Savings Mobilization Expansion

Expanding Microsavings Market Expansion Training September 2011

Long Term View: Deposits increase with growth in depositor income over time ,[object Object],[object Object]

Marketing Perspective: Wide deposit base expands business opportunities for the bank ,[object Object],[object Object],[object Object]

Financial Impact: For a bank whose deposits fall short of loan portfolio, more deposits translates to more income Shortfall funded with Bills Payable at 9% Savings Account only pays 1% Potential savings

The target market will determine the selection of product attributes ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Choosing the market for deposit products is necessary steps to create products Households Enterprises Children Employees Utility companies Fishermen Farmers Out-of-town Workers Teachers

An effective deposit product matches the needs of target market ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Savings Booster Example: Raffle Promotion to Mobilize Savings ,[object Object],[object Object]

Result 1 for Bank A: Deposit increased with the raffle promotion ,[object Object],[object Object],[object Object],Notes: (1) Voluntary deposits refer to deposits excluding contractual deposits. (2) Voluntary deposits presented here refer to average of monthly balances.

Result 2 for Bank A: Promotion accelerated deposit accumulation during and after the promotion period Notes: (1) Voluntary deposits refer to deposits excluding contractual deposits. (2) Growth rate is based on average of monthly year-on-year growth rates for the period. ,[object Object],[object Object]

Result 3 for Bank A: Promotion increased average balance over the long run ,[object Object],[object Object],Notes: (1) Voluntary deposit refers to all deposits excluding contractual savings. (2) Growth rate is based on average of monthly year-on-year growth rates for the period.

Result 1 for Bank B: Deposits grew rapidly during promotion period 161 163 169 188 Notes: Deposits refer to all voluntary deposits only. Growth rate is based on average of monthly year-on-year growth rates for the study duration. 205 ,[object Object],[object Object]

Result 2 for Bank B: Raffle Promotion reversed the declining number of deposits trend Notes: (1) Deposits refer to voluntary deposits only. (2) Growth rate is based on average of monthly year-on-year growth rates for the study duration. ,[object Object],[object Object]

Result 3 for Bank B: Depositors boost their account balances since promotion Notes: (1) Deposits refer to voluntary deposits only. (2) Growth rate is based on average of monthly year-on-year growth rates for the study duration. ,[object Object],[object Object]

Savings Booster Product: Savings Account for Young Depositors ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Microsavings Booster: Public concert with celebrities ,[object Object],[object Object],[object Object],[object Object]

Summary ,[object Object],[object Object],[object Object]

Savings Mobilization Expansion

Recommended

Recommended

More Related Content

Viewers also liked

Viewers also liked (20)

Similar to Savings Mobilization Expansion

Similar to Savings Mobilization Expansion (20)

More from MABSIV

More from MABSIV (20)

Recently uploaded

Recently uploaded (20)

Savings Mobilization Expansion