ASSIGNMENT ON CONSUMER BEHAVIOUR

SUBMITTED TO
Prof. prabdeep Kaur

SUBMITTED BY
Lovleen kaur MBA- 3(A)

You are the marketing manager of ABC online banking division, how would you apply the concepts of providing value, customer satisfaction and customer retention to design and marketing effective online banking

What is Online Banking It means all the transactions task related to bank are done through the internet.

Penalty due to non-payment of bill is not new to anyone of us and quite obviously, who likes the long procedure of writing a cheque, standing in a long queue and then ensuring that the particular amount is available in your bank account? Similarly, Mr. Sharma, who is on business tour for at least 25 days a month, finds it difficult to clear his dues on time because of his busy schedule. He, like many of us, was possibly not aware of the online services, banks are offering these days. With just a click, all his dues would have been cleared long back. However, it's never too late to mend.

So until now you must have understood how effective is this online banking to the customers. In Banking sector it has a great role to play, all the transactions are now performed through internet only. So as we have discussed how important it is for customers , in the same sense it is important for the banks also as they have to make a relation with their customers through this only.

This online banking acts line an intermediary between the bank and the customers. It is a way through which we can provide value, satisfaction to the customers of bank by providing them better facilities, so that they always remain satisfied. In the same manner it helps to retain the customers of the banks but satisfying them for life long period. So we can say that if the customers are satisfied they will be with bank throughout and bank will have loyal customers. & Loyal customers spread positive word of mouth and refer other customers.

CUSTOMER SATISFACTION

Customer satisfaction is the individuals perception of the performance of the product or service in relation to his or her expectation. Customer satisfaction is a key metric for banks to assess how effectively the web furthers their objectives of customer acquisition, retention and increased share of wallet. To assess the role of the online channel in meeting the needs and exceeding the expectations of customers . As banks have aggressively pursued multi-channel strategies, the online channel is growing in importance and adoption. The overall customer satisfaction of online banking customers has increased by 5.5%. Customers who pay bills online are more satisfied than those who dont, providing banks an opportunity to increase satisfaction and loyalty by converting online bankers to online bill payers. Measurement of customer satisfaction with the online banking experience include: Online banking satisfaction has surpassed satisfaction with the overall banking experience. The satisfaction score for people who bank online has increased 5.5% to 77, This indicates online banking is beginning to fulfil its promise as a convenient and cost-effective channel to serve customers while increasing customer satisfaction, loyalty and share of wallet.

Use of more online features drives satisfaction. Online bankers who use six or more online features are 15% more satisfied and 23% more likely to purchase other products and services from the bank that those who use only one or two online features. What do consumers want from online interactions? Consumers want a personalized, integrated online channel that caters to their many financial management needs, including: One view of their total financial picture including anytime, anywhere access to account summaries and details, simplified tracking and progress toward achieving specific goals that they can establish, and the ability to make any type of payment from any account they choose on the date of their choosing. Tools, training and support to assist with both short and long-range goals like savings strategies, debt reduction and money management, as well as access to others opinions and experiences, that help them make intelligent choices and alerts and reminders that keep them on track. A financial partner and advisor who helps their customers achieve their financial goals and who proactively advises them on how to improve their financial situation. Concise, relevant communication that is specific and personal to their needs, and not just one-size-fits-all information that every customer at the bank receives Making the online channel personal and profitable.

CUSTOMER RETENTION
The overall objectives of providing value to customers continuously and more effectively than the competition is to have and to retain highly satisfied customers, this strategy of CUSTOMR RETENTION makes it in the best interests of customers to stay with the company rather than switch to another firm. Studies show that small reductions in customer defections produce significant increases in profits because Loyal customers buy more products. Loyal customers are less price sensitive and pay less attention to competitors advertising. Loyal customers spread positive word of mouth and refer other customers. Marketer who designate increasing customer retention rates as a strategic corporate goal must also recognize that all customers are not equal. Sophisticated marketers build selective relationship with customers, based on where customers rank in terms of profitability, rather than merely strive to retain customers. Even through the customers who are not able to maintain huge balance in the account or unable to use much use of cards should not be penalized. Retaining the current customer base is key. The reason is that the cost of acquiring new customers is high, but the probability that they stay is quite low. New customers who are acquired at the margin are quite likely to be switches. They will eventually switch to a better offer. Customer satisfaction is the prerequisite for customer retention More than two-thirds of the customers who are delighted with their bank say they will not switch to another provider. Quite the contrary: they consider buying other products from the same provider, and will even recommend them to others. By contrast, almost three-quarters of the satisfied customers say they will switch their financial institution. Online banking users are less likely to leave their banks.Online banking households are more challenging customers, though. They are better informed and more actively involved in their financial affairs than online households that do not use their banks website. Online banking households use websites to gather information and shop around. They also prefer to make their financial decisions on their own. So they should be taken with more care. A good website retains customers. A study conducted in Canada finds that a good website causes more online customers to stay with their banks than lower fees, financial advice or a broader product selection. This calls for more attention to be payed to the userfriendliness of online banking services. Online customers are often assumed to be more profitable than offline customers, because they are better educated and earn higher incomes

How does your dressing sense differs from others. What personality traits in you make you prefer those clothes. Explain this in context of Trait Theory

What is trait?

A trait is a notable feature or quality of a person. Each of a person has a different combination of traits that make them unique. Traits are passed from generation to generation. We inherit our traits from our parents and we pass them to our children.

Traits are a readiness to think or act in a similar fashion in response to a variety of different stimuli or situations .In general, trait theory assumes that people differ on variables or dimensions that are CONTINUOUS. People are seen to differ in the AMOUNTS or QUANTITIES of a characteristic rather than differ in the QUALITY of their characteristics

Types of Personality Traits

There are many different personality types, and it is sometimes difficult to classify a person into a single type as there are many different personality traits you can possess. Personality traits are simply: Actions Attitudes Behaviours you possess

Positive Personality Traits

Some personality traits are positive:

Being honest no matter what the consequences are is one personality trait people should aspire to. Having responsibility for all of your actions and being a little bit of a perfectionism are also personality traits. Adaptability and compatibility are great and can help you get along with others. Having the drive to keep going, and having compassion and understanding are positive personality traits. Patience is a virtue and also another trait. Getting up the courage to do whats right in those tough situations and loyalty to your friends and loved ones are laso personality traits.

Here's a few more to consider:

Adventurous Dependable Fair Fearless Observant Impartial Independent Optimistic Intelligent Keen Capable Charming Confident Dutiful Encouraging Reliable Helpful Obedient Trusting

As per me I prefer wearing different types of clothes that can be western, traditional, formals, casuals as to which suits me. In traditional outfits I like wearing decent suits as per the requirement and in western I like to wear denims with t-shirts and when it comes to formal in it I prefer trouser with shirt and high heals.

There are various traits possessed in me which leads to preference of these type of clothes. Following are the traits which influence my dressing sense.

Traits which influence by dressing: 1.Cheerful A person who is in full of cheers and in good spirit. As per this trait as I m cheerful, I like to wear different type of clothes. 2. Honest One who is honourable in his principles, intentions and actions, upright and clear. For this I can as I wear decent clothes that represents I m a honest person. 3. Confident Means one who is sure of oneself, have no uncertainties about ones own abilities. As I m a confident person I always see to this that I carry myself with my clothes in a best manner. 4. Intelligent Person having good understanding and mental capacity. Too this I always take care that what even I wear that suits me. 5. Dutiful Performing the duties as an required when. As a dutiful person I wear what is required as per the need. 6. Self- disciplined Ability to control and restrain impulses. I dont like wearing over brightened and shining clothes.

Conclusion I can conclude by saying this that all the above are some of the traits which influence my dressing sense. It depends on our traits that what type of person he/she is and according his/her dressing sense varies.