HDFC Bank reported a significant increase in mobile banking transactions with a 9-fold growth in January 2015 compared to January 2014, and plans to launch an Apple Watch app by July 2015. Meanwhile, SBI aims to become the leading mobile banking player in value terms and has implemented various strategies to enhance digital banking, including partnerships with e-commerce platforms. In FY 15, the SBI group's debit card payments reached 25% share, showcasing their strength in the m-banking sector.

1. Trends in Banking
Part I

2. HDFC ‘s M-banking Traffic
HDFC Bank has seen more than “9 Fold
growth” in Mobile Banking Transaction in Jan
2015 compared to Jan 2014
HDFC Bank recorded
1.49 Million
Transactions in Jan
2015 compared to 0.29
Million in Jan 2014

3. HDFC
The Bank is also
launching a Mobile
Banking Application that
will be available on the
“Apple Watch” to be
launched in India in July
end of 2015.
HDFC is probably the 4th
lender in the world to
have such an app & the
1st Indian Bank to have it
app on the Apple Watch.
Currently 10 Txns are
allowed on Watch
HDFC
Mobile Banking will
overtake Internet
Transactions by
2016.As of now,
HDFC offers around
80 type of
transactions on Mobile
Banking platform &
175 on Internet
Banking
FY 15-63% Txns(Digital)
FY 14-55% Txns(Digital)
FY 13-44% Txns(Digital
CanaraBank
The Bank saw one of
the biggest jumps in
Mobile Banking Txns
compared to Jan
2014.The value of its
Mobile Banking Txns
rose to Rs.883.47
Crores in Jan 2015
compared to Rs.7
Crores in Jan 2015
HDFC/Canara Bank’s success at Mobile Banking

4. SBI eyeing Top Spot in Value terms
The country’s largest Bank, State Bank of
India hopes to pip HDFC Bank to become the
largest Mobile Banking player in value terms
At present even as SBI has the highest volume
of Txns on M-Banking platform but in value
terms SBI remains at the 3rd position
SBI will soon launch ‘Corporate
Internet Banking’ on Mobile
Platform & as soon as this happens
SBI will catch up the numbers to the
top spot-says “Arundhati
Bhattacharya”
According to RBI data;
Bank Month Value(Cr)
HDFC April
2015
5,686.5
SBI April
2015
1,710
Total Txn in Mobile Banking sector
=Rs.18,869 Crores
At present SBI is getting the retail segment
on to the Mobile Platform. The moment
Corporate Internet Banking starts
happening on mobile, the number in terms
of Txns & Value will go up exponentially
After SBI has tied-up with big e-commerce
players such as Amazon,
Snapdeal,PayPal,MakeMyTrip,it will shortly
open a separate digital vertical to spur its
business through the online medium

5. Upto 30% of e-commerce Txns worldwide are now happening on
Mobile devices. The degree to which online embrace mobile
technology vastly differs across different markets.
•Asian Shoppers conduct almost half of their online purchases on
mobile devices
•Consumers from the USA & other Western Markets use a mobile
device in roughly 1 out of 4 online txns
Asians are the
‘Most Avid
Mobile Shoppers’

6. SBI’s over-the-top
Strategy to go Digital
SBI Rewardz
India’s most rewarding enterprise-wide
Loyalty Program

7. Areas where SBI has targeted for Reward Points
Debit Cards
Internet
Banking Mobile Banking
Personal
Banking
Loans
DEMAT
Account
Rural
Banking
SME
Accounts

8. Debit Cards
oYou earn 1 Reward Point for every Rs.200
spent with your State Bank Debit Card
o Also, there is a large Max Get More
network partner brands where State Bank
Rewardz members earn EXTRA Reward
Points for swiping their State Bank Debit
Cards
DEMAT
Accounts
Txn type Reward Points
Opening of Paid Account 125
1ST Trade 125
For every INR 500/- brokerage earned by SSL (points will be
calculated in multiples of INR 500/- brokerage earned by SSL)
100

9. Internet Banking
You earn Reward Points on various Financial and
Non-financial Internet banking transactions on your
computer as well as on State Bank anywhere App
Txn type Reward Points
Registration + First Transaction Via State Bank Anywhere App
(First transaction within a month from activation date with minimum
transaction value of INR 75/-)
125
Registration + First financial transaction
(First transaction within a month from activation date with minimum
transaction value of INR 75/-)
125
First 15 financial transactions within 6 months of activation 8/txn
All financial transactions post 6 months of activation or completion of
1st 15 transactions, whichever is earlier
3/txn
First 10 Non Financial transactions within 6 months of activation 8/txn

10. Txn type Reward
Points
Registration + First Financial Transaction
(Minimum Transaction of INR 75 within 1 month of registration)
200
Bill payments (SBI Life, SBI Card) 2/Transaction
Other Bills payments 1/Transaction
First third party transfer on NEFT/IMPS (Minimum Transaction of
INR 5,000)
30
Subsequent third party transfers on NEFT/IMPS (Up to 10
Transactions; with Minimum Transaction Value INR 1,000)
3/Transaction
5 or more third party transfers on NEFT/IMPS during a quarter
(Minimum Transaction of INR 1,000)
20
3 or more third party transfers on NEFT/IMPS during a month
(Minimum Transaction of INR 1,000)
15
Mobile
Banking

11. Txn type Reward Points
Savings Account/Salary Account/NRI Account
Online account opening with KYCs & min balance of INR 1,000 160
Account opening with all KYCs & min balance of INR 2,000 (SB and
CSP)
100
First transaction through Demat account 100
No cheque book request in a year 20
Loading of Family NRI Card through INB 20/ INR 1,000
Contact details update up to once in a year (SB, CSP and NRI) 20
Pehla Kadam/Pehli Udaan Account opening, with all KYCs & min
balance of INR 1000
100
Account opening with INB & MB and with min balance stipulation (INR
1,000 for online account opening and INR 2,000 for account opening
through Branch)
100
SI for 12 months in the PPF account (Points will be rewarded after
completion of last installment)
100
Personal Banking

12. Loans(Both Domestic & NRI)
Txn type Reward Points
Auto loan EMI repayment within monthly due date 2/ month/ INR 1,000
Education loan EMI repayment within monthly due date 2/ month/ INR 1,000
Personal loan EMI repayment within monthly due date 2/ month/ INR 1,000
Home Loan Timely repayment of EMI via Standing Instruction from
SBI Account (Excluding Staff & Max Gain Accounts)
30
Home Loan Timely repayment of EMI by all other Customers
(Excluding Staff & Max Gain)
15
You earn Reward Points on repayment of Home Loan, Auto Loan,
Personal Loan and Education loan

13. Rural Banking
Txn type Reward Points
Applicable to KCC/ACC Accounts
Routing the proceeds of crop to KCC a/c (at least 3 credits in a year.
Credit amount should be minimum 10% of outstanding) 150
Activation of State Bank Kisan Card(on RuPay platform) 75
(i) If the KCC/ACC account is renewed within 12 months from the date of
disbursement/renewal
350
(ii) If the KCC/ACC account is renewed within 24 months from the date
of disbursement/renewal
250
(iii) If the KCC/ACC account is renewed after 24 months from the date of
disbursement/renewal
150
No overdue Agri Term Loan accounts within the Financial Year from
April to March (Applicable to Agri Term Loans)
250
Get rewarded on Rural Banking
Transactions from KCC accounts to Agri
Term Loans

14. SME Accounts
Txn type Reward Points
SME Current Account with QAB - INR 10,000/- 120
SME Current Account with QAB - INR 20,000/- 150
SME Current Account with QAB - INR 1,00,000/- 750
SME Current Account with QAB - INR 5,00,000/- 3000
Activation of SME Insta Deposit Card 20
Activation of SME Business Debit Card 20
First Transaction through CINB Saral 20
First Transaction on Insta Card or BDC Card 20
Activation of dormant proprietorship current account 20

15. SBI again hit the news-
SBI’s Group Share in
Debit Card Payments
touches 25% in FY 15

16. Riding on the Booming e-commerce
space & increasing adoption of non-
cash txns, the combined share of SBI
& its five associate banks in the Debit
Card space has touched 25% in
FY 15
E-Commerce/POS txns
Debit Card spends at POS & e-
commerce txns of the State Bank
Group crossed Rs.30,000
Crores in FY 15 (increase of
38.8% of Total debit Card spends)
State Bank Anywhere
Introduction of Mobile Bank Application
‘State Bank Anywhere’ has helped SBI to
strengthen its position in M-Banking space.
During FY 15,7.71 Crore txns
worth Rs.11,662 Crores were
executed through M-Banking channel that
resulted in Y-O-Y income growth of 170%
Promotion of Channels
SBI has been actively promoting Debit Card usage
by running various promotional & Cashback
campaigns.SBI Rewardz(enterprise
Loyalty Program is an example).In terms of
the number of M-Banking txns, SBI continues to be
a market leader with a 46% share
Total Debit Card Issued
State Bank of Bikaner & Jaipur, State Bank of
Hyderabad, State Bank of Travancore & State
Bank of Mysore form the SBI Group. As of
March 2015,SBI Group has issued over 20.59
Crore Debit Cards(highest in the
country)
SBI
Achievements

17. Anup George Rebello
Asst.Manager
The Catholic Syrian Bank Ltd