Project Report STANDARD CHARTERED BANK

MINOR PROJECT REPORT ON

STANDARD CHARTERED BANK

Submitted in partial fulfillment of the requirementsfor the award of the degree of

BACHELOR OF BUSINESS ADMINISTRATIONto

Guru Gobind Singh Indraprastha University, Delhi

Under the Guidance of: Submitted byMs. Neha Gupta Name – Shashank TyagiProfessor BBA-III Sem

Enrollment No.: 30417001714

Session 2014 – 17

ACKNOWLEDGEMENTIt is well established fact that behind every achievement lays an unfathomable sea of gratitude to those who have extended their support and without whom the project would never have come into existence.

I express my gratitude to Ms. Neha Gupta for providing me an opportunity to work on this thesis as a part of the curriculum.

(SHASHANK TYAGI)

CONTENTS

Title Page No.

Introduction and Company History

Vision, Mission and objectives of a company

Market Linkages

Financial Linkages

Company Image

Conclusion and Personal Opinion

CHAPTER I

INTRODUCTION AND COMPANY HISTORY

Introduction

Standard Chartered is the world’s leading emerging markets bank. It employs 32000 people in over 500 offices in more than 56 countries in the Asia Pacific region, South Asia, the Middle East, Africa, United Kingdom and Americas.

The bank serves both consumer and wholesaler banking customers. The consumer bank provides credit cards, personal loans, mortgages, deposit taking activity and wealth management services to individuals and medium sized businesses. The wholesale bank provide service to the multinational, regional and domestic corporate and institutional clients in trade finance, cash management, custody, lending foreign exchange, interest rate management and debt capital markets.

With nearly 150 in emerging markets the bank has unmatched knowledge and understanding of its customers in its markets.

Standard Chartered recognizes its responsibilities lies to its staff and to the communities in which it operates.

HISTORY OF STANDARD CHARTERED

Standard Chartered is the worlds leading emerging markets bank headquartered in London. Its businesses however, have always been overwhelmingly international. This is the summary of main events in the history of standard chartered and some of the organizations with which it merged.

The early years

Standard chartered is named after two banks which merged in 1969. They were originally known as the standard bank of British South Africa and the chartered bank of India, Australia and china. Of the two banks, the chartered bank is the older having been founded in 1853 following the grant of a royal charter from Queen Victoria. The moving force behind the chartered was a Scott, James Wilson, who made his fortune in London making hats. James Wilson went on to start the economists, still one of the world’s pre-eminent publications. Nine years later, 1962, the standard bank was founded by a group of businessmen led by another Scott, John Paterson, who had immigrated to the Cape Province in South Africa and had become a successful merchant. Both banks were keen to capitalize on the huge expansion of trade between Europe, Asia and Africa and to reap the handsome profits to be made from financing that trade. The chartered bank opened its first branch in 1858 in Chennai and Mumbai. A branch opened in shanghai that summer beginning standard chartered’s unbroken presence in china. The following year the chartered bank opened a branch in Hong Kong and an agency was opened in Singapore, a privilege to continue to exercise up until the end of the 19th century. Over the following decades both the standard bank and the chartered bank printed bank notes in a variety of countries including chin, south Africa, Zimbabwe, Malaysia and even during the siege of marketing in south Africa. Today standard chartered is still one of the three banks, which prints Hong- Kong’s bank notes.

EXPANSION IN AFRICA AND ASIA

The standard bank opened for business in Port Elizabeth, South Africa in 1863. It pursued a policy of expansion and soon amalgamated with several other banks including the commercial bank of Port Elizabeth, the Colesberg bank, the British kaffarian bank and the Fauresmith bank. The standard bank was prominent in the financing and development of diamond fields of Kimberly in 1867 and later extended its network further north to the new town of Johannesburg when gold was discovered there in 1885.

Over time half the output of the second largest gold field in the world passed through the standard bank on its way to London. In

1892 the standard bank opened for business in Zimbabwe and expanded into Mozambique in 1894, Botswana in 1897, Malawi in 1901, Zambia in 1906, Kenya, Zanzibar and the democratic republic in Congo in 1911 and Uganda in 1912. Of these new businesses, Botswana, Zanzibar and the D.R.C. proved the most difficult and the branches soon closed. A branch in Botswana opened again in 1934 but lasted only for a year and it was not until 1950 that the bank reopened for business in Botswana. In Asia the chartered bank expanded opening offices including Myanmar in 1862, Pakistan and Indonesia in 1863, they Philippines in 1872, Malaysia in 1875, Japan in 1880 and Thailand in 1894. Some 34 years after the chartered bank appointed an agent in Sri Lanka it opened a branch in 1892 to take advantage of businesses from the tea and rubber industries. During 1904 a branch opened in Vietnam. Both the chartered and the standard bank opened offices in New York and Hamburger in the early 1900s. The chartered bank gaining the first branch license to be issued to a foreign bank in New York.

STANDARD CHARTERED IN THE 1990’s

Even within this period of apparent retrenchment the standard chartered expanded its network, re-opening in Vietnam in 1990, Cambodia and Iran in 1992, Tanzania in 1993 and Myanmar in

1995. With opening of branches in Macau and Taiwan in 1983 and 1985 plus a representative office in Laos, the Standard chartered now has office in every country in the Asia pacific region with the exception of North Korea. In 1998 standard chartered concluded the purchase of a controlling interest in Banco exterior de Los Andes an Andean region bank involved in trade finance. With this purchase standard chartered now offers full banking services in Colombia, Peru and Venezuela. In 1999, standard chartered acquire the global trade finance businesses of union bank of Switzerland. This acquisition makes standard chartered one of the leading clearers of the dollar payment in the U.S.A. standard chartered also opened a new subsidiary, standard chartered Nigeria Ltd. in Lagos, acquired 75% of equity of Nakornthon bank Thailand and agreed terms to acquire 89% of the share capital of metropolitan bank of Lebanon.

STANDARD CHARTERED TODAY

Today standard chartered is the world’s leading emerging market’s bank employing 30,000 people in 500 offices in more than 50 countries primarily in countries in Asia pacific region, south Asia, Middle East, Africa and the Americas.

The new millennium has brought with it two of its largest acquisition in the history of bank with the purchase of Grindlays bank from the ANZ group and the acquisition of chase consumer banking operations in Hong Kong in 2000.

These acquisitions demonstrate standard chartered firm commitment to the emerging markets, where we have a strong and established presence and where we see our future growth.

Chapter 2

VISION, MISSION AND OBJECTIVES OF A

COMPANY

OBJECTIVES

No research is useful if it does not have any research objective. Research objective tells the researcher as for what kind of information or results, the research has to be carried out. Without the research objective, the researcher will not be able to carry out research and without any research, objective it will not be of any use.

1. To examine the working of STANDARD CHARTERED BANK.

2. To identify and assess customer satisfaction level of the customers of STANDARD CHARTERED BANK and to suggest measures for improvement of services rendered, depending on the customer satisfaction level.

3. To understand customer requirement and expectations and uncover the relationship of STANDARD CHARTERED BANK services factors & attributes that derive customer loyalty.

4. Measure STANDARD CHARTERED BANK performance in each factor and attribute and clearly understand to what extent customer’s expectations in the different segments are met.

5. Identify STANDARD CHARTERED’S competitive strengths and

Weaknesses of each factor foe resource prioritization.

VISION

Strategic Intent

To be a World Class Shared Services Centre for the Standard Chartered Group.

The best investments are those that can benefit everyone. We are committed to setting the highest standards for our partners and ourselves. From community programmes to our choice of corporate partners, the only way to proceed is to always move forward, together.

Our values underpin all that we are as an organisation. Living them every day in how we work with our clients, customers, colleagues and local communities, is an essential part of how we prove we're Here for good.

Market position is strong

Aggressive foreign bank

Shareholders return has grown more than 7 times

Maintain a position as a leading Asian cash management provider

Brand – SCB’s modern and dynamic look appeals to the growing middle income earners

On of the most profitable MNC in India

Improved product proposition

Better geographic balances

Multi-cultural organization that offers opportunities to good managers

MISSION

To create exceptional value for our clients, investors and staff; through market leadership in providing innovative Leasing Products & Solutions, and by adopting and living our core values.

Here are some of the missions to pave the way for bank’s growth in future run.

Branch expansion for rapid growth

Increase focus on value creation in whole banking

Improve shareholders return

Build market share in consumer banking as consumer banking continues to offer highest potential for growth

Broadening of the demographic base

Tie ups with master card networks

Integrated sales and service approach

Can offer a complete corporate package into under proposed corporate relationship

Here are the obtained data of satisfied customers which shows that how the firm is capitalizing on its mission.

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AQB ATM FACILITY SERVICE SATISFACTION

365 DAYS BANKING ANY OTHER

SOUTH DELHI

NCR

EAST DELHI

There are some obstructions and hindrances firm is facing on the path of attaining its mission. Below are some of those:

HDFC, ICICI, ABM-AMBRO, KOTAK and HSBC are dominant players

Has disadvantage due to last entry

Fewer locations as compared to other MNC banks

Service delivery reception is weak

IDBI is pitching in quite aggressively

Citibank is expanding in new markets

Competitive products and offers from ICICI and HDFC

Proposed networking of all branches in next 6 months

Reduced business in OECD business

Core Values

Creative Creativity belongs to those of us who are excited by challenges and engage them with fresh thinking and an open mind. Creative thinkers are not limited by convention but allow their minds to soar beyond predictable solutions.

Responsive How we respond to our customers will influence their belief in our commitment to them. A proactive response is often unexpected and more effective for that. It clearly demonstrates our willingness to go beyond the expected.

International As a member of the global village we view the world from the widest perspective. We are all global citizens and believe the world is full of new opportunities and exciting possibilities. We also deliver world-class products and services.

CourageousBeing courageous is about confidently doing what's right. Often the task may seem insurmountable but with courage and tenacity the odds can be overcome. A truly courageous act both inspires and builds character.

Trustworthy Trust is the foundation of every successful relationship. We trust, because we believe in the sincerity of the promise. Building trust can take forever. Losing trust takes only moments.

Case Study On Standard Charted Bank Of Pakistan Mc Donalds (An example of Mission Statement)

Standard Chartered Bank was looking for a tool that would help it analyze the huge volumes of data captured by its OLTP systems. The objective was to analyze new business opportunities, provide better customer service, and boost profitability. by Soutiman Das Gupta

Standard Chartered Bank (SCB) previously used OnLine Transaction Processing (OLTP) system, which facilitated and managed transaction-oriented applications. "The system was reliable but provided little scope for in-depth customer analysis, which is the key to survive in the fiercely competitive financial marketplace. It answered the financial queries and generated reports at a broad portfolio level, which included total earnings, debt situation, interest income, cost, fee income, and profits," said Sedjwick John Joseph, Head-Business Intelligence Unit, SCB.

The bank realized that it needed to go a step further and deploy a solution which it can use to analyze the huge volumes of data captured by its OLTP systems. The idea was to search for crucial nuggets of information from the vast amounts of transactional data at its disposal to get the right information, to the right executive and at the right time. This information can help a bank take critical business decisions in the dog-eat-dog financial world.

The bank's IT team looked at the business requirement in detail and deduced that the organization needed a data warehousing and analytical solution that would help analyze customer data to enable fact-based decision making in areas ranging from acquisition and risk management to cross-selling and portfolio management. After evaluating a number of vendor offerings, SCB decided to use a suite of products from SAS. It went for the SAS Customizable CRM Solutions

A better way to understand the bank's need would be to understand its customer base and the varied services it provides.

SCB has over 2.2 million retail customers and over 1.3 million credit card customers nationwide. It claims to be the first to launch initiatives like a Global Credit Card and a Photocard in India. Its products and services include cash management, custody, lending, foreign exchange, interest rate management, and debt capital markets for corporates. And credit cards, personal loans, mortgages, deposit taking activity, wealth management services to individuals and medium-sized businesses, and mutual funds to retail customers.

"Our customer base has grown three-fold in the last three years. Such a fervent pace needed to be supported by efficient management of the huge volumes of data generated and captured at each touch-point. After all it is absolutely essential to keep up the bank's unchallenged reputation of efficiency," said Sedjwick.

Demograpic trend showing the SCB as most preferred bank in NCR which proves that company is successfully fulfilling its mission statement.

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STANDARD CHARTERED

ICICI HDFC ABN-AMRO KOTAK MAHINDRA

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EAST DELHI

CHAPTER III

MARKET LINKAGES

Services provided by standard chartered

Through the network of over 500 offices in more than 50 countries, standard chartered offers personal financial solution relevant to you as an individual, standard chartered treasure building a relationship with the customer, developing an understanding of customers changing financial needs at different stages of your life. Their long heritage of nearly 150 years has enabled them to change with time, offering quality products by means that are convenient to customer.

Standard chartered offer includes:

Personal finance. Credit cards. Priority banking. Investment advisory services. Personal investments. Insurance. Deposits and Retail services Retail FX products.

1. PERSONAL FINANCE.

Mortgages

In many of the markets where standard chartered operate, especially in key markets of Hong Kong, Singapore, Malaysia, they are reported to be the market leader for mortgages. Their experienced and dedicated teams will guide the individual in every single step to enable him a smooth and hassie-free experience, offering him rates and repayment packages most suitable, start by trying our “instant approval” service.

Unique features:

Low interest rates, option of flat or reducing interest rates. Low EMI (equated monthly installments). No hidden costs like processing charge. Everything is done up front. Quick approval and realization. Tax benefits. No unfair collateral demands. A simple mortgage process.

Personal loans

Standard Chartered bank helps the customer to de in control of his/her own finances. Personal loans, without any guarantees or collaterals, are available to customer to meet specific credit needs. Choose installment loan or Revolving loan, whatever suits best. Whether planning a vacation, re-decorating home, paying for child’s college education, or simply wish to have a standby line of credit for unforeseen expenses, Standard Chartered Bank’s personal loans can help fulfill the dreams.

Personal loan is specially designed to get the money need in time, without having to answer unnecessary questions, and without any collateral or mortgages.

Unique features:

Choose the repayment plan most convenient, ranging from a compact 12-months period to a comfortable 36-month span.

Free to use the money for renovating house or meeting some unexpected expenses etc.

No collateral or security. Quick and easy processing.

2. CREDIT CARDS

Standard Chartered visa and MasterCard credit cards

Standard Chartered credit cards provide financial flexibility, worldwide acceptance, and round- the- clock convenience.

Benefits:

Welcomed at the largest number of merchant outlets across the world. Revolving credit facility, allowing repaying card outstanding over time, at a

convenience. Cash withdrawal in local currency at Visa and MasterCard linked ATMs across the

world. Platinum, Gold or Classic cards to suit lifestyle and needs. Smart credit cards with special privileges and security. Attractive rewards programs. Affinity and co branded credit cards that give additional benefits from our

partners. World-class service assistance and 24-hour customer help line.

3. PRIORITY BANKING

Experience new Standards in banking. And lead a life of privilege and preferred financial solutions tailored perfectly for you – with priority banking from Standard Chartered. Designed specially for those who appreciate only finest things in life, priority banking offers the very highest levels of personalized banking to match unique status.

By embracing a holistic approach to financial well being and commitment to personal Wealth Management with a full range of innovative products and services, a customer will find banking with a reassuring and secure experience.

Bank is committed to helping a plan, build and protect wealth by offering individual attention as well as international and investment opportunities to meet current and future needs.

Standard Chartered bank priority banking is created specifically for a chosen few individuals, who will settle for nothing but the best and demand the highest Standards of services in all your banking relationships.

Unique features:

Personalized priority card will give instant recognition of priority status at all branches of Standard Chartered bank, worldwide.

A dedicated customer relationship Manager trained to understand specific financial needs and help to manage assets at home and abroad. It is as personalized as can be.

Preferential pricing on our various products.

Entitled to exclusive benefits.

A complimentary pre-approved Gold Standard credit card.

Special foreign exchange rates.

Special invitations to exclusive events.

Many account facilities, which are absolutely free of charge.

4. INVESTMENT ADVISORY SERVICES

The Standard Chartered investment advisory services is comprehensive process that assists in planning for future. With this service, they can help to review financial goals, conduct a financial health check, evaluate risk profile and asset allocation plan to realize financial aspirations.

5. PERSONAL INVESTMENTS

Standard Chartered is the leading independent distributor of unit trusts and mutual funds in Asia. Because they don’t actually manage their own investment funds, they are absolutely objective in fund evaluation process. Bringing unmatched around the world, it can be assured of different investment options and a wealth of informative and relevant updates.

With trained investment services consultants from countries around the globe, they can help to make the right investment decisions. Using a unique risk evaluation to gauge the level of risk customer can be comfortable with, coupled with a proprietary fund evaluation process to identify funds, assess risks and shortlist top-performing funds; customer can be ensured of a personalized investment portfolio catered to needs.

Standard Chartered Bank investment services puts a whole new whole new world of possibilities within the reach of people who would like to achieve their financial goals but have many other demands on their time.

Unique features:

A one-stop offering a wide range of investment options to grow your wealth. Available across 8 cities. Trained investment services counselors. Sophisticated research franchise. Impartial and unbiased analysis on options best suited. Tailor made investment plans suited to risk taking ability.

6. INSURANCE

Standard Chartered recognizes the things important to customer and his family. They are dedicated to protecting the customer, his family, and his hard earned assets and even his future earning giving him the assurance he needs.

Their strategic alliance with prudential and CGU insurance puts us in a very strong position to provide for life and General Insurance needs. With a comprehensive range of products, Standard Chartered is set to protect the world.

7. DEPOSITS AND RETAIL SERVICES

Deposits

Standard Chartered offers a wide array of deposit products in both local and foreign currencies to help to earn competitive interest rates. Their international network offers an extra convenience while abroad. In some countries, they offer premium interest savings plans like Higher Education Funds to turn the dreams into reality.

Retail services

Standard Chartered offers a comprehensive range of retail services in many countries. These

includes:

Automated banking services. Demand drafts. Foreign exchange services. Local and foreign currency cheques. Safe deposit boxes. Telegraphic transfers.

Traveler’s cheques.

8. RETAIL FX PRODUCTS

Standard Chartered is now offering valuable customers an easy and flexible way to invest in foreign currencies. They provide high flexibility to enable sophisticated investors to capitalize on opportunities in the currency markets.

Some of the Retail FX products include:

FX Margin Trading.

Currency Trading.

Premium Currency Deposit.

Principle Protected Currency Deposit.

ADDITIONAL SERVICES

1. INTERNET BANKING

You’re banking needs now taken care of at the click of a mouse. With secure Internet ID and Password, a customer can login and take care of his/her banking and credit card needs at his/her convenience and time. No more queues, no more waiting.

2. PHONE BANKING

As part of commitment to meeting all needs, Standard Chartered offer Phone Banking – A service that enables you to access a wealth of financial information, 24 hours a day, 7 days a week.

Through Phone Banking:

Check your account balance.

Get details about specific transactions.

Inquire about the status of a particular cheque.

Order demand drafts.

Transfer funds amongst your linked accounts.

Get information on deposit rates, lending rates, exchange rates and bank charges.

Access information an any of our products and services.

Call room services to open your account.

Make complaints and suggestions.

3. MOBILE AND E-MAIL ALERTS

Standard Chartered always try and make life simple. ‘Mobile and E-mail Alerts’ service is

designed just for that.

4. SMART FILL DEBIT CARD

Smart fill Debit card, launched in association with Bharat Petroleum, will help to save on fuel

purchases and even gets you free fuel.

Unique features:

Earn reward points every time you use the card to make purchases anywhere, which you can then redeem for fuel at select Bharat Petroleum outlets.

When the card is use to make purchases at select Bharat Petroleum outlets, the customer don’t have to pay the 2.5% surcharge levied on most credit or debit cards.

Smart fill debit card is globally valid. It gives access to 12 millions merchant establishments worldwide and over 55,000 in India.

A customer can access over 3500 ATMs in India for FREE* and over 750,000 ATMs worldwide through the Visa ATM network.

The card gets an exclusive discount of 5% at select In & Out stores at Bharat Petroleum outlets, besides benefits at leading retail outlets and restaurant.

5. ATM

Standard Chartered ATMs give the freedom to conduct most of the banking transactions 24

hours a day, 365 days a year.

The ATM card is and absolutely free. There are no transaction charges on the use of the card.

What’s more, use ATM card at any of the 70 ATM centers across the country.

6. CREDIT CARD HELP-LINE

As part of commitment to meeting all needs, Standard Chartered offer the facility of calling

them over the phone to access a wealth of information on credit cards, 24 hours a day, 7 days a

week.

7. ELECTRONIC CLEARING SYSTEM

Standard Chartered introduces ECS (Electronic Clearing system), an innovation facility for busy

people. With this facility, card bill amount automatically gets debited from your saving bank

account.

So that customer doesn’t have to worry about last minute payment rush, since this entire

process happens through the Reserve Bank of India electronic clearing mechanism, customer

can enjoy the advantages of ECS.

8. FAX BANKING

It’s the most efficient way to stay on top of the business finance. Every day, Standard Chartered

fax a report of all transaction made the previous day, customer will still receive his/her regular

monthly statements.

CHAPTER IV

FINANCIAL LINKAGES

MAINTAINING ACCOUNTS WITH STANDARD

CHARTERED

DEPOSITS

DEMAND DEPOSITS TIME DEPOSITS

SAVINGS A/C CURRENT A/C FIXED DEPOSITS

AXCESS PLUS A/C SUPER VALUE A/C PARIVAAR A/C SARAL A/C

DEMAND DEPOSITS

SAVINGS ACCOUNT

Standard chartered introduces aXcess plus – a revolutionary savings account that provides with unparallel access to money. An account primarily opened for and operated by individuals, wherein the numbers of transactions are few and which give the customer liquidity with the facility to earn some interest on the residual balance.

With the aXcess plus account the customer can now access cash at over 1800 ATM’s in India to free and at over 6,50,000 ATM worldwide through the visa network. Besides he can use his account to shop for goods and services at over 25,000 outlets in India and at 10 million outlets worldwide, without ever handling to carry cash.

The aXcess Plus account provides with a globally valid debit card that provides these and a host of other exciting benefits.

Unique features

There are several unique features about the standard chartered bank’s aXcess Plus account, each designed to provide the most convenient banking experience can ever get!

Free aXcess to cash at over 1800 ATM’s in 35 cities in India

Globally valid debit card

The debit can be used to make purchase at over 25,000 merchant outlets in India and at over 10 million outlets worldwide.

Phone banking, internet banking, Multicity banking and 365 days branches, extended banking hours, lockers facility and doorstep banking.

Unique free insurance benefits – lost card insurance, purchase protection and personal accident cover.

Exciting usage benefits such as travel cash back discount on air fair, rasoi – ongoing privileges in restaurants, fabdeals special privileges for shopping at select merchant outlets etc.

2 –in -1 Account

A unique account that offers you double advantage letting you earn the high interest rate of a fixed deposit while you enjoy the flexibility of a savings and current account.

Unique features:

Earn fixed deposit interest rates

Enjoy the flexibility of a saving or a current account

Free personalized cheque book and ATM card

Flexibility of withdrawing money wherever you need it

Deposit more money in your account to earn higher rate of interest by simply filling a subsequent deposit slip

Phone banking for current account related information at your fingertips.

2-in-1 Account interest rates

Tenor Rate of interest (% p.a.)

15 days – 29 days 3.75%

30 days – less than 46 days 4.00%

46 days – less than 2 months 4.00%

2 months – less than 3 months 4.00%

3 months – less than 6 months 4.00%

6 months – less than 9 months 4.25%

9 months – less than 12 months 4.25%

12 months – less than 18 months 4.25%

18 months – less than 24 months 4.25%

24 months – less than 36 months 4.25%

36 months – less than 48 months 4.50%

48 months – less than 60 months 4.50%

60 months 4.50%

Above interest rates are offered by standard chartered bank and are subject to change without prior notice. Deposits of Rs. 15 lakh and above may be opened for tenors starting 7 days.

CHAPTER V

COMPANY IMAGE

1.1 SWOT ANALYSIS

STRENGTH

Market position is strong

Aggressive foreign bank

Shareholders return has grown more than 7 times

Maintain a position as a leading Asian cash management provider

Brand – SCB’s modern and dynamic look appeals to the growing middle income earners

On of the most profitable MNC in India

Improved product proposition

Better geographic balances

Multi-cultural organization that offers opportunities to good managers

WEAKNESS

HDFC, ICICI, ABM-AMBRO, KOTAK and HSBC are dominant players

Has disadvantage due to last entry

Fewer locations as compared to other MNC banks

Service delivery reception is weak

OPPORTUNITIES

Branch expansion for rapid growth

Increase focus on value creation in whole banking

Improve shareholders return

Build market share in consumer banking as consumer banking continues to offer highest potential for growth

Broadening of the demographic base

Tie ups with master card networks

Integrated sales and service approach

Can offer a complete corporate package into under proposed corporate relationship

THREATS

IDBI is pitching in quite aggressively

Citibank is expanding in new markets

Competitive products and offers from ICICI and HDFC

Proposed networking of all branches in next 6 months

Reduced business in OECD business

NEED A CHANGE IN MARKETING FOCUS

The marketing team of the branch has until now focused on selling of their most competitive product, which are there fixed deposits. The rates of interest, which they provide on fixed deposits, are really competitive and highest in the market. But this strategy could not be held for a longer period of time as in the long run it would become liability to the bank to pay such high rate of interest and it would lower the revenues of the branch. Even the survey conducted proved that the fastest selling product is savings account amongst the consumer. With a network that is good enough this bank can make efforts to increase the market share in the area where the competition is so tough. This needs a brain storming from the top management in the branch as to how about fixing the targets in each category of accounts.

Solid network required to develop the business further

If we see the results of the survey, it is evident that people prefer strong network system to make their banking life as comfortable and reachable as possible. For Standard Chartered bank to enjoy a good customer base, they should make efforts towards developing more and more ATM in the cities and extension counters to facilitate better and fast service. Updating of technology from time to time is very necessary. Standard Chartered bank was the very first bank to start few of the very good services like internet banking, bringing about new services to attract more and more consumers should carry on this tradition further.

Corrective positioning of Standard Chartered bank

Standard Chartered bank is known for its corporate operations. Very big names in the corporate world have their account with the bank. For the past so many years it has been catering to these clients only and has generated an image of being a corporate bank. The product extension into the retail segment need separate focus and separate positioning in the market. The bank cannot carry on its old image for both segment of market. For this a distinctive advertising campaign has to be developed (refer to the promotional activities stated earlier) to reposition the brand in potential consumer’s mind. It should be noted that both the type of clients differ from each other in their true nature. One is a very low profile relationship, which talks about masses. This type of client requires assurance, trust, information and support. This is retail banking. While on the other hand the second type of relationship is stronger, which is the corporate client that requires different setup all together.

MAKE THE BRANCH SELF-INFORMATIVE

The branch should be decorated in the manner, which would provide maximum information to the customer without any difficulty. All the schemes and product, all the service charges, days and time of transaction should be printed in a beautiful manner and hanged on the walls of the branch where customer can see with ease. This was one of the things, which was found to be absent in this branch. By doing so customers would feel more attached and it will be converted in higher number of accounts. SERVICE LIKE PHONE BANKING AND ATM SHOULD BE ENCOURAGED.

Indicating preferences of people belonging to different sections of society who are willingly ready to open a new account in Standard Chartered Bank.

STANDARD CHARTERED

ICIC

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HDFC

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PARIVAAR ACCOUNT

A unique wealth management solution that offers the entire family flexibility and tools for wealth accumulation and preservation.

Unique features:

A family can maintain individuals savings account with the benefit of clubbing balances in the grouped accounts

Attractively priced health insurance options to protect against unforeseen events

Free accident hospitalization cover of Rs. 50,000 for the primary account holder

Free access to accounts through 5500 ATMs in the country at all branches of the bank and through phone banking and internet banking

Option of systematic Investment Plan (SIP) the best known long term wealth building tools that allows customers to invest a fixed amount of money every month in specific mutual fund. This comes with a direct debit facility and avoids the need to remember dates and write cheque every month

Globally valid ATM-cum-debit card can be used at 55000 merchant outlets in India and 12 million outlets worldwide

Up to 4 free cash withdrawals per account every month at other bank’s ATMs in India through the visa ATM network. Unlimited free transaction at all SCB’s ATM.

CURRENT ACCOUNT

An account opened and operated primarily by corporate for commercial use wherein the numbers of transactions are much higher than a normal savings account.

Unique features:

High liquidity

Unlimited transaction

Zero interest

Any branch banking

TERM DEPOSITS

A term deposit is a deposit held for a contracted period of time and a contracted rate of interest. The rate of interest for term deposits is higher than the applicable for a normal savings account and penal rates of interest is applicable if the deposit is withdrawn before the contracted period.

CONCLUSIONS

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PERSONAL OPINIONS

CONCLUSION

With years of banking experience, Standard Chartered is undoubtedly in a strong position to help growing business sail through the complexities they may face.

Standard Chartered Bank offers one of the widest range of banking products and services in the market today. Managing a growing business demands most of your time and energy. That is why working with the right bank can help one’s business sail more smoothly and Standard Chartered Bank helps in doing that as it understands today’s business requirements.

The bank provides the right kind of services and accounts at the right time and according to the need of market.

The expertise of Standard Chartered with over 150 years experience, global network of 500 offices in 56 countries making it one of the leading providers of treasury financial services.

As the largest independent distributor of third party funds, Standard Chartered gives investors choice, unbiased evaluation of funds and a portfolio management account that matches your risk profile and investment goals.

Not only this, the bank provides the widest range of foreign currencies for your investment needs plus other products such as housing loan, insurance and unit trusts.

Standard Chartered Bank well developed remote channels for your banking convenience through our 24-hour phone banking and internet banking.

Foreign banks in India are subject to the same regulations as scheduled banks. Currently about 25 foreign banks are licensed to operate in India. Foreign bank branches in India finance trade through their global networks.

All commercial banks including Standard Chartered face stiff restriction on the use of both their assets and liabilities. Forty percent of loan must be directed to “priority sectors” and the high liquidity ratio and cash reserve requirements severely limit the availability of deposits for lending. Since July 1993, foreign

Banks like Standard Chartered have been require to make 32 percent of their loans to the priority sector. Within the target of 32 percent, two sub targets for loans to the small scale sectors (minimum of 10 percent) and exports (minimum of 12 percent) have been fixed.

Foreign banks, however, are not required to open branches in rural areas, or to make loans to the agricultural sector.

Therefore on the completion of this project the following conclusions have been derived.

Standard Chartered bank has been working in various fields of banking and has grown as one of the leading banks of India.

The customer’s satisfaction level can be judged by the questionnaire filled by various customers during the research process.

The customer’s satisfaction level can be judged by various positive answers received during the questionnaire filling process.

The Standard chartered bank has always been aware of its weakness and strengths and is also aware of its prospective opportunities and threats through regular SWOT analysis.

PERSONAL OPINION

STRONG NEEDS OF BRAND BUILDING

The bank needs to make a lot of marketing efforts. The level of recognition that may be desired by any brand has not been achieved by Standard Chartered Bank. A lot of noise is made whenever a child is born and as long as that noise is not made the doctors are not sure about life of that child. Same is the case in marketing. Whenever a new branch comes into existence it is necessary that they announce there birth. Here comes the pre-launch exercises, and in similar in the case after the birth, the name has to be taken again. Boast about yourself , about the strong points that you have over and above your competitors. Pull the customers towards you. As said earlier it is a relationship of trust and this trust can be generated through the better and better performance of the bank. Now as working with the bank for some time the fact have come out that they believe in low costing and want to keep low profile. So better way of marketing can be sought which are low of cost. These are discussed further.

Promotional strategies

Press publicity:

Paper inserts Advertisements in newspaper (local and national) Interest cards distribution Mailers/personal invitations to selective section of society Leaflets

Outdoor publicity

Banners in commercial areas and prime sites Air balloons at shopping complexes Bus stand shelters Off site ATM for developing business

Advertisements on dividers and railings

Media

Local channel advertisements (cable TV scrolls) Advertisements in news and business channels

Face to face

Through personal interaction of marketing executives. Meeting Detailing about schemes and updating them from time to time Events sponsoring in local clubs and social gathering Road shows Contacting senior citizens in parks in morning and evening Contacting office goers in the morning and evening at stop lights by

distribution of interest cards

Advertisements strategies segmented according to the target customer.

Senior citizens, housewives , students, service class

Personal mailers Contacting at parks during morning and evening walk Contacting at stop lights Road shows at market side Cable TV advertisements during prime time Stick on the newspaper Leaflet on the wiper of the vehicles in the parking slots

Educational bodies

Sponsoring events in schools and colleges Meeting the top management for opening salary account and fee

payment system of the students

Local clubs like young clubs, laughter club, senior citizen club, ladies club, etc

Event sponsoring Temporary banners Advertisements in club magazines Opening of extension counters (in case of large clubs)

Commercial places and market establishment

Cold calling Personal visits of the executives

BIBLIOGRAPHY

www.banknetindia.com

www.rbi.org.in

www.economictimes.indiatimes.com

www.indianfoline.com

www.finance.indiamart.com/investment_in_india/banks

www.standard.chartered.broacher.and.mannuals

www.finance.indiamart.com/investment_in_india/banks.html

www.indianfoline.com/nevi/bank.html