"New to Bank -Acquisition" HDFC BANK LTD.

1. New to bank - Acquisition
Presented By: Rashi Mahajan
Roll No: 1201MBA17

2.  About HDFC Bank
 Network
 Mission
 Vision
 Business Strategy
 Product & Services
 Strategy of HDFC bank for Customer Acquisition
 Research Methodology
 Finding & Suggestions
 Conclusion
 CONTENTS

3. INTRODUCTION
 HDFC - Housing Development Finance Corporation.
 HDFC Bank was incorporated in August 1994 with its registered office in Mumbai, India.
 HDFC Bank commenced operations as a Scheduled Commercial Bank in January 1995.
 HDFC was amongst the first to receive an ‘in principle’ approval from the Reserve Bank of India (RBI) to set up a bank in
the private sector, as part of RBI’s liberalization of the Indian Banking Industry in 1994.
 On March 14, 1995, HDFC Bank went public with the launch of its IPO.
 In February, 2000, Times Bank Limited merged with HDFC Bank Ltd. This was the first merger of two private banks in
the New Generation Private Sector Banks category.
 About HDFC Bank

4.  NETWORK
 4,804 branches.
 12,808 ATM’s in the country.
 2,666 cities/towns in India.
 All branches are linked online on a real-time basis.
 16 branches in Middle east.
 6 in Africa.
 Representative offices in Hong Kong, New York, London & Singapore.
INTRODUCTION

5.  MISSION
INTRODUCTION
 Mission is to be a “World Class Indian Bank“.
VISION
 The HDFC Bank is committed to maintain the highest level of ethical standards, professional integrity and
regulatory compliance. HDFC Bank’s business philosophy is based on four core values such as:-
 Operational excellence.
 Customer Focus.
 Product leadership.
 People and Sustainability.

6. OBJECTIVES
 To provide its target market customers a full range of financial products and banking services, giving the customer a
one-step window for all his/her requirements.
 Benchmarking ourselves against international standards.
 To build sound customer franchises across distinct businesses.
 Best practices in terms of product offerings, technology, service levels, risk management
INTRODUCTION

7.  BUSINESS STRATEGY
 Increasing market share in India’s expanding banking.
 Delivering high quality customer service.
 Develop innovative products and services that attract targeted customers and address inefficiencies in the Indian
financial sector.
INTRODUCTION

8.  Savings Account
 Demat Account
 Saving Max Account
 Salary Account
 Credit/Debit card
 Home loan
 Personal loan
 Cheque Deposits
PRODUCTS & SERVICES
INTRODUCTION
 Trade Services
 Mutual funds
 Insurance

9.  STRATEGIES OF HDFC BANK FOR CUSTOMER ACQUISITION
1. Advertising : HDFC indulges in advertising at a great level be it in print media or television ads.
2. Targeted marketing : Through direct mails ,direct contact or one to one interactions ,SMSs.
3. Event based marketing : HDFC launches many campaigns to spread information about its new services and product.
4. Other than these on branch level also the bank indulges in certain targeting and acquisition activities for gaining
more customers:
1. One to one interaction with the customers on day to day basis.
2. Pitching new products/services to existing customers.
3. Special agents/brokers are appointed to generate leads for acquiring new customers.
4. Apart from agents/brokers, the sales staff of the bank go out for interacting with target customers for making them aware
about the prevailing services.
NEW TO BANK: ACQUISITION

10. RESEARCH METHODOLOGY
 TITLE OF THE RESEARCH:
 “New to bank – Acquisition”.
 RESEARCH INSTRUMENT:
 Questionnaire.
 SAMPLING UNIT:
 HDFC BANK LTD. Talab Tillo, Jammu.
 DURATION OF RESEARCH:
 5 June 2018 to 31 July 2018.
 SAMPLE SIZE:
 68 people.
 SAMPLING TECHNIQUE:
 Convenience Sampling.

11. RESEARCH METHODOLOGY
 To analyze customers level of awareness about the Bank.
 To study the factors guiding the customers choice to open an account with HDFC Bank.
 To study the customer satisfaction relating to services provided by HDFC Bank.
RESEARCH OBJECTIVES:

12.  QUESTIONNAIRE:
 A structured questionnaires, for finding level of awareness among new customers and for studying perception of
existing customers is used .
 DATA COLLECTION METHOD:
 Primary data- The primary data are collected through questionnaire .
 Secondary data- The secondary data has been collected through oral communication with the customers and
company website.
 ANALYSIS FRAMEWORK:
 The data collected through survey have been carefully, meaningfully analyzed by well established tools like:
Bar graphs and pie charts.
RESEARCH METHODOLOGY

13. ANALYSIS AND INTERPRETATION
CUSTOMER -ANALYSIS
 DEMOGRAPHIC QUESTIONS
 Interpretation: Out of 68 customers interacted, 44.1% are males i.e. 30 and 55.9% were females i.e.38.
 GENDER :

14.  AGE GROUP :
 Interpretation : 67.6% customers belonged to the age group 21-30 i.e 46 people ,11.8% were of 31-40 i.e 8
people ,8.8% were 41-50 i.e. 6 people and 11.8% customers belonged 51-60 i.e. 8 people.
ANALYSIS AND INTERPRETATION

15.  EDUCATION:
 Interpretation : Out of 68 customers 51.5% were graduate ,47.1% were post graduate and 1.5% were higher
secondary graduates.
ANALYSIS AND INTERPRETATION

16.  Interpretation: Out of 68 respondents; 33.8% were students,11.8% were government employees, 30.9% were
private sector employees, 11.8% were businessman and about 11.8% of them belonged to some other
occupation.
 PROFESSION :
ANALYSIS AND INTERPRETATION

17.  INCOME GROUP:
 Interpretation: Out of 68 respondents; 35.3% were students, 10.3% of them earned below 2 lakh
22.1% of them earned 2-5 lakhs annually, 17.6% of them earned 5-10 lakhs annually, and rest of
them earned 10-30 lakhs and above respectively.
ANALYSIS AND INTERPRETATION

18.  Have you ever heard about HDFC bank?
 Interpretation: Out of 68 respondents; 98.5% have heard about it and 1 person was not sure about the same.
ANALYSIS AND INTERPRETATION

19.  Are you a customer of HDFC bank?
 Interpretation: Out of 68 respondents 42.6% were customers of the bank and 57.4% were not the
customers of the bank.
ANALYSIS AND INTERPRETATION

20.  From where did you come to know about the HDFC bank?
 Interpretation: Most number of people came to know about the bank through their family and friends then second
most successful medium was Print Media followed by Broadcast Media and Outdoor advertisement.
ANALYSIS AND INTERPRETATION

21.  Do you have any friend or family member availing HDFC services?
 Interpretation : Out of 39 respondents, 64.1% people had either their family member or friend availing HDFC
services,15.4% people didn’t have any one known to them availing services while 20.5% were not sure about
the same.
ANALYSIS AND INTERPRETATION

22.  Are you aware of the benefits that HDFC bank offers to its customers?
 Interpretation: 41% people were aware about the benefits offered by the bank to its customers , while 59% people
were not aware.
ANALYSIS AND INTERPRETATION

23.  Interpretation: About 51.3% of the people were willing to avail the saving account services. After that, about 41% of
the people were willing to avail credit/debit cards facilities. Then fixed deposits (33.3%), mutual funds(28.2%),
insurance(28.2%), trading/demat account(10.3%) and NRE/NRO account(5.1%) and about 23.1% of people were not
interested in availing any of the services.
 Which of these products or services are you most interested in?
ANALYSIS AND INTERPRETATION

24.  What are the various characteristics that you look for while choosing bank?
 Interpretation: Maximum number of people gave preference to advance technology (84.6%). About 76.9% people were
inclined towards security. While 69.2% people said well educated and qualified staff is important for them. About 61.5%
of the people look for alternate banking services as a necessary requirement & good ambience, infrastructure were given
least preference i.e. 51.3% and 33.3% respectively.
ANALYSIS AND INTERPRETATION

25.  Interpretation: Out of 39 respondents, 69.2 % of the people were not sure if HDFC bank is better than their bank. About
25.6% gave negative response saying HDFC is not better than their bank, while 5.1% said HDFC is better.
 Do you think HDFC bank is better than your bank?
ANALYSIS AND INTERPRETATION

26.  How was your first experience with HDFC bank?
 Interpretation : About 74.4% of the people never had any first-hand experience with the bank . While 10.3% of the
people had satisfying experience with the bank. 7.7 % had unsatisfying experience. 5.1 % had highly unsatisfying
experience and only 2.6% people were highly satisfied in their first encounter with the bank.
ANALYSIS AND INTERPRETATION

27.  In future if you ever avail HDFC services , do you think it will be able to fulfil your
requirements?
 Interpretation: About 79.5% of the people gave 50-50 response. 15.4% were positive and rest 5.1% gave a negative
response.
ANALYSIS AND INTERPRETATION

28.  How long have you been availing HDFC bank services?
 Interpretation : Out of 29 respondents , 24.1% of the customers are associated with the bank since past 1 year ,
31% for 2 years, 17.2% for 3 years , and 3.4% and 24.1% for 4 years and 5 years or more respectively.
ANALYSIS AND INTERPRETATION

29.  Will you recommend HDFC bank to your family or friends?
 Interpretation : About 96.6% gave positive response saying they will recommend HDFC bank to their family and
friends displaying their level of satisfaction with products and services provided by the bank. While 3.4% of the
customers said they will not recommend it to friends or family.
ANALYSIS AND INTERPRETATION

30.  Do you think other banks are better than HDFC bank?
 Interpretation : It is observed that 27.6% people gave a negative response saying other banks are better where
as 27.6 % of them contradicted the question saying HDFC is better. While 44.8% said they are not sure about the
same.
ANALYSIS AND INTERPRETATION

31.  What parameters do you think HDFC bank should improve upon?
 Interpretation : About 65.5% of people suggested reduction of charges for various services . 31% of the people
suggested improving the service quality. 17% of the people suggested to improve the problem solving capability.
13.8% people suggested to improve both technology and staff. 24.1% of the people suggested to improvise the
advertisement strategy. Rest 3.4% laid emphasis on improving security and infrastructure.
ANALYSIS AND INTERPRETATION

32. FINDINGS AND SUGGESTIONS
Research was performed taking responses randomly from people and 68 responses were generated from the customers
39 out of them were new to bank and did not have a previous relationship with the bank and 29 of them were old
customers to the bank having accounts in bank.
 FINDINGS :
Following findings were made out of this data:
 Awareness level of the respondents was judged and about 98.5% of the people have heard about the bank and were
aware of its existence.
 67.6% of the respondents belonged to the age group 21-30.
 Most number of people came to know about the bank either, through their family/friends or Print Media.
 The bank is quite good in communicating details as 41% of the people were aware about the benefits offered by the
bank to its customers.

33.  Most recognized products were savings account (51.3%), credit/debit card (41%), fixed deposits (33.3%) followed by
insurance and mutual funds (28.2%).
 About 23.1% of the people were not interested in availing any of the services.
 Most number of people look for advance technology and security, some look for well-educated/qualified staff and alternate
banking services as a necessary requirement while choosing a bank.
 About 74.4% of the people never had any first hand experience with the bank and 15.4% were sure if they ever encounter
any such situation the bank will be able to fulfil their requirements.
 96.6% of the existing customer gave positive response saying they will recommend HDFC bank to their family and friends
displaying their level of satisfaction with products and services provided by the bank.
 About 65.5% of customer suggested reduction of charges for various services. 31% of the people suggested improving the
service quality. 17% of the people suggested to improve the problem solving capability. 13.8% people suggested to improve
both technology and staff. 24.1% of the people suggested to improvise the advertisement strategy. Rest 3.4% laid emphasis
on improving security and infrastructure.
FINDINGS AND SUGGESTIONS

34.  SUGGESTIONS :
 Bank indulges in vigorous advertisement through direct mails and posters and banners and target marketing but it should
work towards building ad campaigns and hosting events creating a relationship with the people.
 Word of mouth plays a great role in awareness among people so the bank should work towards creating a better word of
mouth about themselves by focusing on previous customers of the bank and their satisfaction.
 Also all services offered should be advertised and communicated as there came out to be a lack of knowledge about the
products and services.
 From customers point of view bank needs improvements in increasing number of free transactions, reduction in quarterly
and yearly charges and increasing interest rates on savings accounts.
 For any bank retaining the customers is less costly than acquiring new one thus their response is of prime importance.
FINDINGS AND SUGGESTIONS

35.  The study was undertaken in Jammu City therefore this study is confined to this area and not applicable to other
places.
 The findings of the study are applicable to the period in which it has been done; it is not applicable as such for other
period.
 Due to lack of time, customers did not fill the questionnaires attentively.
 Though effort has been made to ensure correctness of data collected, it is possible that some of the respondents
would not have provided accurate data.
LIMITATIONS

36.  In the world of cut-throat competition it is mandatory to acquire new customers as much as an organization can. To
acquire new customers banks indulge in creative strategies of marketing and advertisement. HDFC being a top runner in
banking industry in India has to keep competing constantly in the market and work towards acquiring customers.
Nowadays banks have changed their orientation as to a study shows that acquisition cost of new customers is greater than
the retention cost. Thus firms are focusing towards building better customer relations.
 A new to bank customer is the one who doesn’t have a relation with the bank, customer centric approach says that bank
should focus on what customer requires . To acquire new customers first and foremost generating awareness about the
bank among people is necessary which requires putting in efforts in advertising and creating a positive word of mouth.
This can be done by focusing on improving quality of service and customer satisfaction. This research gives the bank
insight into level of awareness among people about HDFC which comes out to be satisfactory and also suggests the bank
about what customers looking for Also what is perception about quality parameters in view of old customers and what
can be done to retain them.
CONCLUSION