The document summarizes a benchmarking study of visibility for L&T Mutual Fund compared to other major mutual fund companies in India. Key findings include: - HDFC scored highest on onsite and online visibility while Kotak scored highest for visibility in distributor magazines. - L&T Mutual Fund scored in the middle of the pack on most visibility metrics and has opportunities to improve online visibility and distributor magazine presence. - Recommendations include increasing advertising, developing innovative marketing tools, strengthening relationships with distributors, and improving the online experience for investors.

1. Benchmarking L&TMF visibility vis-à-vis other MF industry players
By- Prem Agarwal (Summer Trainee)
L&T Investment Management Ltd.

2. Presentation Content
 Project Guidelines
 AMCs selected for benchmarking
 Visibility – Report Card
 Onsite Visibility
 Online visibility
 Distributor magazine
 Investor Connect
 Give away
 Office adoption concept
 Relationship managers
 Highlights
 SWOT analysis
 Developing and positioning our brand image
 Acknowledgement and bibliography

3.  Project was initiated on 28th May 2012 and was completed on 27rd June 2012
 The survey was carried out in Mumbai from 2nd June 2012 – 23rd June 2012
 The candidates were randomly selected from extensive list of empanelled distributors with L&TMF
 Individual Financial Advisors, National Distributors & Banks were the survey candidates
 Candidates details-
 The surveys were carried out basis a one pager questionnaire consisting of four parameters
 The parameters of the survey were, “Onsite visibility, Online visibility, Distributors
Magazine and Investor Connect”
Project guidelines
Candidates Count (34) % of total
IFA 13 38
ND Branches 17 50
Bank 4 12
Total 34 100

4. Separate weights were assigned to each parameter –
Parameter Weights (%)
Onsite 40
Online 15
Distributor Magazine 30
Investor connect 15
Overall 100
 Two parameters were to be scored on a scale of 1 to 10, (1 – poorest ;10 – best)
 The other two parameters were to be scored basis their presence of AMCs in distributor magazine(17
nos.) and website(20 nos.)
 Weighted Average Method has been followed for computation of data
 More than 80% of the candidates surveyed have an industry experience of 5+ years as an attempt to
capture valuable data
Project guidelines – cont...
The respective weights have been
allotted keeping
expense and relative returns in mind

5. AMCs selected for benchmarking
Sr. No AMCs chosen for benchmarking
1 Birla Sun Life AMC Ltd.
2 DSP Blackrock Investment Managers Pvt. Ltd.
3 HDFC AMC Ltd.
4 HSBC Asset Management (India) Pvt. Ltd.
5 ICICI Prudential AMC Ltd.
6 IDBI AMC Ltd.
7 IDFC AMC Ltd.
8 Kotak Mahindra AMC Ltd.
9 LIC NOMURA Mutual Fund AMC Ltd.
10 Reliance Capital AMC Ltd.
11 Religare AMC Ltd.
12 SBI Funds Management Private Limited
13 Sundaram AMC Ltd.
14 Taurus AMC Ltd.
15 UTI AMC Ltd.

6. VISIBILITY - Report card

7. Visibility - Report Card (40% + 15% + 30% + 15%)
Score on 100
49
47 47
41 38
33 31
26 25 23 21 21
15 14
11 11
0
10
20
30
40
50
60
Total of all 4 Parameters
Survey Output of L&TMF empanelled distributors only

8. VISIBILITY PARAMETERS - individual performance

9. Onsite visibility
IFA office, Fort
68 67 67
61
58
49 49 47 47
43 43
34
29
25 24
19
0
10
20
30
40
50
60
70
80
Based to 100

10. Onsite visibility cont…
Leaflet and Product notes
are used while selling
funds and the
only source of handout
for investors
On Field observations – “three way visibility”
Brand
Only
Notepad
Chit pad
Mouse
pad
Marker
Pen
Paper
Holders Product
Fund Track
Record
Poster
Application
Form
General
SIP
Calculator
Planners

11. Onsite visibility – cont…
 Commonly visible - Chit pad
 Occasionally visible – Paper holder, Banner and Poster
 Completely Missing - Innovative tool like SIP calculator etc
 A durable and useful desktop item for distributors desk – should be worked upon
 “Track record” of a past performing fund –on small banners ,the best attention seeker
 Designing a planner (e.g. SIP calculator) - attractive and simple and easy
 Performance Award certificates - as an acknowledgement of efforts and initiatives
Visibility of L&TMF
Action points

12. Online visibility
45
20
15 15 15
10 10 10 5 5 5 0 0 0 0 0
0
10
20
30
40
50
Based to 100
Survey Output from distributors websites (20 nos.)

13. Online visibility – cont…
Visibility
a
• Brand logo - flash
b
• Activated links on
distributors website
c
• Upgrading Technology –
e.g. mobile application
d
• Co-promotion – “Fund and
social awareness”
Observations
 NDs and some IFAs prefer using self made “Tools
and Planners” (e.g. Blue Chip and NJ India Inv.)
 Website usage – priority wise
• Evaluation of fund performance
• Downloading forms
• Seeking information on products & registrars
for servicing
 Fund selling works mostly on the word of mouth -
audio video presentation is not a preferred option
 A live chat messenger (responding to investor)
service preferred
 Less number of flash of L&TMF logo on the
websites of empanelled distributors (from
websites chosen in survey)

14. Mobile subscription online - NAV update facility

15. Live chat facility provided by UTI MF
(Online mobile application provided by HDFCMF on their website)

16. 45
20
15
0
5
10
15
20
25
30
35
40
45
50
HDFC Reliance ICICI, L&T, UTI
Online visibility – cont…
1st
2nd
3rd
Observations from the top three rankers on this parameter -
 Score difference of 30, between HDFC & L&TMF
 This potential gap to compete with the best
 Adopt immediate measures to fill the potential gap, by extensive advertising
 Develop advertisements which are motivating with deep and impactful message
 Utility featured software every time a distributor sells our fund
 Constant follow-up on updating links on IFA websites
 Installation of live chat messenger facility
 Establishing tie-ups for constant logo flash on websites (distributor and social)
Action Points

17. Distributor magazines
76
53
29 29
18
12 12 12 6 6 6 6 0 0 0 0
0
10
20
30
40
50
60
70
80
90
Based to 100
Survey Output from distributors magazines (17 nos.)

18. Distributor magazines – cont…
76
53
29
0
10
20
30
40
50
60
70
80
Kotak L&T Reliance, HSBC
1st
1st
2nd
 Score difference of 23, between Kotak and L&T
 This potential gap to compete with the best
Observations
There are many IFAs who are short of funds and thus do not publish magazine or bulletin.
Advertisement in circulars or magazines have heavy involvement of management decisions.
Banks have stopped publishing magazines or bulletin
There is a high amount of legal and compliance mandate being followed before promoting brands of other
products in case of banks

19. Distributor magazines – cont…
Action Points
An expert comment or article from the fund manager or the CEO of L&TMF in every issue of distributor
magazine would prove “an extra mile effort”
Co branding for IFAs in magazines would help in increased visibility and promotion. For e.g. AMFI
magazines
Innovations like advertisements on cover page, false cover, belly bands are untapped options and can
pull huge investor attention
Advertisements in most trusted and circulated magazines of the finance industry
Establishing tie ups with IFAs (not publishing bulletin or magazine) for partial sponsorship, in magazine
publication
Co-branding with banks can be established, to circulate magazines or journals

20. Investor Connect
This parameter evaluates the reach that an AMC establishes with investors, during NFO,
product launch
71
50
39
33 30 30
25 24 23
15
11 10 10 8 5 3
0
10
20
30
40
50
60
70
80
Based to 100

21. Investor Connect – cont…
Case Study: A
Reliance Capital strategized sending scheme
application forms to its existing investors
before product launch, the individual’s KYC
details were pre-printed on it.
During discussion in survey interviews, the
distributors agreed to the fact that this was
an excellent way establish a sense of
connection and belongingness in the Investor
– AMC relation.
 An untried method has to be structured
and implemented to make every investor
feel that L&T MF values their choice for
investing
 A strong investor feed back team to serve
investor queries, with easy accessibility
 Establishing educational programs for
creating awareness of the benefits of
investment in mutual fund
Observations from case study:
 Innovation with low cost
 Gives every investor a feeling of being
recognized
 Easy way to pull in investors for the new
fund
Action Points

22. Give away
Response of distributors – categorizing them in Class 1 & 2
Utilizing the funds for investor education
Increased % of brokerage
Better returns on investments
Class 1-
These distributors were reluctant to talk about give away and cornered the concept on following grounds
that these can be rather used for -
Class 2-
These distributors appreciated the concept of give away and asserted to the fact that it helps to sell funds
Increasing the quantum of gifts
Gifts with better conceptualization of investor
education
The office adoption

23. Action Points
Designing Innovative give away
More inclination to give away of educational output
Increasing the quantity of give away basis distributor demand
The office adoption concept
Under the office adoption concept, the office of the distributor can be used by an AMC as a source
Of creating visibility in the market to promote funds. This workshop can extend over a decided time
duration e.g. 2 or 3 months.
 An new concept
 Can fetch Maximum visibility at low cost
 An exercisable option when L&T MF is going through the phase of change
Give away – cont…

24. The office adoption concept , continued
• Innovation
• Strong brand visibility
• Low promotion cost involved, with comparison to the visibility results
• Establishing investor connection
• Testing new techniques for possible opportunities of business expansion
• Attract investors in the critical market conditions
• Publicity for his office location at “zero cost”
• Opportunity to be a part of an innovation
“How” to go for it?
1.Using L&TMF elements in the
distributors office, to promote
funds over a decided time period
2. Initiate discussion with the visitors and
provide sufficient information regarding L&TMF
as a brand and its presence in MF industry
3. Viably, every investor showing substantial
interest in enquiring about L&TMF fund may
be handed a small L&T kit with product
leaflets and a utility gift
“Why” should we go for it?
Why would a distributor do it?

25. Action Points
Relationship managers
 “Frequently change” of RMs makes the relationship building process difficult
 RMs should focus mainly on the distributors with low AUM and new entrants who are low on knowledge
about market forces
 Sometimes RMs lack complete product knowledge and conceptual clarity
 Most of the distributors reported RMs to be regular on visits (15 or 30 days)
Response of distributors
 Frequent training on MF product and updates for RMs
 Maintaining the continuity of RMs visits without change
 Constant and periodical follow-up with distributors
 Involvement of RMs in seminars and workshops in discussion with the
distributors

26. Visibility
Parameter
Score &
Name of 1st
ranker
Rank & Score of
L&T
Inferences
Onsite 68 – HDFC 6th - 47 L&TMF has to design various visibility elements and take extensive
efforts to make sure that they appear in distributor office.
In case the elements are removed, then reasonable reaction from
the distributors should be obtained and acted upon.
Online 45 – HDFC 3rd – 15 Online marketing in consumer goods has successfully penetrated
despite many short comings. Mutual Funds can comparatively be
sold much more easily.
Equal up-gradation and emphasis on creating “Brand Value -
Online” would lead to fruitful results in the long run
Magazine 76 – Kotak 2nd - 53 Visibility rank-wise is not too far to compete this parameter’s best
performer and can easily improve by increasing quantum of
advertisements in distributor and financial magazines.
A blend of innovation is a must
Investor
connect
71 - Reliance 7th - 24 Urgent need of the hour and an overall priority in terms of gaining
investor confidence
Can be worked out by reaching the public through every possible
way like emails, mailers, newsletters, give away and finally living as
a distinct brand in the heart of all.
Highlights

27. Threats
- Industry competitors
- Tight budget for advertisements
- Lack of investor connection
Strengths
- L&T as a brand
- Takeover a world class brand “Fidelity MF”
- Recent recognition of L&TMF by distributor
fraternity
Weakness
- Low awareness of L&T MF as a brand
- Low visibility in MF industry
- Lack of investor connection
- Scheme Performance
Opportunities
- Achieving the potential gap in online
visibility and distributor magazine
- Capitalizing on the expectations of existing
and potential investors
- Change in Government regulations
SWOT analysis

28. Developing and positioning our brand image
Distinguishing factors Grounds
Expert Mother Brand L&T (mother brand) to L&TMF – it has more than 70 years of rich goodwill.
L&TMF should be promising enough to live a similar legacy.
Built on strong foundations Investor should look up to L&TMF differently from other AMCs and believe ,
“my money is in safe hands”.
People and team L&TMF is a trustworthy and hardworking group of individuals working for several
lives
Stability L&TMF should not be seen as a fly by . It has to instill the sense of, a horse ready
for the long run.
Market Fluctuation Market situation, cycles a round in every 3-4 years time. L&TMF should be
considered as an AMC which would not change despite odd market conditions.
For investors
L&TMF has to see beyond “investment and money” and aim at impacting lives
through performance of funds in the long run.
Branding Avoiding a “Push” strategy and work for “Pull” strategy
Product Positioning
Every other AMC is selling equity, debt and hybrid type of funds. L&TMF should
aim at positioning distinctly from others.
Innovation If necessity is the mother of invention, current market conditions is the mother of
innovation.

29. Sanjay Bhattacharji
Head Marketing & Products
(Project Guide)
Acknowledgements
This project was initiated and completed under complete guidance of –
Sweta Samani
Deputy Manager -Marketing
1. Survey data - Questionnaire
2. Distributor - Meetings
3. Newspaper - The Economic Times
4. Website - www.amfiindia.com
www.mutualfundsindia.com
www.surveymonkey.com
Bibliography