I.

INTRODUCTION TO PROJECT REPORT:

Service industry mainly comprises of economic activities transport, trade, tourism,
communications, banking and “banking” real estate, public, administration, defense and soon.

Any service business can be thought of as a system comprising of service operation,

which inputs are processed and the service produced one created and services delivers, where
final “assemble” of these elements takes place and the produced is diverted to the customer. Part
of this system are invisible or otherwise apparent to customer, other parts are hided in what is
some times referred to as the technician and the customer may not even know of their existences.

Insurance service, tourism service professional service and service Marketing are
emerging as potential in the 21st century. The rapid growth of vice sector in India opened up
vistas, which was undreamed a decade ago. The globalization of the Indian economy, with the
shrinkage of time and space, including rapid communication of networks has brought about a
boom in the service industry leading to further decentralization and de-regulation making the I a
one market place for service for the potential customers.

BANKING MARKETING :

Earlier, the attitude about the marketing of banking service was

it was not professional to sell one’s service and unnecessary in the sense that
traditional relationship and quality of products were sufficient to carry forward
The evolution of marketing concept in the banking profession is traced
the west. Deryk Weyer of Barclays Bank came out by far with the
comprehensive definition of the bank marketing. He considered it is a consisting the most
profitable markets now and in future, assessing the present and future needs of customers
setting the business development goals, making plans to meet them, managing the various
serious and promoting them to achieve the plans all in the context of changing environment in
the market. is a right to mention that the conceptual exposition of bank marketing presented by
Weyer expanded the marketing area in the banking industry.

With the passage of time, we find significant development, which has further widened the
definition and scope of bank marketing. It is said that marketing should gear itself more to the
well being of the society and therefore the term social marketing has been coined. Hartley prefers
to call it responsive marketing which suggests an attuning or responding to the changing needs
customers, society and environment. In the responsive marketing, an organization naturally looks
to long-term profit goals. However, looks to the social dimensions with a different angle. He says
because marketing activities play an important persuasive role in the formation of public opinion,
marketing is unavoidably a social concern.

We find bank marketing an approach to give direction to banks vis-a-vis multi-

dimensional benefits to the different segments using the service banks. The modern marketing
principles are conceptualized in a right fashion make the ways for establishing a balance between
the organizational and social interests.
II. INTRODUCTION TO STUDY

The state bank of India, “the pioneers then, innovators now”, came into existence on the
nationalization of the imperial bank of India. The lending of funds constitutes the main business
of state bank of India. The major portion funds of state bank of India is employed by way of
advances as advances from the chief source of profits for banks. The lending funds to the public
by way of loans, overdrafts, cash credit and discounting of bills. And also it makes investment of
funds on securities is one of the important function of SBI. They invest a considerable amount of
their funds in government and industrial securities. State bank of. India would not have become
so prominent as they are today, if they merely borrow and lend money, they do something more
than this that is the manuf4cture or create money. Bank can create money by way of advancing
loans and other loan facilities.

It is significant to note that SBI cannot create only deposit but can also have multiple
expansion of deposits. Apart from performing the main function of accepting deposits and
granting advances, a banker perform a number of subsidiary or secondary services. By
performing the subsidiary services, a banker will be able to earn the goodwill of his customers
and attract fresh customers. The services rendered by the SBI not only to its customer, but to the
general public and industrialists toward the development of our economy.

It is very clear that it has done commendable work in the field of biking development,
rural credit industrial finance and foreign exchange business. It is one of the few public sector
enterprises, which have achieved the proposed targets and fulfill the expectation of the people.

In the words of P.C. Bhattacharyya the then chairman of SBI, The state bank of India has no
parallel in the history of Indian banking and perhaps, it has no parallel in the banking history of
any other country in the world.

III. STATEMENT OF A PROBLEM:

Apart from performing the main function of a accepting deposits, and granting advances,
a banker performs a number of subsidiary services. By performing the subsidiary services, a
banker will be able to earn the goodwill of his customer and altered fresh customer. The
subsidiary services of a banker may divided into two classes.

1. Agency service

2. Miscellaneous service
 To day in the competitive world, service industry becoming very progress as the
competition increases in the field of business, service industries are banking, insurances,
transportation ware housing etc.

As far as the banking is concerned, the banking system provides various facilities to
general public; his customers, businessman and other people etc. from those most of all are not
taking all these facilities of banking facilities. The facilities mayo subsidiary services or
miscellaneous services due to following reasons, They are:

1. Due to may be ignoring of banking facilities.

2. Due it may be lack of knowledge about banking.

3. Due to may be no marketing of banking services.

4. Due to may be no banks or bank branch in some areas.

5. Due to may be no trust on banking systems.

From this we can say that the banking resources are not fully utilized or inefficient utilization of
resources of banking.

IV. OBJECTIVES OF STUDY

1. To study the voyage of banking,

2. To study the voyage of State Band of India

3. To study the scope of State Bank of India

4. To study the classification and importance of banks

5. To study the lending of loans

6. To study details about various schemes of personal loans

7. To conduct a special research on professional, businessman and house wife regarding the
loans requirement with special reference to SBI

V. SCOPE THE STUDY

We have chosen Chikmaglur as a platform for our survey. This city and educationally
developed. It has population around 1.30 lakhs more than 40% of people depend upon business,
nearly 25% of the people ...g in plantation to earn their lively hood and 40-50% of population ion
job.
 This study covers businessmen, housewives and professionals, who 1 in different areas of
Chikmagalur city.

VI. METHODOLOGY OF STUDY:

For the purpose of conducting the study both primary and data have been considered

Primary Data

Data collected from 50 random selected respondents, this includes belonging to lower
income, middle income and upper income gains. These people represent different educational
background in Chikmaglur. The 50 respondents were surveyed with the help of questionnaire
given and primary data has been collected. The persons belo9nging to different age were
interviewed in an informal way

Secondary data:
The secondary data from the following:

 Internet
 Books of banking and law practices
 News papers
 Journals
 SBI books
 Date collected from SBI branch in Chikmagalur

In the age of electronic banking, the perception of bank marketing required a new vision.
This is due to the facts that use of sophisticated technologies by the banking organization has
made possible a major change in the quality of banking service. The word of mouth
communication makes possible smoothers transmission and the customer using the service of
manually adopted public sector commercial bank came to know about the quality of service their
counterparts already avail

 Bank marketing is a managerial approach to market the services

 It is social process to sub serve social interest
 It is a fair way of making profits
 It is an art to make possible performance - orientation
 It is professionally tested skill to excel competition

USERS AS BANKING SERVICES:

The users/customers constitute a place of out standing significance. The line of service,
the planning and development of survive the offering of service, the pricing strategies or the
interest changed for the service made available and the promotions strategies depend
substantially upon the nature and type of users using the services of an organization. it is against
this background.
VII. LIMITATIONS

1. Scope of the study is limited to Chikmagalur city due to the constraint of time.

2. Some of the respondents were unaware of banking knowledge, so they had given answers in
cautiously.

3. The maximum number of members are restricted to 50 only because of time constraint.

4. Utilizing the various scheme as loans, providing the SBI, to the general public is very less, due
to lack of banking knowledge and illiteracy in Chikmagalur city.