CHETANA’S HAZARIMAL SOMANI COLLEGE OF COMMERCE & ECO

SMT. KUSUMTAI CHAUDHARI COLLEGE OF ARTS

TOPIC: CRM AT HDFC BANK

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CONTENTOverview of the company

Key People

Branch Network

Leveraging Technology

Financial Details

CRMStrategy used by HDFC Bank

Products & Services

Top Competitors

SWOT Analysis

Conclusion

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GROUP MEMBERS

Manali Deshmukh 305

Aashu Gangwal 310

Vinesh Pulli 328

Yogesh raut 329

Dipti Shringare 334

Ruksar Sutar 339

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SOURCES

WEBSITES:

www.hdfcbank.com

www.rbi.org.in

www.crmnext.com

www.marketing91.com

• Customer Relation management programs in banks ( A study of HDFC and ICICI Bank by International Journal of IT and Management

• Study of CRM in Indian Banking Industry by Indian Streams Research Journal

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OVERVIEW OF BANK

• HDFC Bank 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.

• The bank was incorporated in August 1994 in the name of 'HDFC Bank Limited‘.

• The Bank at present has an enviable network of over 3,336 Branches & 11,473 ATM's in 2,104 Indian towns and cities.

• HDFC is India’s premier housing finance company and enjoys a faultless track record in India as well as in international markets.

• The Corporation has maintained a consistent and healthy growth in its operations to remain the market leader in mortgages.

• The Bank's American Depository Shares (ADS) are listed on the New York Stock Exchange (NYSE) under the symbol 'HDB' and the Bank's Global Depository Receipts (GDRs) are listed on Luxembourg Stock Exchange

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VISION MISSION AND OBJECTIVES

VisionTo be customer driven best managed enterprise that enjoys market leadership in providing housing related finance.

MissionHDFC banks mission is to be "a World Class Indian Bank", benchmarking themselves against international standards and best practices in terms of product offerings, technology, service levels, risk management and audit & compliance

Objectiveis to build sound customer franchises across distinct businesses so as to be a preferred provider of banking services for target retail and wholesale customer segments, and to achieve a healthy growth in profitability, consistent with the Bank's risk appetite. We are committed to do this while ensuring the highest levels of ethical standards, professional integrity, corporate governance and regulatory compliance

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KEY PEOPLE

FounderMr. Hasmukhbhai Parekh.

• Born on March 10, 1911 in a banking family at Surat

• A graduate in Economics from Mumbai, Mr. Parekh also pursued a BSc. degree in Banking and Finance from the London School of Economics

• His lifelong dream of helping Indians own their home, as he had seen abroad during his student days, led to the formation of the Housing Development Finance Corporation Limited (HDFC) in 1977

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Mr. C. M. VasudevChairman• Mr. C. M. Vasudev holds a Master’s Degree in Economics and

Physics.

• Mr. Vasudev has worked as an Executive Director of World Bank representing India, Bangladesh, Sri Lanka and Bhutan.

Mr. Keki MistryVice-Chairman & Chief Executive Officer• Mr. Keki Mistry has obtained a Bachelor’s Degree in

Commerce from the Mumbai University.

• Mr. Mistry is a qualified Chartered Accountant and a Associated Member of the Institute of Chartered Accountants of India.

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Mr. Aditya Puri Managing Director

• Mr. Aditya Puri holds a Bachelor’s degree in Commerce from Punjab University and is an Associate member of the Institute of Chartered Accountants of India.

• Prior to joining the Bank, Mr. Puri was the Chief Executive Officer of Citibank, Malaysia from 1992 to 1994

• Mr. Puri has nearly 39 years of experience in the banking sector in India and abroad.

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Mrs. Renu KarnadDirector

Mr. Partho Datta Independent Non-Executive

Director

Mr. Bobby Parikh Independent Non-Executive

Director

Mr. Vijay Merchant Independent Director

Mr. Paresh Sukthankar Deputy Managing Director

& Executive Director

Mr. Kaizad M Bharucha Director, Head-Wholesale

Credit & Market Risk

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BRANCH NETWORK

26%

8%

35%

31%

Mar-10

Semi Urban

Rural

Metro

Urban

36%

17%24%

24%

Mar-13

Semi UrbanRuralMetroUrban

• All Branches linked online, real time

• Bank added ‘ micro’ branches in FY 2013

• Customer base of over 28 million, net addition base of over 2 million customers in FY 2013

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LEVERAGING TECHNOLOGY

Branches ATMPhone bank-ingInternet and mobile

43%

40%

14%

3%

BranchesATMPhone bank-ingInternet and mobile

44%

30%

18%

8%

2001 2013

Multiple Delivery Channels Greater choice and convenience for the customers

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FINANCIAL INFORMATION

Particulars (Rs cr) March 2013 March 2012 % chg

Net Sales 10590.68 8890.4 19.12

Other Income 2148.27 1927.73 11.44

Total Income 12738.95 10818.13 17.76

Total Expenses 3283.91 3192.97 2.85

Operating Profit 9455.04 7625.16 24

Net Profit 2325.7 1859.07 25.1

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SHAREHOLDING PATTERN

PromotersbanksFII'S insurancemutual fundindian publiccustodiansothers

22.69%

34.93%

4.68%

17%

7.89%

8.23%

4.31%

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CRM AT HDFC BANK

• HDFC bank uses CRM technology when interacting with the customers. They are as follows; Call center Automation, Data warehousing, Email Management, Field Service Automation, Marketing Automation

• The bank selected CRMnext's solution in 2008 which promised to fulfill the bank’s needs.

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CRM-Process

CRM- Technology

CRM- Organization Structure

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Some of the key capabilities offered by the solution included

Customer 360° view

o Creating a united customer view by organizing and altering data from various sources including the data warehouse.

o Controlling customer information based on the role of users.

o Enabling access to single view across various channels like branch, phone banking, etc.

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Integrated sales platform

o Multi-wave process workouts to ensure unification and consolidation of all unstructured processes (run on excel) and semi-automated processes.

o Phasing out 6 applications like lead tracking system, customer contact management, etc.

o Integrating with 7 core and origin systems to provide end-to-end status visibility.

o Process TAT guaranteed by alerts and multi-stage escalations across departments and channels.

o Using mobile & two way SMS capabilities to create leads, update status, request for customer offers, etc.

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Customer experience management

o Enabling improved relationship management by creating virtual portfolios and accountability

o Ensuring information availability at all customer touch points to boost the quality of interactions

o Enabling system driven contact strategies based on customer bands to ensure aligned actions

o Focus on roadmap to establish CRMnext as a single destination for all needs

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Cross Selling Capability

o The platform operates across all channels, providing global visibility and status of offers.

o Various systems integrated to provide event based triggering such as large deposits, channel usage, etc.

o Marketing team continuously generates cross-sell offers and next best products to be sold

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• By an intelligent segmentation of customers, the bank has been able to achieve a high level of cross-selling and up-selling capabilities at various customer touch points.

• In Nov 2012, HDFC bank won the 2012 Celent Model Bank Award for CRMnext implementation for delivering excellent customer service experience across channels like branch, phone banking, call centers.

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PRODUCTS AND SERVICES

Personal

NRI

Wholesale

SME

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PERSONAL BANAKING

Saving Accounts

o Savings Max Account

o Women's Savings Account

o Kids Advantage Account

Salary Accounts

o Premium Salary Account

o Regular Salary Account o Classic Salary Account

Accounts & Deposits

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Current Accounts

o Supreme Current Account

o Agri Current Account

o Trade Current Account

Rural Accounts

o Kisan Club Savings account

o Basic Savings Bank Deposit Account – Farmers

Deposits

o Regular Fixed Deposit

o 5 Year Tax Saving Fixed Deposit

o Super Saver Facility

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Loans

• Business Loan

• Home Loan

• Educational

• Personal loan

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nki

• Customer can check account balances and download 5 year account statement in 5 formats, instantly

• Pay Utility Bills

• Invest in Mutual Funds Online

• Payment of Taxes online

• Customers can Update their PAN Details online

• Loan details

• Apply for IPO

Net Banking

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How to register for net banking

Online ATM

Phone Banking Branch

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Investment Products

Mobile Banking

ATM

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Investments

Mutual Funds offered through HDFC BANKo Axis Mutual Fundo Birla Sun Life Mutual Fundo Franklin Templeton Mutual Fundo HDFC Mutual Fundo HSBC MUTUAL FUNDo IDFC Mutual Fundo JPMorgan Mutual Fundo Kotak Mahindra Mutual Fundo L&T Mutual Fundo SBI Mutual Fund

Equities and Derivative

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Wealth Service

Identifying

objectives

Establishing

customers risk profilin

g

Recommendi

ng researc

h backed solutio

ns

Seamless

execution

Regular

Reviews

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Debit Cards

• JetPrivilege HDFC Bank World Debit Card

• EasyShop Platinum Debit Card

• EasyShop Gold Debit Card

• EasyShop International Business Debit Card

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Credit Cards

• JetPrivilege HDFC Bank World

• Platinum Times Card

• Teacher's Platinum

• Doctor's Superia

• Corporate Platinum

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NRI BANKING

Accounts & deposits

Money transfer

Investments &

insurance

Premium banking

loans

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Accounts & Deposits

Savings account

o NRE & NRO

Current accounts

o NRE & NRO

Fixed deposits account

o Foreign currency deposits account

Accounts for returning Indians

RFC savings account

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Money transfer

Investments & Insurance

Premium Banking

Imperia Banking Preferred Banking Classic Banking

Loans

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RFC Savings account RFC Fixed deposits account

Maintain account in foreign currency even as you can withdraw cash in Indian Rupees

Maintain account in 4 foreign currencies and protect yourself against exchange rate fluctuations

Balance can be transferred on regaining NRI status

Funds can be remitted abroad for any bonafide purpose of the account holder

Nomination facility is available Nomination facility is available

Interest is credited quarterly Interest is credited quarterly

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Difference between NRE and NRO

Non-Resident (External)Rupee Non-Resident Ordinary Rupee Account

NRE Account is typically opened using foreign currency and allows account holders to convert foreign currency into Indian rupees at the prevailing exchange rate on the date of conversion.

NRO account is kept in Indian rupees and cannot be converted and repatriated into foreign currency.

NRE account is freely repatriable NRO account has restricted repatriability

NRE account is Tax free the interest earned in NRO account and credit balances are subject to respective income tax bracket and are also subject to applicable wealth and gift tax.

NRE account can be jointly held with another NRI but not with resident Indian.

NRO account can be held with NRI as well as resident Indian

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SME

Accounts & deposits

Financing your business

Trade services

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Accounts & deposits

Current account

Ulitma current account

Trade current account

EZEE current account

Salary account

Demat account

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Financing your business

Loan for professionals

Working capital finance

Value draw

Elite draw

Rural loans

Warehouse

Retail agri loansTrade services Export Import Hedging Solutions - Forward Contract

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Corporate

Financial Institutions & Trusts

Government sector

Investment banking

WHOLESALE BANKING

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Corporate

Large corporate

o Funded services

o Non funded services

o Value added services

o internet banking

supply chain partners

o Dealer finance

o Vendor finance

Agriculture lending

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Financial institutions & trusts

Banks

o Corporate salary accounts

Financial institutions

o India link

o Forex desk

o Derivatives desk

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Mutual funds

o Money market desk

o Debt market

o Payment services

o Funds transfer

Stock brokers

o Clearing Bank Services to Currency Derivative Brokers

o Clearing Bank Services to Capital Market Brokers

Insurance companies

Commodity business

Trusts

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Investment Banking

Equity Placement

• Private Equity Placement with P/E, V/C, Buy Out Funds

• Placement to institutional investors under SEBI QIP Guideline

• Mezzanine Finance

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M&A and Corporate Advisory Services• Domestic & Cross-Border mergers and acquisitions - Providing end to end

solutions including identification of target, valuation, assistance in due diligence and fund raising

• Capital Structuring and Restructuring

Capital Market Advisory Services

• Rights Issues

• Open Offers

• Share Buy Back

• De listing

• Follow-on Public Offerings

• BRLM for IPo

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SWOT ANALYSIS

Strength• The attrition rate in HDFC is low and it is

one of the best places to work in private banking sector

• preferred card for shopping and online transactions

• HDFC bank has the high degree of customer satisfaction when compared to other private banks

weakness

• Doesn’t have strong presence in Rural areas• lacks in aggressive marketing strategies like

ICICI• focuses mostly on high end clients

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Opportunity

• Improved it’s bad debts portfolio and the recovery of bad debts are high when compared to government banks

• Greater scope for acquisitions and strategic alliances due to strong financial position good reputation in terms of maintaining corporate salary accounts

Threat • The non banking financial companies and new age banks are increasing in India

• RBI has opened up to 74% for foreign banks to invest in Indian market

TOP COMPETITORS

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HDFC ICICI YES BANK AXIS

Outlook on marketing

Customer retention

Aggressive Knowledge banking approach

Rebranding from previous UTI.

Focus area of banks in CRM

Customer oriented approach

Marketing and competitive sales approach

To have more interactive approach .

To have broader markets

Online popularity

Reached the top position beating its competitor

It is now ranked as 2nd .

Establishing market through Social networking sites.

Following footsteps of others

Customer market segment

Upper Middle class , high net worth individuals

Bank young stars, bank @campus, and women account

Retail segment As a preferred partner in progress.

CRMTechnology / tool used in banks

CRM next Revamp with CRM

One view name in- house technology is used

(Yccr) software

The Right Phone Banking CRMCRM - Finacle Software

CONCLUSION

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THANK YOU