Indian Banking Sector

Presented By: Rahul Amit Noopur

Structure Of Banking Sector

Reserve Bank of India
Scheduled Banks Non-Scheduled Banks

Scheduled Commercial Banks

Scheduled Cooperative Banks

Public sector banks

Private Sector Banks

Foreign Banks

Regional Rural Banks

Scheduled Urban Cooperative Banks

Scheduled State Cooperative Banks

Nationalized Banks 2

SBI & its Associates

Old Private Sector Banks

New Private Sector Banks 4/1/2012

About Banking Sector:

Banking Product.
Core Product Basic Product Expected Product Augmented Product Potential Product

The basic necessity to use banking services in order to handle finance more efficiently
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Safety of deposits Like: Saving Account,Fixe d Deposits Loanable funds(Home Loan, Personal Loan etc.)

Timely service Long banking hours. Low interest Rate.

Good Waiting rooms Friendly employee s Welcom e note.

Occasion al greeting at home Surprise gifts.

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Services :
Mobile & Internet banking

Flower of banking service

Change in Product line

Banking service

Customer Support

Low interest rates

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Additional Services:
Merchant Banking Loan Syndication. Mutual Fund Factoring.

Forfeiting.

Venture Capital.

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Total Revenue: billions

Industry Growth:

42,874

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Future Growth:
Indias gross domestic product (GDP) growth will make the Indian banking industry the third largest in the world by 2025. Domestic banking industry is set for an exponential growth in coming years with its assets size poised to touch $28,500 billion by the turn of the 2025. RBI is trying to tap this untapped market and the growth potential in rural markets by volume growth for banks.

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Future Outlook of Industry

Green (Very Good) Orange (Somewhat Good)

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Factors Affecting The Industry Challenges:

Change in rates by RBI Global Changes Change in Government Policies: Competency Gap

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Top five Players:

Banks Total Assets Total Profit Total Revenue
$ 32.44 billion 13.812 billion $369.56 billion $ 2.34 billion $ 119.69 billion $ 1.366 billion

$ 74.57 billion
$ 70.99 billion $ 65.483 billion

$ 912.51 million
$ 884.38 million

$ 6.23 billion
$ 5.15 billion

$ 923.8 million $ 5.585 billion

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Market Share:

11

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Target Market :
State Bank of India Current Users Proposed Users 1. Rural Population. 2. Market of Tier II And Tier III cities. 3. Working Class (High net Individuals). 4. Increasing Middle Class.

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Continued.........
ICICI Bank

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Continued.........
Punjab National Bank 1.

2.
3. 4.

Services Sector Household Sector Marginal income Low Income Middle Income High Income

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Continued.........
Bank Of Baroda
RURAL Market

R:Retail Market U: Urban Market(Investment on Infrastructure) R: Rural Market A: Agriculture Sector(Field Crops, Plantation) L: Loan Sector
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Continued.........
HDFC Bank Corporate banking market : this market target the industries & fulfill their financial needs.
Capital market : this segment is targeted

on the long term needs of the individual as well as of industries.

Retail banking market : this segment is for

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retail investors & provide them short term financial credit for their personal, house hold 4/1/2012 needs.

Features v/s Players

Key Features Online Service Custome r Service Infrastru cture Banking Environment Facilitie ATM s To Servic Employe e e
Normal Good

Good

Not Satisfied

Good

Bad

Advance Very d Good

Good Better

Advance d
Good

Friendly
Better Than SBI Good Friendly

Superior Good
Normal Good

Better

Best

Good Advance d

Normal

Good

Advance Best d
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Superior Better

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Ranked Based on :
Whose Product We will buy ?

Ans : 1. Bank Of Baroda 2. State Bank of India Whose stocks we will pick up? Ans: 1. Axis Bank ( 1117 per stock) 2. Bank Of India ( 367 per stock) Which Company We will like to join? Ans: 1. HDFC 2. ICICI
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