other tangibles, employee’s dress code etc. Signage: each and every bank has its logo by which a person can identify the company. Thus such signage is significant for creating visualization and corporate identity. Financial reports: The Company’s financial reports are issued to the customers to emphasis or credibility. Tangibles: bank gives pens, writing pads to the internal customers. Even the passbooks, chequebooks, etc reduce the inherent intangibility of services. Punch lines: punch lines or the corporate statement depict the philosophy and attitude of the bank. Banks have influential punch lines to attract the customers. Employee’s dress code: ICICI bank follows a dress code for their internal customers. This helps the customers to feel the ease and comfort. Page | 30

7. PEOPLE: All people directly or indirectly involved in the consumption of banking services are an important part of the extended marketing mix. Knowledge Workers, Employees, Management and other Consumers often add significant value to the total product or service offering. It is the employees of a bank which represent the organization to its customers. In a bank organization, employees are essentially the contact personnel with customer. Therefore, an employee plays an important role in the marketing operations of a service organisation. To realize its potential in bank marketing, ICICI is conscious in its potential in internal marketing - the attraction, development, motivation and retention of qualified employee-customers through need meeting job-products. Internal marketing paves way for external marketing of services. In internal marketing a variety of activities are used internally in an active, marketing like manner and in a coordinated way. The starting point in internal marketing is that the employees are the first internal market for the organization. The basic objective of internal marketing is to develop motivated and customer conscious employees. A service company can be only as good as its people. A service is a performance and it is usually difficult to separate the performance from the people. If the people don’t meet customers' expectations, then neither does the service. Therefore, investing in people quality in service business means investing in product quality. ICICI understands the needs of customers and therefore it is leveraging technology to service customers quickly and conveniently. ICICI aims at Providing and enabling favorable environment to foster growth and learning for their employees Page | 31

Page | 32

AWARDS & RECOGNITIONS FOR BEST PERFORMANCE AND BEST SERVICE

ICICI Prudential Life Insurance has won the first runner up award for the Best Defect Elimination in Service & Transaction category at Asian Six Sigma Excellence Summit 2009.

ICICI Prudential Life won the UK Trade & Investment India Business Awards 2008 in the Business Partnership Award-Large Company category.

Page | 33

ICICI Prudential Life Insurance was awarded with the coveted 'ICAI Award for Excellence in Financial Reporting' by the Institute of Chartered Accountants of India (ICAI) for the financial year ended March 31, 2008.

QUESTIONNAIRE 1. Can you briefly explain something about Bank Marketing? 2. In the field of marketing where does ytheir bank stand? 3. What types of product and services are provided by ytheir

bank? 4. What is the marketing mix at ICICI bank? 5. In banking sector who are ytheir competitors? 6. What

are ytheir customers?

future

strategies

to

attract

ytheir

7. Are the customers satisfied with the services provided by the bank? 8. What are social and development initiatives taken by ICICI bank?

Page | 34

CONCLUSION The banking industry in India is facing the challenges on deposit mobilization front, because of the severe competition from various financial institutions and public corporations. ICICI Bank today services a growing customer base of more than 5 million customer accounts and 5 million bondholders’ accounts through a multi-channel access network. This includes over 1485 branches and extension counters, 4816ATMs, call centres and Internet banking. Bank renders personalized services and the present emphasis in marketing is customer satisfaction. They believe in customer satisfaction in every possible way. They are focused on quality of products and services rather than quantity of products and services. This project has given me an insight as to how Bank should market their products in the right way by overcoming all the difficulties like a suitable location, advertising etc.

Page | 35

BIBILIOGRPAHY

•

http://www.marketingteacher.com

•

www.icicibank.com

•

www.valuenotes.com

•

www.coolavenues.com

Page | 36