PROJECT REPORT

ON

“IDENTIFICATION OF SEGMENT OF CASA, FD AND

HOW TO INCREASE PROFITABILITY”

IN THE PARTIAL FULFILLMENT OF THE

REQUIREMENT FOR

MASTERS OF BUSINESS ADMINISTRATION

SUBMITTED TO: SUBMITTED BY:

Dr. M.A. NAQVI RIYAZ AHMAD KHAN

(Director) MBA IIIrd Semester

Roll No. 0705070037

1
 Acknowledgement

This project is a culmination of task undertaken by me after the First

year during my summer Training. Acknowledgement is not a mere

formality or ritual but a genuine opportunity to express the

indebtedness To all those without who’s active support and

encouragement this project wouldn’t have been possible. My Special

thanks to Mr. Sunil Yadav (Branch Operation Manager ICICI Bank

Aminabad Lucknow), who gave me the proper guidance. I have used

questionnaire method to collect data and had analyzed them. I got

some findings by analyzing Data as in the end I have also given the

recommendations to the company, which I thought would help the

Company in some way. I used direct interview from the customers for

collecting data.

RIYAZ AHMAD KHAN

MBA IIIrd Semester

Roll No. 0705070037

2
 CERTIFICATE

This is to certify that the Project Report/Dissertation/Thesis entitled

“Identification of Segment of CASA, FD & How to Increase

Profitability”

Submitted in partial fulfillment of the requirement for the Degree

“MASTER OF BUSINESS ADMINISTRATION“

To the U.P. Technical University, Lucknow for the session 2007-

2009 and is a record of bonafide research work carried out under my

supervision and guidance by

Miss. ANANDITA

And no part of this report has been submitted for the award of any

other Degree, Diploma, Fellowship or other similar titles or prizes

that the work has not been published in any scientific or popular

journal or magazine

ATTESTED & CERTIFIED

Dr. M.A.NAQVI

3
Prof. & Director (CMS)

DECLARATION

I, Riyaz Ahmad Khan, student of College OF Management Studies,

Kanpur ,studying in MBA IIIrd Semester, hereby declare that, I have

completed the report the report on “Idententification of segment of

current account ,saving account, fixed deposits and how to

increase profitability” at icici bank aminabad lucknow in academic

year 2009-10.

This information submitted is genuine and practical to the best of my

knowledge.

RIYAZ AHMAD KHAN

MBA IIIrd Semester

Roll No. 0705070037

4
 PRECFACE

The project has been undertaken in a renowned bank “ICICI”. The

main objective behind the project is to know the consumer perception

about the CASA & FD and to get an insight a bout the various

product offerings of the bank. To find the various reasons because of

which the company is able to survive the edge cutting competition

and what are the other marketing strategies of the company. A survey

has been done and data has been collected from various customers all

over Lucknow & Unnao region and thus a report has been prepared.

In the survey the customers were interacted in order to find out their

knowledge about the products & schemes of ICICI Bank.

RIYAZ AHMAD KHAN

MBA IIIrd Semester

Roll No. 0705070037

5
 CONTENTS

TABLE OF CONTENTS

1: Preface………………………………………………………………...6
2: Company Profile………………………………………………...…….8

3: Recruitment…………………………………………………………...38

3.1 Human Resource Management in JK…………………....38

3.2 Recruitment Process……….………………………….....41
3.3 Types of Recruitment……….…………………………...42
Internal Recruiting………………………………………..42
3.3.1 Job Posting……………………………………..42
3.3.2 Job Bidding …………………………………....43
3.3.3 Former Employees …………………………….43
3.3.4 Former Applicants ……………………………..43
3.3.5 Employee Referrals …………………………....44
External Recruiting……………………………………....45
3.3.a Media Advertising……………………………...46
3.3.b College and School Recruiting…………………47
3.3.c Labor Unions ………………………………......48
3.3.d Employment Agencies ………………………...48
3.3.e Temporary Employment Agencies ….…………49
3.3.f Customers ……………………………. ……….50
3.3.g Suppliers and Competitors……………………..50
3.3.h Professional and Trade Associations…………..50
3.3.i Walk-Ins………………………………………..51
3.3.j Job Fairs and Special Events…………………...51
3.3.k Internet…………………………………………52
3.3.l Outplacement Firms……………………………54
3.4 Advantages and Disadvantages of Internal Versus
External Recruiting………………………………………54

3.5 Evaluating Recruitment

Effectiveness…………………..55
3.6 Recruitment Process Modal……………………………. 59

6
4: Selection and Placement………………………………….…………61
4.1 Selection………………………………………………...61
4.2 The Selection Process…………………………………...63
4.2.1 Initial applicant contact ………………..…………65
4.2.2 Prescreening……………………………..………..65
4.2.3 Application forms ………………………..……….66
4.2.4 Applicant testing ……………………………….67
4.2.4 Interviews……………………………………….69
Types of Interviews……………………………..69
a. Structured Interview………………………...69
b. Directive Interview…………………………70
c. Behavioral Interview………………………..70
d. Situational Interview………………………..70
e. Stress Interview……………………………..71
f. Mass Interview……………………………....71
g. 360° Interview………………………………71
h. Panel Interview……………………………...71

4.3 Background and reference checking ………………………75

4.4 Evaluation of the Selection Process………………………..76
4.5 Making the Decision and Offer……………………………76
4.6 Making the job offer……………………………………….77
4.7 The offer letter……………………………………………..77
4.8 Placement…………………………………………………..85

5: Research Methodology……………………………………….……90

5.1 Introduction…………………………………………91
5.2 Objectives of the research……..……………………92
5.3 Importance of the research…….……………………93
Conclusion……………………………………….…………………...95
Recommendations……………………………….…………………....96
Appendix/Annexure
Bibliography

7
8
9
I NTRO DU CTI O N

10
 COMAPANY PROFILE

ICICI Bank is India's second-largest bank with total assets of Rs.

3,997.95 billion (US$ 100 billion) at March 31, 2008 and profit after

tax of Rs. 41.58 billion for the year ended on March 31, 2008. ICICI

Bank is the second amongst all the companies listed on the Indian

stock exchanges in terms of free float market capitalisation. The

Bank has a network of about 1,308 branches and 3,950 ATMs in India

and a presence in 18 countries. 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

specialised subsidiaries and affiliates in the areas of investment

banking, life and non-life insurance, venture capital and asset

management or wealth management. The Bank currently has its

subsidiaries in the United Kingdom, Russia and Canada, branches in

Unites States, Singapore, Bahrain, Hong Kong, Sri Lanka, Qatar and

Dubai International Finance Centre and representative offices in

United Arab Emirates, China, South Africa, Bangladesh, Thailand,

Malaysia and Indonesia. The bank’s UK subsidiary has established

branches in Belgium and Germany.

11
ICICI Bank's equity shares are listed in India on Bombay Stock

Exchange (BSE) and the

National Stock Exchange of India Limited and its American

Depositary Receipts (ADRs) are listed on the New York Stock

Exchange (NYSE).

Vision of ICICI Bank:

Over the last few years, the ICICI Bank has taken rapid strides in

developing new businesses in line with its proposition to offer

complete financial services to both corporate and retail customers.

With the recent addition of insurance, the proposition of ICICI Bank

is now fulfilled. Going forward, the challenge for ICICI will be to

continue innovating to improve market shares and maintain its

competitive edge. In this endeavour, ICICI will continue to

benchmark with global best practices to ensure optimum utilization

of its resources and the finest exposure to its work force. The speed

with which it has been able to transform the organization and

successfully start so many new businesses is almost singularly owing

to the skills, enterprise and the depth of its human resources.

12
ICICI Bank is committed to enriching this valuable resource which in

turn, will allow it to bring innovative practices to the world of

financial services in India. With technology playing the key role

mainly. talented individuals, working in teams and riding on the

backbone of world class technology

HISTORY

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 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

13
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,

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

14
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 its wholly-owned retail finance 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.

15
 GROWTH OF THE INDUSTRY

1955: The Industrial Credit and Investment Corporation of India

Limited (ICICI) incorporated at the initiatives of the World Bank,

The Government of India and representatives of Indian Industry, with

the objectives of creating a development financial institution for

providing medium-term and long-term project financing to Indian

Businesses. Mr. A. Ramaswami Mudaliar elected as the first

chairman of ICICI Limited. ICICI emerges as the major source of

foreign currency loans to Indian Industry. Besides funding from the

World Bank and other multi-lateral agencies, ICICI was also among

the first Indian companies to raise funds from International markets.

1956: ICICI declared its first dividend of 3.5%.

1958: Mr. G.L. Mehta appointed the second chairman of ICICI

Limited.

1960: ICICI Building at 163, Backbay Reclamation, inaugurated.

1961: The first West German Loan of DM 5 Million from

Kredianstalt obtained.

16
1967: ICICI made first its first debenture issue for Rs. 6 Crore,

which was oversubscribed.

1969: The first two regional offices in Calcutta and Madras set up.

1972: The second entity in India to set up merchant Banking

services.

1972: Mr. H. T. Parekh appointed the third chairman of ICICI.

1977: ICICI sponsored the formation of Housing Development

Finance Corporation, Managed its first equity public issue.

1978: Mr. James Raj appointed the fourth chairman of ICICI.

1979: Mr. Siddharth Mehta appointed the fifth chairman of ICICI.

1982: ICICI became the first ever Indian Borrower to Raise

European Currency Units.

1982: ICICI commences leasing business.

1984: Mr. S. Nadkarni appointed the seventh Chairman and

Managing Director of ICICI.

17
2000: ICICI Bank became the first commercial Bank from India to

list its stock on NYSE, ICICI Bank announces merger with Bank of

Madura.

2001: The Boards of ICICI Ltd. And ICICI Bank approved the

merger of ICICI with ICICI Bank.

2002: ICICI Ltd. Merged with ICICI Bank Ltd. To create India’s

second largest bank in terms of assets.

2002: ICICI assigned higher than sovereign rating by Moody’s.

2002: ICICI Bank launched India’s first CDO (Collateralized Debt

Obligation) Fund named Indian Corporate Collateralized Debt

Obligation Fund (ICCDO Fund).

2002: “E Lobby”, a self service banking centre inaugurated in Pune.

It was the first of its kind in India.

2002: ICICI Bank launched Private Banking.

2002: 1100-seat Call Centre set up in Hyderabad

2002: ICICI Bank Home Shoppe, the first-ever permanent

aggregation and display of housing projects in the county, launched

in Pune,

18
2002: ATM-on-Wheels, India’s first mobile ATM, launched in

Mumbai.

2003: The first Integrated Currency Management Centre launched in

Pune.

2003: ICICI Bank announced the setting up of its first ever offshore

branch in Singapore.

2003: The first offshore banking unit (OBU) at Seepz Special

Economic Zone, Mumbai, launched.

2003: ICICI Bank’s representative office inaugurated in Dubai.

2003: Representative office set up in China. : ICICI Bank’s UK

subsidiary launched

2003: India’s first ever "Visa Mini Credit Card", a 43% smaller

credit card in dimensions launched.

2003: Temasek Holdings acquired 5.2% stake in ICICI Bank.

2003: ICICI Bank became the market leader in retail credit in India.

2003: ICICI bank subsidiary set up in Canada.

19
2004: Max Money, a home loan product that offers the dual benefit

of higher eligibility and affordability to a customer introduced.

2004: Mobile Banking Service in India Launched in association with

Reliance Infocomm.

2004: India’s first multi-branded credit card with HPCL and Airtel

launched.

2004: Kisan Loan Card and innovative, low-cost ATMs in rural

India launched.

2004: ICICI Bank and CNBC TV 18 announced India’s first ever

awards recognizing the achievements of SMEs, a pioneering

initiative to encourage the contribution of Small and Medium

Enterprises to the growth of Indian economy.

2004: ICICI Bank introduced partnership model wherein ICICI Bank

would forge an alliance with existing micro finance institutions

(MFIs). The MFI would undertake the promotional role of

identifying, training and promoting the micro-finance clients and

ICICI Bank would finance the clients directly on the recommendation

of the MFI.

20
2004: ICICI Bank introduced 8-8 Banking wherein all the branches

of the Bank would remain open from 8a.m. to 8 p.m. from Monday to

Saturday.

2004: ICICI Bank introduced the concept of floating rate for home

loans in India.

2004: ICICI Bank opened its 500th branch in India.

2005: First rural branch and ATM launched in Uttar Pradesh at

Delpandarwa, Hardoi.

2005: “Free for Life” Credit Cards launched wherein annual fees of

all ICICI Bank Credit Cards were waived off.

2005: ICICI Bank and Visa jointly launched mChq – a revolutionary

credit card on the mobile phone.

2005: Private Banking Masters 2005, a nationwide Golf tournament

for high net worth clients of the private banking division launched.

This event is the largest domestic invitation amateur golf event

conducted in India.

2005: First Indian company to make a simultaneous equity offering

of $1.8 billion in India, the United States and Japan.

2005: Acquired IvestitsionnoKreditny Bank of Russia.

21
2005: ICICI Bank became the first private entity in India to offer a

discount to retail investors for its follow-up offer.

2005: ICICI Bank became the largest bank in India in terms of its

market capitalization.

2006: ICICI Bank subsidiary set up in Russia.

2006: ICICI Bank became the first Indian Bank to issue hybrid Tier-

1 perpetual debt in the International markets.

2006: Introduced a new product - ‘NRI smart save Deposits’ – a

unique fixed deposit scheme for nonresident Indians.

2006: Representative offices opened in Thailand, Indonesia and

Malaysia.

2006: ICICI Bank became the largest retail player in the market to

introduce a biometric enabled smart card that allows banking

transactions to be conducted on the field. A low-cost solution, this

became an effective delivery option for ICICI Bank’s micro finance

institution partners.

2006: Bhoomi puja conducted for a regional hub in Hyderabad,

Andhra Pradesh.

22
2006: Financial Counseling Centre Disha Launched. Disha provides

free credit counseling, financial planning and debt management

services.

2007: ICICI Bank‘s USD 2 billion 3-tranche international bond

offering was the largest bond offering by an Indian bank.

2007: Sangli Bank amalgamated with ICICI Bank.

2007: ICICI Bank’s GBP 350 million international bond offering

marked the inaugural deal in the sterling market from an Indian

issuer and also the largest deal in the sterling market from Asia.

2007: ICICI Bank raised Rs. 20,000 crore (approx 5 billion) from

both domestic and international markets through a follow-on public

offer.

2007: Launched India’s first ever jewellery card in association with

jewellery major Gitanjali Group.

2007: ICICI Bank became the first bank in India to launch a

premium credit card- The Visa Signature Credit Card.

2007: Foundation stone laid for a regional hub in Gandhinagar,

Gujarat.

23
2007: Introduced SME Toolkit, an online resource centre, to help

small and medium enterprises start, finance and grow their business.

2007: ICICI Bank signed a multi-tranche dual currency US$ 1.5

billion syndication loan agreement in Singapore.

2007: ICICI Bank became the first private bank in India to offer

both floating and fixed rate on car loans, commercial vehicles loans,

construction equipment loans and professional equipment loans.

2007: ICICI Bank Eurasia LLC inaugurated its first branch at St

Petersburg, Russia.

2007: Launched Bank@home services for all Savings and Current

Account customers residing in India.

2007: In a first of its kind, nation wide initiative to attract bright

graduate students to pursue a career in banking, ICICI Bank launched

the “Probationary Officer Programme”.

2008: ICICI Bank enters US, launches its first branch in New York

2008: ICICI Bank enters Germany, opens its first branch in

Frankfurt

24
2008: ICICI Bank launched I Mobile, a breakthrough innovation in

banking where practically all internet banking transactions can now

be simply done on mobile phones.

2008: ICICI Bank concluded India's largest ever securitization

transaction of a pool of retail loan assets aggregating to Rs. 48.96

billion (equivalent of USD 1.21 billion) in a multi-tranche issue

backed by four different asset categories. It is also the largest deal

in Asia (ex-Japan) in 2008 till date and the second largest deal in

Asia (ex-Japan & Australia) since the beginning of 2009

25
 PRESENT STATUS OF THE ORGANIZATION

Technology

Our technology driven banking system ensures a wide reach, instant

online transactions and faster dealings.

Product range

Our products spectrum includes easy loans, phone banking, doorstep

banking, etc. We also have products targeted at specific groups. The

zero balance roaming current accounts caters specifically to

entrepreneurs. It offers remittance, export, import and advisory

services. Besides, being a “zero balance” account it enables our

customers to utilize their financial resources more effectively.

Size & Network

26
We have a wide customer base. Our ‘Click and Brick' distribution

network includes branches, ATMs, internet banking, phone banking

and mobile banking.

Customer relationship.

We believe in establishing a personal relation with our customers so

that we can understand their needs better and provide effective

customized service

We have received several prestigious national and international

awards in recognition of our innovation in banking, customer

service, technology focus and human resource practices.

These include:

1. T r i p l e A A A B e s t C a s h M a n a g e m e n t C o u n t r y A w a r d

in India – 2005 The Asset

2. B e s t B a n k i n I n d i a - 2 0 0 4 E u r o m o n e y

3. T r a v e l and Tourism India 's Most Customer

Friendly Bank - 2004 Outlook Money

27
4. B e s t B a n k 2 0 0 4 B u s i n e s s I n d i a

5. B e s t d o m e s t i c c o m m e r c i a l b a n k A s i a n m o n e y

6. B e s t e m e r g i n g b a n k i n I n d i a G l o b a l F i n a n c e

7. B e s t multi - channel strategy 2003 The Banker

Magazine UK

8. B a n k o f t h e Y e a r 2 0 0 3 , i n I n d i a T h e B a n k e r M a g a z i n e ,

UK

9. E x c e l l e n c e i n R e t a i l F i n a n c i a l S e r v i c e s 2 0 0 3 A s i a n

Bankers Journal

PRODUCTS OF ICICI BANK LIMITED:

28
ICICI Securities – India’s Leading Investment Bank:

29
IICICI Securities Limited is India’s leading full service investment

bank with leadership position in all segments of its operations –

Corporate Finance, Fixed Income and Equities. It is a subsidiary of

ICICI Bank, the largest private sector bank in India and operates out

of Mumbai with offices in Delhi, Chennai, Calcutta, New York,

London and Singapore.

ICICI Securities today is India’s leding Investment bank and one of

the most significant players in the Indian capital markets. This is

reflected in the number of award that our teams in Fixed Income,

M&A and equity capital markets win.

Our Fixed Income team for the last two years (CY 2004 and 2005)

has been adjudged as the “Best Bond House “in India by both Asia

money and Finance Asia. The equities team was adjudged as the

“Best Indian Brokerage House- 2003” by Asia money. The Corporate

Finance team, according to Bloomberg topped the M&A league tables

in 2003.

Our wholly owned subsidiary, ICICI Brokerage Services Limited

(IBSL), we buy and sell equities for our institutional clients. ICICI

Securities has a U.S. subsidiary, ICICI Securities Inc., which is a

member of the National Association of Securities Dealers, Inc.

(NASD). As a result of this membership, ICICI Securities Inc. can

engage in permitted activities in the U.S. securities markets. These

30
activities include dealing in securities markets transactions in the

United States and providing research and investment advice to U.S.

investors.

ICICI Securities Inc. is also registered with the Financial Service

Authority, UK (FSA) and the Monetary Authority of Singapore

(MAS) to carry out Corporate Advisory Services.

ICICI Securities is registered with SEBI (SEBI Merchant Banking

Number: MB/INM 00000113) and IBSL is registered with NSE (SEBI

Registration Number on NSE: INB 230773037) and BSE (SEBI

Registration Number on BSE: INB 010773035).

ICICI Lombard General Insurance:

ICICI Lombard General Insurance Company Limited is a 74:26 joint

venture between ICICI Bank Limited and the US- based $ 26 billion

Fairfax Financial Holdings Limited. ICICI Bank is India’s second

largest bank; while Fairfax Financial Holdings is a diversified

financial corporate engaged in general insurance, re insurance,

insurance claim’s management and investment management.

Lombard Canada Ltd. A group company of Fairfax Financial

Financial Holdings Limited, is one of Canada’s oldest property and

31
casually insurers. ICICI Lombard General Insurance Company

received regulatory approvals to commence general insurance

business in August 2001.

• India’s number one private general insurance company

• First general insurance company in India to be ISO 9001:2000

certified.

• Simple and fast documentation.

• Lightning fast claims settlement.

• Instant online policy issuance.

• Comprehensive product line.

• Highest security level offered through 128-bit encryption in

case of online data exchange.

• First company to provide digitally signed documents through an

online interface.

• Achieved financial breakeven in first full year of operations.

• Achieved underwriting breakeven in second year of operations.

• All set to implement Five S management initiatives.

ICICI Venture

32
ICICI Venture is the largest and one of the most successful private

equity and venture capital management companies in India with

aggregate funds under management in excess of USD 650 million.

ICICI Venture is a subsidiary of ICICI Bank, The largest private

sector financial services group in India with assets of over USD 30.0

Billion (Sep 2004) and market capitalization of about USD 5.3

billion (Feb 2005).

Over the years, ICICI Venture has built an enviable portfolio of

companies in the sectors of information technology, pharmaceuticals,

biotechnology, media and retail thereby delivering value consistently

to its investors.

ICICI Venture has the distinction of managing a large number of

exits in the country. With over 100 liquidity events, the organization

has reaped rich experience and is well positioned to handle IPO’s,

strategic sale and/or mergers.

ICICI Venture has a wide network of third party investors, which

include domestic investors such as public sector banks, financial

institutions and insurance companies. A significant portion of the

funds corpus is also from international development financial

institutions and international funds.

33
The company has over 40 qualified professionals with experience

across sectors and functions. The capabilities of the team, structure

of the organization, emphasis on value creation and performance

evaluation matrices enable ICICI Venture to extract superior returns

from its investments.

ICICI Venture is currently investing out of the India Advantage Fund

with a corpus of USD 245 million. The fund’s investment philosophy

is to pursue investments in established companies that are leaders or

potential leaders in their respective markets and where there is a

clear proposition for clear creation.

ICICI Prudential Life Insurance Company Limited:

Incorporated on July 20, 2000 it is a 74:26, joint venture between

ICICI and Prudential plc of U.K.. In November 2000, ICICI

Prudential Life Insurance was granted certification of Registration

for carrying out life insurance business by the Insurance Regulatory

& Development Authority of India.Thew Company issued its first

policy on December 12, 2000.

ICICI Prudential has consolidated its position as the leading private

life insurer in India. ICICI Prudential has consolidated its position

as the leading private life insurer in India. ICICI Prudential

34
annualized premium grew more than three fold over the previous

year.

Continuing with its ‘Customer First’ philosophy, ICICI Prudential

has significantly expanded its presence to 29 operational Branches

(2001-2002:16), with the Advisor.

Force growing to over 18,000. Its has also strengthened its Alternate

Distribution channels, i.e. Banc assurance, Corporate Agents and

Direct Marketing, making purchase of purchase more accessible.

Banc assurance and Direct Marketing channels have contributed over

18% of the Annualized Premium.

ICICI Prudential was amongst the first to identify the emerging

opportunity in the Pension segment and launched two linked pension

products- Life Time Pension and Life Link Pension, which have been

well received in the market.

35
M ARK ETI NG STRA TEG I ES

36
 MARKET STRATEGY OF ICICI BANK

ICICI Bank uses the concept of Universal Banking.

Universal Banking Concept

In universal banking, large banks operate extensively in networks of

branches, provide many different services, hold several claims on

firms (including equity and debt), and participate directly in the

corporate governance of firms that rely on the banks for funding or

as insurance underwriters. It means the ability to offer i.e. sell and

underwrite all the types of products and services to any set of

clients, either through a single or through a group of companies. The

practice of Universal Banking varies across several countries. India

faces a very high regulatory burden although now a conglomerate

structure of the universal banking has already been permitted .Many

international players like ABN-AMRO, Citigroup, HSBC, Deutsche

Bank, JP Morgan Chase, Lehman Brothers have realized the benefits

of Universal Banking. The ICICI Bank has also joined these

international players. The ICICI Bank functions as a universal bank

through itself and its associate companies in the areas of corporate

finance, commercial banking, personal banking, investment banking,

asset management, investor services and insurance. The Universal

37
Banking provides competitive advantage in the current scenario

through large product suite, diversified resource base, Economies of

scale and scope, Optimization of human and financial capital.

In a span of just four years, the ICICI Bank has emerged as a

consumer banking behemoth.With a retail book of over Rs 56,000

crores (Rs 560 billion) and a market share that is the envy of

competition -- it has a share of over 30 per cent – The ICICI Bank

today has reached a commanding position.

The bank boasts of the widest integrated technology platform in the

country and only a fourth of its business takes place at its branches

and subsidiaries.

Its legacy of non-performing assets (NPAs) -- for which it has been

rated below its peers earlier-- is now almost history with net NPLs

(non-performing loans) down to 2 per cent.

Armed with a much stronger balance sheet, the ICICI Bank is

aggressively foraying into overseas markets and also has an eye on

the rural India.

Rural India is an opportunity, somewhat premature, but in the next

12-18 months the bank’s strategy will be seen there. Bank is looking

at new agri lending as something that is directed; it's a viable

business proposition, but it has to be driven very carefully. The bank

38
can't have branches there because that is not workable in terms of

costs.

The solution to this problem is to partner with the micro-credit

institutions, corporate providing inputs or buying products from the

farmer and self-help groups.

Major Steps Taken:

In 2001 ICICI acquired the Bank of Madura (est. In 1943). The Bank

of Madura was a Chettiar bank, and had acquired the Chettinad

Mercantile Bank (est. In 1933) and the Illanji Bank (est. in 1904) in

the 1960s.

In 2007 ICICI amalgamated the Sangli Bank, which was

headquartered in Sangli, in Maharashtra State, and which had 158

branches in Maharashtra state and another 31 in Karnataka State.

ICICI also received permission from the government of Qatar to open

a branch in Doha and from the US Federal Reserve to open a branch

in New York city. ICICI Bank Eurasia opened a second branch in St.

Petersburg.

39
In 2008 the ICICI Bank launched iMobile, a comprehensive Mobile

banking solution. iMobile is considered to be a breakthrough

innovation in the Indian Banking which allows a customer to do all

possible transactions through a GPRS-enabled mobile phone easily

and conveniently.

Global Market Strategy:

The global opportunity spectrum is changing dramatically, and in the

next three years, the bank’s global business will contribute one-third

of the book top line and bottom-line. Today it's about only 10-12 per

cent. The NRI (people living abroad) is a great customer and the

other is the Indian corporate who is globalising -- either in the trade

business or is setting up businesses abroad.

Bank’s USP (unique selling proposition) is a unique technology; it

can get customers to talk to his constituents online. The NRI is an

interesting link because today he has tremendous needs in India; he

wants to remit money, purchase a commodity, buy a home, especially

the H1 visa guys. This year 10 per cent of the home loans will be

lended to NRIs.

40
In the United Kingdom the ICICI bank have a partnership with

Lloyds Bank and are present in 30 branches there, promoting joint

products, and they get new customers.

In the United States the ICICI bank have a tie-up with Wells Fargo

and their customers can start a remittance into India from any

channel.

ADVERTISING STRATEGY:

Amitabh Bachchan as brand ambassador of ICICI:

Under the agreement, Mr. Amitabh Bachchan endorsed and promoted

all the products and services offered by ICICI and its Group

companies for a period of two years.During his term as the brand

ambassador, he played a key role in all major brand and product

communication by ICICI. He endorsed the ICICI brand through

corporate and product campaigns on television, print and outdoor

medium. Mr. Bachchan also participated in select events such as new

product launches, various campaigns, and customer reward

programmes etc.

41
ShahRukh Khan as global brand ambassador of ICICI:

After Mr. Bachchan the ICICI Bank has decided to resort to the

celebrity endorsement route to promote its brand. Almost two-and-a-

half years since superstar Amitabh Bachchan endorsed the ICICI

brand, the company has signed up Shah Rukh Khan as its global

ambassador. Shah Rukh Khan whose increasing global popularity

gives synergy to the growing global presence of ICICI Bank.

Shahrukh Khan is a truly global Indian who embodies the Indian

winning spirit in a true sense. The energy and innovation which

Shahrukh Khan represents coupled with his popularity both in India

and abroad make him the ideal choice for the ICICI Bank,

particularly as the Bank makes its global forays. Within a short span

of four years, the ICICI Bank has established its presence in 12

countries including UK, Canada, US and the Middle East.

42
CO M PETI TO RS

43
 COMPETITORS OF ICICI BANK

Its nearest competitors in the private banking sector are HDFC Bank

and AXIS (UTI) Bank.

As compared to ICICI Bank HDFC is frenetically seeking to shrug

off the image of being a one-product company (home loans), by using

synergies that exist with its bank to foray into various areas like e-

broking, mutual funds, and insurance. For ICICI Bank, it is

imperative that it moves away from the high-risk, low-return

business of project finance.

ICICI is still puny when compared to HDFC but the objective is very

clear : grow the business, even if it has come at HDFC's cost.

Kalpana Morparia, Executive Director, ICICI, maintains that they got

into home loans simply because it's one of the safest businesses to

be in, given the low default rates. ''Besides, the market is growing

and there's space for all those who wants to enter.

44
HDFC Bank:

45
AXIS Bank:

In the case of Axis Bank, retail loans have declined from 30 per cent

of the total loan book of Rs 25,800 crores in June 2006 to around 23

per cent of loan book of Rs.41,280 crore (as of June 2007). Even

over a longer period, while the overall asset growth for Axis Bank

has been quite high and has matched that of the other banks, retail

exposures grew at a much slower pace.

Why ICICI Bank Leads:

ICICI bank envisaged retail banking as a key area of strategic

emphasis for it — with the share of the retail business (both on the

funding and asset sides) growing strongly year after year— the share

of retail business, particularly retail assets.

It appears to be following a business strategy that is quite different

from the high-volume and commodity-style approach of AXIS Bank

and HDFC Bank. That strategy also has its pluses in terms of the

relatively higher margins in some segments of the retail business and

the in-built credit risk diversification (and mitigation) achieved

through a widely dispersed retail credit portfolio. ICICI Bank has

been able to maintain the quality of its loan portfolio for a decent

time period now.

46
 PRODUCT AND SERVICE PROFILE OF THE

ORGANIZATION COMPETITORS.

Products & services include:

• SAVING ACCOUNT

- NORMAL

- SILVER

- GOLD

- TITANIUM

• OTHER SERVICE

- Tax Payment

- Insurance

- Investment

ICICI Bank cross-border strategies and custom-designed solutions

our customers receive quick payments and have easy access to

information details. Others also have better control over foreign

receivables and experience improved cash flows. ICICI Bank export,

import, remittance, inland, advisory and online trade services extend

to all industries.

47
Also provide comprehensive banking solutions for

industries that include

• Automotive

• Construction

• Pharmaceuticals

• Travel and Tourism

• Gems and Jewelry

• Apparel

• Transport

• Educational Institutions

Some of the features that give our customers a value-added

banking experience include:

Technology

The technology driven banking system ensures a wide reach, instant

online transactions and faster dealings.

48
Productrange

The products spectrum includes easy loans, phone banking, doorstep

banking, etc. They also have products targeted at specific groups.

The zero balance roaming current accounts caters specifically to

entrepreneurs. It offers remittance, export, import and advisory

services. Besides, being a “zero balance” account it enables the

customers to utilize their financial resources more effectively.

Size & Network

ICICI Bnak have a wide customer base. They ‘Click and Brick'

distribution network includes branches, ATMs, internet banking,

phone banking and mobile banking.

Customer relationship

They believe in establishing a personal relation with the customers

so that they can understand their needs better and provide effective

customized service

They have received several prestigious national and international

awards in recognition of our innovation in banking, customer

49
service, technology focus and human resource practices.

These include:

10. T r i p l e A A A B e s t C a s h M a n a g e m e n t C o u n t r y A w a r d

in India – 2005 The Asset

11. B e s t B a n k i n I n d i a - 2 0 0 4 E u r o m o n e y

12. T r a v e l and Tourism India 's Most Customer

Friendly Bank - 2004 Outlook Money

13. B e s t B a n k 2 0 0 4 B u s i n e s s I n d i a

14. B e s t d o m e s t i c c o m m e r c i a l b a n k A s i a n m o n e y

15. B e s t e m e r g i n g b a n k i n I n d i a G l o b a l F i n a n c e

16. B e s t multi - channel strategy 2003 The Banker

Magazine UK

50
17. B a n k o f t h e Y e a r 2 0 0 3 , i n I n d i a T h e B a n k e r M a g a z i n e ,

UK

18. E x c e l l e n c e i n R e t a i l F i n a n c i a l S e r v i c e s 2 0 0 3 A s i a n

Bankers Journal

51
 PRO DUCT OFFERI NG S

PRODUCT OFFERINGS

1) DEPOSITS

52
ICICI Bank offers wide variety of Deposit Products to suit the

requirements of the customers. Convenience of networked branches/

ATMs and facility of E-channels like Internet and Mobile Banking.

a) Savings Account :

A Savings Account for everyone with a host of convenient features

and banking channels to transact through. So now people can bank at

their convenience, without the stress of waiting in queues. ICICI

service savings accounts with 8 to 8 banking and ‘out of branch’

banking.

b) Life Plus Senior Citizens Savings Account :

ICICI Bank understand that a Savings Account needs to do more after

people reach the age of seniority; the bank understand customers

concerns for safety and security. The bank has an ideal Savings Bank

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 their life.

53
c) Young Stars Savings Account :

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 ICICI make banking a pleasure and at the same time fun.

Children learn how to manage their personal finances.

d) Fixed Deposits :

ICICI provides Safety, Flexibility, Liquidity and Returns in the case

of fixed deposits. A combination of unbeatable features of the Fixed

Deposit from ICICI Bank.

e) Recurring Deposits:

When expenses are high, people may not have adequate funds to

make big investments. An ICICI Bank Recurring Deposit lets the

customers invest small amounts of money every month that ends up

with a large saving on maturity. So the customers enjoy twin

advantages- affordability and higher earnings.

54
f) Easy Receive Savings Account :

Easy receive account is a unique savings account that caters to

domestic banking needs, while offering additional benefits for

remittances received in the account from abroad.

2) CARDS

ICICI Bank offers a variety of cards to suit different transactional

needs of its customers. ts range includes Credit Cards, Debit Cards

and Prepaid cards. These cards offer customers convenience for their

financial transactions like cash withdrawal, shopping and travel.

These cards are widely accepted both in India and abroad.

a)Credit Cards:

Credit Cards give customers a smart way to shop, and offer them

flexibility and convenience in managing their finances. ICICI Bank

55
credit cards provide a host of exciting offers and benefits to the

customers such as low interest rates, rewards programs, and a high

credit and cash limit. The bank offer different types of credit cards

to suit the different needs and requirements for added features

b) Travel Cards:

The traveller’s card is the Hassle Free way to Travel the world.

Customers travelling with US Dollar, Euro, Pound Sterling or Swiss

Francs; Looking for security and convenience; can opt for ICICI

Bank Travel Card. It is issued in duplicate. It offers Pin based

security and has the convenience of usage of Credit or Debit card.

ALLIANCE PEODUCTS

1) Wells Fargo, USA

56
ICICI Bank has joined hands with Wells Fargo to bring customers

unprecedented convenience for sending money to India. Customers

can just call or walk into any Wells Fargo branch and send money to

anyone having an eligible ICICI bank account.Customers just need to

enrol in the Wells Fargo Express Send Global Remittance Service to

India to be able to transfer money from your eligible Wells Fargo

checking or savings account to the beneficiary's ICICI bank account.

Client’s transferred funds will be available in the beneficiary's

ICICI bank account as soon as the next business day.To avail of this

economical, convenient and dependable way to send money home to

India, just open a Wells Fargo Express Send Service Agreement and

ensure that the beneficiary has an eligible account with ICICI bank.

2) Lloyds TSB - India Banking Service

India Banking Service is collaboration between ICICI Bank and

Lloyds TSB, offering people of Indian origin living in the UK access

to a wide network of branches and ATMs across India and the UK.

Customers can now manage their accounts in the UK and India from a

single, convenient location.

57
 a) Convenience of opening ICICI Bank NRE Accounts at

participating Lloyds TSB branches.

b) Access to the ICICI Bank account to family members in India

c) Easy Money Transfers at nominal costs

d) Fast transactions - within 4 working days

CORPORATE BANKING

ICICI Bank offer corporate a wide range of products and services,

the technologies to leverage them anytime, anywhere and the

expertise to customize them to client-specific requirements.From

cash management to corporate finance, from forex to acquisition

financing, ICICI bank provide the customers with end-to-end

services for all your banking needs. The result is an overall financial

solution for the company that helps customers accomplishes their

objectives.

1) ICICI Bank can guide people through the universe of strategic

alternatives – from identifying potential merger or acquisition

targets to realigning their business' capital structure.

58
2) ICICI Bank has been the foremost arrangers of acquisition finance

for cross bordertransactions and is the preferred financer for

acquisitions by Indian companies in overseas markets.

3) The Bank has also developed Forex risk hedging products for

clients aftercomprehensive Research of the risks a corporate body is

exposed to, e.g., Interest Rate, Forex, Commodity Credit Risk, etc.

4) ICICI bank offer the customers global services through their

correspondent banking relationship with 950 foreign banks and

maintain a NOSTRO account in 19 currencies to Service people

better and have strong ties with the neighbouring countries.

5) ICICI Bank is the leading collecting bankers to Public & Private

Placement/ Mutual Funds/ Capital Gains Bonds issues. Besides, the

bank have products specially designed for the financial

intermediaries to meet their unique requirements.

59
6) ICICI support customer’s international business by meeting

working capital requirements of export and import financing. The

Bank also has a host of non-funded services for their clients.

6) ICICI support customer’s international business by meeting

working capital requirements of export and import financing. The

Bank also has a host of non-funded services for their clients.

7) Whatever customer’s industry, size or financial requirements,

ICICI Bank has the expertise and the solutions to partner them all

the way.

Transaction Banking

The Bank delivers world class banking services to the financial

sector clients. ICICI’s current roaming accounts empower people

60
with 'Anytime, Anywhere Banking'. They are designed for the

customer’s convenience. The comprehensive collection and payment

services span India'slargest CMS network of over 4,500 branches.

The bank provides correspondent banking tie-ups with foreign banks

to assist them in their India-related businesses.

Financial Institution:

ICICI Bank services the financial sector for the entire set of banking

requirements and provides a complete range of solutions. The

Financial Institutions and Syndication Group (FISG) are responsible

for ICICI Bank's relationship with the financial sector.Under this

umbrella, the Bank caters exclusively to the needs of:

1) Different domestic financial Institutions

2) Banks

3) Insurance Companies

4) Mutual Funds

5) Fund Accounting

61
The FISG has built strong relationships through various interactive

measures, like seminars, training programs, sharing of market

information and views with clients, organizing the Bank CEOs'

Forum, etc.

Government Sector:

The Bank aim to leverage their superior technology platform and on

their ability to deliver solutions customized to meet the specific

needs of each client to emerge as the preferred banker for all

government departments and government corporations.

Services to the Government Sector:

ICICI Bank acts as bankers to several government organisations.

They have a wide range of services designed to serve the government

62
sector. Their dedicated relationship managers have the requisite

experience and training to look after their unique needs.

SME BANKING:

Client’s business now has end to end solutions on which one can

depend. From the anytime anywhere convenience of Roaming Current

Account to forex remittance services that simplify and speed up the

business.

CURRENT ACCOUNT

63
Roaming Current Account

With the Roaming Current Account (RCA), customers can enjoy the

convenience of Anytime Anywhere banking. They can operate their

RCA from any ICICI Bank branch in any city. RCA offers a wide

range of variants that include:

• Standard

• Classic

• Premium

• Gold

• Gold Plus

• Platinum

These variants are based on committed Quarterly Average Balance

with differential charges applicable to each variant. Customers can

choose the variant most suitable for their businessrequirements.

They even have the flexibility of changing their current account

64
variant every quarter based on their changing business needs. It also

offers the facilities of International

Business Banking Debit Card, Internet Banking, Phone Banking, E-

mail Banking & Mobile

Banking.

Accounts for businesses, big and small

The business needs and requirements are unique. This is why

customer’s account should be unique too. ICICI Bank offers people a

range of RCAs to meet varying banking requirements.

Anywhere cheque, national reaches

65
Issue a cheque from customer’s place of business. The suppliers can

encash it at over 249 centres all over India. When the cheque is

`local' everywhere, the business goes national!

Bank anytime anywhere

Customer’s always had one bank branch. Now every ICICI Bank

branch becomes people’s branch. Every branch manager is the

personal manager. People can get personal attention wherever their

business takes them.

Better cash flows

ICICI ask the customer’s to deposit the cheques at the nearest ICICI

Bank Branch, and they will see to it that the cheque reflects in

customer’s account fast. The bank helps customer’s money work

harder for them.

Banking on call

66
Banking has never been so convenient before. Now customers can use

the phone to make Balance Enquiries, Request for a Cheque Book,

Stop Payment and more.

Corporate Internet Banking

Customers can do all the banking they want without getting up from

their chair. With ICICI Bank's Internet Banking customers can access

their account from wherever they are, by logging in to their account

at www.icicibank.com. The customers can check their balance, pay

their bills, transfer funds or even pay their taxes sitting at their

desk.

Card Power

For customer’s convenience, ICICI Bank's RCA comes with a

powerful Debit/ATM card that allows the customers to deposit and

withdraw cash at over 2000 ICICI Bank ATMs, plus over 10,000

VISA ATMs. The customers can also check their balance, view mini

account statement, and transacts at various 90,000 merchant

establishments across the country.

Mobile Banking

67
Now the entire customer’s need to keep in touch with their account

through their mobile. Sign up for alerts on daily balance, cheque

clearing alerts or bounced cheque alerts!

Card-to-Card Transfer

Transfer funds for free from the customer’s existing ICICI Bank

account to any Visa Card (debit or credit) in India. They can even

pay their Visa credit card bill through this facility available on

www.icicibank.com

Free daily email statement

Customers can get a daily email detailing your their ICICI Bank

current account transactions and balance. Sub scribal to this service

is free.

Business Loans

68
Money, just when customer needs it

As a growing entrepreneur, ICICI know how valuable time is for

people. People are constantly thinking of growth and managing their

business. At ICICI Bank, they think of the same when it comes to

customer’s business. ICICI’s Smart Business Loan is the easy access

to money. Customers can get up to Rs. 25 lacks as an Overdraft or a

Business Instalment Loan with no collaterals and faster turnaround

time.

Overdraft

Easy Access Money

• Working capital as Overdraft facility

• Validity of 12 months

• Interest to be levied on the amount utilized

• Enjoy the flexibility to pay a minimum amount every month

• Interest Rate (IBAR + Cash Credit Premia + 2.75% )

69
• Processing Fees of 2.5%

Business Instalment Loan

Seize growth opportunities

• Credit facility in the form of Term Loan / Business Instalment

Loan

• Payment in the form of equated monthly instalments

• Repayment tenure of 12-36 months

• Plan and control your cash flows--

• Interest Rate (IBAR + Term Premia + 3.5%)*

• Processing Fees of 2.5%

Advantages

70
• Faster loan sanctions with minimum documentation

• One stop solution with a bouquet of products

• Attractive rate of interest

• Query resolution at local branches

Other benefits

• Facility to deposit cash in the current account**

• Online repayment facility**

• Availability of local cheques

• Flexibility to open accounts at local branches

Eligibility

71
• Income Tax Payee

• Good business track record

• Comfortable business vintage

Working Capital Finance

Managing finance is arguably the most important component of any

business. Two key business needs are access to funds at reduced,

more competitive rates and managing the balance sheet as effectively

as possible.

ICICI Bank has a team of experienced customer-focused relationship

managers with wide sector experience who can offer customers

working capital finance by way of cash credit/working capital

demand loans suitably structured to their needs and their risk

profile. Non fund based facilities such as bank guarantees and Letter

of Credit are also offered at competitive rates. The bank also

facilitates working capital finance with other products such as trade

finance, forex, derivatives and cash management.

Office Equipment Loans

72
Technological empowerment is an important and critical factor for

the growth of small and medium enterprises (SME). SMEs need to

invest in sophisticated and state of the art office equipment to

increase productivity and efficiency. Considering these varied

requirements of our SME customers, the bank have created ICICI

Bank's Office Equipment Financing product as a convenient and

hassle-free way to procure the equipment they need. The simplified

procedures and minimum documentation ensures fast and easy funds.

Office equipment financing product features include:

1) Loan amount (minimum) is Rs 30000 onwards.

2) Loan to value (LTV) is up to 80% of invoice value.

3) Tenure of 12 to 36 months

4) Equipment to be hypothecated to ICICI Bank till the time loan is

repaid.

5) Flexible repayment option through post dated cheques and auto

debit mandate.

6) Door step service.

7) Competitive rates

73
Office Equipment Loans are available to:

1) Proprietors

2) Partnership Firms

3) Companies

4) Trust & Societies

Trade:

Letter of credit

The companies customers do business with undoubtedly have

impeccable credentials. But why to take a chance. ICICI Bank’s

Letter of Credit facility arms clients with a guarantee of payment,

especially useful while transacting with companies who they have

had limited exposure to in the past.

74
A Letter of Credit is a letter from ICICI Bank guaranteeing that a

buyer's payment to a seller will be received on time and for the

correct amount. This guarantee of payment helps clients to transact

with companies with whom they have had limited interaction and are

unsure of their credit history.

ICICI Bank offers two types of LCs, Sight and Usance LCs, both

inland and foreign. The bank’s LCs get sanctioned and issued

quickly, and are competitively priced.

A sight LC is a letter of credit that is payable immediately on

presentation along with the necessary documents.

A usance LC is a letter of credit that is payable after acceptance of

presented documents and at a specified future date.

An ICICI Bank Letter of Credit offers following:

a) A limit per client of up to Rs.1 crore (Limit for usance L/- Rs.50

Lakhs).

b)Period of up to 180 days

c) Security requirement.

d)25%-35% cash margin.

75
e) 100% collateral security in the form of residential.

f)First charge on current assets.

g)Assessment based on a parameterised model

Bank Guarantee

Our Bank Guarantees are competitively priced with few requirements

like cash margin and collateral security, and will be made available

to customers in the shortest possible time. There is an upper limit of

up to Rs.1 crore with a tenor of guarantee of up to 18 months, and

security requirement of 25% cash margin and 100% collateral

security in the form of residential property or liquid securities.

ICICI Bank also issues Bank Guarantees in foreign currency on

behalf of our exporters for approved purposes as defined under

FEMA, subject to availability of credit limits or against 100% cash

margin.

76
SAVING ACCOUNT

An ICICI Bank Savings Account offers you a valuable

banking experience.

• Debit-cum-ATM Card

• Money Multiplier Facility

• Internet Banking

• Customer Care

• Mobile Banking

• Standing Instructions

• Nomination facility

• DD Call and Collect

77
 Minimum Balance*

Type of
Balance
Account
Rs 10,000 in metro and urban

locations
Savings Account
Rs.5,000 in semi-urban and rural

locations

Debit-cum-ATM Card

With an ICICI Bank Savings Account you will get a debit

card that you can use to withdraw cash from any ATM.

Charges are applicable if you use a non-ICICI Bank ATM.

You may also use your debit card to directly make purchases

through a Visa POS (Point of Sale) machine available at

most stores! This will help you access your high interest

account from anywhere.

Money Multiplier Facility

78
Allow to take care of your idle money by moving it into

high interest savings account earning.

Internet Banking

Banking could not have been more convenient. Just log in

with your user ID and password and make banking a hassle-

free routine. For details, or for the list of transactions that

you can do online, If you have forgotten your Internet

Banking password or user ID and wish to access your high

interest savings account,

Customer Care

Our 24-hour Customer Care is always available to answer

any query or take your instructions.

79
Mobile Banking

Transferring funds or getting to know your balance is as

easy as sending an SMS.

StandingInstructions

ICICI Bank accepts and supports Standing Instructions. You

don’t have to worry about the chore of carrying out a routine

transaction. Just set up a Standing Instruction and leave it

to us to manage.

Nomination Facility

You may nominate a person as beneficiary to your account

proceeds.

DD Call and Collect

Don’t waste even a minute in a queue to collect a Demand

Draft or Pay Order. On the way to the branch, just call

Customer Care, provide details of the DD to be prepared and

collect it ready and signed at the branch!

80
Specials in Savings Account

• Comprehensive Banking

• Solutions with added features

• Supplementary Savings

• Ideal for tax-exempt entities

• Anywhere Banking

• Inward Remittance

• Free personalized cheque book

• Free business banking debit card

• Free unlimited fund transfers

• Free Internet/Phone/Mobile banking

Banking Made Easy

Corporate Internet Banking

81
Corporate Internet Banking keeps you in complete control of your

account. You can even save up to 80% of your branch costs on key

transactions. You can bank anytime, anywhere, and have total

knowledge of account details all the time. So you are able to use

your funds to the fullest and maximise your cash flows. Plus, you

and your accounts department save a lot of valuable time. Just login

and view and download account statements, transfer funds, carry out

bulk /salary payments and more. All the while, you can rest assured

that our high-level 128-bit data encryption ensures high security

banking.

Key features include:

Anytime access to account details

82
Wherever you are in the world just login and view your mini/detailed

account statement. You can also download them as Excel/Text files

and even integrate them with your MIS.

Email statements in your inbox.

Sign up to receive account statements in your inbox daily, weekly or

monthly as per your requirements.

Online funds transfer.

No more writing and signing cheques or visiting the bank branch. No

more delay in remitting money. Online funds transfers are instant

and help you maintain good trade relationships. You can make linked

account and inter-bank funds transfers.

Bulk upload through SEFT/EFT

Do bulk salary uploads, make vendor payments and collect from

dealers using Special Electronic Funds Transfer (SEFT) and

Electronic Funds Transfer (EFT). Cut out the hassles of writing

83
individual cheques and receipts and benefit from drastically reduced

cheque clearance time. SEFT credits funds the same day while EFT

takes three working days.

Online bill payment

Pay all your utility and credit card bills online.

Online requests--from cheques to LC Applications.

Everything from cheque books to LCs is yours for the asking. Login

and request for a Letter of Credit or cheque book, open a fixed

deposit or quantum optima account, or stop cheque payment.

Phone Banking

You need to know what's happening in your account all the time.

Keep track of, and control, your account from miles away, with just

84
a phone call. ICICI Bank offers Phone banking, a 24/7 automated

service with multiple language options. Get account details, check

your cheque status, ask for product details and do more. It’s highly

convenient and saves time.

Key features include:

Anytime access to account details.

Just call and know your account balance or outstanding balance

anytime.

Track cheque status.

Now call and know the status of your cheques anytime.

Transaction information for trade services.

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Stay informed and in control of your transactions anywhere in the

world. Track outstanding forward contract, know the status of

inward/outward bills and get more information.

Requests.

Ask for anything from cheque books to email statements. Whenever

you want to get a DD, create an FD or link it to another, stop cheque

payment, just call.

Details of new products and solutions.

Know about new products and services immediately. You can also get

details of our entire range of innovative products and services.

Block Debit Cards.

Need to block or unblock ATM/debit cards? Just call.

Mobile Banking

86
For better cash flows you have to stay in control of your account.

ICICI Bank’s Mobile Banking frees you of all the hassles of physical

banking and keeps you updated through your mobile. Know your

account balance, get alerts and reminders at the right moment and

more.

SMS alerts

You don’t have to call or ask for your account details. Know the

moment your account is credited or debited. Receive SMS alerts and

stay informed. Get alerts for:End-of-day account

balance.Debit/credit above certain limit.Insufficient funds to honor a

cheque.

Request

Wherever you are in the world you just call and ask for specific

information about your account. Request for:Cheque status.Last 5

transactions.Account balance.Stop inward/outward cheque.

E-Mail Statemants

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With so many transactions happening in your account you need to

keep track of it constantly. Now, you don’t have to do a thing to get

your account statement. Everyday you and your accountant can

receive your account statement by email. You can ask for account

statements on a daily, weekly or monthly basis. What’s more,

Anywhere Deposit and Withdrawal

At ICICI Bank, you’re not tied down to one branch. Every branch is

your branch. You can deposit or withdraw from any of the branches.

Get personal attention wherever your business takes you. Wherever

you are, with over 600 branches all over India ICICI Bank is always

close at hand.

Key features include:

Upcountry cheque collection.

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Stay connected to your customers in any part of the country. Ask

your customers to deposit their cheques at their nearest ICICI Bank

and ensure quick remittance and faster cash flows.

At par cheques

Issue a ‘local’ cheque from anywhere. With ICICI Bank’s at par

cheques, payments clear faster and your vendors remain happy.

Deposit or withdraw anywhere

Deposit cheques at and withdraw cash from any of the over 600

branches of ICICI Bank. You can do the same at any ICICI

Bank ATM.

Electronic Funds Transfer

With your business on the rise you have to get more from your

accounts team. Simplify bulk pay outs or payments, optimise

performance and reduce workload with ICICI Bank's Electronic

Funds Transfer (EFT) and Special Electronic Funds Transfer (SEFT).

89
Transfer funds from one location to another in no time. No more

making, signing and dispatching cheques. Benefit from quick and

easy bulk salary uploads, vendor payments, etc.Key features include:

Transactions with other banks

Go electronic and conduct all your business transactions through

your RCA. Make and receive payments to/from banks other than

ICICI Bank through EFT.

Reduced transaction time

Get the advantage of drastically reduced cheque clearance time.

SEFT clears funds the same day while EFT takes three working days.

Pay vendors and collect from dealers quickly and efficiently.

Bulk uploads.

Your accountant can do a bulk upload of salaries, payments and save

time.

Card-to-Card Transfer

90
Bid goodbye to DDs, cheques and pay orders. Transfer funds without

going to a bank branch. Use ICICI Bank’s Card-to-Card Transfer for

quick and easy remittance. Save time and cut costs. Just step into an

ATM,

Extended reach.

Transfer funds to a Visa Card holder anywhere in India.

Speedy transactions.

Cut down on transaction time as funds are remitted to the suppliers

or dealers account within 3 working days. Card-to-Card transfers are

faster than sending a draft/cheque for encashment.

Bill payment.

No need to write a cheque, or put it in a drop-box. Just pay your

credit card bills with your Current Account Debit card.

Made 2 Order

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Imagine the powerful ICICI Bank Roaming Current Account tailored

for you.Avail of unmatched flexibility in your current account with

an M2O account. It allows you to customize your current account by

selecting the kind of services/facilities that are pertinent to your

specific type of business. You, therefore, have the facility of getting

a product tailor-made for your business and can avail of Free Limits

for different transactions as per your business needs.

Special Made 2 Order services:

• Flexible cash deposit limits at both base and non-base

branches.

• Free cash withdrawal at non-base branches.

• Avail of higher Free Limits on transactions at non-

RBI(Category B)locations.

• Extra cheque leaves.

• Customized DD/PO limits.

• Multiple fund transfers.

• Outstation cheque collection options.

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FIXED DEPOSITE

• Wide range of tenures

• Choice of investment plans

• Partial withdrawal permitted

• Safe custody of fixed deposit receipts

• Auto renewal possible

• Loan facility available

Features

customer can deposit any amount of money in Fixed Deposit for as

long as you wish between 15 days to 10 years.

All fixed deposits come with a set choice of investment plans. Fixed

Rate Deposit accounts also provide Fixed Loans. Re-investment

Fixed Deposit rates do not change but work like a Recurring Debit

Account transaction. In other words, Re-investment Plans are

compounded over traditional deposits and hence are more lucrative

over different time periods.

93
Benefits

Fixed Deposits at ICICI Bank comes with nomination facility. offer

online access to Fixed Deposits through Internet Banking channel.

Internet Banking at ICICI Bank allows to connect Credit Card, Loan

and Fixed Deposit with savings account.

In re-investment deposits, the interest is compounded quarterly and

reinvested with the principal.

Traditional term deposits provide tax shelter and shield from factors

affecting fixed deposits in India over longer periods of

94
RESE AR CH

95
 STATEMENT OF RESEARCH OBJECTIVE

Introduction:

Research is an art of scientific investigation. Research covers the

research for and retrieval of information for a specific purpose.

Research has many categories from medical research to literacy

research. A research paper is a piece of academic writing that

requires a more abstract, critical and thoughtful level of inquiry than

you might be used to.

The dictionary meaning of research is “a careful investigation or

inquiry specially through search for new facts in any branch of

knowledge”.

Basically research is search of truth with the help of some study,

observation, comparison and experiments. It is a search for

knowledge with the help of objective and systematic method of

finding solution to a problem. Research is a voyage of dictionary of

knowledge lead by inquisitiveness of human nature.

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Objective of research:

All research aim at finding answer to questions by applying certain

scientific procedures. Research investigates the truth, which is

hidden and tries to final solution to existing problem, which have

not been discovered yet. Different purposes depending on nature and

type of research. Generally we have following categories of

objectives of research:

1. Become familiar with an existing phenomenon or achieve new

insight into existing phenomenon. Such studies are termed as

“exploratory or formulative research studies”.

2. To accurately determine the real features or characteristics of

individuals, situations or groups. Such studies are termed as

“descriptive studies”.

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 3. To ascertain the frequency of occurrence of something or

ascertain association of something with something else. Such

studies are known as “diagnostic research study”.

4. To test a hypothesis of a casual relationship between variables.

Such studies are known as “hypothesis testing research

studies”.

Importance of research:

1. Research forms the fundamental base on which the economic

and legislative policies can be build.

2. Research assists in solving various operational and planning

problems of business and industry.

3. Research helps to establish social relationship and solve social

problem.

4. Research is used in all field of applied mathematics etc.

5. Research facilitates scientific and methodological and logical

thinking of all.

6. Research assists in Ph.D. thesis of students.

7. Research philosophers and thinkers to establish their

viewpoint.

8. Assists analysis and intellectuals to develop new theories and

ideas.

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RESEARCH DESIGN AND METHODOLOGY

1) Secondary Research

2) Management Interviews

3) Qualitative Customer Research

4) Quantitative Research

1) Secondary Research

Some firms might argue against the necessity of this stage, stating

that vast quantities of such research had already been performed,

oftentimes yielding no more information than they had had before.

However, one reason firms often do not benefit from such research is

that its focus tends to be scattered. One study might look at concepts

of customer loyalty, while another looks at current attitudes of store

personnel, and still another asks customers to focus on aspects of

instore shopping. Our purpose in performing secondary research is to

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build upon and synthesize prior research thereby gaining the

maximum information available from it.

2) Management Interviews

Interviewing management personnel across relevant areas of

businesses is also critical to synthesizing useful information which

might otherwise remain isolated. These interviews aid in:

♦ Understanding a heterogeneous customer base

♦ Identifying current business issues viewed as relevant by

management personnel

♦ Developing a substantive knowledge of the competitive

environment

♦ Designing the qualitative interview guidelines for in-depth

interviews with customers

♦ Determining how performance measures will be represented in the

subsequent model

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3) Qualitative Customer Research

The need to talk with customers to uncover issues salient to them has

become increasingly obvious over the past several years. What has

not become obvious, however, are the techniques needed to uncover

such issues accurately and in-depth. CFI Group’s system utilizes

qualitative one-on-one customer interviews specifically designed to

cover both issues identified as relevant by management personnel

and to allow customers to voice their opinions, concerns and desires

which might otherwise be left unknown to management.While

management would likely be able to predict a large percentage of the

components and issues salient to customer satisfaction, there is still

a reasonable amount of information to be gained from customers

which would go unsaid if customer interview structures were too

rigid. Further, management personnel might also be unaware of the

language that customers tend to use (i.e., voice of the customer)

when discussing such issues or, quite importantly, all the aspects of

a particular issue, even if correctly identified by management,

relevant to the customer. CFI Group’s qualitative system applies a

combination of current social-psychological techniqueswhose power

and scope exceed common research methods utilized by other firms.

CFI Group’s system employs the following techniques:

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♦ One-on-one interviews.

While focus groups can be useful in certain cases, typically what

happens in such settings is that one or two strong voices emerge only

to be followed by the rest of the group. The resulting information is

highly biased and skewed toward the morevocal customers in the

group. Although interviewers often try to avoid such biases by

requiring focus group attendees to talk “in turn”, they may still miss

subtle (and not-so subtle) pressures which come from group

meetings. Valuable information may be lost in such settings where

the interview is highly structured.

♦ Open ended, semi-structured interview approach. This

approach allows us to ask customers about issues mentioned in

secondary research and management interviews, while still leaving

the opportunity for each customer to discuss “top-of-mind” issues

during the course of the interview, thereby identifying salient

factors which might otherwise go undetected.

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♦ Metaphors and narrative accounts.

By giving customers the opportunity to tell stories and use

metaphors to describe and the various experiences they have had, we

also encourage the identification of new and valuable information.

Given innovative social-psychological research techniques, and a

more conversational style interview, customers can relax and

converse as they might with a friend during the interview. A skilled

interviewer can keep a respondent focused on the relevant topics

while still allowing them to recall experiences regarding which could

be very useful to management and other personnel. Similarly, simply

asking someone “why” they like or dislike some aspect of , will not

get at the real ways in which people think about things and make

purchase decisions. CFI Group’s qualitative system utilizes

techniques which help customers to identify and discuss issues

relevant to their purchasing behaviors, unlike most other consulting

firms where customers are asked only to confirm or rank pre-

identified and ultimately incomplete factors relevant to decision

making. Customer interviews performed by CFI Group are recorded

and transcribed verbatim ensuring maximum reliability and validity

in performing the analysis. Qualitative research techniques are then

applied to the subsequent analysis of each transcript as well as the

transcripts as a group. Unlike other firms who rely on “frequency of

response” coding to identify relevant factors (thereby only

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increasing interviewer created bias), CFI Group’s system relies on a

“narrow lens approach” – a social-psychological analysis process

which allows us to identify and categorize salient factors and re-

group all relevant information into a subsequent model, thereby

maximizing the information gained from the interviews. CFI Group’s

qualitative analysis allows us to specify a hypothetical model of

customer satisfaction, and makes certain that attributes of each

component are preserved utilizing the language of the customer. The

subsequent questionnaire we develop is based on the voice of the

customer and ensures that the information we gather from it means

what we intended it to mean.

4) Quantitative Research

Ultimately, the power and precision of the hypothetical model is

proven in the quantitative phase of CFI Group’s system.

Understanding our methodology requires an understanding of three

distinct points:

i. Estimating Importance, Utility, and Impact

ii. ii. Estimating Derived Importance

iii. iii. Causal Models: comparing covariance structure analysis

(e.g., LISREL) and partial least squares (e.g., World’s PLS

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 system), the two major approaches to causal models. Our

objective is to identify those quality dimensions whose

improvement offers the greatest returns, as measured in

customer satisfaction, retention rate (and potentially related

measures of individual behavior, such as spending level) and

corporate financial performance. That is, if the level of

performance on a quality attribute improves by a given

amount, how much will satisfaction (and, subsequently

customer retention or financial performance) improve? In

evaluating a methodology, the most important criterion is

whether a method can quantify the return-on-quality.

OBJECTIVE OF RESEARCH:

There were basically two objectives of the Market Research that was

conducted among the valuable customers of ICICI Bank. These two

objectives were:

1) To know about the customers perception about CASA &FD;

This was done to find out that what the customers think about

various kinds of products.

105
2) To find out the knowledge of customers about the various

product offerings of ICICI Bank.

This was done to find out that how much knowledge do the customers

have about the various products of the ICICI Bank.

BEFORE ASSIGNING THE PROJECT

Being unknown from the Banking sector and its various procedures I

had given training about the ICICI Bank’s core products, different

schemes & policies going on currently. I had received training about

the various product (CASA & FD) offerings & schemes so that during

my survey, I can convince the valuable customers of ICICI Bank.

RESEARCH WORK

In the survey work the method of Questionnaire is being used. The

questionnaires are then studied properly to find out about the various

valuable customers of ICICI bank & their knowledge about the

product offerings of ICICI bank.

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Field Work

I conducted a survey for eight weeks among various valuable

customers. The survey was about market segament of CASA & FD. I

made the customers aware of various products & schemes of ICICI

Bank. I gave them information about the FD and the market risks

present in today’s scenario. Many customers are convinced about

investing their money in ICICI deposits schemes.

From the survey ICICI bank gained the knowledge about their

various customers & that there is lack of knowledge among some

customers. Through this survey the customers came to know about

the schemes & policies of ICICI bank and also various product

offerings of ICICI bank.

Step by step procedure of the survey:

1) Scheduling appointments:

Making telephone calls to all the customers for the appointments.

Many a times customers were busy, sometimes they told me to

107
reschedule the appointments. Many of the customers were high

profile customers so they were busy all through the week that’s why

it was a tough job to take appointments. It proved a challenge for me

to get appointments.

2) View of the customers:

I interacted with all the customers to know about their views related

to the savings & deposits. I asked them that what kind of knowledge

they possess about products of savings & deposits and how much

they know about the various schemes of the ICICI bank. I came to

know How they previously invested their money in different schemes

& what kind of profit they gained earlier.

3) Lack of knowledge:

After this interaction I came to know that some of the people do not

have adequate knowledge about different savings & deposits scheme

& how to achieve returns. Many people were confused about the

proper investments & their returns. They were confused about the

securing their future using various investment plans. Some of the

customers were happy by not investing in the schemes as they

108
thought that they will loose their principal amount because they do

not have proper knowledge.

4) Explanation:

Then I explained them about the market risks & returns due to

different maket link investment . I told them about the various

secure policies of the ICICI bank and how those policies can be

properly used.I convinced them that the investments through to

savings & deposits , made by the ICICI bank are much more secure &

profitable.

5) Query solutions:

I solved their queries about the various policies & schemes. I told

them that why the policies & schemes of ICICI bank are more

profitable as compared to policies of other financial institutions.

6) Agreed for Investment:

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After the solution of the queries some of the customers get

convinced to savings ,invest in the deposits schemes of ICICI bank.

ANALY SI S

110
ANALYSIS OF SURVEY

Sample Size:100 (As per company’s instructions)

Q1) How would you like to invest your savings?

111
During the survey it was found out that the 42% of the customers are

interested in FD as it has a lucrative market these days and 37 % in

Mutual Funds. Only few of the customers were interested in Real

estate., Direct Equity and Gold investments.

Q6) Which do you think is more profitable?

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69% of the customers think that FD is more profitable as it is the

most lucrative market at present.10% think that gold equity is more

profitable and 21% feels Real Estate as more profitable.

Q4) which investment style do you prefer most?

During the survey it was found that 79% of the customers prefer

Growth kind of investment style and 19% of the customers prefer

113
Value kind of investment style. Only 2% of the customers prefer

others.

Q7) What time horizons are you looking to do investment?

Most of the people (82%) want to invest their money for a period of

3-5 years. 11% of the people want to invest for 1-3 years. Only 5%

customers want to invest their money for more than 5 years. 2%

customers want to invest for 1 year.

114
RESUL TS & DI SCUSSI O N

115
RESULTS & DISCUSSION:

Challenge:

Basic challenge of ICICI is the business growth by addressing the

more lucrative and growing segment of middle-class consumers and

emerging corporate.

Main challenge faced by the company is retention of clients

as well as increasing its number of clients. The major

objective of the survey was to increase the awareness

among customers about the products of ICICI Bank and

about the recent policies and schemes of ICICI bank.

116
Possible Solution:

Strategic adoption of technology to ensure that ICICI transforms into

a universal bank, which will provide fast and efficient customer

service besides offering the whole gamut of banking and financial

services.

The retention of clients can be done with better relationship

building, proper interaction and proper care of clients. By

understanding the basic needs of the customers & by analysing then

financial situation of the customers the clients can be easily

retained. The approach of the company should not be product centric.

It should primarily focus on clients and their needs. The risk

appetite of the customers should be calculated properly. The

company should understand that when and under what circumstances

the clients need money. The company should target on fulfilling the

short as well as long term goals.

The company should review the portfolio of clients time to time. By

proper monitoring and rebalancing the portfolio at regular intervals

the clients should be retained without any problem.

117
Conclusion & Recommendation:

Following segmentation approach have been of immense advantage

but as we did not have data for other segments of people barring
Saving Accounts, a lot of time and effort was lost in arranging
for and collection of data. Prior collection of databases and
working on them would have been more beneficial.

1. All possible tools and techniques were found to be responsive.

But as the same time targeting individuals understanding their
requirements and then approaching him for getting converted as
the financial advisor was challenging.

2. As it has been already stated the limitation of the entire project

was mainly the fee structure therefore it can be concluded that
reduction or completed withdrawal of the fees would give a
boost to the whole concept of recruitment.

3. Spreading awareness about the agency business would increase

the number of walk in by prospective advisors. This will
further improve the conversion rate of recruitment of the
company.

1. Rdeduce the paper work and time on opening of new

account

2. Reduce the maintenance charge and hidden cost.

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 3. Presence of semi-urban and rural area introduce the

customer awareness programme.

4. Motivate to customer by attracvtive offer of intrest.

5. Devlope the micro finance.

6. Increase the credit of limit.

BIBLIOGRAPHY

1) Toor, N.S(2005). Handbook of Banking Information

2) David Aaker, Kumar, George Day. Market Research(2001), John

Willey & Sons.

119
3) Philip Kotler. Marketing Management(2002), Prentise Hall Inc, A

pearson Education Company.

4) Product Offering Brochures, ICICI Bank

5) Research Methodology (Kothari C.R.)

WEBLIOGRAPHY

5) ICICI Bank website: www.icicibank.com

6) Amfi India website: www.amfiindia.com

7) Google website: www.google.com

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 ANNEX UR E

QUESTIONAIRE:

Name:

121
Gender:

Age:

Email-id:

Contact No:

Address:

Q1) How would you like to invest your savings?

a) F.D.

b) Direct Equity

c) Real Estate

d) Mutual Funds

e) Gold .

Q4) which investment style do you prefer most?

a) Growth

b) Value

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c) Others .

Q6) Which do you think is more profitable?

a) F.D.

b) Real Estate

c) Gold .

Q7) What time horizons are you looking to do investment?

a) 1Year

b) 1-3 Years

c) 3-5 Years

d) >5 Years .

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