Summer Training Project Report Submitted in lieu of the partial fulfillment of the Degree of Master of Business Management “ COMPARISION BETWEEN ICICI AND HDFC BANK” 1
Summer Training Project Report
Submitted in lieu of the partial fulfillment of the
Degree of Master of Business Management
“ COMPARISION
BETWEEN
1
ICICI AND HDFC
BANK”
2
CONTENTS
Topic Page No.
(PART-A)
Introduction 8
Company profile 10
Banking structure 14
product 19
Major components 59
(PART-B)
Introduction of topic 65
Research methodology 67
Objective 68
Data analysis 76
Recommendations 84
Conclusions 85
Bibliography 86
Questionnaire 87
1
(FIGURE-NO.)
Figure No.
Page No.
Figure-1 78
Figure-2 79
Figure-3 80
Figure-4 81
Figure-5 82
Figure-6 83
2
PREFACE
3
Marketing is a social & managerial process by which an individual and group obtain what
they need and want through creating offering and exchanging products of value with
others.
Marketing is getting the right good and services to the right people to the right place, at
the right time at the right place with the right communication and promotion. It is the art
of creating and satisfying customer at a profit.
Advertising is one of the major tools of companies to direct pervasive communication to
target buyers and publics. An identified sponsor defines it as any paid from and non
personal presentation and promotion of ideas, goods or services.
Advertising is a cost effective way to disseminate message whether it is to saving account of
ICICI bank and give best service in account.
4
INTRODUCTION
Banking is the backbone of a modern economy. Health of banking industry is one of
the most important pre-conditions for sustained economic progress of any country. The
world of banking has assumed a new dimension at the dawn of the 21 st century with the
advent of tech banking, thereby lending the industry a stamp of universality. In general,
banking may be classified as retail and corporate banking. Retail banking, which is
designed to meet the requirements of individual customers and encourage their savings,
includes payment of utility bills, consumer loans, credit cards, checking account balances,
ATMs, transferring funds between accounts and the like. Corporate banking, on the other
hand, caters to the needs of corporate customers like bills discounting, opening letters of
credit and managing cash.
The Indian banking scene has changed drastically with the private sector making
inroads in an area hitherto dominated by large public sector banks. Growing disinvestment
is likely to impact the banking industry as well. There is every possibility of privatization of
public sector banks, leading to greater operational autonomy.
The development of the Indian banking sector has been accompanied by the
introduction of new norms such as Income Recognition and Capital Adequacy, by the
5
government. The latter implies that banks can lend on the basis of their respective
capital base. These norms have caused banks to construct equity on their own, before going
in for debt. Disintermediation is a real threat for banks. Of late, banks are adopting the EVA
(Economic Value Added) concept wherein revenues are viewed in the context of the risk
associated with them.
The New World order has ensured "Survival of the Fittest". New services are the order
of the day, in order to stay ahead in the rat race. Banks are now foraying into net banking,
securities, consumer finance, housing finance, treasury market, merchant banking and
insurance.
6
COMPANY PROFILE
ICICI Bank is India's second-largest bank with total assets of about Rs. 1 trillion and a network
of about 540 branches and offices and over 1,000 ATMs. ICICI Bank offers a wide range of
banking products and financial services to corporate and retail customers through a variety
of delivery channels and through its specialized subsidiaries and affiliates in the areas of
investment banking, life and non-Banking , venture capital, asset management and
information technology. ICICI Bank's equity shares are listed in India on stock exchanges at
Chennai, Muzaffarnagar, Kolkata and Vadodara, the Stock Exchange, Mumbai and the
National Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are
listed on the New York Stock Exchange (NYSE).
ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian financial institution,
and was its wholly owned subsidiary. ICICI's shareholding in ICICI Bank was reduced to 46%
through a public offering of shares in India in fiscal 1998, an equity offering in the form of
ADRs listed on the NYSE in fiscal 2000, ICICI Bank's acquisition of Bank of Madura Limited in
an all-stock amalgamation in fiscal 2001, and secondary market sales by ICICI to institutional
investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at the initiative of the World
Bank, the Government of India and representatives of Indian industry. The principal objective
7
was to create a development financial institution for providing medium-term and long-term
project financing to Indian businesses. In the 1990s, ICICI transformed its business from a
development financial institution offering only project finance to a diversified financial
services group offering a wide variety of products and services, both directly and through a
number of subsidiaries and affiliates like ICICI Bank. In 1999, ICICI become the first Indian
company and the first bank or financial institution from non-Japan Asia to be listed on the
NYSE.
After consideration of various corporate structuring alternatives in the context of the
emerging competitive scenario in the Indian banking industry, and the move towards
universal banking, the managements of ICICI and ICICI Bank formed the view that the merger
of ICICI with ICICI Bank would be the optimal strategic alternative for both entities, and would
create the optimal legal structure for the ICICI group's universal banking strategy. The merger
would enhance value for ICICI shareholders through the merged entity's access to low-cost
deposits, greater opportunities for earning fee-based income and the ability to participate in
the payments system and provide transaction-banking services. The merger would enhance
value for ICICI Bank shareholders through a large capital base and scale of operations,
seamless access to ICICI's strong corporate relationships built up over five decades, entry into
new business segments, higher market share in various business segments, particularly fee-
based services, and access to the vast talent pool of ICICI and its subsidiaries. In October
2001, the Boards of Directors of ICICI and ICICI Bank approved the merger of ICICI and two of
8
its wholly owned retail finances subsidiaries, ICICI Personal Financial Services Limited and
ICICI Capital Services Limited, with ICICI Bank. The merger was approved by shareholders of
ICICI and ICICI Bank in January 2002, by the High Court of Gujarat at Ahmedabad in March
2002, and by the High Court of Judicature at Mumbai and the Reserve Bank of India in April
2002. Consequent to the merger, the ICICI group's financing and banking operations, both
wholesale and retail, have been integrated in a single entity.
9
HISTORY OF COMPANY
ICICI Bank has signed an agreement to use the NCR switch mark technology for online-
networking all its ATMs, the officials said they network would come into place in
September.
ICICI Bank recently restructured its organizational structure by setting up strategic
business units for retail banking, corporate banking and fore and treasury operations, as
independent profit centers.
ICICI is all set to launch a 60-second television commercial on August 15, 1999.
2000
ICICI Bank became the first Indian bank to list on the New York Stock Exchange with its
$175-million American depository shares issue generating a demand book 13 times its size
at $2.2 billion.
The Bank proposes to bring credit cards to the "large, underserved population" in rural
and semi-urban areas.
SkyCell Communications Ltd, one of the two cellular service providers in Chennai, has
launched `Sky Banking', for which the company has tied up with ICICI Bank and HDFC
Bank.
10
The ICICI has announced the launch of mobile banking services for its customers, using the
wireless application protocol (WAP) technology.
Ford India has tied up with ICICI Bank to introduce a scheme, enabling non-resident
Indians (NRIs) to purchase a Ford Ikon car for their friends and relatives in India.
ICICI Bank has set up an ATM facility at an Indian Oil Corporation petrodiesel outlet at
Chennai.
ICICI Bank has tied up with Chennai Telephones to provide Internet bill payment facility to
its customers.
BANKING STRUCTURE11
The Indian banking industry, which has Reserve Bank of India as its regulatory
authority, is a mix of the public sector, private sector, and foreign banks. The private sector
banks are again split into old banks and new banks.
SCHEDULED BANKS
Scheduled commercial banks are those that come under the purview of the Second
Schedule of Reserve Bank of India (RBI) Act, 1934. The banks that are included under this
schedule are those that satisfy the criteria laid down vide section 42 (60 of the Act). Some co-
operative banks come under the category of scheduled commercial banks though not all co-
operative banks.
PUBLIC SECTOR BANKS
Public sector banks are those in which the Government of India or the RBI is a
majority shareholder. These banks include the State Bank of India (SBI) and its subsidiaries,
other nationalized banks, and Regional Rural Banks (RRBs). Over 70% of the aggregate
branches in India are those of the public sector banks. Some of the leading banks in this
segment include Allahabad Bank, Canara Bank, Bank of Maharashtra, Central Bank of India,
Indian Overseas Bank, State Bank of India, State Bank of Patiala, State Bank of Bikaner and
Jaipur, State Bank of Travancore, Bank of Baroda, Bank of India, Oriental Bank of Commerce,
UCO Bank, Union Bank of India, Dena Bank and Corporation Bank.
12
PRIVATE SECTOR BANKS :- Private banks are essentially comprised of two types: the old
and the new. The old private sector banks comprise those, which were operating before
Banking Nationalization Act was passed in 1969. On account of their small size, and regional
operations, these banks were not nationalized. These banks face intense rivalry from the new
private banks and the foreign banks. The banks that are included in this segment include:
Bank of Madura Ltd. (now a part of ICICI Bank), Bharat Overseas Bank Ltd., Bank of
Rajasthan, Karnataka Bank Ltd., Lord Krishna Bank Ltd., The Catholic Syrian Bank Ltd., The
Dhanalakshmi Bank Ltd., The Federal Bank Ltd., The Jammu & Kashmir Bank Ltd., The Karur
Vysya Bank Ltd., The Lakshmi Vilas Bank Ltd., The Nedungadi Bank Ltd. and Vysya Bank. The
new private sector banks were established when the Banking Regulation Act was amended in
1993. Financial institutions promoted several of these banks. After the initial licenses, the RBI
has granted no more licenses. These banks are gearing up to face the foreign banks by
focusing on service and technology. Currently, these banks are on an expansion spree,
spreading into semi-urban areas and satellite towns. The leading banks that are included in
this segment include Bank of Punjab Ltd., Centurion Bank Ltd., Global Trust Bank Ltd., HDFC
Bank Ltd., ICICI Banking Corporation Ltd., IDBI Bank Ltd., IndusInd Bank Ltd. and UTI Bank Ltd.
13
FOREIGN BANKS
The operations of foreign banks, though similar to that of other commercial Indian
banks, are mainly confined to metropolitan areas. Foray of foreign banks depends on
reciprocity, economic and political bilateral relations. An inter-departmental committee has
been set up to endorse applications for entry and expansion. Foreign banks, in the wake of
the liberalization era, are looking to expand and diversify. Some of the leading foreign banks
that operate in India are Citibank, Standard Chartered Grindlays Bank, Hong Kong Shanghai
Banking Corporation, Bank of America, Deutsche Bank, Development Bank of Singapore and
Banque National De Paris.
PUBLIC SECTOR BANKING – AT A DISADVANTAGE
Functioning of Public Sector Banks (PSBs), which are yet to achieve computerization
across the board, is at a relative disadvantage when compared to the private sector, which is
offering state-of-the-art facilities such as ATMs, doorstep banking, banking on phone, and
net banking. PSBs also suffer from huge costs of labor and low levels of automation. At this
rate, it may not be long before new channels devised by private banks effectively surpass the
number of branch networks offered by the PSBs.
This apart, the problems which have assumed enormous proportion today as far as
Public Sector banks are concerned are ballooning NPA levels, declining margins, poor credit
14
off-take, high overheads, and lack of good quality assets. Banks are sticking to reliable
borrowers for fear of bad debts. In fact, banks largely invest in government securities, which
have zero risk. With GOI being the single largest borrower, the yields on these securities
determine the interest rates.
The government aims to decrease its shareholding in PSBs to 33%, however, at the
same time it also wants to retain the controlling stake. This, it is feared, is not going to solve
the problems which PSBs are coping with now.
15
PRIVATE SECTOR BLOOMS
Corporate governance and self-regulation are the ground rules for the private sector.
Government interference is not preferred. While some private banks such as ICICI Bank, UTI
Bank and IDBI Bank have financial institutions backing them, others are opting for foreign
partnerships for technology and monetary resources.
Private banks have emerged relatively strong, with about 60% growth reported in net
profits in the year ended March 2000. With a net profit of Rs.120 crores (+46%), HDFC was
the clear leader. IDBI Bank, however took the cake by doubling its net profit, which reached
Rs.60.99 crores in March 2000.The jump in profits can mainly be attributed to non-traditional
sectors such as commission, exchange, brokerage, and profit on sale of investments.
16
PRODUCT PORTFOLIO
CORPORATE BANKING RETAIL BANKING
Corporate Solutions Home Loans
Government Solutions Car & Two Wheeler Loans
Capital Market Services Consumer/Personal Loans
Agriculture Finance Saving & Term Deposit
Structured Finance Salary Account
Project Finance Roaming Current Accounts
Infrastructure Finance Investment Products
Term Loans Private Banking
Working Capital Finance NRI Services
Cash Management Services Demat Services
Trade Finance Services Credit & Debit Cards
International Banking Smart Cards
17
Treasury Services Bill Payment Services
Corporate Internet Banking E-Cheques
Corporate Advisory Branches
Custodial Services ATMs
Professional Clearing Internet Banking
Membership Services Phone Banking
18
PROMOTION
What's on offer
Hello ICICI and HDFC brings you a host of services at your fingertips 365 days a year. A user
friendly automated service menu offers you convenient access to your account coupled with
security as, all your transactions are protected by a TPIN - The Personal password to your
account. But if you do need any assistance our officers will be glad to help you.
Whats more... this facility comes to you totally free of charge! Some of the services offered
are listed below
Savings account :
o Balance Enquiry Statement of account
o Cheque status enquiry Stop Payment
o Cheque book request
o Dial-a- draft/payorder
o ATM lost card reporting
o Request for a new ATM PIN
19
Fixed Deposits:
o Opening a Fixed Deposit
o Checking Fixed Deposit details
o Request for TDS statement
Credit Cards:
o Balance and account related inquiries Statement of account
o Dial a draft/payorder
o Lost/Replacement card
o ATM pin re-issue
o Payment instructions (maybe through a letter to the Call Centre)
Others:
o Standing Instructions
o Complaints and suggestions
o Inquire about any ICICI retail product
20
RISK MANAGEMENT
Risk is an integral part of the banking business and ICICI Bank aims at the delivery of
superior shareholder value by achieving an appropriate trade-off between risk and returns.
ICICI Bank is exposed to various risks, including credit risk, market risk and operational risk.
Our risk management strategy is based on a clear understanding of various risks, disciplined
risk-assessment and measurement procedures and continuous monitoring. The policies and
procedures established for this purpose are continuously benchmarked with international best
practices. A comprehensive range of quantitative and modelling tools developed by a
dedicated risk analytics team supports the risk management function at ICICI Bank.
The Risk, Compliance & Audit Group (RCAG) is responsible for assessment,
management and mitigation of risk in ICICI Bank. This group, forming a part of the
Corporate Centre, is completely independent of all business operations and accountable to
the Risk and Audit Committees of the Board of Directors. RCAG is organised into six sub-
groups: Credit Risk Management Group, Market Risk Group, Credit Policies Group, Internet
Audit Group, Retail Risk Group and Risk Analytics Group.
21
CREDIT RISK
Credit risk is the risk that a borrower is unable to meet its financial obligations to the lender.
ICICI Bank measures, monitors and manasgers credit risk for each borrower asnd also at the
portfolio level. ICICI Bank has a standardised credit approval process, which includes a well-
established procedure of comprehensive credit appraisal and rating. ICICI Bank has
developed internal credit rating methodologies for rating obligors as well as for rating. ICICI
Bank has developed internal credit rating methodologies for rating obligors as well as for
product / facilities. The rating factors in quantitative and qualitative issues and credit
enhancement features specific to the transaction. The rating serves as a key input in the
sanction as well as post-sanction credit processes. Credit rating, a as concept, has been well
internalised within the Bank. The rating for every borrower is reviewed as least annually and
for higher risks credits and large exposures at shorter intervals. Sector knowledge has been
institutionalized across ICICI Bank through the availability of sector-specific information on
the Intranet. Industry knowledge is constantly updated through field visits, interactions with
clients, regulatory bodies and industry experts. In respect of the retail credit business, ICICI
Bank has a system of centralized approval of all products and policies and monitoring of the
retail portfolio. We continuously refine our retail credit parameters based on portfolio
analytics.
22
MARKET RISK
Market risk is the risk of loss resulting from changes in interest rates, foreign currency
exchange rates, equity prices and commodity prices. HDFC Bank’s exposure to market risk a
function of its trading and asset and liability management activities and its role as a financial
intermediary in customer-related transactions. The objective of market risk management is to
minimize the impact of losses due to market risks on earning and equity capital.
Market risk policies include Asset-Liability Management (ALM) policies and policies for
the trading portfolio. The Asset-Liability Management Committee (ALCO) of Board of
Directors approves ALM policies. ALCO’s role encompasses stipulating liquidity and interest-
rate risk limits, monitoring risk levels by adherence to set limits, articulating the
organization’s interest rate view and determining business strategy in the light of the current
and expected business environment. These sets of policies and processes are articulated in
ALM policy. A separate set of policies for the trading portfolio address issues related to
investments in various trading products and are approved by the Committee of Directors
(COD) of the Board. RCAG exercises independent control over the process of market-risk
management and recommends changes in processes and methodologies for measuring
market risk.
23
MIDDLE OFFICE GROUP
HDFC Bank has a separate Middle Office Group to monitor both credit and treasury-
related compliance. The Credit Middle Group monitors compliance with policies and terms of
sanction of credit proposals.
The Treasury Middle Office Group monitors the asset-liability position under the
supervision of the ALCO. It also monitors treasury activities, including determining
compliance with various exposure and dealing limits, verifying the appropriateness and
accuracy of various transactions, processing these transactions, tracking the daily funds
position and all treasury related management and regulatory reporting.
Interest rate risk is measured through the use of re-pricing gap analysis. Liquidity risk
is measured through gap analysis. HDFC Bank ensures adequate liquidity at all times
through systematic funds maintenance of liquid investment as well as by focusing on more
stables funding sources such as retail deposits. HDFC Bank mitigates its exposure to
exchange rate risk by stipulating daily stop-loss limits and position limits.
OPERATIONAL RISK
Operational risk can result from a variety of factors, including failure to obtain proper
internal authorization, improperly documented transactions, failure of operational and
information security procedures, computer systems and software or equipment, fraud,
inadequate training and employee errors. We attempt operational risk by maintaining a
comprehensive system of internal controls, establishing systems and procedures to monitors 24
transactions, maintaining key back-up procedures and undertaking regular contingency
planning. The Middle Office Group monitors adherence to credit procedures. The
International Audit Group undertakes a comprehensive audit of all business group and other
functions, in accordance with a risk-based audit plan. This plan allocates audit resources
based on an assessment of the operational risks in the various businesses. ICICI Bank has
been a pioneer in the implementation of a risk-based audit methodology in the Indian
banking sector. The International Audit Group conceptualizes and implements improved
system of internal controls to minimize operational risk.
FUTURE PROSPECTS OF ICICI AND HDFC
BANK
Future expectations
We soon plan to introduce:
payment services to certain standard utilities
Demat-related information
own accounts funds transfer
ICICI will also use WAP technology for undertaking on-line transactions
25
If you have an HDFC Phone Banking Relationship Number (under which your
accounts are linked to the HDFC Call Centre for HDFC Phone Banking), the same accounts
will be linked for Mobile Commerce. If you do not have an HDFC Phone Banking
Relationship Number, you can specify the account number(s) and your HDFC Credit Card
Number to be linked for SMS.
ICICI BANK NAMES CONSULTANT FOR
GOVT BUSINESS
ICICI Bank has appointed international consultancy major monitor
group to help the bank in identification of business prospects in the
government sector which has recently been identifies as a focus area.
Monitor will help ICICI get business from the government sector,
particularly the infrastructure sector mandates. The bank did not consider
government business a focus area till sometime back. Now, Monitor Group
will study investment prospect of tourism in Rajasthan, opportunities for
the government of Andhra Pradesh and investment prospects for the bank
through the government in cities such as Pune and Kolkata.
“We are trying to find out how ICICI Bank can be a partner to the
government in development plans and projects. The bank has initiated
fresh focus towards the government which is a major source of business
26
and we would like to increase relationship with government agencies,”
ICICI officials said.
Monitor Group will find out ways and means for ICICI Bank through
which the latter “Can solve government fund flow problems and how ICICI
Bank can play a role in the projects,” bank officials said.
This is a test study and if there is a positive response from the
government then more such specific developmental studies will be taken up
by the bank as partners to development.
-ECONOMICS TIMES.
1/11/03 ICICI Bank clocks 110% growth in retail portfolio in Q2
Mumbai: The retail portfolio of ICICI Bank grew by 110 per cent to Rs 25,205 crore (Rs 12,021
crore) in the second quarter. Retail assets constituted 39 per cent of the bank's customer
assets. While leveraging and enhancing its position as the original lender, the bank also
continued to focus on securitisation of its customer assets. This had enabled the bank to
optimize resources and capital utilization and diversify the composition of its asset portfolio.
27
During the first half of this financial year, the total sell down and securitisation of assets was
around Rs 5,300 crore. According to the bank, its net restructured loans declined to Rs 7,856
crore (Rs 10,491 crore). Net NPAs were at Rs 3,128 crore, constituting 4.8 per cent of its
customer assets. Deposits grew by 18 per cent to Rs 56,880 crore (Rs 48,169 crore). As on
September 30, 2006, the deposits constituted 58 per cent of the bank's funding against 42
per cent in the corresponding period of the previous year. The capital adequacy as on
September 30, 2006 was at 11.5 per cent.
ACCOUNTS IN ICICI BANK
ICICI Bank offers wide variety of Deposit Products to suit your requirements.Coupled
with convenience of networked branches/ ATMs and facility of E-channels like Internet and
Mobile Banking, ICICI Bank brings banking at your doorstep. Select any of our deposit
products and provide your details online and our representative will contact you for Account
Opening.
ICICI 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.
28
Senior Citizen Services
We understand that as you reach the age to retire, you do have certain concerns … whether
your hard earned money is safe and secure … whether your investments give you the kind of
returns that you need. That's why we have an ideal Banking Service for those who are 60
years and above. The Senior Citizen Services from ICICI Bank has several advantages that are
tailored to bring more convenience and enjoyment in your life.
Young Stars
It's really important to help children learn the value of finances and money management at
an early age. Banking is a serious business, but we make banking a pleasure and at the same
time children learn how to manage their personal finances.
29
Fixed Deposits
Safety, Flexibility, Liquidity and Returns!!!! A combination of unbeatable features of the Fixed
Deposit from ICICI Bank.
When expenses are high, you may not have adequate funds to make big investments. But
simply going ahead without saving for the future is not an option for you. Through ICICI Bank
Recurring Deposit you can invest small amounts of money every month that ends up with a
large saving on maturity. So you enjoy twin advantages- affordability and higher earnings.
DOCUMENTATION
Applicants must satisfy the following documentation requirements:
Identity proof
Proof of communication address
Self cheque (if the applicant is not visiting the branch for account opening)
30
Identity Proof
(Any one of the following)
Proof of communication address
(Any one of the following)
Original letter of introduction from existing bank
along with KYC cheque of the same Bank
Introduction by an existing and satisfactory
customer as address proof
Driving License – Book type or laminated &
embossed
Latest Electricity Bill
Voter Identity Card with KYC cheque for operating
accounts.
Cash can be accepted for Term deposits.
Certificate from the postal office confirming
address of applicant
Employee Identity Card Original Letter from Employer certifying the
residential address of applicant. Signature of
the employee has to be attested on the
letter.
PAN Card Telephone bills from any telephone service
providers and mobile service providers (KYC
cheque mandatory for mobile service
providers)
31
Defence Dependent's card Consumer gas connection card/book/Pipe
Gas bill (same as electricity bill)
Ex-Service Man Card Certificate from the ward/equivalent rank
officer, maintaining election roll, certifying
address of the applicant
Bar Council/Indian Medical Association
Card/Senior Citizen Card
Registered and valid Lease/ Leave
agreement with copies of utility bills
PIO Booklet for returning NRIs Post Office Savings Pass Book with KYC
cheque
MAPIN card Statement of account or Pass Book of a
scheduled commercial bank with entries of
at least last 3 months alongwith KYC cheque
Premium Receipt from any Banking
company
Certificate by Village Extension Officer
(VEO)/Village Head or equal rank officers
32
Domicile Certificate with communication
address and photograph
Accepted as both Identity and Address proof
(Any one of the following)
Passport
Arms License issued by State/Central Government of India authorities
Freedom fighter's pass issued by Ministry of Home affairs, Government of India with photograph
of applicant
Pension payment order/book/Card issued by State/Central Government of India.
Printed Ration Card with Photograph of applicant.
House hold Card with photograph issued by Govt of Andhra Pradesh
ID card with photograph issued by Govt of Jammu and Kashmir
Bank Pass Book with photograph issued by SBI and its subsidiaries or Nationalised Banks
Photo Social Security Card (Smart Card) issued by Central/State Govts or Union territories.
Savings Bank Account: 3.50%
33
Domestic term deposits (General Category) :
Maturity
Period
Interest rates* (per cent per annum) w.e.f. 24.07.2006
Single Deposit of
Less
than
Rs.15
lacs
Annualize
d yield at
the
begining
of the slab
Rs.15
lacs &
above
but less
than
Rs.50
lacs
Annualize
d yield at
the
begining
of the slab
Rs.50
lacs &
above
but less
than Rs.1
crore
Annualized
yield at the
beginning of
the slab
7 to 14
daysN.A. N.A. 3.75% 3.75% 3.75% 3.75%
15 to 29
days3.00% 3.00% 4.00% 4.00% 4.00% 4.00%
30 to 45
days3.25% 3.25% 4.00% 4.00% 4.00% 4.00%
34
46 to 60
days3.50% 3.50% 4.50% 4.50% 4.50% 4.50%
61 to 90
days 3.50% 3.50% 4.75% 4.75% 4.75% 4.75%
91 days
& above
upto 180
days
5.75% 5.75% 6.00% 6.00% 6.00% 6.00%
181
days &
above
upto 1
year
6.25% 6.30% 6.25% 6.30% 6.25% 6.30%
366
days &
above
upto 389
6.75% 6.92% 7.50% 7.71% 7.75% 7.98%
35
days
390 Days
** 8.00% 8.24% 8.00% 8.24% 8.00% 8.24%
391 days
& above
upto 2
Years
6.75% 6.92% 7.50% 7.71% 7.75% 7.98%
More
than 2
years
upto 3
years
6.75% 7.16% 7.50% 8.01% 8.00% 8.58%
More
than 3
years
upto 5
years
7.00% 7.71% 7.50% 8.32% 8.00% 8.94%
36
More
than 5
years
upto 5
years 3
months
7.50% 9.00% 8.25% 10.09% 8.50% 10.46%
More
than 5
years 3
months
upto 10
years
7.00% 8.37% 7.75% 9.45% 8.00% 9.82%
* Subject to revision without further notice.
** Recurring Deposit will not be available for tenure of 390 days.
Note: Rates for Deposits for Rs.1 Crore and above will be advised by treasury from time to
time.
INTEREST RATES FOR SENIOR CITIZENS:
1. Eligibility Criteria
37
A person who has completed the age of 60 years may be treated as a senior citizen for
getting the benefit under the special deposit scheme for senior citizens.
2. Verification of Age:
Opening of New Account
At the time of opening of a new deposit account of a senior citizen, the branch should satisfy
about the age through verification of any of the following documents:-
Secondary School Leaving Certificate indicating date of Birth
LIC Policy
Voters Identity Card
Pension Payment Order
Birth Certificate issued by the competent authority
Passport
PAN Card
38
Interest Rates for Senior Citizens :
Maturity
Period
Interest rates* (per cent per annum) w.e.f. 24.07.2006
Single Deposit of
Less
than
Rs.15
lacs
Annualize
d yield at
the
begining
of the slab
Rs.15
lacs &
above
but less
than
Rs.50
lacs
Annualize
d yield at
the
begining
of the slab
Rs.50 lacs
& above
but less
than Rs.1
crore
Annualized
yield at the
beginning
of the slab
7 to 14
daysN.A. N.A. 4.25% 4.25% 4.25% 4.25%
15 to 29
days3.50% 3.50% 4.50% 4.50% 4.50% 4.50%
30 to 45
days3.75% 3.75% 4.50% 4.50% 4.50% 4.50%
39
46 to 60
days4.00% 4.00% 5.00% 5.00% 5.00% 5.00%
61 to 90
days 4.00% 4.00% 5.25% 5.25% 5.25% 5.25%
91 days
& above
upto 180
days
6.25% 6.25% 6.50% 6.50% 6.50% 6.50%
181
days &
above
upto 1
year
6.75% 6.81% 6.75% 6.81% 6.75% 6.81%
366
days &
above
upto 389
7.25% 7.45% 8.00% 8.24% 8.25% 8.51%
40
days
390 days
** 8.50% 8.77% 8.50% 8.77% 8.50% 8.77%
391
days &
above
upto 2
years
7.25% 7.45% 8.00% 8.24% 8.25% 8.51%
More
than 2
years
upto 3
years
7.25% 7.73% 8.00% 8.58% 8.50% 9.16%
More
than 3
years
upto 5
years
7.50% 8.32% 8.00% 8.94% 8.50% 9.57%
41
More
than 5
years
upto 5
years 3
months
8.00% 9.72% 8.75% 10.83% 9.00% 11.21%
More
than 5
years 3
months
upto 10
years
7.50% 9.00% 8.25% 10.09% 8.50% 10.46%
42
*Subject to revision without further notice.
** Recurring Deposit will not be available for tenure of 390 days.
Penalty on Pre-mature withdrawal (All Categories) would be applicable as below:
Original
Tenure
of
Deposit
Penal Rates
Less
than
Rs.50.0
mn
Rs.50.0
mn &
above
Less than
1 year 0.50% 0.50%
1 year &
above
but less
than 5
years
1.00% 1.00%
5 years 1.00% 1.50%
43
More
than 5
years
upto 5
years 3
months
1.00% 1.50%
More
than 5
years 3
months
upto 10
years
1.00% 1.50%
Features
The ICICI Bank Ncash debit card is a debit-cum-ATM card providing you with the
convenience of acceptance at merchant establishments and cash withdrawals at
ATMs.Click here for details
Free Access to any Bank's ATM – The next time you want to withdraw cash from your
ICICI Bank account, just walk into any bank's ATM and use your ICICI Bank ATM-cum-44
Debit card for as many as 9 free transactions (including cash withdrawal and balance
enquiry) in a quarter. This offer is available to customers who maintain more than
Rs.25,000 in a given quarter in their domestic Savings Account with ICICI Bank. The
above benefit can be availed in the next quarter.
Anywhere Banking - This facility entitles the account holder to withdraw or deposit
cash upto a limit of Rs.50,000 across all ICICI Bank branches.
You can give us various types of standing instructions like transferring to fixed deposit
accounts at regular intervals.
An average quarterly balance of Rs 5,000 only.
Minimum Balance
Type of Account Balance
Savings Account Rs 5,200
Non-maintenance of the minimum average quarterly balance attracts a fee of Rs 750
per quarter.
Nomination
45
The facility of Nomination is available for relationships in the names of individuals.
Unless otherwise specifically, given in writing by depositors, nomination in deposit
accounts will be at Customer ID level
A depositor(s) however has / have the right to specify different nominations at
account level by completing the appropriate forms.
Further, the applicant(s) is / are at liberty to change the nominee during the currency
of the relationship accounts with the Bank through declaration to that effect in the
appropriate form
A. Repatriable
Repatriable funds (i.e. those which can be taken abroad) need to be kept in a separate bank
account, i.e. NRE Bank account. Typically, funds brought in from abroad are permitted in such
an account. Investments made from such funds can be repatriated, i.e. proceeds from sale or
otherwise from such investments can be taken abroad. Such investments are maintained in a
Repatriable Demat account.
B. Non-repatriable
Non-repatriable funds (i.e. those which cannot be taken abroad) need to be kept separate
from repatriable funds in a separate bank account i.e. NRO Bank account. Investments made
from such funds cannot be repatriated, i.e. proceeds from sale or otherwise from such
investments cannot be taken abroad. Such investments are maintained in a Non-Repatriable
46
Demat account. Money once transferred from NRE account to NRO account loses its
repatriability and hence, cannot be transferred back to NRE account.
47
Mode of Investment :
A. Portfolio Investment Scheme (PINS)
Portfolio Investment Scheme (PINS) is a scheme of the Reserve Bank of India (RBI) under
which the 'Non Resident Indians (NRIs)' and 'Person of Indian Origin (PIOs )' can purchase and
sell shares and convertible debentures of Indian Companies on a recognized stock exchange
in India by routing all such purchase/sale transactions through their account held with a
Designated Bank Branch . The Designated Bank maintains a record of all investments done
under PINS (PINS portfolio).
B. Non - PINS
Any investment other than under PINS is Typically, this includes:
1. Subscription to Primary market offerings (IPOs)
2. Investments made when resident in India.
3. Investments in Mutual funds
4. Investments in derivatives
5. Gifts and Inheritance
Deciding Combination :
48
You may have to open demat accounts of a specific combination if you already hold physical
shares in that combination. The physical shares can be converted into electronic form in your
demat account by submitting the certificates along with a demat request form. You should
also open the required combination under the correct type of demat account :
PINS NRE : For shares acquired earlier under PINS on repatriation basis.
PINS NRO : For shares acquired earlier under PINS on non-repatriation basis.
Non-PINS NRE : For shares acquired earlier other than under PINS on repatriation basis.
Non-PINS NRO : For shares acquired earlier other than under PINS on non-repatriation basis
and also when 'Resident' in India.
Service Charges and Fees
Regular Saving Account
Household -Category
A
Household -
Category B
Household -
Category C
Available to All cities
Select Semi-
Urban
Branches and
below
All Semi-Urban
and select
Rural Branches
and below
Eligibility Resident Indian, Resident Resident
49
>18yrs Indian, >18yrs Indian, >18yrs
Minimum
average
quarterly
balance
Rs.5200 Rs.2000 Rs.1000
Charges for non
maintenance of
minimum
quarterly
average
balance
Rs.750 per quarterRs.750 per
quarter
Rs. 100 per
quarter
Base Branch
Transaction
Unlimited Free of
Cost
Unlimited Free
of Cost
Unlimited Free
of Cost
Anywhere Cash
deposit by
customer or
customers
Unlimited Free
Cheque Deposit and
Fund transfer
Unlimited Free
Cheque
Deposit and
Fund transfer
Four free
transactions
per quarter
50
representative
to the credit of
the customers
own savings
Account at a
Cash withdrawal:
Free* (Rs.50,000 per
day)
Cash
withdrawal:
Free*
(Rs.50,000 per
day)
51
non-base
branch
Cash Deposit : Nil for
first transaction
during each calendar
month. Rs.5 per
Rs.1000 or part
thereof, subject to a
minimum of
Rs.100(to be
increased to Rs 150
w.e.f 1.8.06) for the
second transaction
onwards
Cash Deposit :
Nil for first
transaction
during each
calendar
month. Rs.5
per Rs.1000 or
part thereof,
subject to a
minimum of
Rs.100(to be
increased to
Rs 150 w.e.f
1.8.06) for the
second
transaction
onwards
ATM
Interchange
(partner Banks)
Rs.20/cash
withdrawal and
Rs.10/balance
enquiry
Rs.20/cash
withdrawal
and
Rs.10/balance
Rs.20/cash
withdrawal
and
Rs.10/balance
52
enquiry enquiry
ATM
Interchange
(non-partner
Banks)
Rs.60/cash
withdrawal and
Rs.25/balance
enquiry
Rs.60/cash
withdrawal
and
Rs.25/balance
enquiry
Rs.60/cash
withdrawal
and
Rs.25/balance
enquiry
Issue of DD
drawn on ICICI
Bank by
cheque/transfer
Rs.2 per thousand
rupees or part
thereof, subject to a
minimum of Rs.50
Rs.2 per
thousand
rupees or part
thereof,
subject to a
minimum of
Rs.50
Rs.2 per
thousand
rupees or part
thereof,
subject to a
minimum of
Rs.50
Statement Free Quarterly
Statement
Free Quarterly
Statement
Free Quarterly
Statement
53
Free monthly e-mail
statement on request
Free monthly
statement on
request
Free monthly
statement on
request
Physical monthly
statement @ Rs.200
per annum
Physical
monthly
statement @
Rs.200 per
annum
Physical
monthly
statement @
Rs.200 per
annum
Debit Card Fees
for first Account
Holder
Rs.99 p.a. Rs.99 p.a.On request @
Rs. 99 p.a.
Debit Card Fees
for joint
Account Holder
Rs.99 p.a. Rs.99 p.a.On request @
Rs. 99 p.a.
Debit Card Cash
withdrawal
limit
Daily
spending/withdrawal
limit: 25,000/25,000
Daily
spending/
withdrawal
limit:
Daily
spending/
withdrawal
limit:
54
25,000/25,000 25,000/25,000
Internet
BankingFree Free
Free on
request
Mobile Banking Free on requestFree on
requestNot Available
Phone Banking Free Free Not Available
Cheque Books Free
50 cheque
Leaves Free
per year.
Additional @
Rs. 2 per loose
cheque leaf
Rs. 2 per loose
leaf
ATM
Transaction
Unlimited Free of
Cost
Unlimited Free
of Cost
Unlimited free
of Cost to debit
card holders
Cheque
collection
charges from
Rs.2.50/
thousand, subject to
min of Rs.30
Rs.2.50/
thousand,
subject to
Rs.2.50/
thousand,
subject to
55
upcountry
locations (I-
Bank branch)
and max of Rs.10000
min of Rs.30
and max of
Rs.10000
min of Rs.30
and max of
Rs.10000
Cheque
collection
charges from
upcountry
locations (Non I-
Bank branch)
Rs.3/thousand,
subject to min of
Rs.30 and max of
Rs.10000 plus other
bank charges as
actuals
Rs.3/thousand,
subject to min
of Rs.30 and
max of
Rs.10000 plus
other bank
charges as
actual
Rs.3/thousand,
subject to min
of Rs.30 and
max of
Rs.10000 plus
other bank
charges as
actuals
Chargeable Transactions if minimum Balance is not maintained
Chargeable
Cash
Transaction at
Base Branch if
minimum
balance is not
maintained
Nil for first three
transactions in a
quarter. Rs. 50 per
transaction
thereafter
Nil for first
three
transactions in
a quarter. Rs.
50 per
transaction
thereafter
Not Applicable
56
Chargeable
Cash
Transactions at
ATM if
minimum
balance is not
maintained
Nil for first six
transactions in a
quarter. Rs. 25 per
transaction
thereafter
Nil for first six
transactions in
a quarter. Rs.
25 per
transaction
thereafter
Not Applicable
Reorder of
Cheque book if
minimum
balance is not
maintained
Rs.2 per cheque leaf
for all the leaves in
the cheque-book
issued during the
quarter
Rs.2 per
cheque leaf for
all the leaves
in the cheque-
book issued
during the
quarter
Not Applicable
*Anywhere Cash Withdrawal (ie cash withdrawal at branches other than where you maintain
your savings bank account): Nil for first transaction for cash withdrawal during each calendar
month. Rs.5 per Rs.1000 or part thereof, subject to a minimum of Rs.150 for the second
transaction onwards w.e.f July 18 2006
Note: Service tax @ 12.24 % is applicable over and above charges indicated above. The
charges indicated above are subject to periodic revision.
57
I. Terms & Conditions for establishing relationship and Operating Accounts (For Resident
Individuals)
1. Establishing a Relationship
1.1 Applicant(s) desiring to open a Relationship need(s) to sign a Relationship form and
declare therein that he/she/they has/have agreed to abide by the rules which are in force
from time to time.
1.2 Applicant is required to furnish Identity Proof and Address proof as follows while
establishing a banking relationship with the Bank :
Identity Proof
Verified true copy of valid passport
Letter from existing bank
Valid driving license
Valid employee identity card
Valid PAN card
Valid photo credit card along with the current billing cycle (latest) statement
True copy of valid arms license issued by Govt of India/State govts/Union territory with
photograph
58
MAJOR
COMPETITORS
Valid pension book
Valid freedom fighter's pass issued Home Ministry of Government of India
59
MAJOR COMPETITORS
STATE BANK OF INDIA
It is India's largest bank with assets worth Rs.2, 615 billion. SBI also has the distinction of
having the world’s largest branch network of 9,000 branches. The bank has a share of about
22% of India's loans and deposits, and is a top player in trade finance and forex. Through its 60
subsidiaries, SBI is also a leading provider of other financial products like mutual funds,
investment banking, housing finance and factoring. SBI has a market share of one-fifth of the
banking sector in India. Nationalized banks and SBI and its subsidiaries form the heart of the
Indian banking system. These two entities operate 70% of the total branches spread across
the length and breadth of India.
BANK OF INDIA
As one of the leading public sector Indian banks, Bank of India has the distinction of being the
first bank to open a branch outside India. The bank, which currently has overseas operations
in about 10 countries, is one of the leaders in financing foreign trade. It is one of the few
Indian banks that provide tele-banking facilities, Remote Access Terminals for corporate
clients, and Signature Retrieval System. Some of the recent forays made by the bank in terms
of its business operations include bullion business and demat services.
It is a pioneer in terms of the introduction and adoption of a model banking policy that suits
India and other developing countries. The bank, which is synonymous with progressive
banking in India, has a strong presence in rural India. The bank was nationalized in 1969.
Syndicate Bank has correspondent relations with 400 banks from all over the globe. The bank
is also one of the leading players in the foreign exchange market.
Citibank, idbi, hdfc,hsbc
61
CHALLENGE FOR THE INDIAN BANKING SECTOR
Indian banks have a long way to go before they reach the size of their international
counterparts. Even the biggest Indian bank, State Bank of India, is nowhere on the
international scale, with assets in the range of $50billion. Absence of significant scale
benefits and higher implicit costs of several services are perpetuating the poor ranking of
Indian banks in the international league tables.
Shareholding structure, government regulations and sheer size of the country ensure that the
existence of Indian banks is not at stake at this stage. What is at stake is the banking support
that is available for Indian economic activity, and thereby the international competitiveness
of various sectors. What is also at stake is the scope for the banking industry to earn superior
returns through differentiated wider services.
Further, it is quite conceivable that with passage of time, as government holding in banks is
progressively divested, regulatory authorities will be unable to hold back the international
giants from buying out Indian banks. Even economies with a "domestic mindset", such as
France and Germany, have been forced to bow before the international capital market forces.
It would be a shame if painstakingly built retail strength is offered on a platter to some
predator. The challenge can be met through some concerted action -
Government
62
The Government needs to do away with artificial fragmentation of the
financial sector. A case in point is the segregation of banks and financial institutions
induced by policy. If this is changed, we may well see mergers between the two
sectors to create organizations of size. Why not a merger of Industrial Development
Bank of India with Bank of Baroda, or even better with State Bank of India? This
would definitely lead to a merger between ICICI and ICICI Bank and for that matter
between HDFC and HDFC Bank. The possibilities are interesting and numerous.
Domestic Banks
Domestic Banks - private as well as public - need to continuously explore options to
acquire or merge with other institutions to enhance their size, service or skill-set. This
could also mean looking beyond the national boundaries as truly global corporations
do.
New Initiatives
The recent crisis in the Far East has demonstrated the need for a robust
banking sector. Therefore the whole structure of Regional Rural Banks (RRBs) and
Urban Co-operative Banks (UCBs) needs to be strengthened. The focus that FMCG
companies such as Hindustan Lever have given to the rural sector proves that private
63
sector interest is not limited to the cities and major towns. Technological changes
(such as wireless communication, net etc.) have drastically changed the
communications scenario. This may be the time to come out with interesting
initiatives with regard to structure of RRBs and UCBs so that private sector
organizations - banks as well as non-banks - play a greater role in meeting the needs
and aspirations of hitherto neglected parts of the country.
Social considerations
The full benefit of mergers can only be realized if they are followed up with some hard
measures such as re-location / closure of branches, rationalization of employee strength etc.
It would be a welcome change if the management and unions collaborate in seeking
appropriate social security from the Government - financed out of the divestment of stake in
these banks.
Indian banking has to operate with a global mindset even while fulfilling local banking
requirements. By joining in the effort to make this happen, we will get the banking service we
need. Else, we will deserve the banking service we get.
64
65
(INTRODUCTION OF TOPIC)
66
The topic of “ COMPARISION BETWEEN ICICI AND HDFC BANK: Banking is the
backbone of a modern economy. Health of banking industry is one of the most important pre-
conditions for sustained economic progress of any country. The world of banking has
assumed a new dimension at the dawn of the 21st century with the advent of tech banking,
thereby lending the industry a stamp of universality. In general, banking may be classified as
retail and corporate banking. Retail banking, which is designed to meet the requirements of
individual customers and encourage their savings, includes payment of utility bills, consumer
loans, credit cards, checking account balances, ATMs, transferring funds between accounts
and the like. Corporate banking, on the other hand, caters to the needs of corporate
customers like bills discounting, opening letters of credit and managing cash.
The Indian banking scene has changed drastically with the private sector making
inroads in an area hitherto dominated by large public sector banks. Growing disinvestment is
likely to impact the banking industry as well. There is every possibility of privatization of
public sector banks, leading to greater operational autonomy.
The development of the Indian banking sector has been accompanied by the
introduction of new norms such as Income Recognition and Capital Adequacy, by the
government. The latter implies that banks can lend on the basis of their respective capital
base. These norms have caused banks to construct equity on their own, before going in for
debt. Disintermediation is a real threat for banks. Of late, banks are adopting the EVA
(Economic Value Added) concept wherein revenues are viewed in the context of the risk
associated with them.
67
The New World order has ensured "Survival of the Fittest". New services
are the order of the day, in order to stay ahead in the rat race. Banks are
now foraying into net banking, securities, consumer finance, housing
finance, treasury market, merchant banking and insurance.
RESEARCH METHODOLOGY
Research methodology is a systematic way, which consists of series of action steps, necessary
to effectively carry out research and the desired sequencing to these steps. The marketing
research is a process of involves a no. of inter-related activities, which overlap and do rigidly
follow a particular sequence. It consists of the following steps:-
68
Formulating the objective of the study
Designing the methods of data collection
Selecting the sample plan
Collecting the data
Processing and analyzing the data
Reporting the findings
69
Objective of Study
Research Design
Sample Design
OBJECTIVE
To stud of market share in banking sector of ICICI and HDFC.
To study the consumer satisfaction with ICICI and HDFC.
To know about the is the position of ICICI bank in market.
To analyze the decision making process of the consumers.
.
RESEARCH DESIGN
Research design specifies the methods and procedures for conducting a particular study.A
research design is the arrangement of conditions for collection and analysis of the data in a
70
Data Collection
Data Analysis
Report of findings
manner that aims to combine relevance to the research purpose with economy in procedure.
Research design is broadly classified into three types as
Exploratory Research Design
Descriptive Research Design
Causal Research Design
I have chosen the descriptive research design.
71
DESCRIPTIVE RESEARCH DESIGN:
Descriptive research studies are those studies which are concerned with described the
characteristics of particular individual.
In descriptive as well as in diagnostic studies, the researcher must be able to define clearly,
what he wants to measure and must find adequate methods for measuring it along with a
clear cut definition of population he want to study. Since the aim is to obtain complete and
accurate information in the said studies, the procedure to be used must be carefully planned.
The research design must make enough provision for protection against bias and must
maximize reliability, with due concern for the economical completion of the research study.
SAMPLE DESIGN
A Sample Design is a definite plan for obtaining a sample from a given population. It refers to
the technique to the procedure adopted in selecting items for the sampling designs are as
below:
72
SAMPLE SIZE
Sample method
Survey period
SAMPLE SIZE: The substantial portions of the target customer that are sampled to achieve
reliable result are 50.
The cost and time limitation completed me to select 50 respondents as sample size
SAMPLING METHOD:
In this marketing research project, I am using
Random sampling method
SAMPLE DESIGN
As complete enumeration of all the members of the population (Member and Non-member) I
have understate sampling technique.
SAMPLE SIZE
200 Customers
SAMPLE TYPE
AREA SAMPLING
73
Sample area
Muzaffarnagar
SAMPLE SELECTION
Simple random selection sampling
SAMPLE TECHNIQUE
I have taken the Statistical tool of percentage method to analysis and interpretation of the
collected data.
RANDOM SAMPLING:
A random sample gives every unit of the population a known and non-zero probability of
being selected. Since random sampling implies equal probability to every unit in the
population, it is necessary that the selection of the sample must be free from human
judgment.
There is some confusion between the two terms ‘random sampling’ and ‘unrestricted’
random sampling. In the latter case, each unit in the population has an equal chance of being
selected in the sample. Such a sample is drawn ‘with replacement’, which means that the unit
selected at each draw is replaced into the population before another draw is made from it,
‘As such, a unit can be included more than once in the sample. Most statically theory relates
to ‘unrestricted random sampling. In order to distinguish between these two sample. I.e.
74
sample, without replacement and sample with replacement, the terms ‘sample random
sample’ and ‘unrestricted random sample’ are used. If the latter is devised in such a manner
that no unit can be included more than once, it will then be known as the simple random
sampling.
It may be noted that while both sample random sampling and unrestricted random sampling
give an equal probability to each unit of the population for being included in the sample,
there are other sample design too which provide equal probability to the units. The process of
randomness is the very core of simple and unrestricted random sampling. The selection of a
sample must be free from bias, which can be ensured only when the process of selection is
free from human judgment.
COLLECTION OF DATA
DATA COLLECTION
The study was conducted by the means of personal interview with respondents and the
information given by them were directly recorded on questionnaire.
For the purpose of analyzing the data it is necessary to collect the vital information. There are
two types of data, this are-
Primary Data
Secondary data
75
PRIMARY DATA:-
Primary data can be collected through questionnaire. The questionnaire can be classified into
four main types.
Structured non disguised questionnaire
Structured disguised questionnaire.
Non structured non disguised questionnaire
Non –structured disguised questionnaire.
For my market study, I have sleeted structured non-disguised questionnaire because my
questionnaire is well structured, listing of questions are in a prearranged order and where the
object of enquiry is revealed to the respondents.
To making a well-structured questionnaire, we have adopted three type of questions-
Open ended question
Dichotomous questions
Multiple choice questions
These types of questions are easy to understand and easy to give required answers.
76
SECONDARY DATA:-
Secondary data means data that are already available i.e. they refer the data which have
already been collected and analyzed by someone else. When the researcher utilizes
secondary data, than he has to look into various sources from where h e can obtain them, in
this case he is certainly not confronted with the problems that are usually associated with the
collection of original data. Secondary data may either be published data or unpublished data.
Usually published data are available in:
Various publications of the central, state and local government;
Various publications of foreign government or of international bodies and their
subsidiary organizational;
Technical and trade journals;
Books, magazines and newspapers;
Reports and publications of various associations connected with business san
industry, stock exchanges etc.;
Reports prepared by research scholars, universities, economists etc;
Public records and statistics, historical document and other source of published
information.
The source of unpublished data are many; they may be found in diaries, letters, unpublished
biographies and autobiographies and also may be available with scholars and research 77
workers, trade associations, labor because and other public private individuals and
organization.
COLLECTION TECHNIQUE:
Questionnaire method is used in collection the data.
DATA ANALYSIS
DATA PROCESSING AND ANALYSIS
Processing & Analysis the collected data: - once the field survey is over and questionnaire
have been received, the next task is to aggregate the data in a meaningful manner. A number
of tables are prepare to bring out the main characteristics of the data. The researcher should
have a well thought out framework for processing and analyzing data, and this should be
done prior to the collection. it includes the following activities—
(i) Editing: the first task in data processing is the editing. Editing is the process of examining
errors and omissions in the collected data and making necessary corrections in the same.
(ii) Coding: coding is the procedure of classifying the answer to a question into meaningful
categories. Coding is necessary to carry out the subsequent operations of tabulating and
analyzing data. If coding is not done, it will not be possible to reduce a large number of
78
heterogeneous responses into meaningful categories with the result that the analysis of data
would be weak and ineffective, and without proper focus.
(iii)Tabulation: tabulation comprises sorting of the data into different categories and
counting the number of cases that belong to each category. The simplest way to tabulate is
to count the number of responses to one question. This is also called universal tabulation. The
analysis based on just one variable is obviously meager. Where two or more variables are
involved in tabulation, it is called bivariate or multivariate tabulation.
(iv) Analysis: after the all three above steps, the most important step is analysis
of the data. Under this step, they can use the various tools of the analysis
such as Central Tendency, Dispersion, Correlation co-efficient, Regression
Analysis, Test of Hypothesis etc.
79
Are you having an bank account?
(Figure-1)
1- 70%
80
From which bank you have account?
(Figure-2)
1- 38% Bank name of ICICI.
2- 12% Bank name of HDFC.
3- 20%Bank name of other.
81
Do you think that Bank is giving a good return?
(Figure-3)
1- 32%Bank giving a yes return.
2- 68%Bank giving a no return.
82
Are you planning to get account or loan from any company?
(Figure-4)
83
In which company are you looking to invest?
(Figure-5)
84
If get an opportunity in future would you like to be get attached with ICICI Bank?
(Figure-6)
85
RECOMMENDATIONS
ICICI Bank and HDFC bank has to improve its brand image, i.e. it has to position
itself in the minds of prospects in a better way in comparisons to others.
It should provide better career opportunities for the retention of its potential
advisors.
Further it has to provide training to its recruited advisors by good and efficient
training methods, which might be a little bit customized if needed.
It should more emphasize in advertising, as it is the most powerful tool to
position ant brand in the mindsets of customers.
It should provide online training and for those who are in jobs and want to
become advisors ICICI should provide evening training classes, so that they can
join the training after doing there jobs.
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CONCLUSION
Banking is also now being regarded as a versatile financial planning tool. Research
indicates that Indians have four basic financial needs during their life asset accumulation
(such as buying a house or car), protecting their family, securing their children’s
education, and provision for their retirement.
India being a country having a huge population of around one billion people with only
32% of the banking population in India possessing banking the country has a vast
potential, which has been left untapped till now.
For Banking company Banking advisors are the lifeline and a very huge asset so each
company try to recruit and select a potential force of Banking advisors because this is
the advisors who generate maximum business for the Bank . Banking advisors provide a
very strong support to the Bank and do all possible efforts to generate huge amount of
profit to the company and for him.
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BIBLIOGRAPHY
BOOKS:
Kothari, C.R, Research Methodology, New delhi, Vikas Publishing House PVT LTD.
2007
ICICI and HDFC brochure of advisors Recruitment.
QUESTIONNAIRE
PERSONAL DETAILS:
Name Mr./Mrs./Miss__________________________
Address____________________________________
___________________________________________
Phone No. __________________________________
Email ______________________________________
Occupation
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a) Government Employee b) Private Employee
c) Self Employed d) Student E) Housewife
Your monthly household income
a) Less than 15000 b) 15001-25000 c)25001 and above
Please give some references of people who you know are trading/investing in stocks:
1. _________________________________
2. _________________________________
Q1. Where do you open a account?
ii. ICICI
iii. HDFC
iv. Any other.
Q2. Which bank is more secure?
i. ICICI
ii. HDFC
iii. Other
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Q3. Which banks give more return?
i. ICICI
ii. HDFC
iii. Other
Q4. Are you satisfied with services of bank?
i. Yes
ii. No
Q5. Your open account decisions are influenced by
i. Oneself
ii. Broker
iii. Market Research
iv. Friends/Relatives
v. An other
Q6. Are you satisfied with company services?
i. Yes ii. No
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Q7. What are the factors which you considered before opening account in a particular
bank?
i. Financial Position
ii. Current Market Position
iii. Goodwill
iv. Future Prospects
v. Any others.
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