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THE PROJECT

A REPORT
ON
“Customer need analysis of HDFC Bank
: a comparative study with
competitors

Product”
-Presented by
Biswajit Kakati
IBS Kolkata
Enrolment no- 07bs1032
The sector

 Banking- the catalyst for socio-economic


development of a society.
 Banking in India originated in the first decade of
18th century - The General Bank of India-1786-
Bank of Hindustan.
 The oldest bank –State Bank of India-established
as "The Bank of Bengal" in Calcutta in June 1806.
 fully Indian owned bank was the Allahabad Bank,
which was established in 1865
 The Reserve Bank of India formally took on the
responsibility of regulating the Indian banking
sector from 1935.
Source RBI
The change…..
 In 1949, the Banking Regulation Act was
enacted which empowered the Reserve Bank
of India (RBI) "to regulate, control, and inspect
the banks in India.“
 GOI issued an ordinance and nationalised the
14 largest commercial banks with effect from
the midnight of July 19, 1969.
 In the early 1990s - Narsimha Rao
government - liberalisation -licences to a small
number of private banks- New Generation
tech-savvy banks-such as Global Trust Bank ,
Axis Bank, ICICI Bank and HDFC Bank
Source RBI
Current scenario-
 81 scheduled commercial banks - 28 public sector
banks , 24 private banks and 29 foreign banks-
combined network of over 53,000 branches and 17,000
ATMs.

 report by ICRA Limited, a rating agency,

 public sector banks- over 75 percent of


total assets of the banking
industry,
 private- 18.2%
 foreign banks- 6.5%

Source ICRA and RBI


Continues……
A little data on commercial banks- ( RBI )
Rural Semi- Urban/metr
urban opolitan
OFFICES 30,546 16,743 25,724
DEPOSITS 276,907 392,264 2271,808
CREDIT 168,804 211,103 1777,396

Source RBI
COMPANY PROFILE
 One of the first to get “in principal approval” from
RBI after Banking Industry Liberalisation

 Number of branches – 753

 Operates in 320 cities across India

 For fifth time in a row “the best bank” in India(


indiatoday survey )

 The largest private sector bank after merger


Source hdfcbank.com
SHAREHOLDING PATTERN

Source hdfcbank.com
Guwahati, an analysis from banking
perspective
The following are the Business hub in Guwahati
city-
 Ganeshguri
 Fancy Bazar
 Chandmari
 Noonmati
 Dispur
 Beltola
 Maligaon
 Paltan Bazar
 Ulubari
Continues..

HDFC bank presence- SBI presence -

Ganeshguri
Fancy Bazar
Fancy Bazar Chandmari
Chandmari Noonmati
Dispur
Noonmati
Beltola
Dispur Maligaon
Bhangagarh Paltan Bazar
Ulubari
Jalukbari
The flow of the analyses-

 About the product


 customer`s most sought after services
 Where they are satisfied and where they are
not.
 Judging customers awareness.
 Analysis of the gap in services
 The SWOT analysis
 Problems and recommendations.
The product-
The bank offers product in three broad categories-

 Retail banking- for retail customers- deposit


products, loans, debit cards, credit cards and
others

 Wholesale banking- for top , medium and small


scale enterprises.

 Treasury operation-manage balance sheet and


provides foreign exchange facility to customers.
Continues…..
The various benefits offered by HDFC Bank
with retail and wholesale banking are-
 Pay order facility
 Facility of demand draft
 RTGS facility
 NEFT facility
 Facility of free cheque book
 Mobile banking
 Net banking
 Insta alert facility
customer`s most sought after
services
 Online Fund Transfer
 Facility available of cash deposit for inter or intra
branch Banking and cash withdrawal
 Free cheque book
 Payable at par cheque book facility
 Phone banking facility
 Insta alert facility
 Free pay orders/ demand draft
 Monthly statement
 Availability of loan
 Working timing of the bank
Where dissatisfaction lies

 Phone banking facility

 Insta alert facility

 Availability of loan

 Working timing of HDFC


Where they are satisfied-
Online Fund Transfer

 Facility available of cash deposit for inter


or intra branch Banking and cash
withdrawal

Free pay orders/ demand draft


Judging customer`s awareness
 Are you aware of various banking terms like –
activation of account and AQB?
71.85% of the respondent say they are not.

no
Continues………..
Are you aware of various benefit you can
get if you keep your account active ?
75.56% of the respondent say they are
not

yes

no
The bank`s strength and weakness

Strength-
 Online Fund Transfer
  Facility available of cash deposit for inter or intra
branch Banking and cash withdrawal
 Free pay orders/ demand draft

Weakness-
 Working timing of HDFC
 Availability of loan
 Monthly statement
 Insta alert facility
 Phone banking facility
 Net banking facility
Analysis of gap in services-

Expected service

Perceived service

Service delivery
Gap 3
Gap 1 Translation of service into perceive quality
Gap 2

Management perception
Continues…
The gapes in the services of HDFC Bank are as
follows-

 Gap between consumer expectation and


management perception - gap 1

 Gap between management perceptions and


service –quality specification - gap 2

 Gap between service – quality specification


and service delivery -gap 3
Some other areas of concern
The following are some other areas causing
customers
switching to other banks-
 Location/working time
 Wait for service
 Unresponsive
 Reluctant response
 Cut-throat competition
 Business obligations
The SWOT analyses
STRENGHT-
 A complete range of product for retail banking.

 A sound IT base.

 A strong wholesale banking base by innovating on product


offerings.

 The efficient utilisation of cross selling.

 Increased geographical presence.

 A timely merger.
continues
WEAKNESS-

 Failure in providing prompt services.

 Non responsive.

 Less number of ATMs and branches.

 Lack of modern equipment.

 Working hours.
CONTINUES…..
OPPORTUNITY-
 Rise in upper and middle class population- due to
GDP growth

 Liberalisation of trade and business.

 Largely unexplored market in regions where only


public sector banks operates.
Continues…
THREAT-
 may face increased competition as a result of
revised guidelines that relax restrictions on the
presence of foreign banks in India.
 If unable to manage rapid growth, business
could be adversely affected.
 Competition from large public sector banks as well
as from private banks.
 Retaining efficient management team in the face
of competition.
 Getting permission of RBI for opening up new
branches.
Problems and recommendations
 Phone banking facility

 Insta alert facility

 Availability of loan

 Working timing of HDFC

 Wait for service


Continues…
 Reluctant response

 Lack of knowledge among customers about


various banking concepts.

 Lack of knowledge among customers about


various benefits

 Less branches and ATMs

 Not providing service at promised time


Continues…

Lack of modern equipment like reservation


facility.

Reluctant in providing information to


customers about various after sales
requirement
recommendations
 Building of a robust phone network system.

 Quick response to customers.

 Introduction of facilities like reservation


system which will cut waiting time for
customer considerably.

 Increase awareness among customers about


various banking terms and conditions.
Continues…
 Extensive advertising where the bank enjoys
advantage like RTGS and NEFT etc.

 Delivery of services at promised time.

 Keeping customers informed as to when


service will be performed.

 Expansion of branches and ATMs in the areas


which are business hub.
The areas where branch expansion is
necessary-( mark)

(1)Beltola
(2)Ganeshguri
(3)Ulubari
(4)Maligaon

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Map source mapsofindia.com


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