ING Hunt for Lions

2. BANKING IN INDIA
 Definition : Accepts deposits and lends the same to earn same to earn some
profit
 Now Banking is used for multipurpose : Saving, day-to-day transactions,
Foreign exchange, maintaining financial portfolio and many more.
 Reserve Bank of India : India’s central Bank, established on April 1, 1935.
 RBI Maintains record of government expenditure and revenues, a controlling
body for all others banks in the country.
 In 1839, India’s first bank “Union Bank” was established but failed in 1848
 In 1865, “Allahabad Bank” was established and considered as oldest surviving
bank.
 Now India has 1,10,000 branches and every year 7000 t0 8000 branches were
open in last nine years
 The size of banking assets in India totaled US$ 1.8 trillion in FY 13 and is
expected to touch US$ 28.5 trillion in FY 25.
 Banking services: Instantaneous money, ATMs, Digital Banking, Mobile Banking,
BFSI sector
 Banking now plays a role in day-to-day personal and business activities

3. Growth Predictions
• Market Size Growth
Growth :
US$ 1.8 trillion in FY 13
to touch US$ 28.5 trillion in FY 25
- The image shows growth of Banking
Sector as per growth of GDP, where
Both the growths are aligned.
-ATM growth is drastic comparing FY06
To FY13.

4.  India’s Banking Industry to be 5th largest globally by 2020
 3rd largest by 2025
 Growth Factors :
Government and RBI fiscal and monetary policies, Technology trends,
Increase in GDP, Economic growth and many more

5. About INGVysya
• Indian multinational bank based in Bangalore
• Platforms : Personal, Business, Wholesale, Private and NRI.
• Formed in 2002 acquisition by Dutch ING Group, having 1000
outlets and 527 branches
Personal
Banking
•Products and Services in deposits, loans, investments, insurance, forex,
demat, online and wealth management services
Business
Banking
•Loan schemes for SME and CGTMSE, Trade services, Agricultural Loans,
Accounts and Deposits and Digital banking services.
Wholesal
e
Banking
•Loans, Global Transactions, Debt Capital Markets and Corporate Fianace
• Financial Markets : Risk Management, Research and analysis, Market
making and Trading, Asset Liability Management
Private&
NRI
Banking
•Private investment banking, Trust & Estate planning, Structured
products, Portfolio Advisory
• NRI Banking : Accounts & Deposits, Money Transfer, Wealth
Management, Home Loan, PO box services

6. Branch Versus Digital Banking
Branch Banking
 Retail Location offering a
wide range of face-to-face
and automated services.
 Travelling to the desired
location is a prerequisite.
 Enables personal connections
with Managers and Loan
Officers
Digital Banking
 Time & Money consuming  Arrived in India in late
1990s
 Electronic Payment System,
to conduct financial services
on a website operated by
institution
 An electronic device with
internet access is a
prerequisite
 Provides services anywhere
anytime

7. SWOT ANALYSIS
-
STRENGHTS
Better Personal Relations
- Face to Face Interactions
- Mortgage and Loans involving huge amount
- Highly sophisticated Customer Care Centers
- Increased Trust and Reliability
-High in Customer Relationship Management
WEAKNESS
- Traditional method of servicing
- More Time Consuming
- Increased maintenance expenditure
- More cost consuming for clients
- Inability to cope up with latest technology
BRANCH BANKING
OPPORTUNITIES
- Enables to maintain strong bond with clients
- Enhanced locker and safety measures
- Prioritizing Rural Areas
-Trusted Financial Portfolio Assistance
-Enhances Networking
- Technology to improve Sales and Service Model
- Video Conferencing Technology in Banks
THREATS
- Emerging
- Urbanization
- Increased Financial stability of the people
- Increased Travelling costs
- Rapidly Growing Smart Phones

8. STRENGTHS
- Providing Access 24 hours
- Enables Trading between banks
in seconds.
- Enables in Tracking Cash Flow
- Time Efficient
- Cost Efficient
- Less Maintenance
- Account Alerts
- Access to Latest Technologies
- Better Interest Rates
- Reduced Cost-to-Serve
-Increased Convenience
- Notifications of latest online
offers
- Modernized Approach
- Large customer coverage
WEAKNESS
- Security concern
-Lacking Personal
Contact
- Learning Difficulties
- Site changes and
upgrades
- Internet service
- Technical breakdown
- Site disruption
- Difficulty in site
navigation
- Need access to computer
hardware
- Virus attacks
- Transaction problems
DIGITAL BANKING

9. -
-Prone to hacking attacks,
phishing, malware and illegal
activities
- More Efficient and accessible
Branch Banking
- Card copying
- Data theft at various levels of
transmission
- Building Trust
- Lack of customer awareness
OPPORTUNITIES
- Growing Technology
- Modernization
- Mobile Banking
- Emerging IT Networking
- Spread in Rural areas
- Alternative new technology
providing ease of site access
- High online security measures
THREATS
Factors for Customer choice
Digital Banking Branch Banking
- Time and Cost Efficient
- Quick and Easy access
- Convenience
- Heavy risk management
- Portfolio management
- Trust
- More secure
- Strong personal contact
- More enquiry regarding
loans

10. ROADMAP
 Digital technology and rapid changes in customer preferences
are threatening full-service banks that do business primarily
through branches
 Currently 40% of the Indian population have Bank Accounts
 So, there is large scope for Banking in India to attract the people.
 As Digital Banking being the most rapid growing technology, it would be
more easy to attract many people through E-Banking.
43%
Security Concerns Threats
Face-to-Face Transactions
Lack of Knowledge
Lack of Facility
22%
38%
2%

11. Segments Approach Impact
Rural Areas
(Including BPL
Families)
- Training Institutes
- Ensure technology availability
- Special and subsidized online banking schemes
- Easy and convenient online interface through images
and videos
- Minimal technology use
- Mobile Banking for monthly expenditures and incomes
- Subsidized internet charges
- Messages on recent interest rate/ policy updates, bank
balance etc
- Online DD
- Encourages many
villagers to have
online accounts
- Profitable to banks
and individuals
- Overall economy
growth
- Controls urban
migration
Urban Areas
(Upper Middle
class and Rich
people)
- Financial and Risk management portfolio
- Enabling multiple partners of a single business to have
single online account
- Unnecessary network clinches to be avoided
completely.
- Maintaining full-time customer care facility for risky
assets.
- Video and Audio calls for digital banking facilities
- Customers to be communicated clearly about security
and data encryption measures used.
- Informing about online, Debit and Credit card offers
via mail and message.
- - Online Demand Draft and check submission
- Increases business
transaction
- Enables a strong
trust and bond with
bank
- Ease and Quick
access

12. SEGMENT APPROACH IMPACT
Student - Credit and Debit card discounts
for books.
- Personal online accounts which
promote educational trips
- Educational loans through online
banking
- Chat facility on online banking
- Increases student
awareness
- Increase in
educational loans
Employees - High end Technology
- Debit and credit card offers for
online purchases and sales
- Online updates of share prices for
demat accounts
- Information on online deals
- Promoting mobile banking
through purchases by a call,
without internet access
- Attracts many
employees use online
accounts in different
way.
- More convenience
and time saving for
people with busy
schedules
Women - Convenient user interface
- Debit and credit card offers for
online purchases and sales
especially on homemade,
clothing and beauty products
- Cooking recipes through mobile
- Reduces door-to-door
women shopping.

13. Customer Insights
• Primary Data : Survey on Digital banking conducted on 90 people, of which 90%
of 15-25 age group, who are mostly students preferred Online Banking.
• People between age group 26 – 40 who are mostly working population almost 60%
preferred both online and branch banking
• People above age of fifty who are not much aware of technology preferred traditional
way of Branch Banking
• Major Concerns for Digital Banking :
• Security Concerns
• Internet Access
• Lack of Face to Face Interaction
• Network Glitches
• Difficulty in switching to multiple sites
• Failure in transactions
• Secondary Data : People are shifting from Branch to Digital Banking, growth of
digital banking in urban areas increasing rapidly, same to ensured in rural. Rural
population lack awareness and access to online banking.

14. • Executive Summary :
A detailed analysis of Banking industry in India, the growth of
banking sector in terms of deposits, rural and urban growth has
been given. Further SWOT analysis of Branch and Digital
banking is made. Customer Insights are collected from primary
and secondary data sources. A long term roadmap for Digital
banking segment wise along with impact is presented.
Conclusion :
India being one of the developing countries, where major
economic growth is contributed by technology youth and working
population are more convenient to digital banking. It offers many
benefits at the same time has certain negative aspects which are
to be nullified.
Undoubtedly it is essential to have major investment in
online banking, coming up with more customer benefits apps at
the same time branch banking can be eradicated completely, it is
essential too though plays minor role.

15. BIBLIOGRAPHY
• http://smallbusiness.chron.com/online-banking-disadvantages-2248.html
• http://info.shine.com/industry/banking-financial-services/8.html
• http://gradestack.com/IBPS-Bank-PO-Clerk-by-Bank-Power/
Indian-Economy-Concepts-Understand/14347-2890-627-study-wtw
• http://www.wbiworldconpro.com/uploads/
melbourne-conference-2013-november/banking/1384600741_607-Jamal.pdf
• http://web.stanford.edu/~pdupas/Challenges_DupasEtAl2011.pdf
• http://www.ibef.org/industry/banking-india.aspx
• http://www.rbi.org.in/scripts/BS_SpeechesView.aspx?Id=810
• http://www.ibef.org/industry/banking-india.aspx
• http://www.accenture.com/us-en/Pages/
insight-retail-banking-survey-2013-us-retail-banking-digital-era.aspx
• http://www.infosys.com/finacle/solutions/thought-papers
/Documents/banking-in-emerging-economies.pdf

16. THANK YOU