RETAIL BANKING IN 97

8/7/2019 RETAIL BANKING IN 97

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-P.SHRAVYA REDDYUnder guidance of

Mr.C.Sudhakar Sarma(AGM)


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RETAIL BANKING:-Banking services for

individual customers

Aims to be the one stop shop of all thefinancial services as possible on behalf of

retail clients

With a jump in the Indian economy from a

manufacturing sector, that never really took

off, to a nascent service sector, Banking as a

whole is undergoing a change.


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Todays retail banking sector is characterized by three

main basic characteristics

-Multiple products (deposits, credit cards,

insurance, investments and securities);

-Multiple channels of distribution (call

centre, branch, Internet and kiosk); and

-Multiple customer groups (consumer,

small business, and corporate).


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Retail Banking

Corporate andInvestment Banking

Asset Management andServices

Retail FinancialServices

Domestic Retail Banking

International RetailBanking

With a jump in the Indian economy from a manufacturing sector, that never really took off, to a nascent service sector, Banking as a whole is undergoing a change.


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Indian retail banking has been showingphenomenal growth

In 2004-05, 42% of credit growth came fromretail

Over the last 5 years CAGR has been over 35%

Retail credit level crossed Rs.189K Crore in2004-05

Market has transformed into a buyersmarket from a sellers market


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Pension fund industry in India grew at a CAGR of 122.44%

from 1999-00 to 2006-07.

In terms of ownership, debit cards are more in number

than credit cards but in terms of transactions, use of credit

cards is more prevalent than debit cards.

The ATM outlets in India increased at a rate of 28.09% from

March 2006 to March 2007.

Outstanding Education loan segment is expected to growat 36.41% till March 2009 from March 2007 onwards to

cross Rs. 27000 Crore Mark.


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Two-wheeler finance industry is projected to forge

ahead at a CAGR of 14.21% till 2009-10 from 2005-06.

Indian Mutual Fund industry witnessed a growth of

49.88% from May 2006 to May 2007, and a higher

215.61% growth was recorded in closed ended

schemes.

Increasing number of millionaires in India is increasing

the scope of Wealth Management Services.

Bankable households in India are estimated to move

up at a CAGR of 28.10% during 2007-2011.


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Money laundering

Retain ongoing trust of the public

Outsourcing KYC

Dependency on technology

Efficiency of operations

Customer retention

Care and deliberation


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Constant product innovation

Quality/Quickness

Delivery channels Tapping of unexploited potential, increasing

volume of business

Infrastructure & business process outsourcing

Detail market research

Cross-selling of products

Tie-up agreements


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Deposit accounts

Loans

Other services and facilities


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Operating profit-growth rate of 21.99% over

Mar09

Net profit-growth rate of 31.08% over Mar09 Total business- y-o-y growth of 27.30%

Deposits increased by Rs.18,750 crores

Advances increased by Rs.14,960 crores

Net worth increased to Rs.5775 crores

Found effective growth in various other

factors


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Research objective- is to study

Awareness amongst the consumers

Factors influencing purchase decision customer satisfaction levels

Immediate competitors in the minds ofcustomers

Methodology-exploratory research

Sample size/research area

Data collection


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Excellent, quick and adorable service

Good customer relationships Tech savvy

Poor awareness

Ambience of the bank


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Invest in advertising

Increasing the snowball

Help desk for additional work Frequent monitoring and trouble shooting

Market prudent pricing

Other suggestions such as

-single window system-product innovation

-Sunday banking


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CUSTOMER IS GOD

Major driver for overall banking industry

Fast acquisition of personal wealth

Demand for retail credit

Innovative strategies

Efficiency of operations

RETAIL BANKING IN 97

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