Marketing of Financial Products & Services - Marketing Cases - Axis bank, Citi bank & American...

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Marketing of

Financial

Products

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Lecture – 11 Parveen Sharma

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Marketing

Case 1

Axis Bank

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Case 1 – Axis Bank YOU Account

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The Challenge:

Considering that more than half of the country’s population consisted of youth, Axis Bank set

its mind to winning them over. But it was no easy task as it wanted to create a desire among

youth for a product they did not want, in a category they did not relate to and for a brand they

did not care about.

Traditionally, banking has never targeted young consumers; it is something which is

associated with parents and family. Youngsters have little knowledge and no interest in what a

bank has to say. Their view of banks is formed by the numerous sales-calls, trying to sell them

loans/ cards/ insurance, which are usually of no interest to them. They are usually detached

from banking activities.

Whatever little consideration they had, was reserved for brands like HDFC Bank and ICICI

Bank. Axis Bank as a brand was nowhere in the reckoning in their minds

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Objective

With YOUTH savings a/c launch, the initial business objective was to achieve 1 lakh new sign-

ups for the Axis Bank Youth A/c in 6 months with a limited media investment of INR 60 lakhs

(Cost in advertising per acquisition = INR 60).

The Big Idea: It’s All about YOU!

The idea was to create a product that would interact with youth in their language -

Customized Debit Cards.

Intuitive Mobile App - Considering the affinity of youth towards mobile, Axis Bank created a

special mobile app, which facilitated banking transactions on smart-phones. It also allowed

them to check their account balance, recharge mobile phones, transfer money to a friend’s

YOUTH account.

Pull money from parent’s linked Axis Bank A/c –With the YOUTH A/c, the young customers

could pull money from their parent’s linked Axis Bank A/c using the YOUTH Mobile App.

Parents could set a monthly limit on the amount of money their kid could pull out from their a/c.

Great offers on the YOUTH Debit Card

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A look at offers

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Execution Among all media vehicles, internet is most popular among youth. Given the reach of digital

among youth and the limited budgets at hand, Axis Bank decided to structure its entire media

strategy on the digital platform. The strategy revolved around the following:

Introduce & engage the product on DIGITAL

Creating an Information Destination – the YOUTH Account Microsite

Even the manner in which features of the account were communicated borrowed from the

language of the youth

Add on-ground legs to the campaign to strengthen engagement : partnered with Mood Indigo, a

popular college festival. Special Wi-Fi enabled YOUTH Account zones were created. The

concept was further extended on ground by taking it to Sir JJ School of Arts in Mumbai. Here,

students from various disciplines were given the opportunity to showcase their idea of the

YOUTH Card. Over 150 students participated.

Results: •The campaign reached a total of over 2.2 mn users on Facebook, and generated over 30,000

likes. The sales target was exceeded by 44% and the 100,000 milestone was achieved in just 3

months.

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Marketing

Case 2

Citi Bank

Agency: SapientNitro

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Case 2 – Citi Bank OMG Sale

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Objective:

Bring Citibank card customers a unique shopping experience during the festive period.

Provide a fillip to the Indian e-commerce industry by benefiting partnering e-tailers.

Media:

Micro blogging

Viral videos

Citi bank ‘OMG’ sale microsite

Facebook

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The Big idea: Citi bank OMG sale

The first ever 24 hour mega sale campaign was conceptualized exclusively for the digital platform

to reach out to the target audience: digitally active Citibank card users.

Facebook was chosen as the primary platform for promotion for two reasons

1. Strong presence of audience base on facebook

2. Facebook lends itself to superior engagement and analytics capabilities

A customized event page, teaser images,

regular updates and videos were used

Receive

Share

Invite


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Execution: Actively promoted OMG! Sale on the Citibank India Facebook page to benefit existing

and potential Citibank card holders

The first campaign teaser went live on 30th November, 2012

A pendulum shaped, countdown cover image of the OMG! Sale campaign as a teaser was

uploaded on December 3rd and 4th, 2012

A dedicated Citibank OMG! Sale event page was created two days prior to the start of the mega

sale

The event link was shared on the brands Facebook wall

Interesting OMG! Videos were shared on Citibank Indiaᾼs Facebook wall

Updates shared about the launch of the OMG! Sale

Key Results: Citibank card spends grew 8x over average daily spends at the 17 partner websites & the

average ticket size increased by 30% for the partner websites on Citibank cards.

Partner merchants reported 50% reduction on cash on delivery.

Citibank India Facebook page achieved the highest reach ever in 2012 – 20,95,104 and the

highest virality – 7.63% during the OMG! Sale


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Post Sale


Agency: SapientNitro

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Marketing

Case 2

Amex

Bank

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Case 3 – American Express

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Amex

Brief of case study written by Joseph Handleman Professor of Information Systems

and Innovation at the Ross School of Business, University of Michigan. The case

study is based on work done with C.K. Prahalad

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Amex worlds leading payment, travel & card issuing company.

As the battle for customer loyalty in card industry became increasingly fierce, Amex

recognized that its core competitive advantage had to be something that would be difficult

to replicate: superior everyday customer service.

The challenge

When Jim Bush, a company veteran, assumed leadership of Amex World Service

organization in 2005, he became concerned that the company was focusing too much on

managing service as a cost centre – rather than as an opportunity to build customer

relationships.


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The Response

Mr Bush reinvented Amex’s approach to

service. Amex shed its traditional call-centre

approach, which included monitoring whether

customer care professionals (CCPs) adhered

to a script.

Instead it focused on whether customers

would recommend Amex to their friends based

on each interaction they had with the company.


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The Response

It also took its CCPs off the clock – letting customer decide how long to spend

on each call. Amex can now link a customer’s satisfaction with a specific call to

the CCP who took that call. It provides constant feedback so each CCP can

improve.

Amex also developed “Relationship Care”, a service ethos based on the idea

that company’s most powerful loyalty-builders are CCPs who speak with

customers daily.

Amex also rewarded staff to get customers more engaged e.g - flexible

scheduling, more robust career development path, additional benefits such as

on-site health screening and changed compensation structure linked to customer

feedback


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The results

Customers increased their spending on Amex products by approximately 8-10% as

CCPs reinforced product benefits through Relationship Care.

Customer satisfaction improved substantially too.

The average time of a call also reduced as CCP’s resolved issues more effectively.

Key lessons

Customer service is not just a cost centre. By focusing on delivering better service,

companies can achieve greater customer loyalty and improved profits.

Customer service starts with the people who deliver it.


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Marketing of Financial Products & Services - Marketing Cases - Axis bank, Citi bank & American...

Marketing

Transcript of Marketing of Financial Products & Services - Marketing Cases - Axis bank, Citi bank & American...