Axis final

AXIS BANK

One Solution For All Your Financial Needs…….

GLIMPSE of Indian Banking Sector

Size

Number ofBanks

Branch Network

•Total Assets: US $ 335 billion.•Total Deposits: US $ 279 billion.

•Over 290 Scheduled banks: •Public sector: 28•Private Sector: new 9, old 24•Foreign banks: 31•Over 190 Regional Rural Banks

•Over 66,000 Branches:•Public Sector: 46,000•Private Sector: 6,500•Foreign Banks: 190•RRB’s: 13,500

75.00%

18.20%

6.80%

Total Assets

Public Banks

Private Banks

Foreign Banks

according to ICRA

Banking Structure of India

Reserve Bank of India

Commercial

Banks

Co-operative

Banks

Development Banks

Public

Banks

(28)

PrivateBank

s(33)

RRB’s

(190)

Foreign

Banks(31)

Urban

Co-op.(52)

StateCo-op.(16)

Agricultural

Industrial

EXIM

SBI &Associat

e Banks

(9)

Other Nationaliz

edBanks

(19)

Old(24)

New(9)

Role of Banking Sector in India

• Encouraging savings.• Mobilization of saving for investment.• Channel of government monetary policy.• Necessary for meeting the growing demand for

liquidity.• Capital formation.• Financing to various sectors for development and

expansion.

Axis Bank

• Axis Bank was the first of the new private banks to have begun operations in 1994

• The Bank was jointly promoted by the Administrator of the specified undertaking of:

• The Unit Trust Of India 100 core• Life Insurance Corporation Of India• General Insurance Corporation Of

India• National Insurance Company Ltd • The New India Assurance Company Ltd• The Oriental Insurance Company Ltd s• United India Insurance Company Ltd

• The Bank's Registered Office is at Ahmadabad and its Central Office is located at Mumbai.

• 1095 branches.

• Over 4846 ATMs

• It is one of the largest ATM networks in the country.

At present AXIS BANK is the 3rd largest private sector bank in India.

Product

Price

Place

PromotionProcess

Physical Evidence

People

7 Ps

Services @ Axis/Segmentation

Personal Corporate NRI Priority Banking

Accounts Accounts Accounts Accounts

Deposits Credit Deposits Deposits

Loans Capital Market

Remittances Loans

Cards Treasury Services Cards

Investments Cash management

Investments

Insurance Govt. Business Payments

Payments Remittances

Width

Depth

Other services • E-broking

• Advisory functions

• Trusteeship services

• Overseas financing transactions

• Equity solutions

• Debt solutions

• IPO-Smart

• Mobile recharges

• Trading in currency futures

• D-mat a/c

• Selling gold bars 24 carats

• Capital market funding

The Flower of Service @ Axis:Categorizing Supplementary Services

Core

Mutual Funds

Consultation Services

Home loan

Mobile & Internetservices

D-mat a/c

ATM’s

E-banking

Advisory functions Facilitating elements Enhancing elements

KEY:Deposits &

Withdrawal of Money

Basic Banking Service

Good waiting rooms

Mobile & InternetBanking

Extensive ATM NetworkNew schemes

Tailored for Specific customers

Timely Service

24 ATM

Brandname

BankingHours

Augmentedservice

Actualservice

Coreservice

Three levels of service @ AXIS

Service ChargesLoans Rate of

Interest

BPLR 14.75%

Housing loan •Floating (up to 30 lakhs) (above 30 lakhs) •Fixed (irrespective of the amount)

8.75%9.25%

14%

Personal Loan 14 – 21%

Car Loan 9.5 – 15%

Applicable Rates(Monthly Rest Basis)

Fixed rates%

Variable rates%

Upto and including Rs 30 lacs

11.25 9.50

Rs.30.01 lacs to Rs.75 lacs 11.25 9.75

Rs.75.01 lacs and above 11.25 10.00

HDFC

Promotion

• Name changed from UTI Bank to Axis bank creating a global modern bank image

• Tie up with dish tv• Television Advertisement• Print media• Publicity• Personal selling• Tele marketing

Initiative for awareness/customer acquiring

Marketing Triangle

Internal Marketing

Interactive Marketing

External Marketing

Company(Management)

CustomersEmployees

Motivating employees,Training on the services provided

Service Encounter, Sales Representatives

Advertisements,Hoardings, Tie Ups Communication

& Connectivity, Business process Reengineering

People (the assets @ Axis)

• 14000 employee base

• Professionally qualified staff

• Service oriented organization

• Relationship Management

• Rigorous Training

People (the assets @ Axis)

Average age of Human Resources @ Axis.

Qualification of the Human Resources

66%

25%

8%

1%

Below 30 yearsAbove 30 -40 yearsAbove 40 - 50 yearsAbove 50 years

7%

34%

2%

21%

36% CA/ICWA/ICS/CFAMBA'sEngeenier/TechnicalBanking ProfessionalsOther Graduates/ Post Grad.

Physical Evidence

Web page

LogoOffice Interiors Credit Cards

ATM

• Bank Branch

• Cheque book

• Bank brochure

• Statement of accounts

• Logo

• Atm

AXIS BANK – SECTOR 35 BRANCH

• 4 cash counters• 150 per counter footfall• 20,000 accounts• ¼ premium customers

Interaction Between Customer And Service Provider(AXIS BANK)

Customer goes to the service provider (Visit Axis Bank)

Service provider goes to the customer(Personal Banker Sales)

Interaction at arm’s length (ATM, Internet Banking,Mobile Banking)

Blueprint

Arrives At

Bank

ReceivesWelcome kit

Wait

Completing Formalities

Security

Check

Inquiries

Interaction With Pb. Banker

Watchman

Security

Man

Welcome

Desk officer

Personal

Banker

Personal

Banker

Guides cust. ToPb

Banker

ExplainsProducts

&investmen

ts

• Transfer

Initial amt.

• Send form

•A/C proceed•A/C NO.•PIN generated

Welcome kit sent

Invi

sib

lep

rocess

Location

Ph

ysic

al

evi

den

ce

Cu

stom

er

Con

tact

pers

on

Reception

Welcome

Desk

Seating arr. &

Brochure

Form &

Cash counte

r

Seating Arr.

Quality Of

paperCards etc.

Line of Interaction

Line of Visibility

Process or moment of Truth

Customer enters branch (watchman)

Inquiry (welcome desk manager)

Interaction with the banker (personal banker)

Form fill (physical evidence)

Welcome drink served (empathy)

Waiting lounge (physical evidence)

Positioning Axis Bank has positioned itself as a bank which gives higher

standard of services through product innovation for the diverse need of individual & corporate clients.

• Customer centric• Service oriented• Product innovation

There's a solution to everything

Competitors

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Private Sector Banks

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Public Sector Banks

Comparative AnalysisBank Branches ATM Cities Inception Overseas

Presence

Axis Bank 1095 4846 615 1994 4

HDFC 1725 4232 779 1994 8

SBI 13076 21000 1955 32

PNB 4668 3700 1895 5

BRANCH NETWORK AXIS BANK

AXIS BANK

SECTOR 17

SECTOR 10 PKL

MOHALI PH 7

SECTOR 35

SECTOR 8

SECTOR 20 PKL

Branch network

HDFC BANK

SECTOR 32SECTOR

35(2)SECTOR

46SECTOR

22SECTOR

17(2)SECTOR 37

SECTOR 38

IND AREA(BANK

HOUSE)

SECTOR 40

SECTOR 15

SECTOR 10 PKL

SECTOR 11 PKL

SECTOR 8 PKL

Perceptual Map

Axis BankHDFCBank

SBI

High Branch +

ATMNetwork

HIGH Service Quality

LOW Branch +

ATMNetwork

LOW Service Quality

Facilities to Preferred customer

• No AQB charges

• Relationship Manager

• No waiting

• 3rd Party deposit charges

• No draft charges

• Special Discounts(xtra discounts eg on gold)

Factors Affecting Satisfaction of Axis Customers

Customer Satisfacti

on

Trust

Reliability

Workforce

Problem handling

Status value

Advisor

y

Comfort

Network

The Key Drivers of Service Quality, Customer Retention, and Profits

Key Drivers

ServiceQuality Customer

RetentionBehavioralIntentions

Service Encounters

Problem Handling

Quick Service

Product Knowledge

People

ServiceEncounte

r

ServiceEncounte

r

ServiceEncounte

r

ServiceEncounte

r

Profits

Drivers of Service Switching

Service Switching

Pricing• High Price• Price Increases• Unfair Pricing

Inconvenience• Location/Hours

Competition• Found Better Service

Involuntary Switching

• Customer Moved

Value Proposition

Others

Service DeliveryRecovery of Service Failure

Gap 2 @ Axis

Customers Expect Wide Branch Network/Nearest Branch Accessible

Customer-Driven Service Designs and

Standards

Company Perceptions of

Consumer Expectations

Customer

Company

Gap 3 @ Axis

Product Knowledge Service if the Concerned Employee is on leave

Service Quality

Company Perceptions of

Consumer Expectations

Customer

Company

• Support of various promoters.

• High level of services

• Knowledge of Indian market.

• Market capitalization is very low.

• Growing Indian banking sectors

• People are becoming more service oriented.

• From various competitors.

• Foreign banks• Govt. banks• Future market

trends.

S W

OT

Increasing Reach

0

500

1000

1500

2000

2500

3000

3500

4000

4500

258450

1891

332561

2341

405671

2764

515835

3595

643

1035

4293

2005-06

2006-07

2007-08

2008-09

2009-10

Increasing Cliental & Profits

Net Profit Operating revenue

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

485

1808

659

2476

1071

4381

1815

6583

2515

8950

2005-06

2006-07

2007-08

2008-09

2009-10

Cliental0

200000

400000

600000

800000

1000000

1200000

492160

393344

899594

992286

1117734

• Safe transaction

• Quick service

RELIABILITY

• Employees of the AXIS Bank are good as they are always polite humble and helpful.

EMPATHY

• Air Conditioned Premises

• Employees• Furniture• Computer

Systems

TANGIBLITY

• Prompt in resolving problems and giving information.

• TAT-3 days

RESPONSIVENESS

• AXIS Bank assures the customers coming up to the bank that the money they invest is secure;

• Guidance of the productions.

• SecrecyASSURANCE

SERVQUAL: RATER

In Axis bank, you have:

18

2 12

No.of persons

Saving a/cCurrent a/cAvailed any loanInvestment in 3rd party

Which were the all banks in your consideration set when you planned for availing a loan.

4

14

11

NO.OF PERSONS

SBI

HDFC

AXIS

ANY OTHER

Which bank did you finally prefer

5

12

1 2

NO.OF PERSONS

SBIHDFCAXISANY OTHER

How do you rate axis bank in compared to

other banks.

6

2

12

EXCELLENTVERY GOODGOODAVERAGEPOOR

Did you find any drawbacks in axis bank

4

16

YES

NO

Which are all other banks you have account , other

than axis bank

144

22

HDFCSBIPNBANY OTHER

Did you receive any benefits for being a loyal

customer

2

18

YESNO

Recommendations

• Increase branch network in tricity• Training to all employees on all product

knowledge• Customers should be intimated through e-

mail/messages about the new schemes.• Indicators directing the respective

services or sections

Measures being taken to be ahead of Competitors

• Fast processing of Loans• Better Services within Less TAT• Better System Both Internal and

External • Quality Of Products

Latest @ Axis• Received approval from the RBI to set up a subsidiary

in the UK, as well as permission to upgrade its Shanghai representative office into a branch.

• Axis Bank, the third-largest Indian private bank and Max New York Life Insurance, one of India’s leading life insurance companies have forged a 10 year strategic relationship, a first of its kind in banc assurance.

• Launched its rural banking strategy in Gujarat with the inauguration of its branch at Rajula in Amreli district on 22 November 2010

Latest @ Axis• Axis Bank, on 15 Dec 2010 has signed an MoU with

IDEA Cellular, whereby Idea will act as a Business Correspondent of Axis Bank to provide the bank’s financial products and services through its retail outlets.

• EzRemit, part of money transfer services provider BFC Group Holdings, has signed a strategic agreement with private lender Axis Bank to facilitate an instant money transfer facility to receivers in India from across the globe.

• Authorized Bank for Chandigarh Housing Board Scheme.

Thank you !!