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A Project Study Report On


Submitted in fulfillment of summer internship programme of Post Graduate Diploma in Management 2011-2013

Submitted by Nawaz Ali Khan Roll No: 09 Under the Guidance of




Ms. SUCHISMITA PATNAIK Faculty (Finance)


Asian Workers Development Institute Rourkela, Odisha 769003


I hereby declare that the work incorporated in the present research project entitled CUSTOMERS RELATIONSHIP MANAGEMENT IN INDIAN RETAIL BANKING is my own work and is original in nature. This work is in (part or in full) has been submitted to ASIAN WORKERS DEVELOPMENT INSTITUTE and this project has not performed the basis work for the award of any Degree or diploma/associate ship, fellowship and similar project if any.

Nawaz Ali Khan PGDM-2nd year


I feel great pleasure in certifying that the research project entitled CUSTOMERS RELATIONSHIP MANAGEMENT IN INDIAN RETAIL BANKING embodies a record of the result of investigation carried out by Nawaz Ali Khan under my guidance. I am satisfied with the analysis of data , interpretation of results and conclusion drawn. I recommend the submission of research project.

Place:Rourkela Date:

Ms.Suchismita pattnaik


I express my sincere thanks to my project guide Ms.Suchismita Patnaik faculty of Finance Mr.Soubhagya Panigrahi Branch Manager ING Bank and Mr.Dharmaraj Sahoo sales executive ING Bank for guiding me right from the inception till the successful completion of the project. I sincerely acknowledge him/her for extending their valuable guidance , support for literature and critical reviews of the project and the report and above all the moral support they had provided to me with all the stages of this project. I would also like to thanks the supporting staff of ASIAN WORKERS DEVELOPMENT INSTITUTE and ING VYSYA BANK for their help and co-operation throughout this project.

-Nawaz Ali Khan-


The viewing of the marketing in business administration of an organization is a fast growing concept in India. Marketing is any undertaking require aptitude, skills, expertise, knowledge, and efforts in sales as well as marketing. Marketing is considered to be the most valuable assets of the organizations in revenue generation which is greatly influenced by the performance of its executives. All professional postgraduates course like MBA/PGDM envisage for a student to acquire proficiency in academic knowledge as well as its application in practice by way of exposure to the business world. Industrial training is therefore a part of MBA/PGDM curriculum which helps in developing analytical and interpreting skills in the students through application of several concepts of management to understand the functioning of industries. This training was conducted in ING Vysya Bank.

-Nawaz Ali Khan-

Chapter 1 Introduction to Banking Industry What is Banking History of Indian Banking System Company Profile ING Group ING Vysya Bank Journey of ING Vysya Introduction to CRM CRM Overview What is CRM Evolution of CRM CRM in Indian Retail Banking CRM Value Chain For Indian Retail Banks HNI Customers Who are HNI Customers How to approach HNI Customers IVBL and Current Accounts Savings Accounts Research Methodology Objective of Study Scope of Study Methods of study Limitations Analysis and Data Interpretations Comparative Analysis of ING with Competitive Banks SWOT Analysis of ING Conclusion Suggestion and Recommendations Questionnaire Bibliography

Chapter 2


Chapter 3


Chapter 4


Chapter 5 Chapter 6 Chapter 7

60-62 63-77 78-79

Chapter 8 Chapter 9 Chapter 10 Chapter 11 Chapter 12 Chapter 13 Chapter 14

80 81-82 83-89


WHAT IS BANKING? Banking in a traditional sense is the business of accepting deposits of money from public for the purpose of lending and investments. These deposits can have a distinct features of being withdrawal by cheques , which no other financial institution offer. In addition, bank also offers various other financial services which includes Issuing Demand Draft and travelers Cheque Credit Card Collections of Cheques, Bills of exchange Safe deposits lockers Issuing Letter of credit and Letter of Guarantee Sales and Purchase of Foreign Exchange Custodial Services Investments and Insurance services.

The Business of Banking is highly regulated since Banks deals with money offered to them by public and ensuring the safety of public money is the prime responsibilities of any bank. That is why banks are expected to be prudent in their lending and investment activities. Every bank has compliance department which is responsible to ensure that all services offered by the banks and the processes followed are in compliance with the local regulations and the banks corporate policies. Banking Regulation Act, 1949 Foreign Exchange Management Act, 1999 Indian Contract Act, 1872 Negotiable Instrument Act, 1881

A banking system also referred as a system provided by the bank which offers cash management services for customers, reporting the transactions of their accounts and portfolios, through out the day. The banking system in India, should not only be hassle free but it should be able to meet the new challenges posed by the technology and any other external and internal factors. For the past three decades, Indias banking system has several outstanding achievements to its credit. The Banks are the main participants of the financial system in India. The Banking sector offers several facilities and opportunities to their customers. All the banks safeguards the money and valuables and provide loans, credit, and payment services, such as checking accounts, money orders, and cashiers cheques. The banks also offer investment and insurance products. As a variety of models for cooperation and integration among finance industries have emerged, some of the traditional distinctions between banks, insurance companies, and securities firms have diminished. In spite of these changes, banks continue to maintain and perform their primary roleaccepting deposits and lending funds from these deposits.

HISTORY OF INDIAN BANKING SYSTEM The first bank in India, called The General Bank of India was established in the year 1786. The East India Company established The Bank of Bengal/Calcutta (1809), Bank of Bombay (1840) and Bank of Madras (1843). The next bank was Bank of Hindustan which was established in 1870. These three individual units (Bank of Calcutta, Bank of Bombay, and Bank of Madras) were called as Presidency Banks. Allahabad Bank which was established in 1865, was for the first time completely run by Indians. Punjab National Bank Ltd. was set up in 1894 with head quarters at Lahore. Between 1906 and 1913, Bank of India, Central Bank of India, Bank of Baroda, Canara Bank, Indian Bank, and Bank of Mysore were set up. In 1921, all presidency banks were amalgamated to form the Imperial Bank of India which was run by European Shareholders. After that the Reserve Bank of India was established in April 1935. At the time of first phase the growth of banking sector was very slow. Between 1913 and 1948 there were approximately 1100 small banks in India. To

streamline the functioning and activities of commercial banks, the Government of India came up with the Banking Companies Act, 1949 which was later changed to Banking Regulation Act 1949 as per amending Act of 1965 (Act No.23 of 1965). Reserve Bank of India was vested with extensive powers for the supervision of banking in India as a Central Banking Authority. After independence, Government has taken most important steps in regard of Indian Banking Sector reforms. In 1955, the Imperial Bank of India was nationalized and was given the name "State Bank of India", to act as the principal agent of RBI and to handle banking transactions all over the country. It was established under State Bank of India Act, 1955. Seven banks forming subsidiary of State Bank of India was nationalized in 1960. On 19th July, 1969, major process of nationalization was carried out. At the same time 14 major Indian commercial banks of the country were nationalized. In 1980,another six banks were nationalized, and thus raising the number of nationalized banks to 20. Seven more banks were nationalized with deposits over 200 Crores. Till the year 1980 approximately 80% of the banking segment in India was under governments ownership. On the suggestions of Narsimhan Committee, the Banking Regulation Act was amended in 1993 and thus the gates for the new private sector banks were opened. The following are the major steps taken by the Government of India to Regulate Banking institutions in the country:1949 : Enactment of Banking Regulation Act. 1955 : Nationalisation of State Bank of India. 1959 : Nationalization of SBI subsidiaries. 1961 : Insurance cover extended to deposits. 1969 : Nationalisation of 14 major Banks. 1971 : Creation of credit guarantee corporation. 1975 : Creation of regional rural banks. 1980 : Nationalisation of seven banks with deposits over 200 Crores.




The ING Group is a global financial institution offering retail banking, direct banking, commercial investment banking, assets management and insurance services. ING is an abbreviation for Internationale Nethelanden Groep (English- International Netherland Group). The orange Lion on INGs logo is a play on the groups Dutch origin under the house of Orange Nassau. ING is the Dutch member of Inter- Alfa Group Of Banks, a co-operative consortium of 11 prominent European Banks. According to fortune magazine, in 2010 ING was the largest banking/financial services & insurance conglomerate in the world by revenue with gross receipt exceeding 54 billion (US $77 billion) per annum. The group is also the worlds 12th largest corporation by revenue according to global fortune 500. ING served over 85 million individuals and institutional clients in more than 45 countries, with a world wide work force exceeding 100,000

ING was founded in 1991 by a merger between Nationale-Nederlanden and NMB Postbank Group . During the past years ING has become a multinational with diverse international activities. The root of ING can be traced to the insurers De Nationale Levensverzekering Bank and De Nederlanden van 1845 and to the public bank services such as De Rijkspostspaarbank and De Postcheque- and Girodienst, as well as to the Nederlandsche Middenstands Bank. These are the legal predecessors of the founding fathers of ING : Nationale-Nederlanden and NMB Postbank Group.The founding of ING as one company was started in 1990 when the legal restrictions on merger between insurers and banks were lifted in the Netherlands. This prompted insurance company Nationale-Nederlanden and banking company NMB Postbank Group to enter into negotiations.


The merger into Internationale Nederlanden Groep took place in 1991. The market soon abbreviated to the name I-N-G. The company followed suit by changing the statutory name into ING Groep N.V. Since ING has developed from a Dutch company with some international business to a multinational with Dutch roots. This was achieved through a mixture of organic growth, such as the creation of ING Direct from scratch, as well as various large acquisition. The first large acquisition took place in 1995, when ING took over Barings Bank. This acquisition increase the brand recognition of ING around the world and strengthened its wholesale banking market in emerging markets. And there was Life of Georgia. This insurance company was acquired by Nationale-Nederlanden in 1979, resulting in a significant increase in activities in the US. Via Life of Georgia,the activities in Asia expanded considerably. However in 2004, ING as a group had become well established in both region and Life of Georgia was sold. Other acquisition such as the Belgian Bank Brussels lambert, strengthen the group presence in Benelux. In addition the activities in United States were doubled as a result of organic growth and the acquisition of Equitable of lowa, Relia Star, Aetna financial services, and merchant Bank Furman Selz. ING is also active in other parts of the world. In 2011, ING acquired a majority interest in Polish Bank Slaski and entered the Indian life insurance market through ING Vysya life insurance. Furthermore ING participated in a number of financial institution an important example is the partnership with the Bank of Beijing.


ING Lion Brief History

The lion is the symbol of ING since 1991. The lion is the king of animals and symbol of power. Orange is the national colour of the Netherland and also the symbol of Netherlands. The predecessors of ING, like the saving bank, Rijkspostspaarbank a government service use the lion in her logo since 1881. Most government services did in those days. But also the assurance company, De Nederlanden van 1845 used the lion in her logo. And the other predecessor, De Nationale Levensverzekering bankused a virgin with a lion lying by her feet. The Nederlandsche Middenstands Bank (NMB) also used a lion in her logo in the fifties as a Dutch bank with state guarantee. In 1963, the Nationale-Nederlanden(a merger between the two above named assurance companies) chose a new logo :two graphic orange NN by the same reason, orange was the Dutch colour. The Post bank used the blue lion since 1986 (still does). After the merger of Post bank and NMB in 1989 the Group logo become grey lion. In 1991 when NMB postbank Group merged with Nationale-Nederlanden the board chose the orange lion for the logo. Our Profile : ING is a global financial institution of Dutch origin, currently offering investment banking, life insurance and retirement services to meet the needs of a broad customer base. Going foreword we will concentrate on our position as a retail, direct and commercial bank, while creating an optimum base for an independent future of our insurance operations (including investment management).


Mission and Strategy : Our Mission : INGs mission is to set the standards in helping our customers manage their financial future. ING aims to deliver financial product and services in the way that our customers wants them delivered: with exemplary services convenience and competitive prices. Our Strategy : To serve the interests of our stake holders, increase management focus and increase value for our stake holders, ING is moving towards separation of its banking and insurance operations. We believe the widespread demand for greater simplicity, reliability and transparency makes this the best course of action. In the future, ING bank will build its global presence and international network and capitalize on its leadership position in gathering savings, multi-channel distribution , simple propositions and marketing. ING insurance has a strong position as a global provider of life insurance and retirement services and is very well positioned to capitalize on socio economic trends. We will focus on earning customers trust through transparent products, value for money and superior service. This reflects our universal customer ideal: saving and investing for the future should be easier. Our Stakeholders : ING conducts business on the basis of clearly defined business principles. In all our activities we carefully weigh the interest of our various stakeholders : customers, employees, business relations and suppliers, society at large and shareholders. ING strives to be a good corporate citizen. Business Principles : Our business centers around people and trust. Only by acting with professionalism and integrity can we maintain our stakeholders preserve our companys reputation. The ING business principles play an important role in this respect.


The ING Business Principles are : We act with integrity showing fair, honest and lawful behavior so we continue to earn our stakeholders trust. We are open and clear saying what we mean, meaning what we say and listening carefully. We respect each other we value diverse thinking and respect human rights. We are socially and environmentally responsible we will do no harm and seek positive change through our products, people and activities.

Our Corporate Responsibilities: ING wants to build its future on sustainable profit based on sound business ethics and respect for its share holders and be a good corporate citizen. For only by acting with professionalism and integrity, will we be able to maintain our stakeholders trust and preserve our reputation. Our business principle prescribe the corporate value we pursue and the responsibilities we have towards society and environment. We act with integrity, we are open and clear, we respect each other and we are socially and environmentally responsible. Corporate Governance: ING believe good corporate governance entails a careful balance between short term and long term interests of the company. INGs aim is to have a governance structure that is transparent and does justice to the interests of all its stakeholders, customers, employees, shareholders and society as a whole.


Management Structure: ING has a two-tier board structure consisting of the Executive Board and the Supervisory Board. In ING's view, a two-tier board is the best way to create the proper checks and balances in the company.

The Executive Board is responsible for day-to-day management of the business and long-term strategy. The Supervisory Board is responsible for controlling management performance and advising the Executive Board. The Supervisory Board is made up exclusively of outside directors.

In line with the April 2009 strategy announcement, ING has taken measures to simplify governance. To increase the business focus of the Groups leadership, Banking and Insurance now have their own Management Board consisting of the Group CEO, CFO and CRO and positions for four members.




Company Overview :
ING Vysya Bank Ltd., is an entity formed with the coming together of erstwhile, Vysya Bank Ltd, a premier bank in the Indian Private Sector and a global financial powerhouse, ING of Dutch origin, during Oct 2002. The origin of the erstwhile Vysya Bank was pretty humble. It was in the year 1930 that a team of visionaries came together to form a bank that would extend a helping hand to those who weren't privileged enough to enjoy banking services. It's been a long journey since then and the Bank has grown in size and stature to encompass every area of present-day banking activity and has carved a distinct identity of being India's Premier Private Sector Bank. In 1980, the Bank completed fifty years of service to the nation and post 1985; the Bank made rapid strides to reach the coveted position of being the number one private sector bank. In 1990, the bank completed its Diamond Jubilee year.


75 years of journey of ING

1930 1948 1985 1987 1988 1990 1992 1993 1996 Set up in Bangalore Schedule Bank Largest Private Sector Bank The Vysya Bank Leasing Ltd. Commenced. Pioneered the concept of co-branding of credit cards Promoted Vysya Bank Housing Finance Limited Deposits cross Rs 1000 Crores Numbers of branches crossed 300 Sign Strategic Alliance with BBL, Belgium Two national awards by Gem & Jewellery export promotion for excellent performance in export promotion. Cash management services & Commissioning of VSAT Golden peacock awards for the best HR 1998 Practices by institute of directors. Rated as best domestic bank in India by global finance. 2000 State -of -the art date centre at ITPL, Bangalore. RBI clears setting up of ING Vysya Life Insurance Company. 2001 2002 ING commenced life insurance business. The Bank launched a range of products & services like the VysyaVyapar Plus, the range of loan schemes for traders, ATM services, Smartserv, personal assistant service, Save & Secure, an account that provides accident hospitalization and insurance cover, Sambandh, the International Debit Card and the mi-b@nk net banking service. 2002 ING take over the management of the Bank from 7th Oct, 2002



RBI clears the new name of the Bank as ING Vysya Bank Ltd, vide their letter of 17.12.02


Introduced customer friendly products like Orange Savings, Orange Current and Protected Home Loans

2004 2005

Introduced Protected Home Loans - a housing loan product Introduced Solo - My Own Account for youth and Customer Service Line Phone Banking Service Bank has networked all the branches to facilitate AAA transactions i.e. Anywhere, Anytime & Anyhow Banking




Customer Relationship Management In Indian Retail Banking



The 1990s have been a dynamic period within the information systems field. One of the most exciting uses of new technologies has been in the area of Customer Relationship Management (CRM) systems. Today the availability of econometric, demographic, lifestyle and psychographic data, decision support systems, the Internet, and other customer access techniques are helping marketing and senior management make customer care a reality rather than just a vision. Companies no longer want to treat their customer base as a homogeneous collection of revenue generating units; they want to get up close and personal with each of them individually. Everyone has been exposed to these changes: the mailings from banks offering special interest rates, phone companies offering incentives to switch to their services, etc. At the core of all of these is the offering companys desire to develop a relationship with a target audience. Customer Relationship(CRM) is developing into a major elements of corporate strategy for many organizations. CRM, also known by other terms such as relationship marketing and customer management is concerned with creation, development and enhancement of of individualized customer relationship with carefully targeted customers and customer groups resulting in maximizing their customer life time value. The traditionally approach marketing has been continuously questioned recent years. This approach emphasized on the management of the key marketing mix elements such as product, price, promotion and place within the functional context of the marketing department. The new CRM approach, while recognizing these key elements still need to be addressed ,reflect the need to create an integrated cross functional which focus on marketing- one which emphasizes keeping as well as winning customers. Thus the focus is shifting from customer acquisition to customer retention and ensuring the appropriate amount of time, money, and managerial resources are directed towards these tasks.


The adoption of CRM is being filled by a recognition that long term relationship with customers is one of the most important assets of the organizations and that information enabled system must be developed that will give them customer ownership successful ownership will create competitive advantage, which result in improved customer retention and profitability for the company. What is Customer Relationship Management ? It is a comprehensive approach that provides seamless co-ordination between sales, customer service, marketing and field support and other customer touching functions.CRM integrates people, process and technology to maximize relationship with all customers including e-customers, distribution channels and suppliers. It is customer focused business strategy designed to optimize revenue, profitability and customer loyalty. By implementing a CRM strategy, an organization can improve the business process and technology solutions around selling and marketing and service functions across all customer touch-(for example: web, e-mail, phone, fax, in- person). Simply stated CRM comprises the acquisition and deployment of knowledge about customers to enable the company to sell more of their products or service more efficiently.CRM begins with indepth analysis of customer behavior and attributes to achieve complete knowledge of the customers, their habits and desires and their needs. It then applies this knowledge to the formulation of marketing campaigns, strategies and treatment plans. However managing the relationship also implies customer interaction. Therefore CRM also encompasses enabling a network of touch points by which the organization can establish, cultivate and maintain long-lasting and mutually beneficial interactions with the customers. These are the two cornerstones of CRMthe knowledge or customer information platform and the customer interaction platform. Finally, in order to achieve continuous improvement, it is necessary to track the customer interactions and use those result to refine future actions.


Evolution Of CRM
While revolutionary in many respects, CRM is also a natural and predictable extension of how marketing and sales are evolved over the years, and in many ways are coming to a full circle. In the past customers were served by the corner stores and door to door sales forces. The corner stones were small, intimate and provided one on one services to their clientele. The door to door sales person was the other face of the company and the personal relation established by the sales person was the key to success. This model provided, through personal interaction, intimacy and knowledge about the customer and developed customer loyalty and trust.

Mass Marketing : The age of mass marketing replaced the intimacy of direct sales in many organizations. Centralized large scale production, wide-geographic distribution, and one way communication on grand scale created a variety of easily available and affordable goods. This put pressure on relatively inefficient corner stores and doo to-door models. Overtime the local corner stores gave way to the super markets, malls and mega market of today. While society has benefitted from the cost efficiencies of these arrangements some things was lost in the bargains. Mass marketing was enabled through technological improvement in TV, radio, and the printing press all of which created the simple and powerful means to communicate a companys message to millions of people at once. Marketings recognition. Target Marketing : In the mid 1980s with the advancement of technology and refinement in direct mail and telemarketing, another approach to connect directly with the customer evolved. The use of Information System technology allowed the selection of specified targeted customers via mail or telephone. Unlike mass marketing; target marketing has the advantage of potentially receiving direct response from a customer. The general strategy was to unearth the potential customers by canvassing large numbers. major goal was to push product and create brand


Target marketing recognized the need to interact more with customers, at a very superficial level but did not go far enough. Nonetheless target marketing was a significant step in evolution of todays CRM, in that it moved the relation between producer and consumer one more step towards the personal interaction.

Why Is It Necessary ? Many companies are turning to customer relationship management system to better understand customer needs and wants. CRM application often used in combination with data ware housing, ecommerce application, and call centre, which allows companies to access information about customers buying, history, preferences, complaint and other data. So they can better anticipate what customer will want. The goal is to instill greater customer loyalty. Other Benefits Include: The ability to provide faster response to customer inquiries Increase efficiency through automation Having a deeper knowledge of customers. Getting more market of cross selling opportunities. Identifying the most profitable customers. Receiving the customer feedback that leads to new and improved product and services. Doing one-to-one marketing.



Excelling and managing customer relationship is the future of any business or everybodys business. Customer focusing is not be viewed as business strategy but should become a corporate mission. Management is the specific and distinguishing organ of any and all organizations. There is or there must be one right organization. The organization that fix the task. The task is to lead the people. And the goal is to make productive the specific strength and knowledge of each individual. By Peter Drucker The banking scene has seen paradigm shift in the nineties. The first of these shift occurred during 1991-1994 phase in which the emphasis shifted from growth to profits, from balance sheet size to clean, transparent and healthy balance sheet, from regulated and administered regime to a relatively deregulated one. During the next phase 1994-1998, the financial markets started giving interest rate signals, link between forex and money markets become strong, interest rates were deregulated and competition intensified. The process of economic liberalization and financial sector reforms brought the issue of customer focus to the forefront. Towards getting closer to the customers with well defined characteristics, banks are establishing strategic business units such as Corporate Account Group, National Banking Group, International Banking Group etc. we are able to witness attempts by various public as well as private sector banks to shape their structure and functioning with customer in view. The customer choice and awareness have been increasing tremendously during the decade due to more open economy, the advent of information technology and media revolution, besides hectic competition for resources by banks and non-banks.

Banks are attempting by creating exclusively delivery channels for specific customer segments. As market become increasingly competitive, customers can now immediately go else where if they dont get what they want.


Continuous improvement, gaining the competitive edge, increased market share, higher profits none of these things is possible unless business can find new way of maintaining the loyalty of existing customers. Customer focus is the ability to provide predictably positive experiences that consistently meet or exceed the customers expectations. Customer focus should be managed by moments of truth. A moment of truth refers to any incident/episode when a customer comes into contact with any aspects of the services offered and, on the basis of the contact, forms an opinion about the quality of the service and quality of the product offered. The customer perception is changing day by day. Peter Drucker said twenty five years ago The purpose of business is to attract and retain a customer. It sounds simple but too many business have forgotten it to their cost. There is a phenomenal change and paradigm shift towards customer focus for the past five decades.

Serving the customer Satisfying the customer Pleasing the customer Delighting the customer Retaining the customer

1950s to 1960s 1960s to 1980s 1980s to 1990s 1990s to 2000s 2000AD and beyond

Today the relationship between the banker and customer has come under sharp focus both at the bankers as well as at the customers ends. Many customers are not only wanting but are expecting better service. The factors viz.., lack of competition, administered regime, insulated economy which hindered market forces and choice for customers are fading away, forcing banks to focus on the customers.


The dominant question which are the minds of bank management today is how to improve customer service and competitive advantage. The product are almost the same but the battle ground is service.

PARADIGM SHIFT- SCENARIO IN INDIA BEFORE 1991 Sellers market Protected markets Not many global brands AFTER 1991 Buyers market Open market Increase in numbers of global brands

Friendly competition Patient customers Limited choice for customers

Cut- throat competition Demanding customers Increasing choice for customers

Limited TV promotion Cost plus pricing Limited role of service Slower marketing reflexes Speed @ will Fundamental standalone system

Extensive TV promotion Competitive price cutting Increase role of service Quicker marketing reflexes Turbo speed Enterprise system (ERP/CRM/SCM)

IT competitive advantage Gaining new customers

IT- enabler Retaining existing customers


CRM Value Chain For Indian Retail Banks : Building Customer Relationships

Marketing approach lays emphasis on building long term mutually beneficial relationship with customers. Organization which look only to short run profits and disregard the customers interests do so at their own peril. Banking is a service oriented industry and it has the potential to reach almost the majority sections of the populations. In a competitive environment, people can choose. In choosing their banks customers are influenced by the image of the bank, and the perceived quality of service. The bank that provides batter service and the bank that is perceived to be different the average gets the attention of the customers. Perception of good service should relate to courtesy, promptness, employee attitudes, physical facilities, customer identification and recognition, speed, clarity and communication skills, and a host of such features. It get manifested in the care, concern, commitment, and sensitivity shown by the bank staff in dealing with the customers, big or small, old or new. It relates to living up to every letter used in the advertisement and campaigns aimed at projecting themselves. Ensuring quality service implies giving attention to details, being sensitive to customer expectations. Quality Service The word-- quality has many meanings : A degree of excellence Conformity with requirements The totality of characteristics of an entity that bears on its ability to satisfy stated or implied needs Fitness for use Fitness for purpose Freedom from defects, imperfections and contaminations Delighting customers


Certain key points which the banks should focus on, for providing better customer service are Setting service standards and improve measurement of servicesome banks started obtaining ISO certification for their branches and administrative offices. Providing skill based training product/service knowledge to the front line staff. Establishing incentives and motivation for quality service. Making customer satisfaction a central focus at corporate level. Enunciating a new corporate philosophy (mission/vision) based on quality of service by changing the cultural and attitudinal bias in the organization.

Customer Culture

There are three main elements to consider when aligning the business towards a customer relationship format. The first is to do with retention. The second stage is to develop customer potentialturning that one off infrequent casual customer into a higher spending, more frequent, referring advocate. The third element of customer relationship is the de-selection of customers. This means at some points the bank has to start to lose those customers who are not ones offering long-term future value.

Customer Life Time Value Customer lifetime value is typically the revenue that one customer can spend with the bank directly or through referral, recommendation over a nominal period. A customer who avails the services from the bank is probably doing so as a tribal. The more frequently they come back to bank the more their loyalty builds; they will then turn from a one-off customer into an ongoing client and eventually a self perpetuating advocate. A loyal customer will often pay more as well; they will also be less sensitive to tactical discounting so that they will actually have more profitability than the customers that the bank can attract through special promotion offers.


Relationship Banking

A new approach to the marketing of bank services that is receiving growing attention in banks is relationship banking. The emphasis here is on viewing the customer as a long term business relationship rather than confining attention to particular transaction. Banks make strategic plans to meet the total banking requirements of the customers and expect business repeat from them. For building up profitable customer relationship, it is inevitable on the parts of the bankers, first of all to know more about the customers and his banking needs and toward this end, banks need to prepare customer profiles.

Customer Service Model

Customers who contact any bank, wants two things : They need a solution to a problem relating to investment/ credit. They want to feel in some way special Looking at number one, when the bank is providing appropriate solution for the problem, say, Offering a loan for purchase of house, car or motor cycle. Keeping the amount in savings/ term deposits suiting to need of the customer. Issuing a demand draft the customers need are satisfied.

Very often the only time that customers contact the bank is when they have a problem with some services that they have availed/they want to availsay Delay in getting a loan Delay in getting a term deposit report Delay in getting a demand draft,

The second element of any customer service satisfaction model is that each and every single customer has to feel some way special.


Speed and Time : Speed and time measures are very important factors to many customers. The speed with which the bank offers their services will actually gain advantage and allow them to offer higher satisfaction. On account of technological revolution at present products are offered to take care of the element of speed and time like Internet and mobile banking Debit cards Anywhere banking ATM etc.

Personal interaction with customers : How well and able a does this, varies from small to the large. Small matters like remembering a customers name, a tone of voice and remembering details about the customer including his date of birth date. There are certain banks who identify every opportunity that they possibly make the customer feel unique and an individual. The frontline staff should be trained to answer the telephone calls and deals with the customers face-to face, to treat every single customers as not their only customer but their most important customer. Courtesy And competence : Common courtesies and manners are very important, probably more important than the banks may consider. Competence means that whoever serve the customer or whoever supports people that serves customer has to do things and do them well. It means getting things done rightly at the first time. It means knowing what should be done and how best it can be done. courtesy and competence hand to handit is a license to keep customers for life time. Expectations : A successful banker will be judge by his ability to manage the expectation of his customer well and they systematically and consistently exceed them. A delighted customer will come back to the bank, will convey his friends about his experience and will become n ambassador for the banks businessan unpaid sales person.


A satisfied customer is one whose expectation are equal to the experiences. Where the expectation of a customer is less than the expectation, he becomes annoyed and impatient and move as a dissatisfied customer. Information and keeping the customers informed : One of the simplest ways to keep the customers feeling special and make them feel important is to keep them informed. They should be informed of things they are waiting for and let them know how things are going on. Attitude and customer liaison : One of the most important aspects of attitude is when the customer is dissatisfied and one of the most important and outward expression of attitude is the verbal and non-verbal behavior that people use at critical times. The attitude that will work the banker should instill itis that every single customer is his most important customer. Instead of seeing a customer for the transaction value that they spend at that time or for the nature of their enquiry, the banker should try to see him as a million dollar customer, somebody who has access to a large revenue, either through their direct spending or indirectly through referrals and repeat business. Long term relationships : A customer will special if the banker will actually reward, recognize and encourage his loyalty and in the long run either personal or business, given the right elements and environment he would prefer to be consistent. When put together, each one of the above seven elements will accelerate customer satisfaction beyond even their wildest dreams. The customer will increasingly more loyal and profitable if the banker begins to implement ideas based on around the seven elements and make them a constant focus of attention.


Customer complaints : Like in any other business organization, in banks too there are machineries for dealing effectively with customer complaints. Successful customers are those that have realized the prompt attention to customer complaints is an essential ingredient of a profitable customer relationship. A satisfied customer is the best ambassador. What is equally worth nothing, however is that just as a satisfied customers tells others about it, an unhappy customers too tells others about his experience, and indeed more so. In service organizations like banks, handling of complaints should be a high priority item. Following are some of the strategies for effective redressal of customer complaints : Complaints/complainants to be received and attend by their senior level, well experienced functionaries. Sincere efforts should be made to understand the nature of the complaint; the person handling the complaint should be always be attentive. Any irate customer, in particular, to be tactfully handled. The complaints should not be given the impression that the bank officer is too anxious to get rid of him. Complaints should not be made to run from pillar to post; he should be guided to the right person/department. No customer like to repeat his grievances to several person in the organization. The customer should be made available adequate information apart from factual details. The customer should not be driven to approach the authority outside the bank, customer organization etc. such instance will surely cause considerable damage to the banks image. Phony or biased calls should also to be handled with tact, sincerity and patience.


Who are HNI customers ? They are high net worth individual customers They are the major target for the private bankers. Banks provide premium class facilities top these clients and tries to cater their special needs related to financial and non financial in nature They are high profile customers. They have income of above Rs10 lacs per annum A customer who can maintain at least a very high amount in their account. Bank tries to maintain long term relationship with these clients.

How to approach HNI customers ? Approaching to prospective customer is very important for any organizations. If banks rightly approach customers than a long term relation can be expected. Following are the steps how a bank approaches to HNI customers :Data Collection : Normally banks maintain their data bank, which is collected from various sources like credit card holders, different account holders primary data, yellow pages, directories etc. Tele Calling : Once the data is collected , than the tele callers call upon these contacts and make the clients aware about various facilities provided by the banks. If the client shows their inclination then an appointment is fixed with these clients and the relationship manager visit the clients.


Role of Relationship manager : This appointment is called as a LEAD. This lead is transferred to the relationship manager and the client is approached personally. Relationship manager explain the facilities provided and additional needs which can also be fulfilled by their services. If the client is convinced the lead converts into the customer form.

Corporate Banking : Relationship manager analyze the requirement of customers and provided the best suited products. Relationship manager explain the various investment options available in the market and give the customer the opportunity to select the option which is suitable to him. Portfolio Management : If the customer has invested then the role of the manager is to design his portfolio keeping in mind the risk and return factors, and provide requisite information about the investment opportunities available in the market according to the profit of the customers. Handling queries : Frequent services and time to time updating of market circumstances are shared with these customers. the relationship manager with the help of other officers clarifies their doubts and queries are handle with special care. Mainly my work is to deal with HNI customers and to find out the interested potential customer for opening the account in IVBL. I had convinced them to build a new and healthy relationship by opening the account. Instead of covering all the areas, I have to decided to select three important sectors. Gems and Jwellery industry Builders industry Local Businessman

I have selected the first two sectors. They are booming sectors of the market. These two sectors are my suspects. Suspects are those persons who might buy the products and will be ready to open the account in IVBL. Then I have determined the most likely prospects from these suspects through telecalling and explaining about the features of accounts. Prospects are those persons who are interested in opening an account. By opening the account and building relationship they became the first time customers. these three steps can be referred as customer development process.


Basically a current account is opened for artificially created entity. This artificially created entity can be a firm, sole proprietorship, association, partnership or any thin else. No interest is paid on the current account. The bank charges some nominal amount for the transactions that takes place. Tools for opening a current account Walk inthere was a huge numbers of walk in customers in IVBL, we used to open their current account. References References were being collected from the leads which we were having and from other sources like chartered accountants, relatives, friends etc. Cold Calls This refer to telephonic call which we used to make, we used to make appointment before approaching the person. Hot Calls This refer to direct face to face calls which we used to make without taking any prior appointments. Database The various databases provided by the IVBL itself, which includes directories, yellow pages etc.

Procedure of opening of an account is as follows : Preparing the proposal. Meeting to the owner of any firm, organization or any individual, giving him the proposal, telling him the benefits which an individual or a firm will derive after opening its account in IVBL. Seeking permission of opening an account. Filing up of form and completing the necessary documentation.


IVBL and Current Account :

We at ING understand that every Business has unique requirements. At ING, we will offer you a solution suited to your business. Whether you have a small/ mid/large size business or you are a company with its spread across multiple locations in the country, you would find a Current Account that's just suited to your business requirements. With features ranging from Free DDs, Free Cheque Collection, Free At -Par Cheque facility to Free Trading Account & free Demat Account, and a lot more . ING Vysya Bank Limited has various current account to match the different needs of the businessman. All these accounts are designed to suit the various needs of businessman.

Type of Current Account in IVBL: Orange Current Account Advantage Current Account General Current Account Comfort current Account Flexi Current Account

Orange current account

In today's fast-paced world, your business regularly requires you to receive and send funds to various cities in the country. ING Orange Current Account gives you the power of inter-city banking with a single account and access to more than 200 cities. From personalized cheques that get treated at par with local ones in any city where we have a branch, to Free collection (if instruments are lodged directly) of outstation cheques (payable at branch locations), to free inter-city funds transfers of up to 200 lakhs per month, our priority services have become the benchmark for banking industry.


Features and Benefits : Free remittance limit (DD /PO /RTGS /EFT / NEFT) of Rs.2 cores per month; power packed feature with potential to save up to Rs.4.8 lakhs per annum.* Free collection of outstation cheques drawn on ING locations Free unlimited payable at par (PAP) Cheque Payments Free mi-b@nk Internet Banking facility * Free unlimited transfer of funds within the bank Free easy anywhere cash deposit up to a specified limit and withdrawal. Free issue of personalized cheque book (including PAP cheques). Avail safe deposit locker facility (where available) on a preferential basis. Free usage of ATM Network: The international debit card provides for unlimited usage in ING ATMs. Free ATM cum debit card with access to any ATM of any bank. Free 24 hours Customer Service Line (toll free).

Eligibility Resident Individuals Hindu undivided family Sole Proprietorship firm Partnership firm Limited Companies Trust Association/Club/Societies Foreign nationals residing in India


Documentation 4 Passport size photos Identity proof Residential proof

All we need is to maintain an average balance of Rs. 1,00,000/- per quarter. (Non-maintenance of which entails a charge as per the following:)

When the QAB is less than 1 lakh there is a service charge of Rs. 4000/- per quarter. Besides, free facilities become chargeable as per schedule of service charges.

Advantage current account

In today's fast-paced world, your business regularly requires you to receive and send funds to various cities in the country. ING Advantage Current Account gives you the power of inter-city banking with a single account and access to more than 300 cities.

From personalized cheques that get treated at par with local ones in any city where we have a branch, to Free collection (if instruments are lodged directly) of outstation cheques (payable at branch locations), to free inter-city funds transfers of up to Rs.50 lakhs p.m., our priority services have become the benchmark for banking industry. Features & Benefits: Free remittance limit (DD/ PO/ RTGS/ EFT/ NEFT) of Rs. 50 lakhs p.m.; power packed features with potential to save upto Rs.1.20 lakhs p.a. Free collection of outstation cheques Drawn on ING locations. Free unlimited payable at par Cheque payments. Free unlimited transfer of funds within the Bank. Free easy anywhere cash deposit up to a specified limit and withdrawal. Free issue of personalized cheque books and personalized payable at par cheques Free SMS alerts Free standing instructions facility for regular payments


General current account

A Current account is ideal for carrying out day-to-day business transactions. With the ING General Current Account, you can access your account anytime, anywhere. Withdraw and deposit cash, issue and encash cheques, make balance-inquiries or ask for mini statements, and even request for cheque books any time, anywhere. With a vast network of branches in cities all over the country, and access to a multitude of ATM's, you can keep track of all your transactions anytime. Features & Benefits: Access your account from any of the networked branches across India Deposit cash at any of the branches (networked) across India International debit card cum ATM card to access your account from the wide network of ING ATMs and self banking across the country Enjoy FREE 24- hour Phone Banking and Net Banking facilities that helps you check your balance and other details All we need is to maintain an average balance of Rs. 10000/- per quarter. (Non-maintenance of this balance entails a nominal charge of Rs. 750/- per quarter).

Comfort current ac
ING's Comfort Current Account lets you save as much as Rs. 60,000 p.a. for remittance up to Rs. 25 lakhs. This is in addition to a range of other attractive benefits, as well. Features & Benefits: Free remittance limit (DD /PO /RTGS /EFT / NEFT) of Rs.25 lakhs per month. Free Collection of outstation cheques drawn on the branch locations/centers. Free Mi-b@nk Internet Banking Facility. Free anywhere cash deposits: Up to Rs.25, 000/- per day. Maximum 4 transactions Rs.1.00 lakh per month Account-to-account funds transfer: Free unlimited transfer of funds from one account to another account within the Bank.


Flexi current ac
We at ING understand that your Business needs change with season and hence your Banking requirements will also be different. We now have a solution to your seasonal needs - ING Flexi Current Account is the answer to your changing banking requirements during peak seasons. With ING Flexi Current Account your Cash Deposit limits, and remittance limits are a multiple of the balance you maintain in your Current Account. Flexi Current Account requires you to maintain a minimum Monthly Average Balance (MAB) of just Rs. 50,000.

Features & Benefits 1. Flexi Current Account has two variants: Flexi Now Free limits in same month (The charging and free limits will be basis MAB maintained in the same month). Flexi Next - Free limits in next month (The charging and free limits of any month will be basis MAB maintained in the previous month).

2. Base Location Cash deposit Limits (self and third party combined): 12 times MAB maintained + Rs.2.5/- per 1000 (beyond free limits).

3. NEFT/RTGS/ DD/PO Free limit up to 100 times MAB maintained. Above free limits, transaction level charges will apply for NEFT /RTGS & For DD/PO, charges @Rs. 0.50/-per Rs.1000. The Free limit is applicable across NEFT/RTGS/ DD/PO.

3. Cheque book 100 cheque leaves free per month for MAB of 50,000; post which 100 cheque leaves free per additional 1 lakh maintained. Maximum 1000 cheque leaves Free in a month.


Savings Account :
Orange Savings Account :
Features & Benefits:

Quarterly Average Balance (QAB) of Rs. 5000/-, Rs.10,000/ QAB requirement at Rs.10,000/- for Delhi NCR, Mumbai, Bangalore, Chennai, Hyderabad
& Kolkata Free issue of the International Debit Card for the 1st year. Shopping convenience at over 2,00,000 merchant locations, with the ING Vysya International Debit card.

Other Features Unlimited ATM transactions across all Maestro Cirrus ATMs Unlimited ATM transactions at over 356 ING Vysya ATM's. 2 Demand Drafts with a value not exceeding Rs. 50,000 per annum, where the QAB is maintained. Unlimited usage of payable at par (PAP) Cheques. Transfer of funds across all branches. National Electronic Funds Transfer (NEFT) through the internet banking channel. Electronic Bill Payment service. Statement of Account through E-mail. Mi-b@nk - Internet banking facility. RTGS (Real Time Gross Settlement) transactions at all branches. AAA Cash deposit (Customers) - Free up to 2 transactions per month and a value limit of Rs. 50,000/-. Up gradation from any other savings account of the Bank to the Orange Savings Account at no additional cost.


Zwipe Classic Savings Account :

Features Quarterly Average Balance of Rs 20000/-. Issuance of upto 10 demand drafts summing upto Rs 5 lacs per month without charges/ commission. 25% off on locker charges for 1st year. Free zero balance zing account for the customers child. Zero account opening charges for demat and online broking account. Waiver of AMC charges for 1st year on demat account. 100% waiver of surcharge on purchase of petrol across any fuel station in India. Anywhere banking across all branches a. Free unlimited usage of ING and other bank ATMs and self bank kiosks without charges b. Enhanced ATM cash withdrawal limit of Rs 50,000/- per day in own ATMs/ other Bank ATMs. c. Zero charges on anywhere cash deposit upto Rs 50,000 per day.

Benefits : Free issuance of ING Zwipe Classic international debit card. Free Internet Banking facility. Free collection of outstation cheques drawn on IVBL locations. Free Inter-city transfer of funds (A/c to A/c with IVBL) RTGS/ NEFT inward free, outward-as per tariff.


Aspira Corporate Solutions:

Aspira makes the complicated corporate world a bit easier. By giving you simple inputs and easy ways of taking care of your money. Along the way, you'll notice how Aspira helps you manage your money, letting you live the fuller life, easily. Benefits Employers

Automated salary upload Dedicated service manager for on-boarding & support Reimbursement account attached to each salary account Meal card to replace physical coupon process Complimentary upgrade to ING Platina Preferred Banking for senior employees Dedicated ATM or Self Banking Kiosk in office premise for select companies Special pricing on loans (based on company categorization)

Benefits Employees 2-in-1 zero balance account with reimbursement account - single debit card Instant account opening - cheque book, ATM card issued in office Priority servicing at any branch Meal card that can be used to pay for food items Free bill payment & fund transfers on Mi-b@nk internet banking Free unlimited PAP cheques with automatic reorder Preferred interest rates on loans and zero/discounted processing fee 24X7 access with Phone, Internet & Mobile banking


ING Zing - the Saving Account for your kids

Learning yet fun, freedom yet responsibility, let your child learn banking the fun way with ING Zing Savings Account and its exclusive features.

Personalized debit card for your kid. Keep a control on your kids spends by setting the spend limits. Fabulous discounts on books, toys and more leading brands Teach your kid how to be good with money in a fun way with Zing You can help your child invest money monthly Automatically transfer funds at predefined intervals to your child's account. Access to ING's financial planning services to safeguard your child's future. Free view access to Internet and Mobile Banking.




Objective : To understand the Indian Banking System. To understand the retail trends followed by the retail banks. To understand the banking relationship of an organization with their existing bankers. Product innovation for them. To generate business by generating leads.

Type of research : Research Design Research Sample Descriptive 100 Customers

Method of selecting sample : Questionnaire The data was collected through questionnaire, in which different question were asked.


Scope of study : My study will help to understand the Indian Banking System as well as to identify the existing bank marketing reputation. My study will provide l information about general practices adopted by the various banks in order to carry their customers in the area of retail banking business.

Limitation of the study : Due to time constraints the research was confined to Rourkela only. Sample size is very small. Some of the respondents show biasness and provide wrong information. Some of the respondents do not cooperate and are not interested in answering.



Savings accounts
80 70 60 50 40 30 20 10 0 Bank of India SBI Uco Bank ICICi Bank Axis Bank Indus Sind Bank Syndicate Bank HDFC Bank OBC PNB Bank Of Baroda CENTRAL BANK Allahabad Bank Andhra Bank canara bank Citi Bank Savings accounts

Interpretation : As it can be predicted from the graph, 90% of the people have their savings account in SBI. Most of the consumers have their savings accounts in nationalized banks as they found nationalized banks were very safe and trust worthy. The other major players are Punjab National Bank and Central Bank.



Others 8% Safety 26% Proximity to office 15%

Past Relations with Bank 51%

Interpretation : Most of the consumers have relationship with their existing bankers because they have very long term and past relationship with their banks and they are quiet satisfied with their services. Another reason for the relation is safety. Out of 100, 50 favored past relationships and 25 favored safety as their reason.



90 80 70 60 50 Banks Provided 40 30 20 10 0 ATM Branch Internet Banking Tele Banking Door Step Banking Facilities Used

Interpretation : Each is using branch facilities. The other facilities used by them are phone banking and internet banking.



100 90 80 70 60 50 40 30 20 10 0 Auto swep in FD At Par Cheques Credit cards Investment advisory Awarness Availed

Only 18 customers out of 100 are aware of a auto swap facilities, and 8 are availing it. 31 are aware about at-par cheque book facilities and 30 are availing it, as bank doesnt charge any amount for these facilities. 30 is availing credit card and 11 is from investment advisory services.


COMPARATIVE ANALYSIS OF ACCOUNTS WITH COMPETETIVE BANKS Today is the world of competition. In this competitive scenario, each and every company has to keep an edge on its competitors. To help this out , I have done comparative analysis of different banks and their service keeping in mind the features and services of ING Vysya Bank Limited. I have done comparative analysis so that I can be able to know about the competitors services. This will help me out to handle customer queries and make them understand how ING Vysya Bank is different and better than other banks. This analysis will help to convince the customers easily for creating and building a new and fair healthy relationship with ING Vysya Bank.

Procedure adopted for comparative analysis :

Study and understood the service provided by ING Vysya Bank Limited in its current account and savings account Visited various banks and gather information about the services through Personal interview Internet Brochures and Pamphlets Questionnaire

Now along with ING Vysya Bank, I had visited various others banks also to know the differences in the financial products being offered by them and by doing that, I come on to the following comparison


COMPARATIVE ANALYSIS OF ING WITH COMPETITIVE BANKS : S.No Features/Bank ICICI HDFC AXIS ING VYSYA 1. Minimum AQB Rs.10,000 Rs.10,000 Rs.10,000 Rs.5,000/ 10,000 for metro cities. 2. Unlimited Transactions across all ATMs 3. Unlimited usage of PAP with auto- reorder facility 4. Daily ATM Withdrawal Limits 5. Service charge in case of non maintenance 6. Free DDs Rs.300/-per month Free upto Rs. 100000/- above that denomination wise charges; Rs.50/- per transactions Rs.750/- per quarter DDs free upto a limit of RS.25000/per day savings plus Rs. 100,000 per day savings max Rs.700/per month Free upto Rs 3 lacs, above limit Rs 1.00 per Rs.1000 650/- per quarter 2 DDs upto Rs.50,000 per year Rs.50,000 Rs.50,000 Rs.50,000 Rs.25,000 No No No Yes No No No Yes


AAA cash Deposit self

Upto Rs.100,000 or above

Free upto Rs.50,000

Free limit Rs.3 lacs per month

2 free transaction upto Rs.50,000 per month.


8. 9.

Auto sweep FD International Debit Card

No Charged

No Charged

No Charged

Yes 1st year free; 2nd year Rs.150+S.T


Net Banking, Phone Banking, Mobile Banking


Rs.30/-per statement



11. 12. 13.

Inter Branch Banking E-bill payment service Dedicated toll free number and call back facilities.

Charged yes yes

Charged yes yes

charged yes yes

Free Yes Yes


Amazing offers and discounts at retail outlets, restaurant, spas, tours and travels and more







ING, as one of the biggest financial institute across the globe, 12th on fortune global 500 list. ING is the only foreign bank which has acquired an Indian private bank (Vysya Bank) Client base is more than 85 million. Track record of high growth and profitability Ranked among top 5 private sectors bank in India by Brand Equity Nielson Survey 2011

Very few branches. Less variety of financial/banking products. Lack of customer awareness regarding services and bank because of low advertising. Very limited branches in North India. Less ATM network in the country

Increase in different kind of financial products Growth in business sector is one of the added advantage to increase their business. Venture into the untapped markets by setting up new branches in various cities.

Presence of two top private banking player in the market (ICICI & HDFC) Impact of negative global disaster in the Indian economy Fluctuation in monetary policy



Limitations of Retail Banking :

The bank into retailing will have to face following bottlenecks in its operations. Huge sales and promotion expenditure Managing human resources Managing technology Pressure on margins Attitude hurdles

Huge sales and promotion expenditures : In order to survive in the world of fierce competition with so many players, each bank has to incur huge amount of funds on sales and promotions. No bank can deny this expenditure because they need to build their image among the customers to get business. Managing Human Resources : Retail Banking caters the needs of individual customers. For this purpose qualified and trained staff is needed to be maintained, for training those employees bank spend a huge amount of money. Sometimes their trained personnel leave the job halfway which increases the expenditure of the bank. Apart from this bank also have to maintain various cells regarding customer grievance, employees grievances etc. which again increase the expenditure of the bank. Managing Technology : Technology plays an important role in retail banking. Today majority of transactions in banks are done through ATMs, mobile banking, internet banking. For this purpose effective and efficient management of technology is necessary. Managing technology incurs huge expenditure which sometimes create problem for the banks to accumulate funds for these purposes.


Pressure on Margins : To retain the existing customer base as well as to expand, the bank are pressurized to keep the minimum prices possible. Thus the bank have huge pressure on margins.

Attitude Hurdles :
Earlier the major player in the banking industry were public sector banks. But due to the advent of liberalization and globalization, private and foreign sector banks have come up which has resulted into a drastic changes in Indian banking scenario. With these banks the latest technology has also come up. But still a huge chunk of people does not avail its benefits. People still prefer going to bank and carry out the necessary paper work when the same thing can be done very easily through mobile phones and internet. Thus people from rural areas should be given proper education and should be educated and their attitudes need to be changed since, it is a major hurdle for the growth of the retail banking products. This study has helped me to know about the whole functioning of one of the major pillars of our economy which is banks. With the advent of globalization and liberalization new way to improve customer relationship has emerged in front of the banks. This new ideas will help them in acquiring new customers and maintaining the existing customer base. One of the fastest emerging tools with banks to improve up on customer retention and satisfaction in retail banking and by adopting this many banks have achieved growth in their business like never before.

Suggestions and Recommendations. :

IVBL should chalk out some programmes to create general awareness regarding its presence and various services of bank. More attention is required in distant located firms/areas and cater the needs of those commercial areas. Personal marketing/aggressive marketing:--Today in the era of competition, in order to increase the banking network (in term of clients and business volume) an aggressive approach is required. The bank should recruit more number of personnel, so that they can cover the whole of the city. Personal marketing can be one of the methods or mode of taking people into confidence.


Promotional Campaign :-- In the era of stringent competitiveness one has to take care of promotional activities. It can be done in following ways. Promotion through customers Through motivating the existing customers to get more business can one of the modes to have greater access or approachability. The motivation to the customers can be through gifts or through memento. Reference Selling Few of the banks customers especially esteemed ones can be asked to give reference about relatives, friends or any acquaintances, that they consider potential customers. thus the business volume can be increased. Advertising Initially when we took our work we found that general awareness amongst people regarding IVBL was very low. The bank should instead of being centrally advertised, try to advertise locally. This can be done in following ways. Public welfare banners An excellent way to advertise which can be done through tree guards having IVBL name. Traffic posts Especially at commercial locations can have IVBL boards or banners. One or two neon board can be put at the centre place of Rourkela. Ad-campaign through FM radio, hoarding, Television etc.

The bank should open more ATM network. The bank should come up with more branches in Rourkela and other major cities of Odisha.



Name : ___________________________________________________ Name of occupation : _____________________________________ (a) Salaried ( Government (b) Self employed ( Lawyer Architect ) Doctor Builder Engineer Consultant ) Semi Govt. Private

Other please specify ________________________________________

Q1) In which bank you are operating your savings account ? ________________________________________________ Q2) In which bank you are operating your current account ? __________________________________________________ Q3) How much minimum balance or average quarterly balance you have to maintain in your account ? Savings Account _______________________ Current Account _______________________

Q4) Why you chose this bank ? Past relationships Near to home/office Brand name others please specify --------------------------


Q5) Are you satisfied with the services provided by your bank ? Yes NO


If yes what core benefits you are availing from your bank ? (Free/Charged) (Free/Charged) (Free/Charged) (Free/Charged) (Free/Charged) (Free/Charged) (Free/Charged) (Free/Charged) (Free/Charged)

Home banking Net banking Phone banking At-par cheque book Global debit card Demand draft Auto swep FD 24 hrs ATM Additional savings account

Others please specify ___________________________________________


If no why ? ________________________________________________________

Q6) What exactly you are looking for in your bank ? please write your expectation. ______________________________________________________________ ______________________________________________________________ Adress ____________________ ______________________________ Phone No _______________


Q7) Which one of the banking facilities does your bank provides you and which one does you use ?

Facilities Branch Banking Internet Banking Mobile Banking Door step Banking Free ATM



Q8) Are you aware of following services provided by the bank ? Auto sweep into FD ____________________________ At par cheques ________________________________ Credit Cards _______________________________ Investment Advisory ____________________________



1. Marketing Management: 13th Edition A South Asian Perspective Philip Kotler, Kevin Lane Keller, Abraham Koshy, Mithileshwar Jha

2. Marketing Management Arun Kumar, N Meenakshi


www.ing.com www.ingvysya.com


Economic Times