CONSUMER SATISFACTION IN INDIAN RETAIL BANKING

Presented By: Deepak Doda

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CONTENTS• INTRODUCTION• RESEARCH METHODOLOGY• DATA ANALYSIS & INTERPRETATION• FINDINGS• SUGGESTIONS• CONCLUSION

INTRODUCTION OF CUSTOMER SATISFACTION• Customer satisfaction refers to the extent to which customers are

happy with the products and services provided by a business. Customer satisfaction levels can be measured using survey, techniques and questionnaires.

• Gaining high levels of customer satisfaction is very important to a business because satisfaction customers are most likely to be loyal and to make repeat orders and to use a wide range of services offered by a business. There are many factors which lead in high levels of customer satisfaction including.

• Products and services which are customer focused and hence provide high levels of value for money. What is clear about customer satisfaction is that customers are most likely to appreciate the goods and services that they buy if they are made to feel special. This occurs when they feel that the products and services that they buy have been specially produced for them or for people like them.

INTRODUCTION TO BANKING• Bank is an institution that deals in money and

its substitutes and provides crucial financial services. The principal type of baking in the modern industrial world is commercial banking & central banking.

• Banking Means "Accepting Deposits for the purpose of lending or Investment of deposits of money from the public, repayable on demand or otherwise and withdraw by cheque, draft orotherwise."

BANKING SERVICES

• Banking covers so many services that it is difficult to define it. However, these basic services have always been recognized as the hallmark of the genuine banker. These are…

• The receipt of the customer’s deposits• The collection of his cheques drawn on other banks• The payment of the customer’s cheques drawn on himself

• There are other various types of banking services like:• 1) Advances – Overdraft, Cash Credit, etc.• 2) Deposits – Saving Account, Current Account, etc.• 3) Financial Services – Bill discounting etc.• 4) Foreign Services – Providing foreign currency, travelers cheques, etc.• 5) Money Transmission – Funds transfer etc.• 6) Savings – Fixed deposits, etc.• 7) Services of place or time – ATM Services.• 8) Status – Debit Cards, Credit Cards, etc.

PRODUCTS & SERVICES OFFERED BY ICICI BANK

• SAVING ACCOUNTS• Special Savings Account: • LIFE PLUS “Senior citizens savings account • Young Stars Account: • Advantage woman savings account • Fixed deposits • Recurring Deposits • Security Deposits•  ICICI Bank Tax-Saver Fixed Deposit• EEFC Account • Resident Foreign PRIVILEGE BANKING:•  Silver privilege A/c•  Gold privilege A/c•  Titanium privilege A/c• Family banking:• New Pension System of Government of India• Various Loans offered by ICICI Bank•  HOME LOAN  • PERSONAL LOANS • CAR LOAN • TWO WHEELER LOANS • CONSTRUCTION EQUIPMENT LOAN • OFFICE EQUIPMENT LOAN • CREDIT CARDS• DEBIT CARDS • TREVEL CARD  •  PRE PAID CARDS•   INVESTMENTS  • ICICI BANK BONDS

RESEARCH METHODOLOGY

SCOPE OF THE STUDY• The study is specific only to retail banking in India.• Understand different facilities provided by the bank to the customers.• To do the careful study of steps which bank takes to attract the customers.• To study how bank are working for the development of the population and

the economy.• The study is also useful to the bank to formulate a systematic structure for

providing facilities to the customers.• It informs customers about banks progressive attitude towards customers.

Understand the overall performance and progress of the bank.• The study also relates To Customer Satisfaction and Its Related Factors.

The factors studied are:• Service provided by the bank.• The Image or Personality of the Bank.• Convenience Provided To The Customers.• Pricing policies of the bank.• Maintenance Of Relationship With The Customers

Customer have Account with ICICI Bank

Sales

CURRENTSAVINGLOANOTHERS

Attributes compelled by the customers to open saving account inany bank

Sales

ATMCHEQUE BOOKINTERNET BANKINGWORKING HOURVALUE ADDED SERVICES

Customers having Bank Account With ICICI Bank From how many years

0-1 5-Jan 10-May0

10

20

30

40

50

60

70

80

Series 1

Series 1

Reason for preference of ICICI Bank

Sales

QUICK TRANSACTIONQUALITY AND SERVICESMORE SUPPOT TO CUSTOMER

Medium for customer awareness about the services provided by

Sales

SECURITYSAVINGIMPOSITION OF BURDEN OF EXPENSESOTHER

Suitability of processing of loan for the customers

YES NO CAN NOT SAY0

10

20

30

40

50

60

70

Series 1

Series 1

Opinion of the customers about the processing charges of loan

Sales

HIGHLOWMEDIUM

Type of loan Preferred by the customers of ICICI Bank

Sales

HOUSING LOANPERSONNALCAR LOANEDUCATION

Customers Opinion about the interest rate charged on loan by the ICICI bank

Sales

HIGHLOWAVERAGE

Internet banking Services availed by the customers of ICICI Bank

YES NO0

10

20

30

40

50

60

70

80

Series 1

Series 1

Customer opinion towards the financial services provided by theICICI bank

Sales

EXCELLENTVERY GOODGOODAVERAGE

Level of Customer satisfaction towards the services provided by ICICI Bank

Sales

DISSATISFACTIONMODERATESATISFACTIONEXTREMELY DISSATISFACTIONEXTREMELY SATISFACTION

FINDINGS•  • From the details of the study, we can enumerate the observation of the project report i. e.

customers satisfaction towards the ICICI Bank, Jaipur in the form of finding as below.• 1. It was found from the study that bank believes in quality service rather than quantity of service.• 2. The officials employed are very much enthusiastic about their job.•  • 3. The officials try to make best relation with the customers.•  • 4. There is separate counter for NRI services.•  • 5. The registers and files are maintained on a daily basis.•  • 6. The registers are maintained in a well organized manner.•  • 7. The marketing strategy of the bank is very attractive.•  • 8. The bank always tries to attract customers with innovative offers.•  • 9. Both the bank investment deposit ratio is on the declining trend•  • 10. Both the banks has shown better utilization of cash portfolio•  • 11. ICICI bank Interest expenses to interest earned remains the same Over 2 Years whereas• SBI shows reduction.•  • 12. Other Income ratio remains fluctuation in both the banks.

SUGGESTION• 1. The company should adopt best marketing strategy to expansion the

market.•  • 2. To increases its branches.•  • 3. To increases more activity rather than banking system.•  • 4. To make good relationship with its customer.•  • 5. To make effort for increasing the awareness about the internet

banking among the customers•  • 6. To reduces the interest rate of loan process.•  • 7. To reduces the minimum amount of maintaining the account.•  

CONCLUSION• Thus, ICICI has been able to use technology to provide value-added service to its

customers during the last few years. For ICICI, technology is an integral part of their business. However, their overall progress could have been smoother but for certain internal and extraneous factors and also a pressure on spread due to a competitive market (Annual report, 2010 –11). E- banking has become a necessary survival weapon and is fundamentally changing the banking industry worldwide. Today, the click of the mouse offers customers banking services at a much lower cost and also empowers them with unprecedented freedom in choosing vendors for their financial service needs. No country today has a choice- whether to implement E-banking or not given the global and competitive nature of the economy. ICICI have top grade and constantly think of new innovative customized packages and services to remain competitive. The invasion of banking by technology has created an information age and commoditization of banking services. ICICI have come to realize that survival in the new e-economy depends on delivering some or all of their banking services on the Internet while continuing to support their traditional infrastructure. The rise of E-banking is redefining business relationships and the most successful banks will be those that can truly strengthen their relationship with their customers. Without any doubt, the international scope of E-banking provides new growth perspectives and Internet business is a catalyst for new technologies and new business processes.