Canara Bank
description
Transcript of Canara Bank
A Presentation on
MARKETING OF SME PRODUCTSIN
CANARA BANK
By:Ramesh
2
Flow of presentation:
Company Profile Products and services Introduction to SME Bank’s SME products Survey Suggestions
3
Birth of Canara Bank
SRI AMMEMBAL SUBBARAO PAIBORN ON 19-11-1852
FOUNDED THECANARA HINDU PERMANENT FUND
ON 01-07-1906
LATER RECHRISTENED AS
CANARA BANK LIMITED IN 1910
4
Corporate Vision
TO EMERGE AS A WORLD CLASS BANK WITH BEST PRACTICES IN THE REALMS OF
ASSET PORTFOLIO,
CUSTOMER ORIENTATION,
PRODUCT INNOVATION, PROFITABILITY
AND
ENHANCED VALUE FOR STAKE HOLDERS
5
Corporate Mission
AUGMENTING LOW COST DEPOSITS
THRUST ON RETAIL LENDING
TONING UP ASSET QUALITY
ACCENT ON COST CONTROL
PRODUCT INNOVATION AND MARKETING
CUSTOMER CENTRIC FOCUS
LEVERAGING IT FOR COMPREHENSIVE MIS
MAXIMISING STAKE HOLDERS’ VALUE
6
Growth of Canara Bank
The First Balance Sheet:
CAPITAL - Rs.50,000
DEPOSITS - Rs.42,000
ADVANCES - Rs.84,000
VOLUME - Rs.1,28,000
7[Source: www.rbi.org.in]
Volume of Business for the year 2005-2006
Rank Bank Volume
1 Canara Bank 1,96,000cr
2 Punjab National Bank 1,94,000cr
3 Bank of India 1,59,000cr
4 Bank of Baroda 1,53,000cr
5 Union Bank of India 1,27,000cr
6 Central Bank of India 1,03,000cr
8
Products and Services
Personal banking Commercial Banking NRI Priority Sector Loans to SME International Services
9
Introduction to SME(SME-Small and Medium Enterprise)
Definition:
Global perspective:
1to49 Employees – Small Enterprise
50 to 250 Employees- Medium
Enterprise
10
Definition …
Indian perspective
Manufacturing Sector
(Original Inv in Plant & Mach.)
Service Sector
(original Cost of equ
used for service)
Micro Enterprise
Up to Rs.25 lk Up to Rs.10 lk
Small Enterprise
Rs.25lk to Rs.5cr Rs.10lk to Rs.2cr
Medium Enterprise
Rs.5cr to 10cr Rs.2cr to Rs.5cr
11
Why SME financing….???
SSI financing is a constituent of priority sector credit.
More profitable
Less concentration of risk
Provides more job opportunities
12
Canara Bank’s SME products:
Products catering to Term Loan requirements
Products catering to Working Capital requirements
Non-fund based services
13
Bank’s Initiatives to promote SME products….
Exclusive Marketing set-up for SME Emphasis on new accounts SMS campaign Ads on Rediff and Money Control Seminars, workshops Gold card
14
Survey: 3 Specialized SME branches Feedback on the following parameters Customers: Adequate Finance Speed Service Product Awareness Branch Managers: Constraints and Approach towards lending.
15
Survey findings
Adequate Finance 76% - Bank finance adequate
New customers face difficulty - Lack of understanding of business environment by managers - Not keen to finance new ventures - Lack of powers at branch level
95% - Helped in expansion
16
Survey findings Speed & Service
75% - Reasonably happy with Day-to-day transactions
90% - Not satisfied with the processing speed
Good service at specialized branches except BSB
17
Survey findings Product & Awareness:
Rate of Interest – competitive Priority – Timely credit & Better Service Ready to pay upto 1% extra ROI Awareness mainly through Branch
officials (87%)
18
Survey findings Branch Manager’s views:
Constraints for better service: -Lack of powers -Lack of initiatives by employees -Technology -Formalities -High expectations
19
Suggestions:
Special training modules for managers on current Economic scenario
Extend Internet Banking to more branches and enable more transactions at ATMs
Increase Manpower (skilled)
Implement single window transaction
20
Suggestions contd…
youngsters at counters
Recruit more Marketing Managers
Lend adequate support to Marketing Managers
Information from new customers
21
THANK YOU