1

LOVELY PROFESSIONAL UNIVERSITY DEPARTMENT OF MANAGEMENT

Report on Summer Training

Sales

of Demat Cum Online Trading Account and Marketing Strategies of Share khan
Submitted to Lovely Professional University

In partial fulfillment of the Requirements for the award of Degree of Master of Business Administration Submitted by: ANGAD SINGH MEHTA 3020070096.

DEPARTMENT OF MANAGEMENT LOVELY PROFESSIONAL UNIVERSITY JALANDHAR NEW DELHI GT ROAD PHAGWARA PUNJAB

TABLE OF CONTENT
Certificate Acknowledgement Executive summary

CHAPTER 1. INTRODUCTION
1.1 Introduction to the Topic 1.2 Objective of the Stud 1.3 Literature review

1.4 Introduction of Stock Market 1.5 History of online trading

CHAPTER 2. COMPANY PROFILE

2.1 About the Company 2.2 Company Profile 2.3 Share khan is in fact 2.4 Reason to choose share khan ltd.

CAPTER 3.PRODUCTS AND SERVICES OF SHARE KHAN LIMTED

3.1 Types of products 3.2 Services offered by share khan 3.3 Process of account opening 3.4 Document required CHAPTER 4. MARKETING STRATEGIES OF SHAREKHAN

4.1 Marketing Strategies

4.2 SWOT Analysis

CHAPTER 5. OBSERVATIONS AND ANALYSIS

5.1 Data Analysis 5.2 Interpretation

CHAPTER 6. FINDINGS AND RECOMMENDATION

6.1Findings 6.2 Recommendation.

CHAPTER 7. CONCLUSION CHAPTER 8 LIMITATIONS

CERTIFICAT E

This

is

to

certify

that

Mr.Angad

Singh

Mehta

student

of

BBA-

MBA(integrated)Lovely professional university, Punjab has carried out project work on the topic of sales of Demat Cum Online Trading Account and marketing strategies of Share khan securities pvt. Ltd. under my guidance is his original work done. He has put a lot of efforts, hard work.

He has done good work with us I wish him all the best for bright future.

Project Guide

ACKNOWLEDGEMENT

A project is never the work of an individual. It is moreover a combination of ideas, suggestions, review, contribution and work involving many folks. It cannot be completed without guidelines. My sincere regards to my Project guide ------------------------------- for her invaluable guidance and encouragement through out this project. Last but not the least my sincere thanks to all the faculty members of LPU for providing their help and advice whenever it was needed.

EXECUTIVE SUMMARY

Conceptually the mechanism of stock market is very simple. People who are exposed to the same risk come together and agree that if anyone of the person suffers a loss the other will share the loss and make good to the person who lost. The initial part of the project focuses on the sales of types of the products of the company, and also focuses on the acquisition of the customer. The job profile is to create customer, making good relationship with them to have their references and motivating them to trade for the company benefit and their profit. It also enlightens the readers about the Sharekhan strategies to acquire the customer base. Further the project tells us about the profile of the company (SHARE KHAN). It provides knowledge to the readers about the companys history, mission, customer base and about the company in detail. and management of the company. Also it gives special emphasis on the selling of products and management of the company. Also it gives special emphasis on the selling of products. The next chapter is devoted to study the comparative analysis of the competitors and the SWOT analysis, which tells about the Share khan edge over its competitors. This project leads us towards the job descriptions and difficulties faced by me. The next part of the project throws light upon my findings and analysis about the company and the suggestions for the company for better performance. During this project I have been given the responsibility of creating customer, handling team, generating leads.

CHAPTER 1. INTRODUCTION
INTRODUCTION OF THE TOPIC The topic is to study the consumer preference towards investment in stock market. DEMAT A/C is a pool of various scripts and securities, where as online trading A/C is a tool of purchasing/ selling of shares or scripts online. These scripts are then transferred to DP i.e. Depository account after three days. This topic includes the practical experience of selling company product that is followed by studying the consumer preference or interest towards share market. This is a market, which is uncertain some time it gives huge profit and also vice versa; it depends up on the investment c u s t o m e r m a d e . This is a better option to have better returns on the investments then investing in banks, mutual fund or bonds et. But risk is high in this case. This product o f f e r s customer two t y p e of investment option INTRADAY and DELIVERY both has there own benefits and limitation but a better way to have more returns on investment. Intraday means investing in share market for a day i.e. purchasing and selling of the share in one day. Delivery is purchasing share and selling those shares next day. The charges that company charge in terms of brokerage is different in both the cases.

OBJECTIVE OF THE STUDY

Main Objective

The main objective is selling of the DMAT Account cum Online Trading Account. i. Specific Objective a) Creating customer; b) Marketing of the product; c) Creating relationship with the customer to have there sources; d) Motivating customer for trading;

LITERATURE REVIEW

GENERAL INTRODUCTION

Dematerialization
The dematerialization system is an alternative to the physical existence of securities. In this system securities are converted into the electronic form and deposited in a depository account in the investors name. In order to dematerialize certificates, an investor will have to first open an account with a DP and then certificates by request for filling the dematerialization up of a Dematerialization Request

Form (DRF), which is available with the DP, and submitting the same along with the physical certificates. The investor has to ensure that before the certificates are handed

10

over to the DP for demat, they are defaced by marking "Surrendered for Dematerialization" on the face of the certificates.

Procedure for selling dematerialized securities The procedure for selling dematerialized securities in stock exchanges is similar to the procedure for selling physical securities. Instead of delivering physical securities to the broker, you instruct your DP to debit your account with the number of securities sold by you and credit your broker's clearing account. This delivery instruction has to be given to your DP using the delivery instruction booklet received from the DP at the time of opening the account. The procedure for selling securities is given here below:

Investor sells securities in any of the stock exchanges linked to NSDL Through a broker.

Investor gives instruction to DP to debit his account and credit the broker's (Clearing member pool) account.

Before the pay-in day, investor's broker gives instruction to his DP for delivery to clearing corporation

The broker receives payment from the stock exchange (clearing corporation).

The investor receives payment from the broker for the sale in the same manner payment is received for a sale in the physical mode.

11

Introduction of Stock Market

Indian Stock Markets are one of the oldest in Asia. Its history dates back to nearly 200 years ago. The earliest records of security dealings in India are meager and obscure. The East India Company was the dominant institution in those days and business in its loan securities used to be transacted towards the close of the eighteenth century.

By 1830's business on corporate stocks and shares in Bank and Cotton presses took place in Bombay. Though the trading list was broader in 1839, there were only half a dozen brokers recognized by banks and merchants during 1840 and 1850. The 1850's witnessed a rapid development of commercial enterprise and brokerage business attracted many men into the field and by 1860 the number of brokers increased into 60. In 1860-61 the American Civil War broke out and cotton supply from United States of Europe was stopped; thus, the 'Share Mania' in India begun. The number of brokers increased to about 200 to 250. However, at the end of the American Civil War, in 1865, a disastrous slump began (for example, Bank of Bombay Share which had touched Rs 2850 could only be sold at Rs. 87).

In 1887, they formally established in Bombay, the "Native Share and Stock Brokers' Association" (which is alternatively known as "The Stock Exchange"). In 1895, the Stock Exchange acquired a premise in the same street and it was inaugurated in 1899. Thus, the Stock Exchange at Bombay was consolidated. Thus in the same way, gradually with the passage of time number of exchanges were increased and at currently it reached to the figure of 24 stock exchanges.

12

HISTORY OF ONLINE TRADING:

Online stock trading is very old concept for big institutions who trade thru private networks owned by Reuter's "Instinet" and a system called "Posit" since 1969. But it becomes internet based for lay men only in late 90s. Funny, that actually idea was first time used by a company making Beer called "WIT beer" to help its shareholders trade its shares. Thats how "WIT Capital" was born which is considered pioneer of this concept. It was made mainstream and household name by a offshoot of Charles Schwab & Co called eSchwab which is used by millions of people in USA. Lot of NRI's i know play in US stock market even when they come to India for holidays via website of eSchwabe. There are other serious players like E*trade, DATEK online etc. All this companies ask you to start account with US $5000 and you can buy and sell stock using these funds. They also issue you a check book which you can use to make payments from this account. Or use their ATM card to withdraw cash from your stock trading account. Today practically every big name brokerage firm offers online stock trading as it reduces their costs. Earlier they had army of brokers on phone with clients executing trade, which is done by computers accepting orders from clients directly. This firm now offers human access to high net worth accounts, and to rest at charge per trade.

13

Company Profile

Share khan Ltd. is one of the leading retail stock broking house of SSKI Group which is running successfully since 1922 in the country. It is the retail broking arm of the Mumbaibased SSKI Group, which has over eight decades of experience in the stock broking business. Share khan offers its customers a wide range of equity related services including trade execution on BSE, NSE, Derivatives, depository services, online trading, investment advice etc. The firms online trading and investment site - www.sharekhan.com was launched on Feb 8, 2000. The site gives access to superior content and transaction facility to retail customers across the country. Known for its jargon-free, investor friendly language and high quality research, the site has a registered base of over one lakh customers. The content-rich and research oriented portal has stood out among its contemporaries because of its steadfast dedication to offering customers best-of-breed technology and superior market information. The objective has been to let customers make informed decisions and to simplify the process of investing in stocks.

14

On April 17, 2002 Share khan launched Speed Trade, a net-based executable application that emulates the broker terminals along with host of other information relevant to the Day Traders. This was for the first time that a net based trading station of this caliber was offered to the traders. In the last six months Speed Trade has become a de facto standard for the Day Trading community over the net. Share khans ground network includes over 331 centers in 137 cities in India which provide a host of trading related services. Share khan has always believed in investing in technology to build its business. The company has used some of the best-known names in the IT industry, like Sun Microsystems, Oracle, Microsoft, Cambridge Technologies, Nexgenix, Vignette, Verisign Financial Technologies India Ltd, Spider Software Pvt Ltd. To build its trading engine and content.

PROFILE OF THE COMPANY : Name of the company Year of Establishment Headquarter : Sharekhan ltd.
: 1925

: ShareKhan SSKI
A-206 Phoenix House Phoenix Mills Compound Lower Parel Mumbai - Maharashtra, INDIA- 400013

Nature of Business Services

: Service Provider
: Depository Services, Online Services and Technical Research.

15

Number of Employees Website Slogan

: Over 3500

: www.sharekhan.com

: Your Guide to The Financial Jungle.

Vision :
To be the best retail brokering Brand in the retail business of stock market.

Mission :
To educate and empower the individual investor to make better investment decisions through quality advice and superior service.

Sharekhan is in fact Among the top 3 branded retail service providers No. 1 player in online business Largest network of branded broking outlets in the country serving more than 7,00,000 clients.

Get everything you need at a Sharekhan outlet!

16

All you have to do is walk into any of our 640 share shops across 280 cities in India to get a host of trading related services - our friendly customer service staff will also help you with any accounts related queries you may have.

A Share khan outlet offers the following services:

Free access to investment advice from Sharekhan's Research team Sharekhan Value Line (a monthly publication with reviews of recommendations, stocks to watch out for etc)

Daily research reports and market review (High Noon & Eagle Eye)

Pre-market Report (Morning Cuppa)

Daily trading calls based on Technical Analysis

Personalized Advice

Live Market Information

Internet-based Online Trading: Speed Trade

Commodities Trading

REASON TO CHOOSE SHAREKHAN LIMITED Experience :

SSKI has more than eight decades of trust and credibility in the Indian stock market. In the Asia Money broker's poll held recently, SSKI won the 'India's Best Broking House for 2004 ' award. Ever since it launched Sharekhan as its retail broking division in

17

February 2000, it has been providing institutionallevel research and broking services to individual investors.

Technology :
With its online trading account one can buy and sell shares in an instant from any PC with an internet connection. One can get access to its powerful online trading tools that will help him take complete control over his investment in shares.

Accessibility :

Sharekhan provides ADVICE, EDUCATION, TOOLS AND EXECUTION services for investors. These services are accessible through its centers across the country over the internet (through the website www.sharekhan.com) as well as over the Voice Tool.

Knowledge :

In a business where the right information at the right time can translate into direct profits, one can get access to a wide range of information on Sharekhan limiteds content-rich portal. One can also get a useful set of knowledge-based tools that will empower him to take informed decisions.

Convenience :
One can call its Dial-N-Trade number to get investment advice and execute his

Transactions. Sharekhan ltd. has a dedicated call-centre to provide this service via a Toll Free Number 1800-22-7500 & 1800-22-7050 from anywhere in India.

Customer Service :

18

Sharekhan limiteds customer service team will assist one for any help that one may require relating to transactions, billing, demat and other queries. Its customer service can be contacted via a toll-free number, email or live chat on www.sharekhan.com.

Investment Advice :

Sharekhan has dedicated research teams of more than 30 people for fundamental and technical researches. Its analysts constantly track the pulse of the market and provide timely investment advice to its clients in the form of daily research emails, online chat, printed reports and SMS on their mobile phone.

PRODUCTS AND SERVICES OF SHAREKHAN LIMITED

19

TYPES OF THE PRODUCTS

1. CLASSIC ACCOUNT: - T h i s a c c o u n t a l l o w s t h e c l i e n t t o t h e

t r a d e t h r o u g h o u t website and is suitable for the retail investors. Our online trading website also comes with the Dial Trade service that

20

enables you to buy and sell shares by calling their dedicated toll free number

2. SPEEDTRADE: - SPEEDTRADE is a next-generation online trading

product that brings the power of your brokers terminal to your PC. It is ideal for a c t i v e t r a d e r s w h o t r a n s a c t f r e q u e n t l y d u r i n g d a y s trading session c a p i t a l i z e o n i n t r a - d a y p r i c e m o v e m e n t s . S P E E D T R A D E i s a n internet-based application available on a CD, which provides every-thing a trader needs on one screen, thereby, reducing the required to execute trade. SPEEDTRADE has all the abovementioned features with the power to trade in cash and derivatives from a single screen.

21

SERVICES OFFERED BY SHAREKHAN

1. T r a d i n g

F a c i l i t i e s : sharekhan as a member of NSE& BSE

p r o v i d e s b o t h o f f l i n e a n d o n l i n e t r a d i n g f a c i l i t i e s nationwide for trading the securities in secondary market to its clients. The companys wide network of outlets spread across the country facilities to executive the orders in secondary market.
2. D e r i v a t i v e s : ( F u t u r e s a n d O p t i o n s ) : - - The Company also facilitates

the trading system for trading in secondary market under future and options segment of NSE and BSE. The equity dealers in the company will be eager to give insights into the new sets introduction in the Indian Capital Market futures and options
3. D e p o s i t o r y

s e r v i c e s : - sharekhan is a Depository participant of

National Securities Depository Limited and Central Depository and Securities Limited. Sharekhan will open De-mat accounts, which will investors to convert physical certificates of shares into electronic balances in an account maintained.
4. M a r g i n

F i n a n c i n g : In the present rolling settlement scenario, purchaser shares. It offers unique facility avail

Sharekhan understand investor need for additionalc a p i t a l a v a i l a b i l i t y for daily f i n a n c e , f o r purchasing shares at very competitive interest rates.
5. I P O s

and

Mutual

Funds:

Sharekhan offers the change of a

investing in the potentially lucrative IPO market. Sharekhani s

distribution house for all mutual funds. This is the news scheme

22

i n t r o d u c e d b y t h e company and it also offers schemes catering to investors with varying risk return profiles
6. S t o c k l e n d i n g a n d B o r r o w i n g : One can place an order of shares

with Sharekhan. It is approved intermediary of the security or lending scheme. These would be sent out the borrowers, these earnings fees for allinvestors idle shares. Thus Sharekhan fulfil the investor need for borrowing and lending of share
7. Internet Trading: - I n v e s t o r s c a n a l s o t r a d e t h e i r s e c u r i t i e s t h r o u g h

t h i s f a c i l i t y b y l o g g i n g i n t o c o m p a n y s website. The virtual world that Sharekhan offers online trading services through.

PROCESS ON ACCOUNT OPENING

LEAD MANAGEMENT SYSTEM (LMS)/ REFERENCES CONTACT

TELEPHONE AND PERSONAL VISIT

APPOINMENT

23

DEMONSTRATION

AGREE

DISAGREE

NO

DOCUMENTATION

FILLING THE FORM

SUBMISSION THE FORM LOGIN OF THE FORM

SENDIND ACCOUNT OPNING KIT TO CUSTOMER

24

TRADING DOCUMENTS: 1) Photo ID Proof

2) Residence Proof (Permanent) Pan Card Voter's ID Passport (valid) Driving License (valid) Bank Statement (latest) Telephone Bill (latest) Electricity Bill (latest) Ration Card 3) Two Photographs (Passport size) ACCOUNT OPENING CHARGES

Charge

Classic Account

Speedtrade Account

25

Account Opening

Rs. 500/=

Rs. 750/=

Intraday-0.10% Delevery-0.50% on Brokerage conversation with rahim not general

Intrady-0.10% Delevery-0.50%

CHAPTER 4. MARKETING STRATEGIES OF SHAREKHAN Marketing strategy? A strategy that focuses on developing a unique long-run competitive position in the market by assessing consumer needs and the firm's potential for gaining a competitive advantage.

A business approach to marketing its products/ services expresses in broad terms, which forms the basis for developing a marketing plan.

Marketing starts with market research, in which needs and attitudes and competitors' products are assessed, and continues through into advertising, promotion, distribution, and, where applicable, customer servicing and repair, packaging, and sales and distribution.

26

The broad marketing thinking that will enable an organization to develop its products and marketing mixes in the right direction, consistent with overall corporate objectives.

MARKETING STRATEGIES OF THE COMPANY

Tele

Calling:

The company uses the tele calling/ phone calling to reach the customer, which are interested. This is the most important technique to save time and giving demo of the companies product through making call in order to know the customer interest towards the product. This is the strategy with which one can motivate customer to go for the product and etc.
v

LMS: It is leads management system which means leads are generated by the customer who want to purchase the product of the company. Company provide facility to the customer on online to fill the registration form through which the companies executives can provide more information to the customer.
v

Yellow

Pages: Yellow pages are used to gather data for making calls so that customer who did not fine time and are unaware of the product can know about the product. Customers are given freedom to ask question related to the products this is the technique used to increase the awareness of the company.
v

Canopys: This is the most important technique used by sharekhan securities to market its

27

product in different areas of the city, company put their canopies and customer who are willing to know about the product come forward and provide best of their knowledge. fill Besides this companies executives ask customer to the questionnair that tells the company about the levels of brand

awareness. It also increases the product awareness because it is generally put at the crowdies places like near main markets, cinema s, hotels, ATM or etc where people come in good numbers.
v

Direct Marketing

Sharekhan executives reaches to the doors of the customer by fixing appointments with the interested customer, they describe the details of the product. Executive give demonstration of the products so that customer can understand better.
v

Advertising:

Advertising is the most important tool of increasing awareness of the product and this is the most widely used technique by the company to tell about the new features and new lunch by giving briefing of the product. Sharekhan use banners, distribution of pamphlets, and advertisement in newspapers, magazines.
v

References:

Sharekhan strategy is to satisfy the customer in terms of their need by providing them timely services and knowledge about the trade in equities, mutual funs by giving tips for investment advises through e-mails or toll free calls for this purpose customers are provided relationship manager who give investment advise and also make transaction on their behalf on demand. B satisfying customer executives ask their references that not only increase the awareness but also increase the good will of the company.
V Competitiveness:

The company is innovative and uses the latest technology

to

improve

the

product to fulfill the demands of the customers. Share khan makes it easy for

28

the customer to make online transaction of shares. The company is competitive in terms of the product price and facilities it offers to the customer.

29

SWOT ANALYSIS

A SWOT analysis focuses on the internal and external environments, examining strengths and weaknesses in the internal environment and opportunities and threats in the external environment. STRENGTH S
Services

As a product Sharekhan is a extremely innovative product with very less cost. Services like online trading facility, institutional and domestic broking, customized research reports with almost 80% efficiency etc give Sharekhan an edge over its competitors. Sharekhan provides other support services that make retail investors more

30

confident and assured with their trading. SMS alerts (allowing traders and investors to make the most of the available opportunities), Softer, intangible features like imagery, equity driving preference. Through efficient trading processes Investors can place their orders directly on the Internet, do all the information seeking and basically own the investing process.
Distribution Network

Sharekhan with almost 250 branches spread across 123 cities beefed up by comprehensive online research, advice and transaction services. In near future expect to make 200000+ retail customers being serviced through centralized call centre / web solution, 60 branches/semi branches servicing affluent/aggressive traders through highly skilled financial advisors, 250 independent investment managers/franchisees servicing 50000 highly valued clients, strong advisory role through Fundamental & technical research and new initiatives are being made in Portfolio Management Services & Commodities trading.
Marketing

Sharekhan is a product of SSKI, a veteran equities solutions company with over decades of experience in the Indian stock markets. Sharekhan does not claim expertise in too many things. Share khans expertise lies in stocks and that's what it talks about with authority. So when he says that investing in stocks should not be confused with trading in stocks or a portfolio-based strategy is better than betting on a single horse, it is something that is spoken with years of focused learning and experience in the stock markets.
Products

Companys product line is quite flexible in the sense that there is a product for every kind of investors. Also all the products cover all the loopholes of all the products offered by the other competitors like low cost, user-friendly online trading services etc.

31

WEAKNESS
Customer Satisfaction

As far as customer satisfaction goes Sharekhan has to tighten their socks. Many broking house catering to heavy investors or small segment of the market can afford to and does provide relationship managers for their customers, who can understand the trading needs of individual customers, and advise accordingly. However, a broking house like Sharekhan, which caters to the mass segment, is in no position to provide relationship managers for individual customers.

Branding

Though the company has a efficient products but large part of investment interested population does not know the company. The most basic expectation for a trader or investor when one begins trading is that one must get timely delivery of shares and proceeds from sale of shares. Also ones cash balances with the broker must be safe and secure. Though this confidence in the broker comes with time and experience, good and transparent practices also play a major role in imbibing confidence in traders.
Competition from banks

Most of the banks due to good branding have the faith of the customers of their banking database. So they enjoy the liberty of huge database and customers find it more reliable to trade there rather than with a unknown broker. Also banks like HDFC Bank and ICICI Bank have the advantage of linking the trading accounts of their customers to saving accounts. This makes trading easier, and at the same time a trader withdraws

32

Exactly as much money from his account as is needed to complete the trade. Similarly sales proceeds are credited directly to saving account.

OPPORTUNITIES The external environment analysis may reveal certain new opportunities for profit and growth.
Ever-increasing market

After the NSE brought the screen based trading system stock markets are now more secured which has attracted lot of retail investors and the demand is increasing day by day. This has resulted in improved liquidity and heavy volumes on transactions. Sharekhan is one of the early entrants here. As to how much it will roar and how swift it can swoop on the market, the future alone can answer such queries. Sharekhan has been a mega player and is known for being a mover of stocks. It is also known for putting big deals through and enjoys good networking with the FIIs. It has been dynamic enough to move with the times and capture the opportunities that the market throws up from time to time.
Improving Technology

In country like India technology is always improving which gives the company a chance to keep on improving their product with time whereas for the small players like local brokers it will be difficult to keep the same pace as the changing technology. Also with SEBI lying down some strict guidelines small brokers are finding it harder to retain the customers with no research department and small capital. The traditional business model is highly dependent on a large network of sub-brokers, and many established

33

players may not have systems (technology, customer service, etc.) capable of directly servicing so many retail customers.

Unfulfilled needs of the customers

With so many competitors offering their products in the market but no one is able to completely satisfy the customers. Some have the problem of lack of information or some were scared of volatility of the stock markets. Sharekhan has the opportunity to tap this unsatisfied set of customers and to make hold in the market. The Internet serves to break all barriers to information, as it offers an extremely hassle-free investing platform. And, Sharekhan hopes to fully utilize and capitalize on this platform. This original idea by Sharekhan itself was born out of the consumer's need for a more transparent, easy to understand and convenient option of investing in stocks.

Education Level

The education level in the country is improving year after year as far as technology goes. With that the understanding of the stock market is also increasing and a lot of retail investors are steeping in the markets which is being shown by increasing volumes, transactions and indices. THREATS
New Competitors

A lot of new competitors are trying to enter the market in this bullish run to taste the flavor of this cherry. This is creating a lot of competition for large players like Sharekhan and it is creating little confusion in the minds of the customers about the services provided by the broker. Also many banking firms are entering into the market with huge investment. Competitors like icici, kotak, hdfc, 5-paisa etc. are posing a lot of

34

threats to the company.

Technology based business

Online trading is totally based on the technology, which is quite complex. Typically, the technology solution has to start from the Internet front-end (or the screen that you see when you begin trading). Then it needs to get into the 'middle tier' of risk management systems that assess data from banks and depository participants (DP), calculate client risk at that point in time, and give the 'Go/No go' advice to the trade. So technology is a kind of threat because unless until it is working properly it is good but Internet is not that safe. Though a lot of cyber laws are being made but not yet executed.

35

CHAPTER 5. OBSERVATIONS AND ANALYSIS

DATA ANALYSIS 1 Market share of share-khan securities COMPANY MARKET SHARE

ICICI SHAREKHAN India bulls 5 paisa Others

28% 24% 22% 20% 6%

Graphical representation of the above data The above data describes the market share of the sharekhan competitors in which share khan has the second highest market share among all its competitors heaving customer base of more then or approximate 4.5 lack.

36

2 COMPETITORS BROKERAGE COMPARISION

The above is the detail of the companies brokerages in which sharekhan has competitive brokerage over others in which there reduction of the brokerage depending upon the deal between client and the customer

4 COMPANY MARKET SHARE

ICICI SHARE KHAN INDIA BULLS 5 PAISA HDFC

7 4.5 2.5 2.4 1.5

The above graph shows the market share of the customer we are at position no two heaving customer base of around 4.5 lakh customer, ICICI heaving the maximum and HDFC has the minimum customer

CHAPTER 6. FINDINGS AND RECOMMENDATION FINDINGS According to the study of the project report and company the following findings are:

According to graph one icici has the maximum market share and sharekhan is at position no 2. sharekhan has a competitive product feature and services that makes it possible to reach at this position

37

According to graph two SHAREKHAN has brokerage less then ICICI and HDFC but Same as INDIABULLS but more then other competitors. Brokerage is the main concern for the customer thus company provide some negotiation flexibility in brokerage charges, in terms of brokerage we are better then the ICICI and HDFC company charge less form the customer for the same purpose and providing better service.

According to Graph no 3, which shows the total no of customer, sharekhan has the second largest customer base with 4.5lakh among its competitors.

38

RECOMMENDATIONS

Company has an advantage of reach tips for which sharekhan s known for, the customer who are new they need relationship managers who will tell them about investment so it should be provided to al the customer on demand this will lead to customer satisfaction and will hip to have more references from the satisfied customer.

The company also have the advantage of brokerage charges it need some revision so that the customer who are locking for the less brokerage can open there account in are company taking into consideration the different proposal, it can be reduced for a HNI client.

The company has shown the growth trend and it has reached at no 2 it can move to no one because it has an advantage of its services. As sharekhan is already tieup with 7 banks for online fund transfer that reduces the paper work for customer and ease in trading.

The company can increase the customer base if the account opening charges it reduced from 750 to 400, which will give, boost the

competition.

The company should revise the advertising strategy to increase its brand awareness. I suggest making advertisement on television so that maximum market can be targeted.

39

CHAPTER 7. CONCLUSION
After studying the project I would like to conclude that

Company should focus on customer satisfaction at every levels of the account opening procedure.

Brokerage can be reduced with the attractive proposals for the HNI. Relationship manager should be given on the customer demand. Company should use the tool of advertising for marketing the brand and the product. Reduction in brokerage would attract the customer of Indiabulls, 5 Paisa and other competitors heaving less brokerage then us. It would increase the market share or client acquisition.

The account opening time should be reduce to maximum 5 days because customer losses the opportunity of investments.

The company shows the positive trend in growth but it can be increased more if it focuses on building the brand equity.

CHAPTER 8.LIMITATIONS
Lack of awareness of Sharekhan and stock market: Since the area is not known before it takes lot of time in convincing people to start investing in shares primarily in IPOs. Some people are comfortable with traditional system: As people are doing trading from there respective brokers, they are quite comfortable to trade via physical form of paper, they want to trade off line, i.e. through telephone or etc.

40

Lack of Techno Savvy people and poor internet penetration: Since most of the people are quite experienced and also they are not techno savvy. Also Internet penetration is poor in India. Some respondents are unwilling to talk: Some respondents either do not have time or willing does not respond, as they are quite annoyed with the phone call. Inaccurate Leads: Sometimes leads are provided which had error in it, which varies from only 5-digit phone number to wrong phone number, some people have registered to know about their personal quarries. They are the unsatisfied clients of the company. Misleading concepts: Some people think that as all the shares are in electronic form and they dont have any physical proof. Sometimes this leads to a great misconception of the entire process.