This internship report summarizes Shailesh Kumar's internship at HDFC Bank focusing on segmentation and penetration strategies. It provides background on HDFC Bank, describing its founding, leadership, products/services, network, mission, strategy and achievements. The report then details HDFC Bank's segmentation of customers into non-customers, low/medium/high-value customers and ex-customers. It also outlines targeting strategies for different markets. Recommendations include increasing focus on basic savings customers and improving follow-up and after-sales service.

1. Summer Internship Report
On
“Segmentation and Penetration”
at
HDFC Bank
BY – SHAILESH KUMAR
ROLL NO. – IUU18MBA007

2. Banking In India
 Banking in India originated in the last decades of the 18th
century.
 The first banks were THE GENERAL BANK OF INDIA,
which started in 1786, and BANK OF HINDUSTAN, both
of which are now defunct.
 The oldest bank in existence in India is the STATE BANK
OF INDIA, which originated in the BANK OF
CALCUTTA in June 1806.
 The first fully Indian owned bank was the ALLAHABAD
BANK, established in 1865.
segmentation and penetration

3. Major Bank In India
 State Bank of India
 HDFC Bank
 ICICI Bank
 AXIS Bank
 Kotak Mahindra Bank
 Punjab national Bank
 Yes Bank
 Allahabad Bank
segmentation and penetration

4. Profile Of Hdfc Bank
 Housing Development Finance Corporation
 Founded in 1977 by Hasmukh Bhai Parakh
 HDFC Bank was incorporated in August 1994
 Among the first in new generation commercial banks
 Registered office in Mumbai, India
 Promoted by HDFC, the parent company
 IPO in India in 1995
 Listed in NSE, BSE, NYSE(ADR)
segmentation and penetration

5. Conti…..
 Key People Aditya Puri (MD)
 Industry Banking, Financial Services
 Products Finance, Credit Cards, Banking
Insurance, Investment
Banking, Loans
 Net revenue Rs.95,461 crores
 Net income Rs.17,486 crores
segmentation and penetration

6. Network
 5103 branches
 13160 ATM’s in the country
 2748 cities in India
 All branches are OLRT connected
 16 branches in Middle east
 6 in Africa
 Representative offices in Hong Kong,
New York, London & Singapore
segmentation and penetration

7. Mission and Vision
MISSION:
 Benchmarking against international standards
 To build sound customer franchises across distinct
businesses.
 Best practices in terms of product offerings, technology,
service levels, risk management and audit & compliance
VISION:
HDFC Bank is a young and dynamic bank, with a youthful and
enthusiastic team accomplish the vision of becoming a world-class
Indian bank.
segmentation and penetration

8. Business Strategy
 Increasing market share in India’s expanding banking.
 Delivering high quality customer service.
 Delivering more products to more customers.
 Maintaining current high standards for asset quality
through disciplined credit risk management.
 Develop innovative products and services that attract
targeted customers and address inefficiencies in the
Indian financial sector.
segmentation and penetration

9. Product & Services
 Accounts And Deposits
• Saving & Current
Accounts
• Salary Accounts
• Recurring & Fixed
Deposits
 Cards
• Credit and Debit cards
 Insurance
• Life & Health Insurance
 Loans
• Personal & Home loans
• Education loans
• Vehicles & Business loans
• Loans Against property
 Investments
• Buy/sell mutual funds,
equities and derivatives.
 Demat
segmentation and penetration

10. Achievements
 HDFC Bank merged with TIMES BANK in 2000.
 In 2008, HDFC Bank acquired Centurion Bank of Punjab (CBoP).
 HDFC Bank wins the Asian Banker Best Retail Bank in India
Award 2008 for outstanding performance.
 Best Bank in India 2019, by Global magazine FinanceAsia.
 Ranked 60th in 2019 BrandZ Top 100 Most Valuable Global
Brand.
 India’s Best Bank, Euromoney Awards for Excellence 2019.
 Best Large Bank & Fastest Growing Large Bank in 2019, by
Business World Magna Awards.
segmentation and penetration

11. Segmentation Strategy
 Non-customers
• Customers of other banks
 Low-value customers
• Limited income/financial
needs
 Medium-value customers
• Most business with one
bank
• Business spread over several
bank
 High-value customers
 Ex-customers
 Inactive
 Closed Account
segmentation and penetration

12. Targeting Strategy
 Target market
 Corporate Banking Market : This market target the
industries & fulfill their financial needs.
 Capital Market : This segment is targeted on the long
term needs of the individual as well as of industries.
 Retail Banking Market : This segment is for retail
investors & provide them short term financial credit for
their personal, house hold needs.
segmentation and penetration

13. Objective
 Helps in better understanding of the customers’ needs and
wants.
 Better targeting and position of the product.
 Maintaining effective relationship with the customers.
 Retaining the existing customers and attracting new ones.
 Penetration allows a product/services to be quickly accepted
and adopted by customers.
 Improving banks marketing strategies & marketing plans.
segmentation and penetration

14. Research Methodology
Market research would help the banks in knowing the segments
containing the most buyers or the most profitable buyers. It is
most important that the most profitable segment should not be
too large in size.
Research Design
Descriptive research is used to describe characteristics of a
population or phenomenon being studied. This research
includes survey and fact-finding inquiries of different kind.
segmentation and penetration

15. Conti…..
Sampling Technique
For this project I have used convenient sampling method.
Convenience sampling (availability sampling) is a specific type of
non-probability sampling method that relies on data collection from
population members who are conveniently available to participate in
study.
Data Sources and Collection Method
Primary research involves finding out new information.
Secondary research focuses on existing information. It uses published
data that previous research has already discovered.
For data collection I have used questionnaires.
segmentation and penetration

16. Data Analysis and Tools
It is a process to take the data then apply some mathematical and
statistical algorithm or tool to build some model. This model will be
predictive and exploratory which is having information that allow us to
get insights and insights allow us to take action.
The analysis was based on the questioner that were collected from the
customer who were visited the bank and the customers whom I have
personally meet and the result were interpreted to generated descriptive
and inferential statistics.
segmentation and penetration

17. Conti…
Questioners
1. Since how many year you are dealing with bank?
2. How many times you visited bank in a month?
3. What is your annual income?
4. How much AMB you maintain in your HDFC bank account?
5. What type of job you have?
6. How much is your monthly income?
7. Are you aware of other services provided by HDFC bank?
8. What kind of additional service would like to have?
9. Are you aware of any other extra services?
segmentation and penetration

18. Conti….
Here I have used pie chart, graph as data analysis tools to interpret data
The statistical data is processed on a Personal Computer with the help of
spreadsheet application software MS Excel to generate tables, charts and
graphs.
My sample size for this project is 115 respondents.
segmentation and penetration

19. Recommendations &
Suggestions
 The bank focused a lot on new customer acquisitions and
retentions.
 Employees work under a constant pressure of achieving targets.
Therefore, they require higher motivation in comparison of other
industries.
 I observed over two months that all the employees gave lesser
importance to BSBDA customers. However, if these customers
are tapped then they can also give business to the bank.
 Kiosk Machines: These are the automated machines for the
balance enquiry, passbook printing and statement generation. This
will avoid counter rush and provide a common platform for all the
users to self-service themselves.
segmentation and penetration

20. Conti…..
 Follow-up: Most of the times, the customer will not agree for
the investment in one go. Regular follow-ups need to be taken.
This is the time to build strong relations with the potential
customer.
 Closing the call: After regular follow-ups, when the customer
finally agrees, no time should be wasted and the sales should
be closed as soon as possible.
 After sales service: After the investment scheme starts, the
employee should still keep in touch with the customer. This
strengthens the customer’s relations with the bank and
portrays a good image of the bank. The role of after sales
service is also to keep in touch with the customer such that
he/she remembers you.
segmentation and penetration

21. Bibliography
segmentation and penetration
 https://www.hdfcbank.com/
 https://www.slideshare.net/xmanjd/hdfc-banks-strategies
 https://www.slideshare.net/harsharyan/strategic-analysis-of-hdfc-
bank
 https://www.marketing91.com/swot-analysis-hdfc/
 https://www.mbaskool.com/brandguide/banking-and-financial-
services/704-hdfc.html
 http://fernfortuniversity.com/term-papers/porter5/analysis/987-
hdfc-bank-limited.php
 https://www.thehindubusinessline.com/money-and-
banking/largest-opportunity-for-growth-is-still-in-india-hdfc-
bank-deputy-md/article9974028.ece
 www.en.wikipedia.org

22. THANK YOU