A STUDY ON CUSTOMER RELATIONSHIP MANAGEMENT IN RELATION TO CUSTOMER SATISFACTION IN KARUR VYSYA BANK CHAPTER-I INTRODUCTION 1.

1 INTRODUCTION TO THE STUDY The research report entitled that A STUDY ON CUSTOMER RELATIONSHIP IN RELATION TO CUSTOMERS SATISFACTION IN KVB. The main purpose of this project work is to analyze the Customer Relationship Management services provided by the KVB and to check the level of satisfaction, towards this service, among the customers. Customer

Relationship Management has become a challenging issue for every financial institution as every organization is trying to provide services superior to the competitors. So in such an environment of fierce competition, focus has shifted to retaining and enhancing the customers rather than acquiring them; and to create loyalty among customers, CRM services have to be exceptional. I did my research at the KVB, and the information I received there, along with the secondary research, helped me in strengthening my knowledge base regarding the topic. Karur Vysya Bank Limited, universally known as KVB has made a mark in commercial banking arena right from 1916 when it was set up by two great visionaries and famous sons of Karur, Late M A Venkatarama Chettiar and Late Athi Krishna Chettiar. The main aim for setting up this bank was to instill the habit of savings and also for providing financial support to traders and small agriculturists in and around Karur (the textile town in Tamil Nadu). The journey for the bank started off with a meager capital of ` 1 lakh. But over the years, KVB has met all the market dynamics and challenges and created a strong base for itself.

The Bank, in its initial days, bore a regional flavor in its transactions but slowly made a mark and expanded. At present, it has around 285 branches spanning 13 States and 2 Union Territories. The Bank has been prudential and has followed all the statutory regulations to make a mark in its area of operations. They have been maintaining a strong Capital Adequacy Ratio of

more than 15% as against the compulsory rule of 9% set by the RBI. T his is sure to take care of the asset growth of the bank.

Branch and ATM network of Karur Vysya Bank

The bank has a branch network of 312 and an ATM network of 322. The bank plans to improve the branch network to over 350 by the end of 2009-10.

KVB became the forerunners in the banking sector to achieve full networking of its branches under Core Banking Solutions. They offer their services through multiple delivery channels.

KVB Banking Services

The bank offers various loan products and deposits that caters to the needs of their customers. It is also offering diverse types of insurance policies through its tie-up with Bajaj Allianz General Insurance Company. Its clients can also get life insurance policies through Birla Sun Life insurance Company and ASBA facilities. Demat customers can access their offline and online trading facilities through Religare

Securities Limited and IDBI Capital. KVB is also an authorized bank where account holders can open accounts for the New Pension Scheme of India.

Technological Services of KVB

KVB is also known as one of the oldest banks in India but they manage to achieve full networking of all their branches through the core banking solutions (CBS). CBS provides a wide range of services through diverse delivery channels. Furthermore, you can do banking transactions at any of their branches all over India.

Aside from going to their branches, you can also do banking through their Internet banking facility. You can pay your bills online with the help of Bill desk, do online shopping through CC Avenues and carry out mobile banking.

Future Plans of KVB Bank

The bank wants to become one of the leading companies when it comes to

technological

advancement and excellent financial services. KVB plans to continue serving the best products and amenities to all of their customers.

Savings Account Application

It is easy to apply for a savings account at KVB as long as you have the complete requirement when opening an account. Follow the link given and it will show you the list of documents and IDs needed when opening a new account. After reaching the bank, just fill up some application forms and submit it together with the initial deposit of your account. Wait until finishing the processing of your application. KVB is an Indian bank that provides secure savings account and other beneficial bank

products to its customers. It also knows the needs of its clients when it comes to securing their investments.

Loan

Personal loan Home loan Home loan Transfer Car loan Credit card Education loan

Loan Calculators
Loan EMI Calculator Home Loan Refinance Calculator Loan Repayment Calculator

1.2 INDUSTRIAL PROFILE

HISTORY OF BANKING IN INDIA

Without a sound and effective banking system in India it cannot have a healthy economy. The banking system of India should not only be hassle free but it should be able to meet new challenges posed by the technology and any other external internal factors. For the past three decades Indias banking system has several outstanding achievements to its credit. The most striking is its extensive reach. It is no longer confined to only metropolitans or cosmopolitans in India. In fact, Indian banking system has reached even to the remote corners of the country. This is one of the main reasons of Indias growth process. The governments regular policy for Indian banks since 1969 has paid rich dividends with the nationalization of 14 major private banks of India. Not long ago, an account holder had to wait for hours at the bank counters for getting a draft or for withdrawing his own money. Today, he has a choice. Gone are days when the most efficient bank transferred money from one branch to other in two days. Now it is simple as instant messaging or dials a pizza. Money has become the order of the day. The first bank in India, though conservative, was established in 1786. From 1786 till today, the journey of Indian Banking system can be segregated into three distinct phases. They are as mentioned below: Early phase from 1786 to 1969 of Indian Banks. Nationalization of Indian Banks and up to 1991 of Indian banking sector Reforms. New phase of Indian Banking System with the advent of Indian Financial & Banking Sector Reforms after 1991. The Indian banking can be broadly categorized into nationalized (government owned), private banks and specialized banking Institutions. The Reserve Bank of India acts a centralized body monitoring any discrepancies and shortcoming in the system. Since the nationalization of

banks in 1969, public sector banks or the nationalized banks have acquired a place of prominence and has seen tremendous progress. The need to become highly customer focused has forced the slow-moving public sector banks to adopt a fast track approach. The unleashing of products and services through the net has galvanized players at all levels of the banking and financial institutions market grid to look anew at their existing portfolio offering. Conservative banking practice allowed Indian banks to be insulated partially from the Asian currency crisis. Indian banks are now quoting all higher valuation when compared to banks in other Asian countries (Viz, Hong Kong, Singapore, Philippines etc.) that have major problems linked to huge Non Performing Assets (NPAs) and payment defaults. Co-operative banks are nimble footed in approach and armed with efficient branch networks focus primarily on the high revenue niche retail segments. The Reserve Bank of India acts as a centralized body monitoring any discrepancies and shortcoming in the system. It is the foremost monitoring body in the Indian financial sector. The nationalized banks (i.e. government-owned banks) continue to dominate the Indian banking arena. Industry estimates indicate that out of 274 commercial banks operating in India, 223 banks are in the public sector and 51 are in the private sector. The private sector bank grid also includes 24 foreign banks that have started their operations here. Under the ambit of the nationalized banks come the specialized banking institutions. These co-operatives, rural banks focus on areas of agriculture, rural development etc. Currently (2007), banking in India is generally fairly mature of supply, product range and reach-even though reach in rural India still remains a challenge for the private sector and foreign banks. In terms of quality of assets and capital adequacy, Indian banks are

considered to have clean, strong and transparent balance sheets relative to other banks in comparable economies in its region. The Reserve Bank of India is an autonomous body, with minimal pressure from the government. The stated policy of the bank on the Indian Rupee is to manage volatility but without any fixed exchange rate-and this has mostly been true. With the growth in the Indian economy expected to be strong for quite some timeespecially in its services sector-the demand for banking services, especially retail banking,

mortgages and investment services are expected to be strong. One may also expect M&As, takeovers, and asset sales. In March 2006, the Reserve bank of India allowed Warburg Pincus to increase its stake in Kotak Mahindra Bank (a private sector bank) to 10%. This is the first time an investor has been allowed to hold more than 5% in a private sector bank since the RBI announced norms in 2005 that any stake exceeding 5% in the private sector banks would need to be vetted by them. Currency, India has 88 scheduled commercial banks (SCBs) 28 private banks (that is with the Government of India holding a stake), 29 private banks (these do not have government stake; they may be publicity listed and traded on stock exchanges) and 31 foreign banks. They have a combined network of over 53,000 branches and 17,000 ATMs. According to a report by ICRA Limited, a rating agency, the public sector banks hold over 75 percent of total assets of the banking industry, with the private and foreign banks holding 18.2% and 6.5% respectively. NATIONALIZATION OF BANKS IN INDIA The nationalization of banks in India took place in 1969 by Mrs. Indira Gandhi the then prime minister. It nationalized 14 banks then. These banks were mostly owned by businessmen and even managed by them. o Central Bank of India o Bank of Maharashtra o Dena Bank o Punjab National Bank o Syndicate Bank o Canara Bank o Indian Overseas bank o Bank of Baroda o Union bank o Allahabad Bank o United Bank of India o UCO Bank

Before the steps of nationalization of Indian banks, only State Bank of India (SBI) was nationalized. It took place in July 1955 under the SBI Act of 1955. Nationalization of Seven State Banks of India (formed subsidiary) took place on 19th July, 1960. The State Bank of India is Indias largest commercial bank and is ranked one of the top five banks worldwide. It serves 90 million customers through a network of 9,000 branches and it offers either directly or through subsidiaries -- a wide range of banking services. The second phase of nationalization of Indian banks took place in the year 1980. Seven more banks were nationalized with deposits over 200 crores. Till this year, approximately 80% of the banking segment in India was under Government ownership. After the nationalization of banks in India, the branches of the public sector banks rose to approximately 800% in deposits and advances took a huge jump by 11,000%. 1955: Nationalization of State Bank of India. 1959: Nationalization of SBI subsidiaries. 1969: Nationalization of 14 major banks. 1980: Nationalization of seven banks with deposits over 200 crores.

CURRENT SCENARIO
The banking in India is in a transition phases. The Public sector Banks (PSBs), which are the foundation of the Indian Banking system account for more than 75 per cent of total banking industry assets. Unfortunately they are burned with excessive Non Performing assets (NPAs), massive manpower and lack of modern technology. On the other hand the Private Sector Banks in India are witnessing immense progress. They are leaders in Internet banking, mobile banking, phone banking ATMs. On the other hand the public sector Banks are still facing the problem of unhappy employees. There has been a decrease of 20 percent in the employee strength of the private sector in the wake of the voluntary Retirement Schemes (VRS). As far as foreign banks are concerned they are likely to succeed in India.

PUBLIC SECTOR BANKS: o Allahabad Bank o Andhra Bank o Bank of Baroda o Bank of India o Bank of Maharashtra o Canara Bank o Central Bank of India o Corporation Bank o Dena Bank o Indian bank o Indian Overseas bank o Oriental bank of Commerce o Punjab & Sind Bank o Syndicate Bank o UCO bank o Union Bank of India o United Bank of India o Vijaya bank

LIST OF STATE BANK OF INDIA AND ITS SUBSIDIARIES

o State Bank of State Bank of Bikaner & Jaipur o State Bank of Hyderabad o State Bank of Indore o State Bank of Mysore o State Bank of Saurastra 8 o State Bank of Travancore

PRIVATE BANKS:
o Bank of Punjab o Bank of Rajasthan o City Union Bank o Federal bank o Karur Vysya Bank o HDFC Bank o ICICI Bank o IndusInd Bank o IDBI Bank o ING Vysya Bank o Jammu & Kashmir Bank o Karnataka Bank o Lakshmi Vilas Bank o South Indian Bank o United Western Bank o UTI Bank

FOREIGN BANKS
o ABN-AMRO Bank o Abu Dhabi Commercial Bank o Bank of Ceylon o BNP Paribas Bank o City Bank o China Trust Commercial Bank o Deutsche Bank o HSBC o JPMorgan Chase Bank

BANKING IN INDIA

Central Bank

Reserve Bank of India State Bank of India. Allahabad Bank. Bank of Baroda. Bank of

Nationalized Banks

India. Bank of Maharashtra. Andhra Bank. Canara Bank. Central Bank of India. Corporation Bank. Punjab & Sind Bank. Punjab National Bank. Syndicate Bank. IDBI Bank. UCO bank. United Bank of India. Indian bank. Oriental bank of Commerce. Union Bank of India. Vijaya Bank.

Private Banks

Axis Bank. Bank of Rajasthan. Bharat Overseas Bank. Catholic Syrian Bank. Centurion Bank of Punjab. City Union Bank. Development Credit Bank. Dhanalakshmi Bank. Federal Bank. Ganesh Bank of Kurundwad. Karur Vysya Bank. HDFC Bank. ICICI Bank. IndusInd Bank. ING Vysya Bank. Jammu & Kashmir Bank. Karnataka Bank Limited. Kotak Mahindra Bank. Lakshmi Vilas Bank. Nainital Bank. Ratnakar Bank. SBI Commercial and International Bank. South Indian Bank. Tamilnadu Mercantile Bank Ltd. Yes Bank.

1.3 COMPETITORS ANALYSIS

Jammu & Kashmir Bank Ltd. Axis Bank Ltd. ICICI Bank Kotak Mahindra Bank Ltd. H D F C Bank Ltd. ING Vysya Bank Ltd. IndusInd Bank. YES Bank Ltd. Federal Bank Ltd. Lakshmi Vilas Bank Ltd.

1.3 COMPANY PROFILE

Date of Establishment Revenue Market Cap

Corporate Address

1916 0 ( USD in Millions ) 46430.8551192 ( Rs. in Millions )

Erode Road, Central Office, Post Box No . 21 Karur-639002, Tamil Nadu www.kvb.co.in

Management Details: Chairperson - K P Kumar MD - K Venkataraman Directors - A J Suriyanarayana, Athi Janarthanan, Athi S Janarthanan, B Swaminathan, Dr S Krishna Kumar, G Rajasekaran, G Rajasekaran, G Rajasekharan, K Ramadurai, K K Balu, K P Kumar, K P Kumar, K Parameshwara Rao, K Ramadurai, K S Ramabadran, K Venkataraman, Kannan R, M G S Ramesh Babu, M K Venkatesan, N S Srinath, P T Kuppuswamy, R Kannan , R Kannan, S Ganapathi Subramanian, T M Lakshmikanthan, T R Ramanathan, T R Ramanathan, V G Mohan Prasad, V G Mohan Prasad, V Santhana Raman, V Santhanaraman Business Operation Background private bank Karur Vysya Bank, incorporated 1916, is popularly known as KVB. The bank was founded by Late Shri M A Venkatarama Chettiar and the Late Shri Athi Krishna Chettiar with an intention to develop the saving habit and to provide financial assistance to traders and agriculturists in and around Karur, a textile town in Tamil Nadu. financials The bank was set up with a seed capital of Rs 1 lakh. Today it has grown to 300 b

Total Income - Rs. 46949.906 Million ( year ending Mar 2013) Net Profit - Rs. Million ( year ending Mar 2013)
Company Secretary R Kannan Bankers Auditors JL Sengupta & Co

One lakh by two great visionaries, the Late Shri M A Venkatarama Chettiar and the Late Shri Athi Krishna Chettiar to inculcate savings habit and to provide financial assistance to traders and mm Karur Vysya Bank Limited, popularly known as KVB, was set up in 1916 with a capital of Rs. all agriculturists in and around Karur, a textile town in Tamil Nadu. Today, the bank has over 312 branches and 322 ATMs in 13 States and 2 Union Territories. The bank also has a strong presence in the insurance industry with tie ups with Bajaj Allianz, Birla Sunlife and many other insurance companies. The bank was one of the earliest banks to adhere to the norm of Capital Adequacy Ratio stipulated by RBI right from its introduction. The Bank has been maintaining a healthy Capital Adequacy Ratio of over 15% as against the mandatory norm of 9% prescribed by the RBI, which will take care of future asset growth. The bank gives vehicle loans in the name of KVB Fleximobile, KVB Vartagamitra to meet the working capital requirements of traders and- KVB Rentfin that provides finance against future rent receivables. Get the best deals on Karur Vysya bank KVB loan offers

Karur Vysya bank KVB home loans Karur Vysya bank KVB personal loans Karur Vysya bank KVB car loans Karur Vysya bank credit cards

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BUSINESS PROFILE
The bank was established in 1916 by the two illustrious sons of Karur, the late Shri M.A. Venkatarama Chettiar and the late Shri Athi Krishna Chettiar. Over the years, KVB has emerged as a strong bank with healthy fundamentals. The Bank has crossed several milestones over the past 89 years and enjoys a premier position in the banking industry today. During these 89 years of its existence, the bank has successfully faced and overcome several challenges through adept and timely response to market and technological changes. The total business of the bank has touched the figure of Rs.11395.55 crores as on 30.09.05. From a humble beginning of Rs. 1 Lakh, the bank's owned funds have crossed Rs.826.00 crores as of 31st September 2005. The Capital Adequacy ratio of the bank is 16.83 percent on the increased asset base for the period ended 30.09.05. The total deposits of the bank as on 30.09.2005 were Rs.6544.53 crores and the total advances were Rs.4851.02 crores. The profit of the bank stood at Rs.65.12 crores as on 30.09.05. They have been able to meet bank priority sector obligations. They fresh disbursement under agricultural advances has increased by 35.69 % during 2004-05. Today, KVB has spread its wings across 11 States and two Union territories. As on 30.09.2005, KVB has 233 branches. KVB is one of the early banks to adhere to the norm of Capital Adequacy Ratio stipulated by RBI right from its introduction. The Bank has been maintaining a healthy Capital Adequacy Ratio of over 16% as against the mandatory norm of 9% prescribed by the RBI, which wil l take care of future asset growth.

1.5 FUNCTIONAL DEPARTMENT

Subject to governmental authority - National or State, according to its charter - the management of any bank is vested in its board of directors. Such directors are elected by the stockholders. The directors elect the officers, president, vice-president, cashier and assistant cashier, who are the executive heads of the institution and are charged with the duty of administering its affairs. The number of vice-presidents and assistant cashiers depends upon the size of the bank. The directors may also appoint committees - such as a discount committee, an executive committee, and an examination committee - that the business of the bank may seem to require (1) Receiving Teller's Department(Teller) - Receives, receipts for and proves deposits, distributes checks to bookkeepers and other departments, prepares exchanges for clearing houses, and turns cash over to the paying teller at end of day. (2) Transit Department (Teller) - The transit department may be a subdivision of the receiving teller's department and was formerly known by other terms, such as correspondence, foreign check, miscellaneous check or country check department. This department assorts checks and other cash items payable out of town, indorses them and lists them on letters addressed to other banks. It gives totals of outgoing or remittance letters to general ledger bookkeeper at end of day. This department often keeps the records of exchange charged on out-of-town checks, and of delayed credits on interest balances made necessary because of uncollected funds deposited. (3) Paying Teller's Department (Teller) - Pays or certifies checks, is in charge of the signature book or cards bearing the authorized signatures of all depositors, ships currency, is in charge of the vault cash, and makes up payrolls. (4) Note Teller's Department (Teller) - Collects notes and drafts due at the bank or elsewhere in the city. It is usually in charge of the runners or messenger department, which is a subdivision, and it usually receives deposits made by other banks, and may perform the functions of a mail teller.

(5) Collection Department (Teller) - Collects notes, drafts and other "time" items when payable out of town, and credits accounts of depositors when collections are advised paid. (6) Loan or Discount Department (Executive) - Receives notes submitted for discount or makes loans, figures discount and interest, and has charge of collateral securing loans. (7) Credit Department (Executive) - Secures and collects information relating to borrowers, checks statements submitted by them, and is in charge of credit files, which contain information as to the reliability, business habits and financial strength of borrowers. (8) Analysis or Statistical Department (Executive) - This department is usually found in city banks. It analyzes the accounts of depositors to determine which are profitable and which are losing accounts, makes monthly reports to officers, is in charge of statistics relating to the bank's accounts and matters in which the bank is particularly interested. It is closely related to the transit department. (9) General Ledger Department (Bookkeepers) - Keeps the general or control accounts of the bank, and makes up the bank's statement of condition (10) Country Bank Account Department (Bookkeepers) - This department is confined to city banks. It keeps the accounts of other banks. (11) Individual Ledger Department (Bookkeepers) - Keeps the records of the balances of individual depositors and figures interest on accounts. It may be subdivided as to kind of accounts (savings, dealers), in addition to ordinary alphabetical division, and may balance passbooks or there may be a separate department for this purpose using the statement system. (12) Auditor's Department (Executive) - This department is responsible for the settlement of the various departments, reconciles the accounts with other banks, and certifies interest calculations.

1.6 ORGANIZATIONAL CHART

CEO K. Venkatraman Chairman of the Board KattaKumar Director K.Balu Director NS Srinath Director B Swaminathan Director k.Ramadurai Director AJ Suriyanarayana VR. Director Ganapathi Subramanian Director G.Rajasekaran N-1 Chief General Minister R.S.. N-2 General Manager AK. General Manager AN. General Manager J..N. General Manager

CHAPTER II 2.1 RESEARCH METHODOLOGY

Success or failure of any project entirely depends upon methodology adopted by the researcher. Methodologies basically use different methods of research systematically and scientifically. Objective of the study, its research design, its sampling design, coding and editing methods, presentations and analyses of the data together with interpretation of the data are essential part of research methodology.

RESEARCH DESIGN
Fundamental to any marketing research project is a sound research design. A good research design has certain characteristics viz. problem definition, specific method of data collection and analysis etc; a research design is purely and simply the framework or plan for a study that guides the collection and analysis of data. In this research Descriptive Research method was adopted. Data Collection Data collection is an essential part of every project. Success or failure of any project entirely depends on the method of collection of data. The data was collected by the following two ways. a) PRIMARY SOURCE b) SECONDARY SOURCE The primary data was collected by means of direct personal interview method through structured questionnaire and analysis was done on the basis of response received from the customers. The information brochures of the bank and articles in newspapers have been consulted as a secondary source of information. Secondary data has also been collected through the various websites.

2.2 OBJECTIVES OF STUDY

The primary objective of my study is to analyze the efficiency and effectiveness of the Customer Relationship Management services provided by the Karur Vysya Bank. The main objectives are: To analyze the CRM services of Karur Vysya Bank To know whether customers are aware of the classes of customers on KVB To know whether they are aware of the customer class to which they belong. To check which services they are availing being in a managed customer group. To check the satisfaction level of the preferred and Classic customers regarding the CRM services

2.3 STATEMENT OF THE PROBLEM

1. The expectations of customer influence their buying behavior. 2. The customer relate this expectation to the quality of service provided by the banks. 3. The level of exceptation differs from person to person but everyone wats the banks to provide the product and services which can satisfy their needs up to their expected level a higher satisfaction. 4. As there is a huge competition in the banking sector in India, the customer satisfaction is an important factor in the success of the bank.

2.4 SCOPE OF THE STUDY

An organization that would like to be dynamic & growth oriented has to pay attention customer relationship management prevailing in the respective organization. Employees in an organization should be continuously helped to acquire capabilities for

to the

effective performance of their roles that arises in the process of relationship management with the customers. Customer relationship management is one of the most important systems that are now being adopted by almost each organization. This study is based on the managed customers of the bank. These are those customers that account for 80% of bank profits. These are the most important customers to the bank & a bank cannot afford to lose such customers. So proper care & attention needs to be directed towards them. This study was designed to find of the extent of satisfaction of managed customers with the relationship manager/personal banker in accordance with the services provided with the bank.

2.5 LIMITATION OF THE STUDY

It is said, Nothing is Perfect and there would be few shortcoming in this project also. Sincere efforts have been made to eliminate discrepancies as far as possible but few would have remained due to limitations of the study. Time seemed to be my most limited resource. To conduct a comprehensive research project is very difficult. The absence of appropriate funding limited the extent of my study. With additional Financial resources, the scope of my study could have been enlarged, resulting in a more representative study. Interviewer bias could not be avoided as in case of many surveys open ended questions involve the use of probing techniques that increase interviewer bias. However, as my study did not use many open ended questions, the extent of the bias was reduced.

CHAPTER-III 3.1 THE BANK MARKETING MIX

The marketing process requires blending of decisions about product services, place, promotion and price. Collectively these interacting decisions are marketing mix However, additional three Ps people physical evidence and process require attention.

PRODUCT in the context of Banks includes savings account, current account fixed deposits,
debit PRICE in the banking world is reflected in two ways. Firstly, the charges by the Bank such as locker charges, Draft charges etc. and secondly, the interest charged on loans, credit cards etc. PLACE refers to the branches from where Bank services are provided. It is about establishing branches at customers convenience. Opening up of ATM outlet by Banks at convenient places provides comfort to the customers. PROMOTION is another aspect of the marketing mix. The techniques used are advertising branch displays, local promotions etc. PEOPLE are also the constituent of Banks marketing mix. The selection, training and motivation of employees can make a huge difference in customer satisfaction. Dealing with customers goes a long way in building the image through service to society. PHYSICAL EVIDANCE and presentation refers to the physical environment consisting o a building, interior, equipment and furniture. It also includes cleanliness and the speed with which services are being rendered. PROCESS refers to methods of delivering the services. Banks can also choose different processes of providing the services to the customers.

3.2 SWOT ANALYSIS

Weihrich (1982) proposed a systematic approach for identifying and analyzing factors external to the organization and matching them with the firms capabilities. The aim of SWOT analysis is to capture a snap shot of the main strengths and weakness of an organization which may affect its future. Strengths and Weakness are those factors that are internal to an organization which are under the managements control Opportunities and threats are those factors which are related to extrinsic factor, outside the organization which have an effect on it. Govt. policies, competition can be some of the factors. The main OBJECTIVE of the SWOT analysis of KVB is to have a practical exposure at the Bank. SWOT puts the organization into the context of the environment in which it works, so that no outside change is totally unanticipated. STRENGHS: Karur Vysya Bank has the lowest NPAs profile. Karur Vysya Bank is a market leader and enjoys strong brandequity. The Bank has an early mover advantage. It is a customer focus Bank and services provided are excellent & matches customer expectation. The Bank enjoys heavy investment by the people. The Bank has a sophisticated information system and is based on the latest technique. The products offered by the bank are need based. An active globalization effort i.e. not confined to India alone but extends to foreign countries as well. WEAKNESSES: The Bank is not covering the small cities. It is only mass banking. Possible security problem.

OPPORTUNITIES: Rapidly growing base of potential customers. Possibility of selling more complex products. Increased cross selling opportunities. KVB mainly faces two competitors HDFC and ICICI and with such competition there is inducement of pro activeness for focus, innovation and improvement and can put customer satisfaction on the top priority. THREATS: Rising competition in the market such as HDFC bank which creates cutthroat competition in the market. Threats from public sector Banks.

CUSTOMER SATISFACTION

Relationship Antecedents

Affective Responses

Behavioral Intentions

Service Quality

satisfaction

Positive Word-ofmouth intentions

Customer knowledge knowledge Relationship Managers uality knowledge Purchase intentions

Trust