Definition Of Financial Services

Financial Services is defined as the products and services offered

by financial institutions which include banks, credit card companies, consumer finance company, stock brokerage, investment funds and some government sponsored enterprises. Banks
Account management, checkbooks, personal loans, commercial

loans, credit cards, debit cards, ATMs and fund transfer.

Investment Management Asset management, Hedge fund Management.. Insurance Insurance Brokerage. Insurance Underwriting and Reinsurance

CHANGING TRENDS

1991 maintaining profitability regional economy industrial credit cost management /expense reduction
2010 Service quality Global economy retail lending investment to stay competitive

MARKET RESEARCH FINDINGS

Simplicity and certainty will drive the product selections of

consumers Customers will look beyond price to find value Service must be innovative and flawless Trust and heritage will play an increasing role in brand choice Consumer Sovereignty: Consumers will drop vanilla products in their search for individualism Too big to fail will drive consumers to the personal and the local banks Winning new customers costs 10 times more than simply holding onto existing ones.

Bank of Baroda Product Mix

7 Ps

Product s & Service : Bank of Baroda provides various banking products and services to its customers. They are as follows: Retail Banking Rural/Agri Banking Wholesale Banking SME Banking Wealth Management DE-MAT Account Product Enquiry Internet Banking NRI Remittances Baroda e-Trading Interest Rates Deposit Products Loan Products ATM / Debit Cards

Bank of Baroda - Pricing

The pricing policy of a bank is considered important

for raising the number of customers vis--vis the accretion of deposits. The banking organizations are required to frame two- fold strategies. First, the strategy is concerned with interest and fee charged and the second strategy is related to the interest paid. It is essential that both the buyers as well as the sellers have feeling of winning. The main pricing policy is concerned with the interest rate charged. This interest rate is however regulated by the RBI and IBA

Bank of Baroda - Placement

The Bank of Baroda has good location across the

country. Bank of Baroda has an extensive network of 3082 branches spanning the length and breadth of the country. All this branches are at very convenient place for the customers. Bank considers various good elements while selecting a place for banking transactions.

 Public Relations To build its brand equity, the bank has organized hosts of seminars nationally and internationally- latest being Basel II. Television Newspapers and Magazines Emphasize on the bright orange corporate colours of the bank and the rising sun. The key traits that the bank wants to highlight such as trust, competence and ease of use The targeted consumer segment is the middle-class Indian doing every-day chores, who now has numerous financial needs, not just plain and traditional banking. Another striking factor is the focus on the age segment beyond the 35-40 age bracket, people who are able easily identify with the PSU banking sector as a familiar entity. The promotion strategy of utilizing customer awareness sessions with the display of the standard corporate visuals like the bright logo and the tagline with stills from the supporting print and television advertisements is also heavily relied on. Internet and mobile banking fastest growing modern tools to communicate with customers Baroda Next

Bank of Baroda - Promotion

Bank of Baroda - People

HR Steering Committee - Board Level HR

Committee for piloting HR initiatives and reforms. The Committee comprises of Directors and leading professionals as Experts from outside the Bank KHOJ - Through scientific process of identification and selection, employees with high potential to be deployed in key business areas. Such employees to be provided with suitable grooming and career growth opportunities Employee counseling center

Bank of Baroda - Process

Standardization: BoB bank has got standardized

procedures Customization: There are specialty counters at each branch to deal with customers of a particular scheme. Simplicity: In BoB various functions are segregated. Separate counters exist with clear indication. Besides instruction boards in national boards in national and regional language help the customers further. Customer involvement: ATM does not involve any bank employees. Besides, during usual bank transactions, there is definite customer involvement at some or the other place because of the money matters and signature requirement.

Bank of Baroda Physical Evidence

Physical Evidence : Physical evidence refers to all those factors that help make the process much easier and smoother Internet/the web pages Paperwork Brochures Furnishings Business cards The building itself (such as prestigious offices or scenic headquarters) The physical evidences also include signage, reports, punch lines, other tangibles etc.

ICICI Prudential Life Insurance

Joint venture between ICICI Bank and Prudential plc
Began its operations in December 2000 after receiving

approval from IRDA 1,960 branches (inclusive of 1,096 micro-offices), over 237,000 advisors; and6 bancassurance partners For the past nine years, ICICI Prudential Life has retained its leadership position in the life insurance industry with a wide range of flexible products that meet the needs of the Indian customer at every step in life

PRODUCT MIX
Protection Plans: Save n Protect Cash-back Home Assure Pure Protect Life Guard Premium Guarantee Plans: Invest Shield Cash Back Invest Shield Life New

PRODUCT MIX
Education Insurance Plans: Smart Kid Regular Premium Smart Kid New Unit-linked Regular & Single Premium Wealth Creation Plans: Premier Life Gold Life Stage RP Wealth Advantage

PRODUCT MIX
Group Plans: Group Term Insurance Plan Group Gratuity Plan Group Super Annuation Plan Health Insurance Plans: Diabetes Plans Cancer Plans Comprehensive Health coverage Critical Illness Plan

PRODUCT MIX
Retirement Plans: Forever Life Immediate Annuity Life Stage Pension Premier Life Pension
Rural Plans : Suraksha & Suraksha Kavach

Example: ICICI Prudential- Pure Protect Below is the table that shows premium for various age-term combinations for a Sum Assured of Rs.50 lakhs.

TERM (Number of Years)

30 10 15 Rs.7608 Rs.8378 35 Rs.9889 Rs.11390 40 Rs.14394 Rs.17064

AGE

20
25

Rs.9444
Rs.12558

Rs.13,327
Rs.18809

Rs.20067
Rs.27075

PLACE
Life Insurance companies have offices at main locations in cities and

towns. But most of the customers buy insurance policies with the help of agents.Therefore place is important but other than place what is more important is Bancassurance Bancassurance is the term used to describe the partnership or relationship between a bank and an insurance company whereby the insurance company uses the bank sales channel in order to sell insurance products Bank staff and tellers, rather than an insurance salesperson, become the point of sale/point of contact for the customer. Bank staff are advised and supported by the insurance company through product information, marketing campaigns and sales training By selling insurance policies bank earns fee-based income ICICI Prudential has 6 bancassurance partners having tie-ups with ICICI Bank, Jalgaon Peoples Co-op Bank, Ratanagiri District Central Co-op Bank, Ballia Kshetriya Co-operative Bank, Renuka Nagrik Sahakari Bank, Bhandara Urban Co-operative Bank

PROMOTION
Over the last few months, ICICI Prudential has been advertising in

outdoor, TV and press The company launched a corporate television campaign Saat Phere The company has also undertaken press and internet campaigns to inform customers about benefits of some of its products, particularly retirement solutions, through the Chintamani campaign Also introduced some innovations in the category, such as: having a tax planner by the name of Chintamani on radio Other initiatives included tie-up with the Dabbawalla Organisation in Mumbai for a direct marketing exercise Seminars ICICI Prudential regularly holds consumer awareness meets on the need for retirement planning in different cities Alliances with telecom companies, as well as companies like BPCL and Dominos

PEOPLE
People are the main assets in a service sector. Therefore, ICICI

Prudential has good number of talented people in their organization The people strategy of ICICI Prudential is To build a committed team with a culture of innovation, learning and growth HR is committed to building capability through state of the art processes. A robust performance management system, compensation system and a segmented training architecture enable it to deliver value to the organization Every member of the ICICI Prudential team is committed to 5 core values: * Integrity * Customer First * Boundaryless * Ownership * Passion

PROCESS
The client approaches the insurer (ICICI Prudential) through an

agent with a proposal containing his details The proposal will go through various stages of approval . Upon final approval, a policy, between the insurer and the client is prepared whereby the insurer covers the client for the sum assured The client pays a premium at regular intervals The client may come back with some alterations to the policy viz. increase/decrease in sum assured, increase/decrease of the term of policy etc. The insurer will make the relevant changes to the policy At the end of the term of the policy, the client gets the sum assured as part of the maturity benefit under life insurance policies

PHYSICAL EVIDENCE
Physical evidence includes facility design, equipment signage, employee dress, tangibles, reports and statements Signage personifies the insurance company. A signage depicts the companys philosophy and policy Various tangible items like pen, letter pad, calendars. Such things try to reduce the intangibility characteristics of this industry The statements are punch line which briefly depicts the vision and attitude of a insurance company towards its users/potentials. It also indicates their business motive. Example: ICICI Prudential have a punch line called We cover you at every step of Life and also the advertisement of Jeete Raho was hit among the TV viewers

Implications and Opportunities

Focus on benefits more than on the features.
Focus on product line strategy rather than on a single

product. Since the market is heterogeneous there is no single product that can satisfy the need of the diverse segments. Design the products with relevant inputs from the target market. Explore the likely competitive reaction while designing your strategy. Also have a counter strategy that outlines how you will react to a competitors reaction.

THANK YOU