A

SYNOPSIS
ON

ANALYSIS OF CUSTOMER RELATION

MANAGEMENT
IN PRIVATE BANKS
Submitted in the partial fulfillment of the requirement
For the award of degree of
MASTER OF BUSINESS ADMINISTRATION (MBA)
To
AMITY UNIVERSITY HARYANA
SUBMITTED TO: -

SUBMITTED BY:-

Mrs. Geeta Ravish

SACHIN GOYAL

(Assistant professor)

MBA-G (4 sem.)

AMITY BUSINESS SCHOOL,

(2014-2016)

PERFORMA FOR APPROVAL OF PROJECT PROPOSAL

Name of the Student

Sachin goyal

Class Roll No.

A50001914023

Institutes Name

Amity Business School

Title of the project

Analysis of CRM in private banks

Subject Area

Marketing

Name and Designation of

Mrs. Geeta Ravish (Assistant professor)

the Supervisor

Signature of the Supervisor

Signature of the

Student

Signature of the Director

Date:-

SYNOPSIS

APPROVED

NOT APPROVED

Comments/Suggestion for reformulating the project:-

Authorised Signatory
Date:

INTRODUCTION
During the research work done for HDFC Bank . The project starts with
studying the products and services offered by HDFC Bank. The objective is to
study the value of existing customer for bank by regularly contacting on
phone, taking appointments and meeting them with this the customer problem
and quires are known and to make sure they are satisfied with the bank
services with this ultimately leads to satisfaction.
This study helps in identifying the problem areas and thereby overcoming this problem
will help the company to enhance customers connections with the company. This
research was undertaken for a period of 2 months during which a majority of customers
are taken as a part of project by interviewing them.

The next part of the project is identifying the most profitable and least
profitable customers which depend on how a customer generates profit in
terms of all the expenses incurred on the part of the bank and all the revenues
is earned from the product. Basically dealing with the non profitable customer
and converting them into profitable band at this customer relationship is very
important. Their staffs are busy working to acquiring new customer and paying
a less attention on old customers.
The customer access screens ( FINWARE ) used by Relationship manager which
include the complete information about account holder and details of customer
which is helpful for him to contact on phone and profitability code is mentioned (
BANDING ), so employees can know whether they are dealing with a 5, 4, 3, 2, or 1
band of customers. And while cross selling the products to customer profitability
band is very important.

These products are selected by certain formulas that determine what bank
products the customer currently uses, and what his current balances would
indicate that he might be eligible for and want to use next. The software also
suggests the appropriate rates for loans (personal loan, two wheeler loan, auto
loan etc.) on the current market, eligibility for credit card and its limit and the
customers profitability level.

BANKING
HDFC Bank classify their customers under five different types of band of
customer which is helpful for Relationship Manager in identifying to which
type of customer he is dealing this process is called is banding it is a
continuous process.
This is helpful for Relationship Manager or Personal Banker in differentiating
customer as which one is most profitable and least profitable customers. This
also shows customer loyalty with bank in terms of his transactions and
available balance. If a customer is loyal toward bank then only bank can
generate revenue thus Banding is done on the basis of revenues generated from
the customers. The first two bands deal with non profitable customers. And the
next three bands deal with the Profitable ones.
The profits from the customers are considered on a yearly basis.

Bands

Profit

1.

Profit<0

2.

Profit=0

3.

Profit>1k

4.

2.5k>Profit<5k

5.

Profit>5k

Thus from the above diagram it is clear that Band 1 customers are those who
generate negative profits for the bank. Band 2 customers are those who
generate zero profit for the bank*. Customers generating profit more than one
thousand rupees and less than two thousand five hundred rupees annually are
kept under Band 3. The customers who fall under the profit class of more than
two thousand five hundred rupees and less than five thousand rupees annually
are under Band 4. And the highest band is of those customers who generate
profits more than five thousand rupees annually.

HDFC BANK TRIES TO MAINTAIN

CUSTOMER IN FOLLOWING WAYS:

RELATIONSHIP WITH

HDFC BANK GIVIES INFORMATION:

You can get information on interest rates, common fees and charges through
any one of the following: Looking at the notices in our branches; phoning our
branches or help-lines; Looking on our website; Asking our help desk;
Referring to the service guide.
HDFC BANK HELPS YOU TO UNDERSTAND HOW THERE
FINANCIAL PRODUCTS AND SERVICES WORK BY:

HDFC Bank provides you information about them in any one or more
of the following languages: Hindi, English or the appropriate local
language.
Ensuring that there advertising and promotional literature is clear and
not misleading.
Ensuring that you are given clear information about their products and
services, the terms and conditions and the interest rates/service charges,
which apply to them.
HDFC Bank provides you information on what are the benefits to you,

How you can avail of the benefits, and whom you can contact for
addressing you queries.
Advise you what information/documentation we need from you

HDFC BANK HELP YOU USE YOUR ACCOUNT OR SERVICE BY:

Provides you a Relationship manager or personal banker which helps
you in assisting your transactions.
Providing you regular appropriate updates.
Keeping you informed about changes in the interest rates, charges or
terms and conditions.

BEFORE YOU BECOME A CUSTOMER HDFC BANK WILL:

Give you clear information explaining the key features of the services
and products you tell us you are interested in;
Give you information on any type of products and services which we
offer and that may suit your needs;
Tell you if we offer products and services in more than one and tell you
how to use them;
Tell you what information we need from you to prove your identity and
address
DEAL QUICKLY AND EFFECTIVELY WITH YOUR QUERIES AND
COMPLAINTS BY:
Offering channels for you to route your queries.
Listening to you patiently.
Accepting our mistakes, if any.
Correcting mistakes/ implementing changes to address your queries.
Communicating our response to you promptly.
Telling you how to take your complaint forward if you are not
satisfied with the response.

HDFC BANK EFFORT TO ENSURE SATISFACTION OF

CUSTOMERS:

Promote good and fair banking practices by setting

minimum standards in dealing with you

Increase transparency so that you can have a better

understanding of what you can reasonably expect of the
services;

Encourage market forces, through competition, to

achieve higher operating standards;

Assisting a personal banker to customers who can look

after his accounts and give timely updates.

Promote a fair and friendly relationship between you

and your bank; Promote confidence in the banking
system.

OBJECTIVES OF STUDY
1. Study of products and services offered to retail customers.
2. Ascertaining the Behavior and perception of the existing
customers towards products/ services in banking.
3. Study the value of existing customers and reduced cost
associated with servicing them and ways to increasing the overall
efficiency of bank performance.
4. Identifying the most profitable and least profitable customer
(Banding)

5. To identify and study the various ways of ensuring customer

satisfaction adopted by HDFC bank.
Receiving the customer feedback that leads to new and improved
product and services.

RESEARCH METHODOLOGY:
Research Instrument Structured Questionnaire
Research Approach Descriptive Research was used for
the research. Sampling Method Random Sampling
Sampling Universe Sample universe for research are the
customer of Bilaspur city.
Sample unit: The respondents comprises of Govt. Employees, Self
Employed, professionals, housewives etc
Sample Frame The sample frame is taken as the existing
customer of HDFC Bank.
Sample Size Sample size under study was taken 100 customers.
DATA COLLECTION: Primary data through personal
interview and questionnaire
Secondary Data company data base, RBI site and through
internet.

LIMITATIONS OF THE STUDY:

During the project following limitations where known:

o The area was large and it was not possible to deal
with each and every customers.
o Time was the major constraint as I have only few
months and the area is very vast .Even though I
have put up the best of my efforts to cover all the
areas given to me.
o Many of the customers where not cooperative
when they are asked give few minutes.

As HDFC Bank is a big brand, many times the answers

of the respondent may be affected by his good or bad
experience about some other product.

To convince the people for a proper interviewing

process is also difficult.

Compilation of data on competitor analysis was

difficult due to non-availability of correct information.

BIBLIOGRAPHY

htpp://www.google.com http://
www.hdfcbank.com http://
www.hdfc.com
http://www.rbi.com