CHAPTER- 1 OBJECTIVE OF THE PROJECT

OBJECTIVES:
Study of products and services offered to customers. Analysis of Consumer Satisfaction level with context to the services provided during the service and post service. To evaluate the customer client relationship.

Ascertaining the behavior and perception of the existing customers towards products/ services in banking. Identifying the most profitable and least profitable customer (Banding) To identify and study the various ways of ensuring customer satisfaction adopted by HDFC bank.

CHAPTER 2 INTRODUCTION TO THE TOPIC

CUSTOMER SATISFACTION:
Customer satisfaction, a business term, is a measure of how products and services supplied by a company meet or surpass customer expectation. It is seen as a key performance indicator within business and is part of the four of a Balanced Scorecard. In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy. There is a substantial body of empirical literature that establishes the benefits of customer satisfaction for firms.

Concept of customer satisfaction:

Because the concept of customer satisfaction is new to many companies, it's important to be clear on exactly what's meant by the term. Customer satisfaction is the state of mind that customers have about a company when their expectations have been met or exceeded over the lifetime of the product or service. The achievement of customer satisfaction leads to company loyalty and product repurchase. There are some important implications of this definition: Customer satisfaction is a subjective, nonquantitative state, measurement won't be exact and will require sampling and statistical analysis. Customer satisfaction measurement must be undertaken with an understanding of the gap between customer expectations and attribute performance perceptions. There should be some connection between customer satisfaction measurement and bottomline results.

"Satisfaction" itself can refer to a number of different facts of the relationship with a customer. For example, it can refer to any or all of the following: Satisfaction with the quality of a particular product or service Satisfaction with an ongoing business relationship Satisfaction with the price-performance ratio of a product or service Satisfaction because a product/service met or exceeded the customer's expectations Clearly defining and understanding customer satisfaction can help any company identify opportunities for product and service innovation and serve as the basis for performance appraisal and reward systems. It can also serve as the basis for a customer satisfaction surveying program that can ensure that quality improvement efforts are properly focused on issues that are most important to the customer.

Objectives of a customer satisfaction surveying program :

In addition to a clear statement defining customer satisfaction, any successful surveying program must have a clear set of objectives that, once met, will lead to improved performance. The most basic objectives that should be met by any surveying program include the following: Understanding the expectations and requirements of all your customers Determining how well your company and its competitors are satisfying these expectations and requirements Developing service and/or product standards based on your findings Examining trends over time in order to take action on a timely basis Establishing priorities and standards to judge how well you've met these goals

Before an appropriate customer satisfaction surveying program can be designed, the following basic questions must be clearly answered: How will the information we gather be used? How will this information allow us to take action inside the organization? How should we use this information to keep our customers and find new ones?

WHY CUSTOMER SATISFACTION IS NECESSARY

In today's time banking sector is increasing in a fast manner. Therefore I want to survey on bank that will help me to know whether customer are satisfied with banking service or not. By talking to the people it was found out that now a days people are focusing more on private bank rather than government bank. HDFC bank is growing more in customer satisfaction in comparison to other bank because of its good services.

Understanding differing customer attitudes :

The most basic objective of a customer satisfaction surveying program is to generate valid and consistent customer feedback (i.e., to receive the voice of the customer, which can then be used to initiate strategies that will retain customers and thus protect the most valuable corporate asset-loyal customers). As it's determined what needs to be measured and how the data relate to loyalty and repurchase, it becomes important to examine the mind-set of customers the instant they are required to make a pre-purchase (or repurchase) decision or a recommendation decision. Surveying these decisions leads to measures of customer loyalty. In general, the customer's pre-purchase mind-set will fall into one of three categories--rejection (will avoid purchasing if at all possible), acceptance (satisfied, but will shop for a better deal), and/or preference (delighted and may even purchase at a higher price). This highly subjective system that customers themselves apply to their decisions is based primarily on input from two sources: The customers' own experiences--each time they experience a product or service, deciding whether that experience is great, neutral or terrible. These are known as "moments of truth." The experiences of other customers--each time they hear something about a company, whether it's great, neutral or terrible. This is known as "word-of-mouth."

There is obviously a strong connection between these two inputs. An exceptional experience leads to strong word-of-mouth recommendations. Strong recommendations influence the experience of the customer, and many successful companies have capitalized on that link. While surveying customer satisfaction I make the connection between the survey response and the customer's attitude or mind-set regarding loyalty? Research conducted by both corporate and academic researchers shows a relationship between survey measurements and the degree of preference or rejection that a customer might have accumulated. When the customer is asked a

customer satisfaction question, the customer's degree of loyalty mind-set (or attitude) will be an accumulation of all past experiences and exposures that can be indicated as a score from 1 (very dissatisfied) to 5 (very satisfied). It can also be captured with other response formats with an odd number of choices (e.g., 1 to 3 or 1 to 7) to allow for a neutral response. Obviously, the goal of every company should be to develop customers with a preference attitude (i.e., we all want the coveted preferred vendor status such that the customer, when given a choice, will choose our company), but it takes continuous customer experience management, which means customer satisfaction measurement, to get there--and even more effort to stay there

Benefits of customer satisfaction:

The importance of customer satisfaction and support is increasingly becoming a vital business issue as organization realize the benefits of Customer Relationship Management (CRM) for providing effective customer service. Professionals working within customer-focused business or those running call centers or help desks, need to keep informed about the latest customer satisfaction techniques for running a valuable customer service function. From small customer service departments to large call centers, the importance of developing a valued relationship with customers using CRM is essential to support customer and long-term business growth.

CHAPTER 3 COMPANY PROFILE

HDFC BANK

The Housing Development Finance Corporation Limited (HDFC) was amongst the first to receive an 'in principle' approval from the Reserve Bank of India (RBI) to set up a bank in the private sector, as part of the RBI's liberalisation of the Indian Banking Industry in 1994. The bank was incorporated in August 1994 in the name of 'HDFC Bank Limited', with its registered office in Mumbai, India. HDFC Bank commenced operations as a Scheduled Commercial Bank in January 1995.HDFC Bank comprises of a dynamic and enthusiastic team determined to accomplish the vision of becoming a World-class Indian bank. HDFC banks business philosophy is based on our four core values -1.Customer Focus, 2. Operational Excellence, 3. Product Leadership 4. People. They believe that the ultimate identity and success of their bank will reside in the exceptional quality of people and their extraordinary efforts. They are committed to hiring, developing, motivating and retaining the best people in the industry.

BUSINESS FOCUS
HDFC Bank's mission is to be a World-Class Indian Bank. The objective is to build sound customer franchises across distinct businesses so as to be the preferred provider of banking services for target retail and wholesale customer segments, and to achieve healthy growth in profitability, consistent with the bank's risk appetite. The bank is committed to maintain the highest level of ethical standards, professional integrity, corporate governance and regulatory compliance.

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Mission and vision of HDFC BANK

MISSION STATEMENT OF HDFC BANK

audit & compliance

VISION STATEMENT OF HDFC BANK The HDFC Bank is committed to maintain the highest level of ethical standards, professional integrity and regulatory compliance. The objective of the HDFC Bank is to provide its target market customers a full range of financial products and banking services, giving the customer a one-step window for all his/her requirements. The HDFC Bank plus and the investment advisory services programs have been designed keeping in mind needs of customers who seeks distinct financial solutions, information and advice on various investment avenues.

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BUSINESS STRATEGY expanding banking .

management .

inefficiencies in the Indian financial sector. DISTRIBUTION NETWORK HDFC is India's largest mortgage company based in Mumbai, India. HDFC's Distribution network spans 318 outlets that include 77 offices of HDFC's distribution company 'HDFC Sales Private Limited'. In addition, HDFC covers over 90 locations through its out reach programmes. HDFC's marketing efforts continue to be concentrated on developing a stronger distribution network. Home loans are also sourced through HDFC Sales, HDFC Bank Limited and other third party Direct Selling Agents (DSA).To cater to non-resident Indians, HDFC has an office in London, Singapore, and Dubai and service associates in GCC countries.The Bank also has a network of about over 2526 networked ATMs across these cities. Moreover, HDFC Bank's ATM network can be accessed by all domestic and international Visa/MasterCard, Visa Electron/Maestro, Plus/Cirrus and American Express Credit/Charge cardholders.

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QUALITY POLICY

SECURITY: The bank provides long term financial security to their policy. The bank does this by offering life insurance and pension products.

TRUST: The bank appreciates the trust placed by their policy holders in the bank. Hence, it will aim to manage their investments very carefully and live up to this trust.

INNOVATION: Recognizing the different needs of our customers, the bank offers a range of innovative products to meet these needs.

INTEGRITY

CUSTOMER CENTRIC

PEOPLE CARE ONE FOR ALL AND ALL FOR ONE

TEAM WORK

JOY AND SIMPLICITY

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AWARDS AND ACHIEVEMENTS

HDFC Bank began operations in 1995 with a simple mission: to be a"World-class Indian Bank". We realised that only a single-minded focus on product quality and service excellence would help us get there. Today, we are proud to say that we are well on our way towards that goal. It is extremely gratifying that our efforts towards providing customer convenience have been appreciated both nationally and internationally.

2013 AWARDS AND ACHIEVEMENTS

Dun & Bradstreet Corporate Awards 2012 Bharathi Cement Corporate Awards 2012 NDTV Profit Business Leadership Awards 2012 NASSCOM CNBC TV18 IT Innovation Award The National Quality Excellence Awards FE Best Bank Awards Skoch Financial Inclusion Awards 2013 Winner in the banking category

Best IT Driven Innovation in Banking (COMMERCIAL)

Best Customer Service Result

HDFC Bank wins in 3 categories at FE Best Bank Awards Organisation of the Year

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PRODUCTS OF THE COMPANY

Accounts and deposits Loans Cards Investment Insurance Forex Premium banking Private banking

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PRODUCTS AND SERVICES AT A GLANCE

ACCOUNTS & DEPOSITS

LOANS

INVESTMENTS & INSURANCE

- Regular Savings Account - Savings Plus Account - Savings Max Account - Senior Citizens Account - No Frills Account - Salary Account - Kid's Advantage Account - Pension Saving Bank Account - Family Savings Account - Plus Current Account - Trade Current Account - Premium Current Account - Regular Current Account - Apex Current Account - Max Current Account - Merchant Current Account - Regular Fixed Deposit -Recurring Deposits. - Super Saver Account - Sweep-in Account - HDFC Bank Imperia/Classic/Preferred Banking

- Personal Loans - Home Loans - Two Wheeler Loans - New Car Loans - Used Car Loans - Overdraft against Car - Express Loans - Loan against Securities - Loan against Property -Loan against Rental Receivables -Health care finance -Tractor Loans - Commercial Vehicle Finance - Working Capital Finance - Construction Equipment Finance

- Mutual Funds - Tax Planning - Insurance - Bonds - Financial Planning - Knowledge Centre - Equities & Derivatives - Mudra Gold Bar - Mudra silver Bar

CARDS

- Credit cards - Debit cards - Prepaid cards

FOREX SERVICES

PAYMENT SERVICES

ACCESS YOUR ACCOUNT THROUGH

- Product & Services - Trade services - Forex service Branch Locator - Forex Limits - Forex Plus Card - RBI Guidelines

- Net Safe - Prepaid Refill - Bill Pay - Direct Pay - Visa Money Transfer - E-Monies Electronic Funds Transfer - Excise & Service Tax Payment

-NetBanking -Credit card Online -OneView -InstaAlert -MobileBanking -ATM -Phone Banking -Email Statements -Branch Network

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ACCOUNTS AND DEPOSITS

SAVINGS ACCOUNTS During our project course of time some savings and current account where studied and sell of accounts where done in detail. Therefore HDFC Bank offers you a power packed Savings Account with a host of convenient features and banking channels to transact through. So now you can bank at your convenience, without the stress of waiting in queues like. Regular saving account Max saving account Classic saving account Preferred saving account REGULAR SAVING ACCOUNT

An easy-to-operate savings account that allows you to issue cheques, draw Demand Drafts and withdraw cash. Check up on your balances from the comfort of your home or office through Net Banking, Phone Banking and Mobile Banking. A minimum deposit of Rs. 10,000/- is required to open an account and thereafter an Average Quarterly Amount of the same amount has to be maintained. If the balance falls below Rs. 10,000/- a service charge of will be levied per quarter. Withdraw cash from any of the ATM* centers spread Across the country. Some key Features and Benefits are as under: Bank conveniently with facilities like Net Banking and Mobile Banking- check your account balance, pay utility bills or stop cheque payment, through SMS Avail of facilities like Safe Deposit Locker, Sweep-In and Super Saver facility on your account Shop using your International Debit Card that reflects the actual balance in your savings account.

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SAVINGS MAX ACCOUNT Presenting Savings Max account, loaded with maximum benefits to make your banking experience a pleasure. By maintaining an average quarterly balance of just Rs. 25,000/- you get a host of premium services from HDFC Bank . Some key Features and Benefits are as under:

Free cash withdrawal and balance enquiries at all HDFC Bank ATMs and non-HDFC Bank domestic ATMs

Free lifetime Titanium Royale Debit Card for the primary account holder. A Titanium Royale Debit Card for any other account holder will be charged at Rs. 250

Free lifetime Woman's Advantage/International Debit Card for all account holders Free Payable-at-Par cheque book without any usage charges Free demand drafts on HDFC Bank locations, up to Rs. 1 lakh per day Self/third party cash deposit/withdrawal at non-home branches of up to Rs 50,000 per day is free. For an amount higher than Rs 50,000, a charge of Rs. 5 per Rs. 1,000 on the full amount is applicable

Free lifetime BillPay & InstaAlerts for all account holders Free monthly account statement 50% off on the locker rental calculated on a pro-rata basis and applicable only for the year of allotment.

Free folio maintenance charges on Demat account for the first year Transaction linked discount on AMC for Demat accounts

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SENIOUR CITIZEN ACCOUNT

Shop with pride with your EasyShop International Debit Card, offered free for life to the primary account holder. You can spend up to Rs. 40,000 per day at any point of sale (POS).

Enjoy cash withdrawals of up to Rs. 25,000 per day on your debit card at any ATM If the first applicant is a woman and new to the bank, our special free Womans Advantage Debit Card with cash withdrawals of up to Rs. 25,000 per day and shopping (point of sale) limit of Rs. 40,000 per day will be issued by default

Withdraw cash for free at any banks ATM* Payable-at-Par (PAP) chequebooks are issued free. With this facility, outstation cheques issued by you (for clearing) will be treated as local cheques, at any HDFC Bank location. What's more, there are no usage charges for availing the PAP facility.

Keep a close eye on your account with the monthly account statements offered free OR avail of free passbook facility at your account branch.

Use third party cash transactions at non-account branches to have your near and dear ones deposit/withdraw up to Rs. 50,000 per day on your behalf.

Withdrawals above Rs. 50,000 will attract a charge of Rs. 5/- per Rs. 1,000 on the full amount.

Use PhoneBanking, MobileBanking, NetBanking and BillPay facility absolutely free for all your banking needs.

Avail free SMS alerts to know the transactions in your account.Get free Email statements. National Electronic Funds Transfer (NEFT) facility is available. Facilities like NetBanking, Phonebanking and MobileBanking check your account balance, pay utility bills or stop cheque payments all via SMS.

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KIDS ADVANTAGE ACCOUNT

Free Education Insurance cover of Rs.1,00,000/- in the event of death of the parent/ guardian through vehicular accident by road, rail or air to safeguard the future of the child

ATM/International Debit Card will be issued for children between 7-18 years of age in your child's name with your permission. Your child can withdraw Rs. 2,500 at ATMs and spend Rs. 2,500 at merchant locations per day.

Free cash withdrawals on any other Bank's ATM* 1 free PAP cheque book for your child. The transactions of your child's account can be monitored with a free quarterly physical statement of account or free monthly Email statement of account.

Free NetBanking for you to monitor your child's account. Bank provide facilities like NetBanking, Phonebanking and MobileBanking check your account balance, pay utility bills or stop cheque payments all via SMS

SAVING PLUS ACCOUNT

Wide network of branches Over 7,300 ATMs Convenient banking with NetBanking and MobileBanking to check your account balance, pay utility bills or stop cheque payments, through SMS. Never overspend Shop using your International Debit Card that reflects the actual balance in your savings account.

Personalised cheques with your name printed on each cheque leaf for enhanced security. BillPay facility, an instant solution to pay all your regular utility bills. Give instructs for payment over the phone or through the Internet.

Safe Deposit Locker, Sweep-In and Super Saver facilities with your account. Free cash withdrawals on any other Bank's ATM* Free Payable-at-Par chequebook, without any usage charges.

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Nre saving account

NRE Savings Account lets you transfer your earnings to India conveniently with complete security. You can repatriate the funds held in the account along with the interest earned at any point of time and you don't even have to pay tax on the interest amount. With a host of direct banking channels available at your fingertips, you can stay in complete control of your hard-earned income abroad.

Some key Features and Benefits are as under:

Free transfers & higher interest

Transfer funds freely between India and abroad Earn higher interest rates on your account Pay ZERO tax on the interest earned on your NRE Account in India

Accesibility

Withdraw cash easily and shop worldwide with International Debit Card Appoint a mandate to operate your account for you

Managing your account

Transfer your funds freely to any place outside India Conduct transactions securely online, 24x7 with NetBanking Pay utility bills - electricity, phone, mobile phone - payment by a simple registration

Other benefits

Get a personalised cheque book Get tax exemptions on interest earned and wealth tax Get your account details in the monthly statements FREE Avail of Safe Deposit Lockers at certain branches Invest in Mutual Funds by linking your NRE Savings Account to our Investment Savings Account

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SALARY ACCOUNT

PREMIUM SALARY ACCOUNT

Some key Features and Benefits are as under:

Zero Balance Savings Account. Free payable at par cheque book @ 25 cheque leaves per quarter. 5 Free transactions per month at Non - HDFC Bank ATMs in India. Free for life Titanium Debit Card for the primary applicant with cash ATM withdrawal limit of Rs. 50,000/- per day and POS usage limit of Rs.75,000/- per day.

Free for life add-on International Debit Card for the Second Holder. Free Personal Accidental Death Cover of Rs. 5 lakhs*. Anywhere Banking across our extensive Branch and ATM network. Free Monthly Account Statements (Option of E-Mail Statements). Free Passbook facility available at home branch for account holders. Free DDs / MCs up to Rs 25,000 per instrument payable at HDFC Bank branch locations. Free mobile and e-mail alerts (InstaAlert facility). Free BillPay (Utility payments). Free Phonebanking, Mobilebanking and Netbanking facilities. Electronic Funds Transfer options (NEFT / RTGS).

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REGULAR SALARY ACCOUNT

Some key Features and Benefits are as under:

Zero Balance Savings Account Free payable at par cheque book @ 25 cheque leaves per quarter 5 Free transactions per month at Non- HDFC Bank ATMs in India Free for life International Debit Card for the primary applicant with ATM cash withdrawal limit of Rs 25,000 per day and POS usage limit of Rs.40,000 per day.

Add-on International debit card for secondary holder (Free for the first year) Free Personal Accidental Death Cover of Rs. 1 lakh* Anywhere Banking across our extensive Branch and ATM network Free Quarterly Account Statements Free Monthly Account statements by e-mail (Optional) Free Passbook facility available at home branch for account holders Free DDs /MCs up to Rs. 25,000 per instrument payable at HDFC Bank branch locations Free e-mail alerts (InstaAlerts Facility) Free Utility payment facility (BillPay) Free Phonebanking, MobileBanking and NetBanking Electronic Funds Transfer options (NEFT / RTGS)

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CLASSIC SALARY ACCOUNT

Some key Features and Benefits are as under:

Zero Balance Savings Account Free regular cheque book @ 25 cheque leaves per quarter 5 Free transactions per month at Non- HDFC Bank ATMs in India Free lifetime International Debit Card for the primary applicant with an ATM cash withdrawal limit of Rs. 25,000 per day and POS usage limit of Rs. 40,000 per day.

Free Half Yearly Account Statements Free Monthly Account statements by e-mail (Optional) Free Passbook facility available at home branch for account holders. Free DDs / MCs up to Rs. 25,000 per instrument, payable at HDFC Bank locations Free e-mail alerts (InstaAlerts Facility) Free Utility payments facility (BillPay) Free PhoneBanking, MobileBanking and NetBanking Electronic Funds Transfer options (NEFT / RTGS) Bank provide facilities like NetBanking, Phonebanking and MobileBanking check your account balance, pay utility bills or stop cheque payments all via SMS.

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DEFENCE SALARY ACCOUNT

Some key Features and Benefits are as under:

Zero Balance Savings Account Free transactions at Non HDFC Bank ATMs in India Free for Life Titanium Debit Card for the Primary Account holder with ATM cash withdrawal limit of Rs. 50,000/- per day and Point Of Sale usage limit of Rs. 75,000/- per day

Free Add-on International Debit Card for all Secondary account holders Free Additional ATM Card for Personnel Below Office Rank (PBORs) even for single account holders

Free Family card (Pre-paid card) Free Personal Accidental Death Cover of Rs. 5 lakhs* Anywhere Banking across our extensive Branch and ATM network Free Quarterly Account Statements Free Monthly Account statements by e-mail (Optional) Free Passbook facility available at home branch for account holders Free Unlimited DDs /MCs payable at HDFC Bank branch locations Free mobile and e-mail alerts (InstaAlerts Facility) Free utility payment facility (BillPay) Free PhoneBanking, MobileBanking and NetBanking Electronic Funds Transfer options (NEFT / RTGS)

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CURRENT ACCOUNT

PREMIUM CURRENT ACCOUNT

Some key Features and Benefits are as under:

Free local and anywhere cheque payments Free anywhere cheque collection at HDFC Bank location (except Dahej), up to Rs.15 lakhs per month. Incremental amount to be charged @ Rs.1.50 per Rs.1,000 for a minimum of Rs.25

Free NEFT collections and payments Free RTGS collection. RTGS payment at Rs.25 per transaction. Free local and Inter-city account to account funds transfer between HDFC Bank accounts. Free Demand Drafts above Rs.100,000. Demand drafts up to Rs.50,000 at flat cost of Rs.40 and Demand Drafts above Rs.50,000 and up to Rs.100,000 at nominal cost of Rs.25. Demand Drafts can be issued from any HDFC Bank Branch.

Free Pay Orders (PO) above Rs.100,000. Pay Orders up to Rs.50,000 at flat cost of Rs.40 and Pay Orders above Rs.50,000 and up to Rs.100,000 at nominal cost of Rs.25. Pay Orders can be issued from any HDFC Bank Branch.

100 "At-par" cheque leaves free per month Register for InstaAlerts and receive updates on your account whenever transactions happen. You get doorstep banking*, which is convenient, secure and hassle-free. Now, you can enjoy the benefits of banking right at your doorstep. HDFC Bank will arrange to pick up cash and cheques and make cash deliveries through a reputed agency.

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REGULAR CURRENT ACCOUNT

Some key Features and Benefits are as under:

Get convenient inter-city banking and free cheque payments anywhere. Free Collections of funds through RTGS and NEFT Free Payments through NEFT. Nominal charges for RTGS payments Transfer funds across cities between HDFC Bank accounts at a nominal charge of Rs.15 per transactions

Issue free Demand Drafts (DD) / Pay Order for values above Rs.100,000. For Demand Drafts up to Rs.50,000 a charge of Rs.40, Demand Drafts above Rs.50,000 and below Rs.100,000 a charge of Rs.25 will be levied.

Get a payable-at-par cheque book at a nominal price. Register for InstaAlerts and receive updates on your account on processing of your transaction. Enjoy Doorstep Banking* for your convenience and security. Cash and cheque pick-ups and cash deliveries can be arranged from your doorstep, through a reputed agency.

Get 24-hour PhoneBanking, NetBanking and MobileBanking to check your account balance and transaction details, find out the status of your cheques or stop cheque payments.

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MAX CURRENT ACCOUNT

Some key Features and Benefits are as under:

Maximum transactional benefits with faster mobilisation of funds. Average Quarterly Balance of Rs. 5,00,000. Access to more than 2000 branches. Faster collection of outstation cheques. No charges for outstation cheque collection at HDFC Bank Locations.

Free account to account funds transfers between HDFC Bank accounts Free payment and collection through RTGS and NEFT. Free Demand Drafts & Pay Orders that can be issued from any HDFC Bank branch Free anywhere cheque collections (through clearing) up to Rs. 3.5 Crores per month within the HDFC Bank branch network (except Dahej)

Faster collection of outstation cheques through Speed Clearing. Speed Clearing is absolutely free with your Max Current Account 500 free at-par cheque leaves per month Free at-par cheque payments across all HDFC Bank locations for any value* Convenience to withdraw and deposit cash at all HDFC Bank branches* Combined free limit for cash deposit across all HDFC Bank Branches (Home and non-home locations) of Rs.60 lacs per month (subject to a maximum monthly free limit of Rs.200 Lacs)*.

Register for InstaAlerts and receive updates on your account whenever transactions take place.

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DEMAT ACCOUNT

HDFC Bank is a leading Depository Participant in India with over 1.5 million Demat Accounts. HDFC Bank Demat Services offers you a secure and convenient way to keep track of your securities and investments, without the hassle of handling physical documents.

Some key Features and Benefits are as under:

No Account Opening charges 1st year waiver on Annual Folio Maintenance Charges Transaction linked Annual Folio Maintenance charge from 2nd year onwards (The more you transact, Lesser you pay)

No stamp duty on transfer of securities held in Demat form Auto credit of rights / bonus / public issues in your Demat Account through ECS Holding / Transaction details can be viewed through HDFC Bank Net Banking by registering for DP on Net for free of cost

Pledging of securities Discounted AMC of Rs 250/- from second year onwards for customers in Senior citizen category

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CHAPTER 4 REVIEW OF LITERATURE

30

Parker and Mathew (2001) expressed that there are two basic definitional approaches of the concept of customer satisfaction. The first approach defines satisfaction as a process and the second approach defines satisfaction as an outcome of a consumption experience. These two approaches are complementary, as often one depends on the other. Customer satisfaction as a process is defined as an evaluation between what was received and what was expected (Oliver, 1977, 1981; Olson and Dover, 1979; Tse and Wilton, 1988), emphasizing the perceptual, evaluative and psychological processes that contribute to customer satisfaction (Vavra, 1997, p. 4). Customer satisfaction, as a construct, has been fundamental to marketing for over three decades. As early as 1960, Keith (1960) defined marketing as satisfying the needs and desires of the consumer. Hunt (1982) reported that by the 1970s, interest in customer satisfaction had increase to such an extent that over 500 studies were published. This trend continued and by 1992, Peterson and Wilson estimated the amount of academic and trade articles on customer satisfaction to be over 15,000. Several studies have shown that it costs about five times to gain a new customer as it does to keep an existing customer (Naumann, 1995) and this results into more interest in customer relationships. Thus, several companies are adopting customer satisfaction as their operational goal with a carefully designed framework. Hill and Alexander (2000) wrote in their book that companies now have big investment in database marketing, relationship management and customer planning to move closer to their customers. Jones and Sasser (1995) wrote that achieving customer satisfaction is the main goal for most service firms today. Increasing customer satisfaction has been shown to directly affect companies market share, which leads to improved profits, positive recommendation, lower marketing expenditures (Reichheld, 1996; Heskett et al., 1997), and greatly impact the corporate image and survival (Pizam and Ellis, 1999).

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CONSUMER RESEARCH IN DIFFERENT DISCIPLINES

A considerable body of literature exists on consumption, consumer behavior and consumer decision making process. Most of the consumer research focused on adopter categories, habits, attitudes and intentions rather that on actually measuring the satisfaction level with the service

CONSUMER SATISFACTION PROCESS

The paramount goal of marketing is to understand the customer and to influence buying behaviour. The process can be depicted as follows: Need recognition- realization of the difference between the desired and the current situation that serves as a trigger for entire process. Search for information. Pre purchase alternative evaluation. Consumption(utilization of the procured option) Post purchase alternative re-evaluation. Divestment(disposal of the unconsumed product and its remnants)

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COMMON PRACTICES FOLLOWED BY HDFC BANK

Display banking hours (9:30-3:30). Render courteous services. Attend to all customers present in the banking hall at the close of business hours. offer nomination facility to all deposit accounts and all safe eposit locker hirers. Display interest rates for various deposit schemes from time to time. Notify changes in interest rates in advance. Provide details of various deposit schemes/services of the bank. Issue demand drafts, pay orders, etc. Display time norms for various banking transactions. Customer Complaint Register is maintained. Frequent calling on receival of cheques, cheque book, debit card, debit pin.

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CHAPTER 5 RESEACH METHODOLOGY

34

REASERCH METHODOLOGY

A descriptive study tries to discover answers to the questions who, what, when, where, and, sometimes, how. The researcher attempts to describe or define a subject, often by creating a profile of a group of problems, people, or events. Such studies may involve the collection of data and the creation of a distribution of the number of times the researcher observes a single event or characteristic (the research variable), or they may involve relating the interaction of two or more variables. Organizations that maintain databases of their employees, customers, and suppliers already have significant data to conduct descriptive studies using internal information. Yet many firms that have such data files do not mine them regularly for the decision-making insight they might provide.This descriptive study is popular in business research because of its versatility across disciplines. In for-profit, not-forprofit and government organizations, descriptive investigations have a broad appeal to the administrator and policy analyst for planning, monitoring, and evaluating. In this context, how questions address issues such as quantity, cost, efficiency, effectiveness, and adequacy. Descriptive studies may or may not have the potential for drawing powerful inferences. A descriptive study, however, does not explain why an event has occurred or why the variables interact the way they do.

SAMPLE SIZE
Sample size denotes the number of elements selected for the study. For the present study, 100 respondents were selected at random. All the 100 respondents were the customers of HDFC Bank.

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Source of the Study

Primary data: The primary data will be directly collected from the previous and prospective customers of HDFC BANK LTD. Survey through Questionnaire, Personal Visits to customers and clients included in the study in Ghaziabad region. Responses obtained through teller calling and productive responses are taken under consideration.

Secondary data: Data will be collected from different Websites, Newsletters, Journals and Newspapers, present and former employees of HDFC BANK LTD. By studying the various criterias that places HDFC BANK LTD. among the top private banks in India.

MEASURING CUSTOMER SATISFACTION:

Organizations need to retain existing customers while targeting non-customers; Measuring customer satisfaction provides an indication of how successful the organization is at providing products and/or services to the marketplace. Customer satisfaction is an abstract concept and the actual manifestation of the state of satisfaction will vary from person to person and product/service to product/service. The state of satisfaction depends on a number of both psychological and physical variables which correlate with satisfaction behaviors such as return and recommend rate. The level of satisfaction can also vary depending on other factors the customer, such as other products against which the customer can compare the organization's products.

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The usual measures of customer satisfaction involve a survey with a set of statements using a Likert Technique or scale. The customer is asked to evaluate each statement in terms of their perception and expectation of performance of the service being measured. Measuring customer satisfaction is a relatively new concept to many companies that have been focused exclusively on income statements and balance sheets. Companies now recognize that the new global economy has changed things forever. Increased competition, crowded markets with little product differentiation and years of continual sales growth followed by two decades of flattened sales curves have indicated to today's sharp competitors that their focus must change. Competitors that are prospering in the new global economy recognize that measuring customer satisfaction is a key. Only by doing so can they hold on to the customers they have and understand how to better attract new customers. The competitors who will be successful recognize that customer satisfaction is a critical strategic weapon that can bring increased market share and increased profits. The problem companies face, however, is exactly how to do all of this and do it well. They need to understand how to quantify measure and track customer satisfaction. Without a clear and accurate sense of what needs to be measured and how to collect, analyze and use the data as a strategic weapon to drive the business, no firm can be effective in this new business climate. Plans constructed using customer satisfaction research results can be designed to target customers and processes that are most able to extend profits. Too many companies rely on outdated and unreliable measures of customer satisfaction. They watch sales volume. They listen to sales reps describing their customers' states of mind. They track and count the frequency of complaints. And they watch aging accounts receivable reports, recognizing that unhappy customers pay as late as possible--if at all. While these approaches are not completely without value, they are no substitute for a valid, well-designed customer satisfaction surveying program. It's no surprise to find that market leaders differ from the rest of the industry in that they're designed to hear the voice of the customer and achieve customer satisfaction. In these companies:

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Marketing and sales employees are primarily responsible for designing (with customer input) customer satisfaction surveying programs, questionnaires and focus groups. Top management and marketing divisions champion the programs. Corporate evaluations include not only their own customer satisfaction ratings but also those of their competitors. Satisfaction results are made available to all employees. Customers are informed about changes brought about as the direct result of listening to their needs. Internal and external quality measures are often tied together. Customer satisfaction is incorporated into the strategic focus of the company via the mission statement. Stakeholder compensation is tied directly to the customer satisfaction surveying program. A concentrated effort is made to relate the customer satisfaction measurement results to internal process metrics. .WHAT ARE THE TOOLS? Customer satisfaction can be identified using various methods such as:

pie chart Market research Telephonic interviews Personal visits Warranty records Informal discussions Satisfaction surveys

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LIMITATIONS OF THE STUDY

Although the study was carried out with extreme enthusiasm and careful planning there are several limitations, which handicapped the research viz, 1.Time Constraints: The time stipulated for the project to be completed is less and thus there are chances that some information might have been left out, however due care is taken to include all the relevant information needed. 2.Sample size: Due to time constraints the sample size was relatively small and would definitely have been more representative if I had collected information from more respondents. 3.Accuracy: It is difficult to know if all the respondents gave accurate information; some respondents tend to give misleading information. 4. Availability:

It was difficult to find respondents as they were busy in their schedule, and collection of data was very difficult. Therefore, the study had to be carried out based on the availability of respondents.

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CHAPTER 6 DATA ANALYSIS AND INTERPRETATION

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1)BANKING NEEDS CATERED BY HDFC BANK

OPTION YES NO TOTAL

NUMBER OF RESPONDENTS 36 14 50

PERCENTAGE OF RESPONDENTS 72% 28% 100

YES

NO

28%

72%

ANALYSIS: About 72% of the customers think that HDFC BANK caters all their banking needs. While on the other hand 28% thinks that they are not satisfied.

INTERPRETATION: Majority of the customers think that HDFC BANK caters theirs all banking needs.

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2) SHARE OF DIFFERENT TYPES OF ACCOUNT

OPTION NUMBER RESPONDENTS SAVING ACCOUNT CURRENT ACCOUNT FIXED DEPOSIT OTHERS TOTAL 25 5 16 4 50 OF PERCENTAGE RESPONDENTS 50% 10% 32% 8% 100 OF

TYPE OF ACCOUNT
SAVING ACCOUNT CURRENT ACCOUNT 8% FIXED DEPOSITS LOANS

32%

50%

10%

ANALYSIS: From the above graph it is clear that majority of the respondents are using saving a/c i.e. 50% , 32% are using FDs, 10% are using current a/c while the remaining use other types of account. This interprets that in todays scenario people are more focusing in utilizing their money effectively by taking various savings account in the banks INTERPRETATION: This means most of the respondents are having Saving A/Cs which means the bank deposits are enriching as Saving A/Cs share is most

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3) DURATION FOR WHICH CUSTOMERS HAVE BEEN PART OF HDFC BANK

OPTION Less than 1 yr 1-3yr 3-5yr Above 5 yr Not applicable TOTAL NUMBER OF RESPONDENTS 10 18 15 5 2 50 PERCENTAGE OF RESPONDENTS 20 36 30 10 4 100

10%

4%

20% Less than 1 yr 1yr- 3yrs 3yrs- 5yrs 36% Above 5 yrs Not Applicable

30%

ANALYSIS: From the above graph it is clear that majority of the respondents i.e.36% are a part of HDFC Bank from 1 to 3 yrs; 30% of the respondents are part of HDFC Bank from more than 3 yrs; 20% respondents are less than 1 yr and remaining 10% respondents are part of HDFC Bank for more than 5 yrs and the remaining 4% does fall in this category. INTERPRETATION: HDFC BANK has maintained good customer relationship. The customers are satisfied with the services provided to them by the bank.

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4) CONSUMERS WILLINGNESS TO SHIFT THEIR A/C s TO OTHER BANKS

OPTION YES NO TOTAL NUMBER OF RESPONDENTS 46 4 50 PERCENTAGE OF RESPONDENTS 92% 08% 100

SHIFTING OF ACCOUNT
YES NO

8%

92%

Analysis: From this table it can be noted that the majority of consumers (92%) doesnt like to shift their A/Cs to other banks. Interpretation: The reason can be increasing customer satisfaction and quality services offered by the bank.

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5) KNOWLEDGE ABOUT DIFFERENT PRODUCTS OFFERED BY HDFC BANK

OPTION Saving account Fixed deposit Current account Demat account Credit card Mutual fund Loan TOTAL NUMBER OF RESPONDENTS 13 11 7 2 3 2 12 50 PERCENTAGE OF RESPONDENTS 26% 22% 14% 4% 6% 4% 24% 100

PRODUCTS OF HDFC BANK

Savings a/c Fixed Deposits Current a/c Demat a/c Credit Cards Mutual Funds Loans

24% 4% 6% 14% 4%

26%

22%

ANALYSIS: From the above graph it is clear that majority of the respondents are aware of saving a/c &FDs. 14% are aware about current a/c and 24% are aware of loans. INTERPRETATION: The banks should take various steps in promoting other products also as there is very less awareness regarding demat account .

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6)BEST RATED PRODUCT BY CUSTOMERS OF HDFC BANK

OPTION NUMBEROF RESPONDENT Saving account Fixed deposit Current account Demat account Credit card Mutual fund Loans TOTAL 15 20 5 1 2 5 2 50 PERCENTAGE RESPONDENT 30% 40% 10% 2% 4% 10% 4% 100 OF

BEST PRODUCT
SAVING ACCOUNT CREDIT CARDS FIXED DEPOSIT MUTUAL FUNDS 10% 4% 2% 10% 40% 30% 4% CURRENT ACCOUNT LOANS DEMAT ACCOUNT

ANALYSIS: From the above graph it is clear that 30% of the respondent rate saving a/c as a good product 40% said FDs are best and 10% said current a/c. INTERPRETATION: The banks should make some more efforts towards credit cards and demat account.

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7)THE MOST PREFERRED SERVICE BY THE CUSTOMERS

OPTION NUMBER RESPONDENT ATM Net banking Mobile banking TOTAL 25 15 10 50 OF PERCENTAGE RESPONDENT 50% 30% 20% 100 OF

ATM

NET BANKING

MOBILE BANKING

20%

50% 30%

ANALYSIS: From the above graph it is clear that 50% of the respondents prefer ATM as the most convenient service, 30% go for Net Banking as they find more ease in using it and only 20% respondents favor mobile banking

INTERPRETATION: Customers are still unaware about the net banking services. Those who are aware dont know how to operate it. Customers prefer depositing money or availing services in person.

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8)ATTRIBUTES THAT COMPELLED THE CUSTOMERS MOST TO OPEN AN ACCOUNT IN HDFC BANK
OPTION NUMBER RESPONDENT ATM Cheque book Working hours Value added services Internet banking TOTAL 18 8 11 5 8 50 OF PERCENTAGE RESPONDENT 36% 16% 22% 10% 16% 100 OF

ATM

Cheque Book

Working Hours

Value Added Services

Internet Banking

16% 10% 22% 16%

36%

ANALYSIS: From the above graph it is clear that the features that compel a customer to open a certain account in a bank is ATM as 36% of the respondents has gone for this attribute, 16% go for cheque book facility; 16% go for internet banking and the remaining 10% go for value added services. INTERPRETATION: HDFC bank is preferred the most for its ATMs services. Attempts should be made for improving upon value added services.

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9)SATISFACTION

LEVEL WITH

DEALINGS OF THE BANK

OFFICIALS IN HDFC BANK

OPTION NUMBER RESPONDENTS YES NO To some extent TOTAL 15 12 23 50 OF PERCENTAGE RESPONDENTS 30% 24% 46% 100 OF

Yes

No

To some extent

30% 46%

24%

ANALYSIS: From the above graph it is clear that 30% of the respondents are satisfied with the dealing of the bank officials but there are also many customers who not fully satisfied with the service handling. INTERPRETATION: BANK employees should be trained periodically so that they are able to understand the customer needs and work in an efficient manner.

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10) RECOMMENDATION OF BANKING SERVICES TO A FRIEND OR COLLEAGUE

OPTION NUMBER RESPONDENT Very unlikely Somewhat unlikely Neither likely nor unlikely Somewhat likely Very likely TOTAL 4 15 8 18 5 50 OF PERCENTAGE RESPONDENT 8% 30% 16% 36% 10% 100 OF

Very unlikely

Somewhat unlikely

Neither likely nor unlikely

Somewhat likely

Very likely

10% 8% 30% 36% 16%

ANALYSIS: From the above graph it is clear that 8% of the respondents are unlikely to recommend the products of HDFC Bank to their friends and colleagues, 30% said somewhat unlikely, 16% said neither likely nor unlikely, 36% said somewhat likely and 10% said very likely. INTERPRETATION: The customers of HDFC bank do advise their friends or colleagues to avail any kind of services of the bank.

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11)MAINTAINENCE OF CUSTOMER- CLIENT RELATIONSHIP IN HDFC BANK

OPTION NUMBER RESPONDENT Good Average Poor TOTAL 9 26 15 50 OF PERCENTAGE RESPONDENT 18% 52% 30% 100 OF

Good

Average

Poor

30%

18%

52%

ANALYSIS: From the above graph it is clear that 18% of the respondents said HDFC Bank is good in maintaining customer relationship, 52% said it is average and rest 30% said it is poor in the maintenance. INTERPRETATION: Some steps should be taken in satisfying the customer needs.

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12) AREA OF IMPROVEMENT IN HDFC BANK

OPTION NUMBER RESPONDENTS Product Customer relation Services Technology updates TOTAL 5 2 15 9 19 50 OF PERCENTAGE RESPONDENTS 10% 04% 30% 18% 38% 100 OF

Product

Customer Relation

Services 10%

Technology 4%

Updates

38% 30% 18%

ANALYSIS: From the above graph it is clear that 38% of the respondents wants some improvement in the updates provided by the bank regarding the accounts; 30% wants improvement in the services provided to its customer; 18% respondents wants improvement in the technology that is being used by the bank; 10% in the products offered by the bank and the remaining 4 % to the customer relationship with the bank INTERPRETATION: Customers are unable to get updated with the latest announcements, procedures and policies. Illiteracy, wrong registration of phone number could be reasons for this.

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13)RATING OF PRODUCT AND SERVICE QUALITY OFFERED BY HDFC BANK

OPTION NUMBER RESPONDENTS Very high High Moderate Less TOTAL 7 15 22 6 50 OF PERCENTAGE RESPONDENTS 14% 30% 44% 12% 100 OF

Very High

High

Moderate

Less

12%

14%

30% 44%

ANALYSIS: From the above graph it is clear that 44% of the respondents say that the product or the services quality that is being provided by the HDFC bank is moderate ,30% say that the services cost are high, 14% say they are very high as compared to other banks while the remaining 12% say that the cost of product or services being provided by HDFC bank is less. INTERPRETATION: The product and services quality that is being provided by the HDFC bank is moderate means neither too low nor too high.

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14)Analysis of consumer satisfaction level with context to the services

OPTION NUMBER RESPONDENT Excellent Very good Good Average Poor TOTAL 2 5 38 3 2 50 OF PERCENTAQGE RESPONDENT 4% 10% 76% 6% 4% 100 OF

EXCELLENT

VERY GOOD

GOOD

AVERAGE

POOR

6%

4% 4% 10%

76%

ANALYSIS: From this table it could be inferred that 76% of the consumers have rated service offered as good, 10% of them have rated them as very good, and 04% of them have rated as excellent and average while only 4% have rated as poor INTERPRETATION: Service offered by the bank is improving day by day. Returns consumers are getting are also attractive. Majority of the customers rates good, very good and excellent because of the customer service offered by the bank

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15)PROBLEMS FACED BY CUSTOMERS REGARDING THE BANK

OPTION NUMBER RESPONDENTS Timeliness Customer relationships infrastructure Others TOTAL 6 5 31 8 50 OF PERCENTAGE RESPONDENTS 12% 10% 62% 16% 100 OF

PROBLEMS FACED
TIMELINESS CUSTOMER RELATIONSHIP 12% 10% INFRASTRUCTURE OTHERS

16%

62%

ANALYSIS: About 62% respondents are dissatisfied with the infrastructure. 12% with timeliness and remaining 10% with customer relationship.

INTERPRETATION: HDFC bank should improve upon the infrastructure facilities

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CHAPTER 7

FINDINGS

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FINDINGS:
The officials try to make best relation with the customers. Staff member gives regular updates to their customers and information of the product and their services. The registers and files are systematically maintained on a daily basis and in an organized manner. Most of the respondents are having more than two accounts and holds more than two products with HDFC Bank. With the help of research it has been found that most of them prefer brand name and service facilities and some of them are influenced by existing customer .

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CHAPTER 8 CONCLUSION

58

CONCLUSION:

HDFC Bank has a strong brand name in the Ghaziabad city market. The people of Ghaziabad city are good in investment part HDFC Bank has always sought profitable customers and generated profit from them and taken steps by converting the non profitable customer to profitable customers. Customers can be pulled into profitability band when the customer is satisfied with the product and services which he is using. Customer satisfaction plays an important role as customers are satisfied they will look for some other product. At this state Relationship Manager is very important who can suggest the customer which product to use with reference to his need. They must maintain mutual relationship between the relationship manager and customer. CRM lead to better understanding of all aspects of customer behaviour regarding issues and benefits offered by a company and helps differentiate itself from others.

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CHAPTER 9 RECOMMENDATIONS

60

RECOMMENDATIONS

Continuous interaction with the customers is necessary in order to continue with relationship Building activities for long term prospective. HDFC Bank should ask for their consumer feedback to know whether the consumers are really satisfied or dissatisfied with the service and product of the bank. If they are dissatisfied, then the reasons for dissatisfaction should be found out and should be corrected in future. To increase the number of customers HDFC Bank should also offer some products for small business. (For example- Zero balance savings and current account.) Account opening process in HDFC Bank is comparatively complicated and Timeconsuming in case of current accounts. HDFC Bank should consider time factor as it is very important. The bank should try to increase the Brand image through performance and service then, only the customers will be satisfied.

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