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Introduction
History
• 1850 – Shares of banks and securities of East India Company traded in Mumbai
under a sprawling banyan tree in front of Town Hall, which is now in the Horniman
Circle Park.
• 1957 – The BSE and eight other stock exchanges registered under the Securities
Trading Contract Act.
• 1982 – The BSE classifies scripts into Group A for carry forward, and Group B for
cash transactions.
• 1986 – The BSE 30-share Sensitivity Index (a.k.a. the Sensex) compiled; updated
every two minutes.
• 1994 – The NSE’s debt segment begins operations on June 30; and the capital
market segment begins on-line script less trading on November 3.
• 1995 – The BSE computerizes its trading operations, signaling the end of 120
years of floor-trading with open out-cry system of share-trading and the beginning
of screen-based trading on the BSE.
• 1996 – NSE 50 index launched April 22. NSDL set up as the first depository in
India, and the NSE commences trading in dematerialized securities on December
26.
• 2000 – The SEBI approves the report on net trading brought out by the SEBI
committee on Net based trading and services. Pursuant to the circular, stock
exchanges are required to give permission to members to start Net-based trading
after ensuring fulfillment of the minimum conditions. The NSE is the first exchange
to grant provisional permission to Cochin-based Geojit Securities to commence
Net-based trading.
SSKI History
o Institutional Broking
o Investment Banking
o Retail Broking
• One of the Founding members of The Stock Exchange, Mumbai and Pioneer
Institutional Broker
Since 1984 SSKI foray into Institutional Broking and Corporate Finance.
The Investment Banking Arm of the SSKI Group is having its presence into –
SSKI carries out its Retail Broking Activities under Sharekhan Brand Name.
• 2 8 0 Share Shops
in 123 Cities
across In dia
• U niform Service
Standard
Sharekhan Outlets act as Full Service Investment Solutions Provider, providing you
wide range of services like --
- In Detail
Award-History
Year 2001: Sharekhan was given the ‘Best Financial Website Award’ by Chip
magazine
Year 2005: Recently Sharekhan has been awarded as India’s most preferred
stock broker under “consumer award 2005” research conducted by AC Nielsen-
ORG MARG for Awaaz in the “stock broking “category. There were four stock
broking houses in the competition: Sharekhan, ICICIDirect.com, Kotakstreet &
Motilal Oswal.
Following are the different ways in which brokers complete the transaction.
If the margin goes below the specified limit, the website of the broker
would give warning to the investor to replenish the same. Brokers can either ask for
blanket permission/power of attorney from the customer to replenish the same or
take risk on that, in which case they may also square off the contract.
As a matter of prudence, the broker would have checked the balance in the
customer's account, but the balance may go down between trade day and the pay-
in day. Here, brokers would have to decide the extent of risk if at all they are ready
to take. In periods of volatility, especially when markets are failing, decision-making
of the broker as to the extent of risk he is willing to take would be very important.
Customers would face the risk of leakage of personal information.
• Less Margin
Generally, company charges 25% margin while the brokers charge
nearly 10%margin from the investors in case of trading in derivatives.
Sometimes broker charges negligible amount and he allows trading up to his
limit. This shifts the investors from trading online to the trading with the brokers.
For example: Local Brokers like MotilalOswal, Ratnakar, PravinRatilal,
Khandwala etc. allow trading in shares with less margin and low brokerage.
WHAT IS E-TRADING?
Recent estimate, there are 7.8 million individuals trading online, making
807000 trades per day. Currently, there are over 200 broker-dealers providing retail
investors with the ability to trade online. Along with the growth in online trading,
there has been a surge in investor complaints related to online trading. The
downfall of a few international dotcom like Value America Inc, Net Inoperative Ltd,
Toysmart.com, boo.com has not diminished the opportunities thrown by internet
trading. There are investment banking firms which offer a suit of services such as
online trading, research reports, real-time market commentary, Java-based charts,
analysis and other professional services. E-Trade has presence in around 119
countries, as one of the renowned players in the international market.
How it works?
Trading has two aspects of working one is technical and second One is
procedural. We will see both aspect and how it is working?
Procedure:
Sitting in ones own home or office or even from your car, as long as you
can access the net, you can trade on the market. There are three basic things
needed for e-trading:
• A saving account,
• A D-Mat account and
• A trading account.
The steps in e-trading replicate the real life situation and are fairly simple to
follow. Once these three accounts are opened, the money and shares are
transferred to your bank and Demat account automatically, electronically and
without any paper work.
• The first step is of course to open an account. One can open multiple
accounts with himself or herself as the first name in the account. Then it is necessary
to determine the type of account that you want and how you want to pay for the trades
you make. Joint accounts are allowed but for that you will need to have certain
information about those people. Accounts can be Individual, Joint, Sole Proprietorship,
Corporate, or Partnership etc.
The form filling requires simple personal details like full legal name,
Citizenship status, Residency status, employer's name and address, your
passport\PAN number, Date of birth etc.' One can download the forms or request
for them by post or even request for a representative of the firm to come over to
help you with the form. Post-submitting, you are allotted a USERID and
PASSWORD while giving details for registration. Then an Account reference
Number is generated and displayed to you. These three things are unique to an
individual and ensure security of transactions. The acceptance of the application is
communicated by email.
• Once you have got your USER ID and PASSWORD and your account
has been set up, you can access the website and login using the same. The
second step is then to Fund Your Account. In order to start trading online it is
important that you deposit money in your bank account before placing a buy order.
In order to place a sell order you must have shares in your DEMAT Account. You
can sell your shares anytime as long as shares are there in your DEMAT Account.
B. K. School of Business Management
16
In order to place a buy order you need to fund your account. You can do this by
depositing money in your bank account or else you can sell some shares existing
in your Demat account and use the proceeds of sale to fund your purchase
transaction. The amount of money required before placing a buy order would
depend on the value of order and the type of e-invest account you have enrolled
for - whether cash or margin.
From the Trading tab, select Enter Order under the Stocks heading.
At Number of Shares', type the number of shares that you want to buy.
At 'Stock Symbol or Name(s)', type the stock symbol. If you don't know the
symbol click 'Find Symbol', type the company name, click 'Search' and click
the symbol that you want from the list.
For a market order, select 'Market'. Otherwise, select 'Limit'. 'Stop Loss' or
'Stop Limit’ and enter the price.
'Market Order': you just ask the broker to buy or sell your stocks at the
best price available.
'Limit Order': you tell the broker to trade only when the stock hits a
certain price or better.
'Stop Loss': you tell the broker to sell your shares if the stock drops
below a certain price.
Select either 'Good for Day' or 'Good Until Canceled'. If you want to place an
'All-or-None' order, click 'All or None'. Type your trading password and click
'Preview Order'.
To see if your order has been executed and filled as you expect, check your
account balance. The 'Account Balances' page shows your account equity
(the value of your account) and your buying power. To check your account
balance, click the 'Accounts Services' tab, make sure the correct account
number displays at 'Select Account' and click 'Go'. At Total Account Value',
see your account balance.
For a new price, select the appropriate option button and then enter the
price (unless you're changing it to a market order). You cannot change the
stock symbol or the transaction type (Buy. Sell, Sell Short, or Buy to cover).
Enter your trading password and click 'Preview Change Order'. Or, if you
want to cancel your changes, click 'Do Not Change'.
In order to cancel a stock order, from the Trading' tab, select 'View Open
Orders' under the 'Stocks' heading. Make sure you're currently in the correct
account. Click 'Cancel' beside the order you want to cancel. Review the
information presented to make sure this is the order you want to cancel.
Click 'Cancel Order'. Enter the symbol or the name of the scrip; press "GO"
or the relevant button.
• The Account Opening Charge, commission rates and the minimum limit of
transaction vary from site to site. Other charges can include Annual Services
Charges, Custody charges, D-Mat account charges etc. Also most online traders
offer a host of other tools to aid the investment decision. A full research back up in
terms of reports, articles, opinions, etc., live time quotes, latest news on the scrip,
technical charts to see how the stock's price has changed over time.
So sitting at home one can take an investment decision at ease after having
researched and read up fully about the stock. With the advent of online trading, it
would seem that the markets are just a click away. Please however, do remember
that currently in India the handful of online trading offers are mere order routing
systems. But it will not be long enough before the entire system goes online.
Benefits of E-broking
• Seamless Trading
E-broking integrates Bank, Demat account and Brokerage account. Transfer
of money and shares from and to Bank account and Demat account is done
automatically.
• No Geographical Restriction
B. K. School of Business Management
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Customers have access to site from anywhere in world. So even if customer
is out of station, customer can take the advantage of market condition.
• No Time Restriction
Customer can trade not only during market hours but also when market is
closed. He is required to give limit as to at what price he wants to buy or sell the
shares. When market will open, the shares will be purchased or sold automatically
at that particular price or best favorable price.
• Quick Trading
B. K. School of Business Management
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The investor will be able to execute the entire trading transaction, right from
logging on to the broker's site, to the execution and settlement of his bank account,
in a very short period of time.
Loopholes in E-Broking
• Lack Of Speed
If customers in large number access the site at the same time, server gets
overloaded, so it results into delay in process.
• Security Aspect
There may be chances of hacking of password if customer is not alert. This
may cause a major loss to the investor.
• Lack Of Flexibility
If the customer is not alert about his position on last trading day and if he is
not able to square off his position, he has to take delivery compulsory or if he
doesn't have enough liquidity, the site will automatically square off his position. This
action may or may not be in benefit of customer. Whereas in conventional broking,
broker will inform the customer time to time or will take the decision himself in favor
of the customer.
• Computer Illiteracy:
Literacy of Computers is mandatory for traders using this online trading
service. So for those who are computer illiterate, using websites serves as a
handicap for them.
When anyone wants to enter into the market for trading purpose, there is
common process through which individual has to pass either in conventional
broking or E-broking which is basically divided in three parts.
• Decision
Decision about choosing particular scrip is made by investor himself based
on his knowledge and his experience about market condition. Sometimes investors
seek advice from broker and they both decide about investment. Thus in
conventional broking and E-broking decision parts remain same.
• Execution
In execution part of broking, E-broking is completely different from
conventional system. This can be explained from graph below.
Call Log on
Confirmation Confirmation
House Keeping
Grey Market
In this type of market, there are only two parties i.e. the broker and the
investor. The Exchange does not come into picture at all. So the transactions
taking place are out of the purview of the exchange, which in other words can also
be termed as illegal. In this type of market the brokerage is quite low as there isn’t
actual transaction or delivery of security as such. The transaction is written in a
book as to keep record of buying and selling price and quantity. If buy price is
higher than sell price then difference is paid by investor and that amount is profit for
broker and loss of investor and vice versa.
• No Margin
The trader is not required to keep any deposit as margin to buy or sell
the shares. There is credit flexibility allowed to a large extent.
• Trading of Index
Prediction of Index is Easier than of Security. In a SEBI regulated
market, a trader is not allowed to trade in Nifty or Sensex in equity market, while in
grey market, trading in Nifty or Sensex in equity market is permitted.
This can be possible legally in some cases but with very large
investment because futures are traded only in lot sizes.
Negative Factors
• Risk of Defaulting Broker
• Illegal
Remember the time when you left orders with your broker in the morning
and received a confirmation fax late in the evening?
You wondered whether you had acquired the shares at the best possible
price for the day. Today, the picture is different. Imagine a scenario where you log on
to your account, get the live quotes of scripts you are interested in, get advise
from experts and research reports on your investment choice and then just click the
mouse to place your order, pay the amount due (which automatically gets debited
into your account with the on line brokerage firm), get your account statement, and
the delivery of your shares into your Demat account. All this is through just one click
of a mouse. Seems like a dream? But with online trading this has become a reality. A
few seconds later, you get the confirmation on your screen. And after the trade
settlement, your bank and DP accounts will reflect the changes accordingly.
1. Trading Account
2. Demat Account
3. Linking with the Savings account.
Through its trading account, a share khan customer can directly transfer his funds
from his savings bank account affiliated to share khan to his trading account
without any paper work. He can buy and sell shares from the website and also view
the market prices of the shares he trades on the terminal.
Share khan .com allows trading at present only on NSE. BSE trading will be shortly
available. To open an account a customer requires filling up a form consisting of 12
agreements, a passport size photograph, a residential proof, a photo id proof and a
cheque drawn of respective amount in favour of S. S. Kantilal Ishwarlal securities
Pvt. Ltd.
After opening an account with Share khan, a customer will be given User id,
Membership password and trading password, which will enable him to access his
account and trade.
4 CLASSIC ACCOUNT
• This account allows the client to trade through the website and is suitable for the
retail investors.
• Here maximum scripts that can be shown on the terminal are only 25. Also the
technical charts are not available.
• It’s a JAVA BASED APPLET, which allows trading only through website and see
latest prices of the scripts of your choice which is attached below.
• This account also allows trading in Derivatives.
• The lifetime registration charge for this account is Rs.750 and there is no
constraint of minimum turnover.
B. K. School of Business Management
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5 SPEED TRADE ACCOUNT
• This is ideal for active traders who transact frequently during day’s trading
session to capitalize on intra-day price movements.
• Speed trade is an Internet-based application available on a CD, which provides
everything a trader needs on one screen, thereby, reducing the time required to
execute a trade.
• SPEEDTRADE offers a tick-by-tick update on stock price movements with market
depth and intra-day chart and lets the client do his own stock/technical analysis.
• While the Lifetime charge for this account is Rs.1000 with a minimum brokerage
of Rs.1000 to be paid monthly.
• Speed trade plus has all the above-mentioned features with an additional power
to also trade in Derivatives.
• Speed Trade Plus extends the power of online trading from cash
markets to Futures & Options. On a single screen, a customer can trade cash as
well as future & option contracts.
• Other features include advanced Intra-Day Charting (Bar & Japanese Candlestick
Charts), easy order placement and instant trade confirmations in seconds, price
alerts, research calls, and derivative tool-kit to help the customer trade like the
experts.
• While the Lifetime charge for this account is Rs.1500 with a minimum brokerage
of Rs.1500 to be paid monthly.
BANK AFFILIATION
Share khan has affiliation with 5 banks, which allows its customers to enjoy the
facility of instant credit and transfer of funds from his savings bank account to his
share khan trading account. The affiliated banks are as follows:
HDFC BANK
UTI BANK
CITY BANK
ORIENTAL BANK OF COMMERCE
IDBI
DIAL-N-TRADE
It is also an exclusive service available to all Share khan customers for trading in
shares via the telephone. On dialing the toll free number 1600-22-7050 and on
entering the customers TPIN number, the customer will be directed to a tele-broker
who will buy or sell shares for him.
TIMELY ADVICE
Last but not the least, the USP of share khan is its timely advice that it gives to its
customers 4 times in a day through e-mails. Among these e-mails sent,
• One is pre-market mail indicating the position of the market (i.e. either bullish
or bearish trend) when it opens.
• The other two e-mails are the during market hours mails which indicate as to
how the market will move and in which direction.
• The fourth e-mail that is called the post market mail or the eagle eye is the
most important and valuable suggestion.
In this e-mail, all the scripts that are under coverage are segregated into 5
clusters. Each cluster represents a certain profile in terms of business
fundamentals as well the kind of returns the customer expects over a certain time
horizon. This he3lps the customer identify the stocks that match to his objectives.
All the suggestions, tips and high performance trading recommendations are
received from the research team of Share khan consisting of 38 dedicated analysts
who have years of working experience in the industries that they track, and a proven
track record in using their knowledge of the investment science to deliver results.
RESEARCH
The scientific approaches that determine market direction and help you decide
what stocks to buy or sell. Whether it is for the short term or the long term, there is
method in this madness!
Fundamental Analysis
Technical Analysis
Market Analysis
Fundamental Analysis
This science analyses balance sheets, management quality, sectoral
trends and the economy. Value investing or cash flow analysis. In depth and
close tracking of company related performance.
Doing it the Sharekhan way using the bottom-up approach, the idea is to
focus on stock picking, i.e. identifying winning ideas for our clients.
Sharekhan Research
SSKI Research
• Sharekhan Research
Our tigers dig meaty Stock Ideas out of the heart of the market and
bring them to you. Their skill at identifying their prey--Stock Ideas--while
keeping your taste for investment in mind is reflected in the depth of their
research and the performance of the ideas. The Market Strategy reports, on the
other hand, identify the hunting-ground for Stock Ideas, i.e. sectors and stock
groups that are ripe for performance, discuss the state of the economy and
its impact on the stock market as well as advise you on dealing with the impact
of socio-political issues on the market.
Market Strategy
Stock Ideas
Cluster
SSKI Research
Technical Analysis
Price, Volume and Open Interest. The scientific study of these
parameters using charts to simulate accumulation and distribution patterns. Use
of the Dow Theory, Elliott wave analysis, moving averages and momentum
indicators. Forecasting of stock and index trends plus developing trading
B. K. School of Business Management
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strategies based on the forecasts with appropriate risk-reward ratio. It is again
divided into two
• Cash
The cash market encompasses the entire gamut of listed stocks on
Indian stock exchanges. The cash market refers to the secondary market
where you may day trade or take delivery. Every product developed for
the cash market can be replicated in the futures & options market (if it is
listed there) by following the trading levels of the cash market for
execution in the derivatives market.
• Derivatives
Market Analysis
If you don’t care about balance sheets or charts and only want to know
what the market grapevine has to offer, this is for you. What’s moving and who
is buying what? Our networking and years of experience bring all such
information to you.
Editorial: The editorial keeps a track of all the market information and feeds it
live into the Web and brings it to you at the end of the day via the daily
newsletter Eagle Eye
Live Markets: The Live Markets section begins your morning with
the latest news from the corporate world and analysis of how the
equities markets fared across the globe. Once the opening bell
goes off, Live Markets kicks in as a real-time commentary on the
market. It is updated several times a day and provides a blow-by-
blow account of market action. It is spiced liberally with breaking
news with a dash of the rumors floating in the market.
PRODUCT
• Product Variety
Share khan offers 3 types of online trading accounts for its customers specially
designed according to their volume in share trading. Those 3 varieties are:
Classic- for retail investors
Speed Trade: for high net worth investors with large and active
equity portfolio who need to monitor and action swiftly
Speed trade plus: for high net worth investors dealing in derivative
market.
• Quality
User Friendly, attractive & colorful Website designed by Infosys.
.
• Design
www.Sharekhan.com has been specially designed to facilitate its users
to buy and sell shares instantly at anytime and from anywhere they like.
The site is user friendly allowing even a layman to easily operate without
any hassles.
• Features
Share khan’s product comes with the following features:
• Services
PRICE
• Price List
• Brokerage
Share khan in its online business charges brokerage as follows:
- In equity Market:
On Trading: 0.1%
On Delivery: 0.5%
- In Derivative Market:
First leg: 0.1%
Same day settlement: 0.02%
Next day settlement: 0.1%
• Service Tax
10.2% on brokerage
• Discounts
For investors with High Net worth, there are slabs in brokerage rates.
• Payment Period
The transaction settlement date in the securities market is T+ 2 days
i.e. the payment of the transaction taken place has to be made within
two days of its occurrence.
B. K. School of Business Management
36
• Credit terms
Share khan allows its customers to trade up to 4 times i.e. by keeping
1\4th margin with them.
• Dematerialization charges
Rs.5 per certificate or Rs.35 per scrip whichever is higher.
PROMOTION
Online share trading is totally a new concept in Indian Market. Generally
investor doesn’t like to come out from conventional way of share trading. Share khan
has introduced this product in. The concept and Product are still new in the market.
Therefore the company has undertaken extensive promotion campaign to create
awareness about the product. Share khan adopts the following tools for promoting the
product.
Direct Sales: Direct Sales is one the oldest way and the most effective way which is
used worldwide to sell the product. Until now Sharekhan was used to sell the product
mainly through direct sales.Infact major portion of Sharekhan’s existing customers has
been acquired through this way. There are 250 share shops in 123 cities and in each
of them there is around 15 to20 employees working in direct sales force.
Advertising: Sharekhan has realized the importance to strengthen its brand name
and create the awareness among the investor community to invest in the stock market.
Sharekhan has used aggressively print as well as electronic media to market the
product.
They have taken the services of celebrity like Boman Irani and produced an
electronic advertisement in which Sharekhan covey the message that investment in
the share market gives highest return than one can get in mutual funds.
Sales promotion: Sharekhan has started a unique program called First Step for
those who want to invest first time in stock market. Through this first step program
Sharekhan is trying to remove first time jitter of the investors by explaining the basics
of the stock market and showing them the way how they should proceed in the stock
market which is really the first step to invest in the stock market.
6) CUSTOMER SERVICE: Our customer service team will assist you for
any help that you need relating to transactions, billing, demat and other
queries. Our customer service can be contacted via a toll free number,
email or live chat on sahrekhan.com.
• Seminar
The Company also arranges seminar in corporate world for
creating awareness about the product. Recently, it had organized for a
seminar in ONGC, IIM.
• Direct Marketing
Company emphasizes more on direct marketing, as many people
are still not aware of this new way of smart trading. For this, the company
recruits and trains sales representatives so as to explain the product and
solve customer queries related to the product. This is the most effective
way to communicate the three-in-one concept which company offers.
• Telemarketing
This is another promotional tool company is using to boost up its
sales. For this, the company collects the database of the people
belonging to different professional segments.
PLACE
• Channels
Internet
Tele Marketing
Retail Share Shops
Franchisee Owners
Power Brokers
Sales Force
• Coverage
Access the website from any part of the globe.
• Locations
Share khan has the largest chain of retail share shops in India. It has 250
share shops located in 123 cities all over India like Pune, Thane, Chennai,
Kolkata, Bangalore, Lucknow, Darjeeling, Kanpur, Baroda, Midnapore,
Surat, Delhi, Ghaziabad, Hyderabad, Allahabad, etc.
PEOPLE
• Employees
• Research Team
Share khan has a team of dedicated analysts who have years of working
experience in the industries that they track, and a proven track record in
using their knowledge of the investment science to deliver results.
• Customers, the heart of Sharekhan are really treated loyally like the
kings. The customer care, which comprises of highly trained executives
operating from 9:30 to 8:00 p.m.
PHYSICAL EVIDENCE
PROCESS
• In this service organization, the ways in which the customers receive
delivery of the service constitutes the process. Here, the process involves
adding ‘value’ or ‘utility’ so that the customers get full satisfaction for the
money spent by them.
• Here the process begins from the step when customer wants to open e-
invest account and ends when his account is actually activated.
• All Indian residents and NRI are eligible to avail this service.
This form contains the provisions as to what are terms and conditions in
capital market segment. Derivative segment operative Clauses
4. Agreement between Share khan and the client in respect of the online
investment support services offered
• This form will help him open the Sharekhan trading account along with a
bank account and DEMAT account.
• Now the customer can login to the account from any place and start
trading. In case, he faces some difficulty, he can contact the company
through mail or can give a call to customer care or personally visit the
center.
USP:
DEMERITS:
POLITICAL IMPLICATIONS
In 2004 parliament election when UPA alliance came in power stock market
replied negatively and it cracked down to 800 points.
ECONOMIC IMPLICATIONS
Because of the fall in the bank saving rate, people are transferring their saving
towards equity markets either directly of through mutual funds in search of higher
return.
Because of the good corporate performance throughout across the sectors the
overall growth in terms of the market capitalization has increased which in turn results
in wealth creation for investors.
SOCIAL IMPLICATIONS
Online trading is being adapted by more and more people each day.
Youngsters have started trading in large numbers too. The society as a whole is
moving towards technology in this digital revolution age. Women in corporate world or
housewives have started earning through this way of smart trading sitting at home or
in their offices. Thus, in this changing technological scenario, e-trading clicks in
people’s mind along with e-shopping, e-governance. Globalization has brought about a
change in consumers who want ease and comfort in trading everywhere they move.
When In such economic environment, people prefer to trade offline, wherein
their profits remain un-booked as per their wish. Mr. Chidambaram, who had given an
excellent budget in 1991, which brought a change in economy, is once again the
Finance Minister. It will have different effect on the incomes of people belonging to
different income groups and hence will affect the stock markets too.
TECHNOLOGICAL IMPLICATIONS
SWOT Analysis
STRENGTHS WEAKNESSES
OPPORTUNITIES THREATS
Platinum Customers-
Speed Trade Plus
Gold Customers-
Speed Trade
Iron Customers-
Classic
Share khan pays exclusive attention to its speed trade plus and speed trade
customers and considers them as platinum (most valuable) customers as they yield
high volume to the company and earn them high income in terms of brokerage. These
are the only customers who are provided BSE Online Terminal. It specially cares for its
speed trade customers in terms of rendering quick response to attend to their queries
and complaints, because these are the customers who once if satisfied properly would
word and recommend the company and its service to other investors also.
IRON CUSTOMERS
Share khan recognizes its classic account holders as its iron customers as
these are the retail customers who are very small players and yield income to the
company in terms of small brokerage. Share khan always believed in a policy to be
responsive to customers’ queries and complaints.
Learning Experience
When we started our summer training, we knew very little about the stock
market and its nitty-gritty. And now when we are leaving the company we are confident
about our knowledge. Although nobody can claim complete expertise but there is a
sea change at least from our point of view. We have learnt what are the various
indices and their significance in market. We have also learnt the impact of sensex and
nifty on overall stock market. We have learnt about various fundamentals and
technical aspects which affect the stock prices in short run and long run.
Selling Experience
Apart from this our specific task is to sell the online trading accounts. During this
venture we came across many people who came from different walks of life. We learnt
how to deal with them, how to persuade them and guide them in trading.
As we met more and more people, we came to know more about how to talk to
them, how much time be given to each person we met. Even, by solving the customer
queries, our own understanding was enhanced.
While selling our product in the market, we also came to know more about our
competitor’s product like, icicidirect.com, India bulls and their strategy of marketing
and the consumer’s preference towards the competitor’s product.
We did cold calling in these two months and created our own database through
it. In the second month, we got leads from our Tele-caller at Sharekhan which are
generated from Websites like moneycontrol.com, rediffmail.com, indiatimes.com.
Share khan also gives advertisement in leading English dailies and on channels like
CNBC where the customer care toll free no. is displayed.
B. K. School of Business Management
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We met people in different locations at Ashram road, C.G. road, Mithakhali 6
roads, S.G. Highway, Paldi, Maninagar, Judges Bungalow road, Vatva, Gandhinagar,
Shahibag, Jodhpur, Sabarmati, Naranpura, Navrangpura, Gurukul etc.
We needed to report daily in our company in the DSR (Daily Sales Report) the
information about the people we met. This DSR included: Name of the customer, Ph.
Number, Time, Period, Status, Follow up and Reasons. Even, we were required to fill
up a Deal-Sheet for HNIs that is the High-Network Individuals (the individuals who
trade in higher volumes) that we met on a particular day. We opened up stalls at
places like New Cloth Market, Gurukul road, Maninagar.
Once, a customer filled up the form, we had to call him/her after7 working days
to check if he has received the login ID and password from us (Bombay office of
Sharekhan). After that, we were required to show the customer how to make a
transaction and how to get access to the terminal. Also, other queries which the
customer faced had to be solved by us. So, it was all a very good learning experience
for us.
What we faced was the scorching heat of the city, be in a one area at one time
and just the opposite area in other time as per customer’s appointment. How to speak
to consumers, solving their queries, building a rapport with them was all up to us. We
created our own databases which we feel is an achievement. Also, getting into the
offices with the “salespeople not allowed” board was an achievement. The feeling after
meeting a customer once and in the final meeting, and closing the deal gave us a
sense of fulfillment. There were 59 signatures in the account opening form and
entertaining our customers while filling-up the form was again a challenge.
At Sharekhan, the atmosphere was perfectly cordial. There were senior trainees
always to solve the difficulties we faced in approaching a customer, filling up the form,
demonstrating the site, or solving their queries. We were supposed to be formally
dressed and required to report twice daily.
We faced some bad and resentful experiences like being sent out of offices
without being listened. Even, we waited for hours for a customer and went to the
customer again in case if a signature is left in the form or in occurrence of any proof
problems. This was again a learning to increase our tolerance and be more careful
while filling up the form.
To Share khan:
1. CRM:
After acquiring a customer he or she requires special attention
which can be done by assigning that particular customer to relationship
executive. The task of serving the customer should not left to sales executives,
but a relationship executive should given the responsibility to solve the
customer query. It is more difficult to retain a customer than to acquire one.
3. Customer convenience:
Suggestions are not available in the basic portal. The terminal speed
is low and the Login ID, TPIN and phone ID are not changeable. Company may
provide these facilities as well.
4. Pledging:
In order to attract customers, Sharekhan should provide online
pledging system. This will enhance its sales, as customer will not have to move
cash to the company every time he/she wants to trade.
5. Sales force:
Company does recruit trainees, but it does lack a professional sales
force, which remains with it on a permanent basis. For this, the company may
offer salary on a fixed basis instead of variable one that it offers now.
6. Online demonstration:
Sharekhan should provide online demonstration on its website so that
customer gets visual idea about Sharekhan portal.
Websites:
http://www.Sharekhan.com
http://www.nseindia.com
http://www.bseindia.com
http://www.hdfcsec.com
http://www.indiabulls.com
http://www.5paisa.com
http://www.icicidirect.com
http://www.kotakstreet.com
http://www.google.com