Customer preference & attributes towards Saving Account of HDFC Bank

CHAPTER 1
INTRODUCTION . ..3-11
1.1
General Introduction ..3
1.2

Industry Profile 3
a. Origin and Development of the industry4
b. Growth and Present Status of the industry...6
c. Future of the industry ..9

CHAPTER 2

PROFILE OF THE ORGANISATION..12-29

2.1

Origin of the Organization .. 13

2.2

Growth and Development of the Organization 14

2.3

Present Status of the Organization

17

2.4

Functional Departments of the Organization ...

19

2.5

Organization Structure and Organization Chart ..22

2.6

Product and Service Profile of the Organization Competitors .. 24

2.7

Market Profile of the Organization 28

CHAPTER 3

DISCUSSIONS ON TRAINING - 30-33

3.1

Student's Work Profile (Roles and Responsibilities) . 31

3.2

Description of Live Experience

CHAPTER 4

32

STUDY OF SELECTED RESEARCH PROBLEM 34- 47

4.1

Statement of Research Problem.. 35

4.2

Statement of Research Objectives ........

.35

4.3

Research Design and Methodology

35

4.4

Analysis of Data .

4.5

Summary of Findings 46

CHAPTER 5

38

SUMMARY AND CONCLUSIONS . 48- 52

5.1

Summary of Learning Experience..

50

5.2

Conclusions and Recommendations . 50

APPENDIX .52
BIBLOGRAPHY.56

Customer preference & attributes towards Saving Account of HDFC Bank

CHAPTER-1
INTRODUCTION

Customer preference & attributes towards Saving Account of HDFC Bank

General Introduction:The project was carried out for understanding the customer preference &
attributes

towards

saving

Account

of

HDFC

Bank

and

its

market

potential .HDFC Bank was established in the year 1994, they are old player in
banking sector, The bank has two principle client segments customer and asset
management. The bank follows values such as Integrity, teamwork, respect,
professionalism, & Mission. The segment of bank we are considering here isCorporate banking. The product out of which have chosen for research is
Saving Accounts. This research helps us in finding out the customers view
regarding the product and Services offered by the HDFC bank and awareness
by promotion and also identifying the market potential of the product offered
by the HDFC bank.

1.2 Industry Profile:a.) Origin and development of the industry:-

Customer preference & attributes towards Saving Account of HDFC Bank

Banking in India originated in the first decade of 18th century. The first banks were
The General Bank of India, which started in 1786, and Bank of Hindustan, both of
which are now defunct. The oldest bank in existence in India is the State Bank of
India, which originated in the "The Bank of Bengal" in Calcutta in June 1806. This
was one of the three presidency banks, the other two being the Bank of Bombay and
the Bank of Madras. The presidency banks were established under charters from the
British East India Company. They merged in 1925 to form the Imperial Bank of India,
which, upon India's independence, became the State Bank of India. For many years
the Presidency banks acted as quasi-central banks, as did their successors. The
Reserve Bank of India formally took on the responsibility of regulating the Indian
banking sector from 1935. After India's independence in 1947, the Reserve Bank was
nationalized and given broader powers.

A couple of decades later, foreign banks such as Credit Lyonnais started their
Calcutta operations in the 1850s. At that point of time, Calcutta was the most active
trading port, mainly due to the trade of the British Empire, and due to which banking
activity took roots there and prospered.

First of all we must note the fact that these institutions have changed very much in
character since their origin, and consequently nowadays perform many functions
unknown to those of former times. The first banks seem to have arisen in connection
with the business of exchanging money. In ancient times and especially in the Middle

Customer preference & attributes towards Saving Account of HDFC Bank

Ages the varieties of coins were greater even than at the present day, and they were
much less perfectly and honestly minted. Specialists were, therefore, required to
determine their exact value and equivalence and to exchange coins of one mintage for
those of another, and their BANK were in great demand at fairs and other places
where merchants of different nations met forpurposes of trade. Inasmuch as they kept
their boxes or chests of coins on benches or "banken," the name bankers came to be
applied to them. On account of their technical knowledge and the fact that they were
obliged constantly to keep on hand considerable quantities of the precious metals,
this business in the early Middle Ages was usually carried on by goldsmiths, but later
it was sometimes assumed by the governments of large commercial cities, as, for
example, by Amsterdam in 1609, by Hamburg in 1619, and by Nurnberg in 1621. Of
these latter the Bank of Amsterdam was the most important and may be regarded as
typical of these early institutions.

From the earliest times also, bankers have been the chief agents through which
foreign exchanges have been conducted. As dealers in coin and bullion they had
international connections and a knowledge of international affairs not possessed by

Customer preference & attributes towards Saving Account of HDFC Bank

other merchants, and were, therefore, in a position to undertake the settlement of

international accounts by means of orders drawn on bankers in other countries or
other cities with whom they had regular business transactions. As keepers of other
people's money they also promoted saving, and banks thus became in time the chief
savings institutions of the country.

b. Growth and present status of the industry:Currently (2009), banking in India is generally fairly mature in terms of supply,
product range and reach-even though reach in rural India still remains a challenge for

Customer preference & attributes towards Saving Account of HDFC Bank

the private sector and foreign banks. In terms of quality of assets and capital
adequacy, Indian banks are considered to have clean, strong and transparent balance
sheets relative to other banks in comparable economies in its region. The Reserve
Bank of India is an autonomous body, with minimal pressure from the government.
The stated policy of the Bank on the Indian Rupee is to manage volatility but without
any fixed exchange rate-and this has mostly been true.
With the growth in the Indian economy expected to be strong for quite some timeespecially in its services sector-the demand for banking services, especially retail
banking, mortgages and investment services are expected to be strong. One may also
expect M&A, takeovers, and asset sales.
In March 2006, the Reserve Bank of India allowed Warburg Pincus to increase its
stake in Kotak Mahindra Bank (a private sector bank) to 10%. This is the first time an
investor has been allowed to hold more than 5% in a private sector bank since the RBI
announced norms in 2005 that any stake exceeding 5% in the private sector banks
would need to be vetted by them.

Currently, India has 88 scheduled commercial banks (SCBs) - 27 public sector banks
(that is with the Government of India holding a stake)after merger of New Bank of
India in Punjab National Bank in 1993, 29 private banks (these do not have
government stake; they may be publicly listed and traded on stock exchanges) and 31

Customer preference & attributes towards Saving Account of HDFC Bank

foreign banks. They have a combined network of over 53,000 branches and 17,000
ATMs. According to a report by ICRA Limited, a rating agency, the public sector
banks hold over 75 percent of total assets of the banking industry, with the private and
foreign banks holding 18.2% and 6.5% respectively
Introduction of many more products and facilities in the banking sector in its reforms
measure. In 1991, under the chairmanship of M Narasimham, a committee was set up
by his name which worked for the liberalization of banking practices.
The country is flooded with foreign banks and their ATM stations. Efforts are being
put to give a satisfactory service to customers. Phone banking and net banking is
introduced. The entire system became more convenient and swift. Time is given more
importance than money.

In 1995, the Brookings Institution published a paper entitled The Transformation of

the U.S. Banking Industry: What a Long, Strange Trip Its Been. Using a
breathtaking array of facts and figures, the paper described in great detail the
dramatic changes that had occurred in the U.S. commercial banking industry over the
15 years from 1979 to 1994. The banking industry was transformed during that

Customer preference & attributes towards Saving Account of HDFC Bank

period, according to the paper (p. 127), by the massive reduction in the number of
banking organizations; the significant increase in the number of failures; the
dramatic rise in off-balance sheet activities; the major expansion in lending to U.S.
corporations by foreign banks; the widespread adoption of ATMs; . . . and the
opening up of interstate banking markets. The paper went on to explain that most of
these major changes in banking could be traced to two developments:
(1) the extraordinary number of major regulatory changes during the period, from
deposit deregulation in the early 1980s to the relaxation of branching restrictions
later in the decade; and
(2) clearly identifiable innovations in technology and applied finance, including
improvements in information processing and telecommunication technologies, the
securitization and sale of bank loans, and the development of derivatives markets.
Other research would later confirm the papers assessments and its explanation of the
course of events in the banking industry over the period 19791994.

Customer preference & attributes towards Saving Account of HDFC Bank

Over the two decades 19842003, the structure of the U.S. banking industry indeed
underwent an almost unprecedented transformationone marked by a substantial
decline in the number of commercial banks and savings institutions and by a growing
concentration of industry assets among a few dozen extremely large financial
institutions. This is not news. As mentioned above, the decline in the number of
banking organizations has been ongoing for more than two decades and has been
well documented in the literature. Nevertheless, a brief overview will serve to clarify
both the scope of the decline and the increasing concentration of assets among the
nations largest banking organizations

Customer preference & attributes towards Saving Account of HDFC Bank

At year-end 1984, there were 15,084 banking and thrift organizations (defined as
commercial bank and thrift holding companies, independent banks, and independent
thrifts). By year-end 2003, that number had fallen to 7,842a decline of almost 48
percent (figure 1). Distributed by size, nearly all the decline occurred in the
community bank sector (organizations with less than $1 billion in assets in 2002
dollars), and especially among the smallest size group (less than $100 million in
assets in 2002 dollars). Yet the community banking sector still accounts for 94 percent
of banking organizations

c. Future of the industry:-

Customer preference & attributes towards Saving Account of HDFC Bank

The burden of reporting and other regulatory requirements will fall heavily and
disproportionately on small banks unless remedial action is taken. Further advances in
information technology will permit the development of new products, BANK, and
risk-management techniques but may also pose important competitive and
supervisory issues. Nonbank entities will continue tooffer bank-like products in
competition with banks, raising anew the question of whether banks are still special
and, more fundamentally ,whether banks are sufficiently different from nonblank
firms to justify the maintenance of a safety net for banks. It is useful, therefore, to try
to chart the course of the banking industry in the next five to ten years and to consider
what policy issues the industry and regulators will face. The authors of this study do
not pretend to be clairvoyant. They are mindful of the many financial predictions that
were once offered with confidence but turned out to be wrong or premature. This
study is perhaps best described as an exercise in strategic thinking. Its approach is to
analyze what has happened in the recent past, consider in detail reasons for expecting
recent trends to continue or to change, and draw the consequences for bank and
regulatory policies.

As always, uncertainties abound, and events that may now appear fairly improbable
may in fact shape the future. This paper closes with a discussion of a number of such
possible events. The future-of-banking study addresses three broad questions:

Customer preference & attributes towards Saving Account of HDFC Bank

1. What changes in the environment facing banking can be expected in the next five to
ten years?

2. What are the prospects for different sectors of the banking industry in this
anticipated environment? Because the banking industry is not monolithic and different
segments of the industry have, to some degree, different opportunities and
vulnerabilities, the study considers separately the prospects for large, complex
banking organizations; regional and other midsize banks; community banks; and
limited-purpose banks.

3. What policy issues are the industry and regulators likely to face in the years ahead?

Customer preference & attributes towards Saving Account of HDFC Bank

CHAPTER-2
PROFILE OF THE
ORGANISATION

2.1 Origin of the Organization:Housing Development Finance Corporation Limited, more popularly known as HDFC
Bank Ltd, was established in the year 1994, as a part of the liberalization of the Indian
Banking Industry by Reserve Bank of India (RBI). It was one of the first banks to
receive an 'in principle' approval from RBI, for setting up a bank in the private sector.

Customer preference & attributes towards Saving Account of HDFC Bank

The bank was incorporated with the name 'HDFC Bank Limited', with its registered
office in Mumbai. The following year, it started its operations as a Scheduled
Commercial Bank.

HDFC Bank Limited. The Group's principal activities are to provide banking and
other financial BANK. The Group operates through four segments: Treasury, Retail
Banking, Wholesale Banking and Other Banking Business. The Treasury BANK
segment consists of net interest earnings on investments portfolio of the bank and
gains or losses on investment operations. The Retail Banking segment serves retail
customers through a branch network and other delivery channels. This segment raises
deposits from customers and makes loans and provides advisory BANK to customers.
The Wholesale Banking segment provides loans and transaction BANK to corporate
and institutional customers. The Other Banking Operations segment provides BANK
relating to credit cards, debit cards, third party product distribution and primary
dealership business and other associated costs. The Bank was Incorporated on 30th
August 1994.

A new private sector Bank promoted by housing Development

Corporation Ltd. (HDFC), a premier housing finance company. The bank is the first
of its kind to receive an in-principle approval from the RBI for establishment of a
bank in the private sector. Certificate of Commencement of Business was received on
10th October 1994 from RBI.

The Bank transacts both traditional commercial

banking as well as investment banking. HDFC, the promoter of the bank has entered
into an agreement with National West minister Bank Pc. and its subsidiaries (Nat west

Customer preference & attributes towards Saving Account of HDFC Bank

Group) for subscribing 20% of the banks issued capital and providing technical
assistance in relation to the banks proposed banking business.

2.2 Growth and Development of the Organization:1994.

On 16.1.1995, 90,79,930 No. of equity shares were allotted to Jarrington Pte. Ltd.
Another 400,00,000 equity shares were allotted on private placement basis to Natwest

Customer preference & attributes towards Saving Account of HDFC Bank

Group on 9.5.1995. 500,00,000 shares were allotted to the public on 9.5.95 The Bank
opened its first branch in Ramon House at Churchgate, Mumbai on January 16th.
The Bank has created an efficient operating system using well tested state-of-the-art
software.

1995

70 No. of equity shares issued to subscribers to the Memorandum &Articles of

Association on 30th August 1994. On the same date 500,00,000 equity shares were
allotted to HDFC promoters. 509,20,000 shares were allotted to HDFC Employees
Welfare Trust and HDFC Bank Employees Welfare Trust on 22nd December,

1996

HDFC Bank has entered the banking consortia of over 50 corporates, including some
leading multinational companies, flagship companies of local business houses and
strong public sector companies.

Customer preference & attributes towards Saving Account of HDFC Bank

HDFC Bank has set up a state-of-the-art dealing room to handle all transactions
possible in Indian financial markets.

The Certificates of Deposits were awarded a PP1+ rating which is the highest rating
for short term instruments indicating superior capacity for repayment.

2001

- The Bank has opened its first branch in Aurangabad. HDFC Standard Life
Insurance has entered into a memorandum of understanding with the Chennai-based
Indian Bank. The Bank has launched the international Maestro debit card
inassociation with Master Card. HDFC Bank will launch its credit card in June
through link-ups with MasterCard and Visa.LTtrade.com has entered into a strategic
tie-up with HDFC Bank to provide Net banking BANK to online investors. Standard
Chartered Bank, HDFC Bank and Bharat Petroleum Corporation have joined the
eCash Forum which has been set up by the Smart Card Forum of India. HDFC Bank

has launched a new campaign for its eage savings account. HDFC Bank entered into a
strategic tie-up with Tally Solutions Pvt. Ltd. to offer online real time accounting
BANK to small and Medium enterprises.

Today HDFC Bank has 1,412 branches and over 3,295 ATMs, in 528 cities
in India, and all branches of the bank are linked on an online real-time basis. ] As of
September 30, 2008 the bank had total assets of INR 1006.82 billion. For the fiscal
year 2008-09, the bank has reported net profit of Rs.2,244.9 crore, up 41% from the

Customer preference & attributes towards Saving Account of HDFC Bank

previous fiscal. Total annual earnings of the bank increased by 58% reaching at
Rs.19,622.8 crore in 2008-09.

2.3 Present Status of the Organization:-

March 2007

March 2008

March 2009

Citied

228

316

452

Branches

535

684

1412

Customer preference & attributes towards Saving Account of HDFC Bank

ATMs

1323

1605

3275

Housing Development Finance Corporation Limited, more popularly known as HDFC

Bank Ltd, was established in the year 1994, as a part of the liberalization of the Indian
Banking Industry by Reserve Bank of India (RBI). It was one of the first banks to
receive an 'in principle' approval from RBI, for setting up a bank in the private sector.
The bank was incorporated with the name 'HDFC Bank Limited', with its registered
office in Mumbai. The following year, it started its operations as a Scheduled
Commercial Bank.

Today, the bank boasts of as many as 1412 branches and over 3275 ATMs across
India. Amalgamation In 2002, HDFC Bank witnessed its merger with Times Bank
Limited (a private sector bank promoted by Bennett, Coleman & Co. / Times Group).
With this, HDFC and Times became the first two private banks in the New Generation
Private Sector Banks to have gone through a merger. In 2008, RBI approved the
amalgamation of Centurion Bank of Punjab with HDFC Bank. With this, the Deposits
of the merged entity became Rs. 1,22,000 crore, while the Advances were Rs. 89,000
crore and Balance Sheet size was Rs. 1,63,000 crore.

Customer preference & attributes towards Saving Account of HDFC Bank

Head Office
HDFC Bank
Ramon House, 169, Backbay Reclamation,
H T Parekh Marg, Churchgate
Mumbai - 400020
Phone: +91 (22) 66316000, 66636000, 66316060
Fax: +91 (22) 22048834
Website: www.hdfc.com

Tech-Savvy

HDFC Bank has always prided itself on a highly automated environment, be it in

terms of information technology or communication systems. All the braches of the
bank boast of online connectivity with the other, ensuring speedy funds transfer for
the clients. At the same time, the bank's branch network and Automated Teller
Machines (ATMs) allow multi-branch access to retail clients.
The bank makes use of its up-to-date technology, along with market position and
expertise, to create a competitive advantage and build market share.

Customer preference & attributes towards Saving Account of HDFC Bank

Capital Structure
At present, HDFC Bank boasts of an authorized capital of Rs 550 crore (Rs5.5
billion), of this the paid-up amount is Rs 424.6 crore (Rs.4.2 billion). In terms of
equity share, the HDFC Group holds 19.4%. Foreign Institutional Investors (FIIs)
have around 28% of the equity and about 17.6% is held by the ADS Depository (in
respect of the bank's American Depository Shares (ADS) Issue). The bank has about
570,000 shareholders. Its shares find a listing on the Stock Exchange, Mumbai and
National Stock Exchange, while its American Depository Shares are listed on the New
York Stock Exchange (NYSE), under the symbol 'HDB'

2.4 Functional Departments of the Organisation:The functional departments of the organization consists of the HR department, the
administrative department and the executive department. The HR department of the
organization consists of the people who employ the Persons who they think would be
able to do justice with the job handled.The administrative department of the
organization consists of the director and the manager of the organization. They
preside the organization and control all the operations of the organization such that the
organization could run in a smooth and effective manner. The executive department of
the organization consists of the various employees Who execute the job undertaken by
them. The employees consists of the team leaders, the Corporate financial
consultants,. the telecallers, various staffs and junior staffs who are the main structural

Customer preference & attributes towards Saving Account of HDFC Bank

framework of the organization. The organization thus runs with the effective
coordination of the HR department, the administrative department and the executive
department such that the supervisors of the organization preside over the subordinate
employees to give them directions about fulfilling their works most efficiently and
effectively. Technical Consultancy Department: The Technical Consultancy
Department is responsible for technical appraisal of industrial projects. The mission of
the division is aimed towards the verification of the technical viability of industrial
projects and assisting the Funds management in taking the decisions that require
technical expertise.

Moreover, it is responsible for conducting technical studies and rendering technical

consultancy BANK to certain industrial sectors for the purposes of investigating
modern technologies and productivity levels for local manufacturing plants.

H R Department:
HDFC Human Resources department plans and direct for the employee population as
well as they are having the following functions as:

Hiring
Promotions
Reassignments
Position classification and grading
Salary determination
Performance appraisal review and processing
Personnel data entry and records maintenance
Policy development
Work permitting immigration visa program

Customer preference & attributes towards Saving Account of HDFC Bank

Workers compensation

Finance Department:

The Finance Manager is responsible for all aspects of the accounting and financial
administration of the HDFC, the supervision of the implementation of the HDFC
financial policies, directives and procedures and the initiation of the financial plans
within the guidelines of HDFC The department contains several distinct sections,
each of which is responsible for a proportion of the activities taking place within the
finance department.

Marketing Consultancy Department:

The Marketing Consultancy Department plays and important role within the Fund as
it studies and analyzes marketing information in order to build solid base for
management decisions. The division also assists projects sponsors in formulating

Customer preference & attributes towards Saving Account of HDFC Bank

solid marketing strategies to improve their industries and strengthen their position in
the local and international markets.

Research Department:
The Research Department is having the capacity to act through four composing units
i.e., the market research unit, economic studies unit, and statistical studies unit. It is
the mission of the division to provide support BANK for information and consultancy
to the senior management and division in the areas of economic, statistical and
marketing information and consultancy through data analysis, processing of economic
and statistical data, market research studies and publishing related periodical reports.

Customer preference & attributes towards Saving Account of HDFC Bank

2.5 Organization Structure and Organization Chart:The organization structure of the company HDFC is such that it comprises of the
departments and the employees in the hierarchical order so that they are able to
perform their functions and duties smoothly and effectively doing their job in a
manner in which it should be done. The organization is headed by the administrative
department which coordinates and controls the executive department. The executive
department is a link from the top and the bottom comprising of the lower level
employees such that they work together to fulfill the common objective of getting
business from the persons who get in touch with them and see to it that they are
provided with the best of the BANK which constitute giving financial advise to
providing Account to the customers.

The lower level employees and the corporate financial consultants work together to
see to it that the database for providing financial BANK to sufficient number of
people is made .They work together to see to it that this database is followed and

Customer preference & attributes towards Saving Account of HDFC Bank

worked upon such that more and more number of people get themselves avail the
financial BANK of the organization. Team leaders who form the part of the
administrative department of the Organization make sure that the clients that turn up
for the financial BANK are dealt with most efficiently and effectively.

The organizational structure is well planned out and it follows a simple format which
is follows

Organization Chart:-

Customer preference & attributes towards Saving Account of HDFC Bank

Each team lead has a team comprising only of both senior as well as junior market
research analyst who aid the team lead in the entire market research process as it has

Customer preference & attributes towards Saving Account of HDFC Bank

been discussed previously. This is the basic organizational structure followed by

HDFC BANK.

2.6 Product and service profile of the organization:-

Customer preference & attributes towards Saving Account of HDFC Bank

HDFC Bank offers a bunch of products and services to meet the every need of the
people. The company cares for both, individuals as well as corporate and small and
medium enterprises. For individuals, the company has a range accounts, investment,
and pension scheme, different types of loans and cards that assist the customers. The
customers can choose the suitable one from a range of products which will suit their
life-stage and needs. For organizations the company has a host of customized
solutions that range from Funded services, Non-funded services, Value addition
services, Mutual fund etc. These affordable plans apart from providing long term
value to the employees help in enhancing Goodwill of the company.

The products of the company are categorized into various sections which are as
follows:

Customer preference & attributes towards Saving Account of HDFC Bank

Personal Banking
Savings Accounts
Salary Accounts
Saving Accounts
Fixed Deposits
Demat Account
Safe Deposit Lockers
Loans
Credit Cards
Debit Cards
Prepaid Cards
Investments & Insurance
Forex Services
Payment Services
Net Banking
Insta Alerts
Mobile Banking
Insta Query

Customer preference & attributes towards Saving Account of HDFC Bank

ATM
Phone Banking
NRI Banking
Rupee Savings Accounts
Rupee Saving Accounts
Rupee Fixed Deposits
Foreign Currency Deposits
Accounts for Returning Indians
Quick remit (North America, UK, Europe, Southeast Asia)
India Link (Middle East, Africa)
Coequal Lock Box
In todays world many companies have emerged who have taken a serious note on the
importance of market research and he advantages of using it for the better growth and
development of the company. Hence, our competitors are those companys who are in
the market research and development field as well as the consultancies, since they
also make use of market research and business developers.

The products and BANK of our competitors are as follows:

A. Customer Satisfaction Analysis:

Customer preference & attributes towards Saving Account of HDFC Bank

Customer analysis involves gathering data about the customers and their
characteristics. They also conduct tailored customer satisfaction surveys to gauze
customer satisfaction.

B. Risk
These BANK are used by the competitors in order to gather external information and
research the possible effect on the competitiveness of company.

C. Product Research BANK:

The conduction of extensive product research by this service helps the competitors to
find out the marketability of a product or service. The research can be utilized to
leverage the major decisions of a company on the marketing of its products.

D. Advertising Research BANK:

Advertising research strives to gain valuable information about the effects and reach
of advertising the products in different forms of media.

Given below are the steps we follow for every assignment we

take up:

Customer preference & attributes towards Saving Account of HDFC Bank

1. The timetable for the search is indicated and the search process commences.
2. Target companies are examined, using any prior information provided by business
development executives in conjunction with sources of information and prospective
companies already known to us, augmented with original study by our search team.
3. We maintain a regular channel of communication with the client to keep them
apprised of the results emerging.

2.7 Market profile of the organization:HDFC Bank Limited provides various financial products and services. It operates in
three segments: Retail Banking, Wholesale Banking, and Treasury. The Retail

Customer preference & attributes towards Saving Account of HDFC Bank

Banking segment provides various deposit products, including savings accounts,

current accounts, fixed deposits, and demat accounts. It also offers auto, personal,
commercial vehicle, home, gold, and educational loans; loans against securities,
property, and rental receivables; and health care finance working capital finance,
construction equipment finance, and warehouse receipt loans, as well as credit cards,
debit cards, depository, investment advisory, bill payments, and transactional services.
In addition, this segment sells third party financial products, such as mutual funds and
insurance, as well as distributes life and general insurance products through its tie-ups
with insurance companies and mutual fund houses. The wholesale banking segment
provides loans, non-fund facilities, and transaction services to large corporate,
emerging corporate, small and medium enterprise, supply chain, public sector
undertaking, central and state government departments, and institutional customers. It
offers deposit and transaction banking products, supply chain financing, working
capital and term finance, agricultural loans, and funded, non-funded treasury, and
foreign exchange products. These segments services include trade services, cash
management, money market, custodial, tax collection, and electronic banking. In
addition, it provides correspondent bank services to co-operative banks, private banks,
foreign banks, and regional rural banks; and wealth management products for nonresident Indians.

The Treasury Services segment operates primarily in areas, such as foreign exchange,
money market, interest rate trading, and equities. As of March 31, 2009, HDFC Bank
had a network of 1,412 branches and 3,295 automated teller machines in 528 cities in
India. The company was founded in 1994 and is based in Mumbai, India.

Customer preference & attributes towards Saving Account of HDFC Bank

In todays growing world everyone needs to diversify their business so as to keep in

touch with the rapid development. By analyzing the growing concerns of the market,
HDFC has clients varying from investment banking sector, retail, web designing
companies, etc. Due to this rapid development HDFC Group has many teams working
for the above mentioned sectors.
HDFC Bank began operations in 1995 with a simple mission: to be a "World-class
Indian Bank". We realized that only a single-minded focus on product quality and
service excellence would help us get there. Today, we are proud to say that we are
well on our way towards that goal.

Customer preference & attributes towards Saving Account of HDFC Bank

CHAPTER-3
DISCUSSIONS ON
TRAINING

3.1 Students work profile

Role and Responsibilities:-

Customer preference & attributes towards Saving Account of HDFC Bank

The work profile of the student or the roles and responsibilities that are being handled
by the student on his internship programmed at HDFC BANK.
The first day and during the first week of the internship programmed the new
employee of the HDFC BANK was welcomed by giving an induction programme in
order to make him understand his role and responsibilities during his stay in the
organization.

Being appointed as a Financial Corporate Consultant at HDFC BANK during the

internship programme my duty or the role is to meet 5 clients, collecting financial
health check, analyzing and giving them financial planning how their net asset value
will be increase and how they fulfill their short-term and long-term financial goal so
that it can be assessed that which ACCOUNT they need suiting their financial
obligations.

Leads and databases created by the students have to be used by them in order to
convince people of different age groups to take account according to their needs and
suitability.

The student calls people according to the leads and database created by him
and convinces people to take the account.

Customer preference & attributes towards Saving Account of HDFC Bank

During the absence of the recovery executives/collection executives, it will

be my

duty and responsibility to meet the customers against payments apart from my regular
job profile and reporting the same to my team leader at HDFC BANK.

To explain the customers how a particular account would help them to make
their lives more secure providing security to them.

I use all the financial knowledge that has been given by the company and
I has as a MBA student and a student of Mar. so that the customer
realizes that he definitely needs to take a particular account.

Must educate the clients about risks and various possible scenarios so that the
clients dont harbor unrealistic expectations.

3.2 Description of live experience:-

The office of HDFC BANK is blessed by brilliant and skilled professionals and team
leader who have the responsibility of handling the Financial Corporate Consultants.
The team leader provides the particular days plan of action and then guide show to go
about for executing the plan of action successfully .Till the time a Financial Corporate

Customer preference & attributes towards Saving Account of HDFC Bank

Consultant is in the office he receives the valuable suggestions and insights of the
team leader. This prepares him for the days Work and provides him the necessary
directions to achieve not only the target of the day but the target of the month. In the
office the Financial Corporate consultant make calls continuously to fix the follow-up
appointments so that on the basis of the financial health check collected by him and
also getting the follow-up appointments from the telesales she goes in the field for
making up the appointments. The financial corporate consultants provide the persons
met the basics of why he should take a particular ACCOUNT to provide to him.

Customer preference & attributes towards Saving Account of HDFC Bank

CHAPTER-4
STUDY OF SELECTED
RESEARCH PROBLEM

4.1 Statement of research problem:PROBLEM DEFINATION:

Sales Executives were with good background human being and through rigorous
process of recruitment but still not able to perform up to the expectation level of
company, HR is not able to sort out the problem why the performance is not coming
even after giving the full marketing support. The communication technique and
dealing with the customers is also a problem to the sales

Customer preference & attributes towards Saving Account of HDFC Bank

executives.

4-2 OBJECTIVES OF RESEARCH PROJECT:

RESEARCH OBJECTIVES:

To find out the customer preferences while opening Savings A/c.

To study brand image of the bank.
To increase the business of the bank.

Customer preference & attributes towards Saving Account of HDFC Bank

4.3 Research Design and Methodology

Primary data source: All the people from different profession were personally
visited and interviewed. They were the main source of Primary data. The method of
collection of primary data was direct personal interview through a structured
questionnaire.
Secondary Data Source: It was collected from internal sources. The secondary data
was collected on the basis of organizational file, official records, news papers,

Customer preference & attributes towards Saving Account of HDFC Bank

magazines, management books, preserved information in the companys database and

website of the company.

SAMPLING PLAN:
Since it is not possible to study whole universe, it becomes necessary to take sample
from the universe to know about its characteristics.
Sampling Units: Customers
Sample Technique: Random Sampling.
Research Instrument: Structured Questionnaire.
Contact Method: Personal Interview.

Customer preference & attributes towards Saving Account of HDFC Bank

SAMPLE SIZE:
My sample size for this project was 100 respondents. Since it was not possible to
cover the whole universe in the available time period, it was necessary for me to take
a sample size of 100 respondents.

RESEARCH LIMITATIONS:
It was not possible to understand thoroughly about the different marketing aspects of
the Financial Consultant within 60 days. As stipend, money was not given it was
difficult to continue the project work. All the work was limited in some limited areas
of Delhi so the findings should not be generalized. The area of research was Delhi and
it was too vast an area to cover within 60 days.
All the findings and conclusions obtained are based on the survey done in the working
area within the time limit. I tried to select the sample representative of the whole

Customer preference & attributes towards Saving Account of HDFC Bank

group during my job training. I have collected data from people linked with different
profession at Bangalore.

4.4 Data Analysis

Q 1:What is your Monthly Transaction in your account ?

Monthly transactions

No. of respondents

% (percentage)

5-20 lakhs

28

28%

59

59%

13

13%

100

100%

70%

20-40 lakhs

60%

40 lakhs and above

50%

Total

40%

Chart
30%

05L- 20L
20L - 40L

1:

40L - Above

20%
10%
0%
05L- 20L

20L - 40L

40L - Above

Customer preference & attributes towards Saving Account of HDFC Bank

Analysis:

59% respondents gave their answer in 20-40 lakhs transactions.

28% respondents gave their answer in 0-20 lakhs transactions.

13% respondents gave their answer in 40 lakhs and above transactions.

Question 2
Do you have a Saving Account?
Response
Yes
No

Chart 2:

No. of respondents
97
3

%
97%
3%

Customer preference & attributes towards Saving Account of HDFC Bank

Analysis: 97% respondents have the saving accounts and only 3% do not have saving
account.

Question 3
In Which Bank?
Bank
Kotak mahindra
HDFC
Co-operative
ICICI
Nationalized
Chart 3

No. of respondents
3
33
48
5
31

%
3%
33%
48%
5%
31%

Customer preference & attributes towards Saving Account of HDFC Bank

Analysis: 48% have saving account in co-operative, 3% in kotak mahindra, 33% in

HDFC, 5% in ICICI, and 31% in nationalized bank.

Question 4
Which Factors do you consider for opening a Savings Account?

Accessibility
Minimum balance
DD/pay order
Free cheque
Debit card
Cash deposit
Cheque pick up
Net banking
Mobile banking
At per cheque
NEFT
RTGS
Total

No. of respondents
10
20
13
10
8
7
2
16
7
3
2
2
100

%
10
20
13
10
8
7
2
16
7
3
2
2
100

Customer preference & attributes towards Saving Account of HDFC Bank

Chart 4

Analysis:

Customer preference & attributes towards Saving Account of HDFC Bank

Respondents gave their answer

10% respondents gave their answer in accessibility, 20% Minimum balance, 13 %
DD/pay order,10% Free cheque, 8% Debit card, 7% Cash deposit, 2% Cheque pick
up, 16% Net banking, 7% Mobile banking, 3% At per cheque, 2% NEFT, 2% RTGS.

Question 5
Which mode of transaction do you avail of frequently?
Response
Pay order
DD
Cheque
Total

No. of response
12
22
76
100

%
12
22
76
100

Chart 5

Analysis:
12% Response in pay order, 32% like DD, and 76 % costumer want from cheque
mode.

Customer preference & attributes towards Saving Account of HDFC Bank

Question 6
Which types of transaction do you make ?
Response

No. of respondents

Intercity

33

33

Outside city

15

15

Both

52

52

Total

100

100

Chart 6

Inter city, 33%

Both, 52%
, 15%

City

Outsid
e

Analysis:
33% account holder transaction intercity, 52 % Both, and 15% outside city.

Customer preference & attributes towards Saving Account of HDFC Bank

Question 7
Does your bank assist you in case of any problem?
Response

No. of respondents

Yes

90

90

No

10

10

Total

100

100

Chart 7

Analysis:
90% say yes bank will assist you in case of any problem, only 10% say no.

4.5 Summary of Findings

Customer preference & attributes towards Saving Account of HDFC Bank

The final draft of the questionnaire was prepared on the basis of the observations
from the pilot study. These were then finally filled by 100 customer, for the
conclusive study.
Finally the data collected was fed into the data analysis to be analyzed using
statistical techniques.
Types of Primary Data collected:

Socioeconomic Characteristics:
Characteristics are sometimes called states of being in that they represent the
type of people. The factors on which we are working are occupation. Monthly
transaction is also an important parameter but it is difficult to verify. Although the
amount of money that business unit earns in a month is an absolute, not a relative
quantity but it is a sensitive topic in our society and it is difficult to determine.

Attitudes/Opinions:
Through the questionnaire we have tried to get hold of business preference,
inclination and requirement. Attitude is an important notion in the marketing
literature, since it is generally thought that the attitudes are related to the behavior
of businessmen.

Motivation:

Customer preference & attributes towards Saving Account of HDFC Bank

Through the questionnaire we have tried to find the hidden need or want of
businessmen and have tried to find if these people can be tapped as the potential
customer for HDFC Bank.

Behavior:
Behavior concerns what subjects have done or are doing. Through the questionnaire
we have tried to find out the behavior of the individuals regarding the product and
their responses. If the responses are favorable then the person can be said to be our
potential customer. The primary data serves as an important tool to measure the
behavioral trend of the customer. It helps in answering some of the vital Questions.

Obtaining the Primary Data:

The data collection was primarily done through communication. Communication
involves questioning respondents to secure the desired information, using a data
collection instrument called questionnaire. The questions were in writing and so were
the responses.

Versatility:
It is the ability of a technique to collect the information on the many types of primary
data of interest to marketers. It has also been found that some of the people do not
answer truthfully to all the questions especially in the case of the personal details

Customer preference & attributes towards Saving Account of HDFC Bank

CHAPTER 5

SUMMARY AND
CONCLUSIONS

5.1Summary of Learning Experience

Customer preference & attributes towards Saving Account of HDFC Bank

Almost all the Banks offer similar features and facilities with their Savings
accounts. There are certain reasons for existing customers of Saving Account of
any Bank to shift to another Bank.
The level of service in terms of delivering whatever is promised, fast response in
case of problems, is the most important benefit that the customers seek, from the
Bank they have a Saving Account with.

1. Network reach and visibility of a Bank is a very important criterion for the
customer while opening a Saving Account. We can also conclude from our
analysis that network reach in terms of Branches and ATMs is directly
proportional to the market share in case of Private Players.

2. In case of a new customer, if a bank approaches it first for opening a Saving

Account with them, then there is a good chance for the bank of getting many
future businesses and cross sales from the deal.

3. Aggressive Marketing is the key to increasing the market share in this area,
since the market has a lot of potential both in terms of untapped market .

Conclusions and Recommendations

Customer preference & attributes towards Saving Account of HDFC Bank

1. Contract Sales Executive (CSE) should be trained to explain the product

features and its value added services to make customers product selection
convenient.

2. Contract Sales Executive (CSE) should recommend right product to the right
customer so as to ensure a high degree of satisfaction among the customer.

3. The bank needs to make people aware about there products and the basic
benefits they can derive out of it. And also the differential features of its
savings account as compared to other banks.70% of the people did not even
know about the concept, benefits and features of its saving accounts.

4. The bank should also target small business unit for whom maintenance of the
AQB is not a problem as this segment is not much penetrated.

5. Though the bank offers free doorstep banking once a day this fact is also not
known to many customers or they still do not trust this service what ever the
reason the bank can popularize this service to gain an edge over nationalized
banks and Co-operative Banks.

6. Quality of service has been rated highly important by all demofigureic factors
as a reason for banking with a particular bank, Standard Chartered needs to
improve the services provided to its existing customers before attracting more

Customer preference & attributes towards Saving Account of HDFC Bank

in the future and use word of mouth as a promotional tool to increase the sales
potential of its savings account.

LIMITATIONS
Some of the limitations of the project are listed as below:

Customer preference & attributes towards Saving Account of HDFC Bank

1. The time bound period is the major limitation in research projects.

2.

Due to the financial and time constraints a cluster analysis of the population
so as to get better results was not feasible.

3. The research conduct in Bangalore city only.

4.

It was difficult to break the ice with the common people initially. It was a
daunting task to convince them to fill in the personal details of the
questionnaire where they have to mention the monthly income, occupation etc.

5. To convince the people for a proper interviewing process is also difficult.

6.

Compilation of data on competitor analysis was difficult due to nonavailability of correct information.

7. The figures have been taken as approximations.

Customer preference & attributes towards Saving Account of HDFC Bank

QUESTIONNAIRE
-

Name of Respondent
_________________________________

Customer preference & attributes towards Saving Account of HDFC Bank

Contact No.
_______________________

1. Monthly Transaction?
________________________________________________

2. Do you have saving Account?

(a) Yes

(b)

No

3. If Yes Which bankso ICICI

o HDFC
o Kotak Mahindra Bank
o Nationalized
o

Other Banks _________________

Co-Operative Banks___________________

4. Which Factors do you consider for opening a saving Account

o Accessibility

o
o
o
o
o

Cheque Pick up
Net Banking
Mobile Banking
At Par Cheques
NEFT
RTGS

Customer preference & attributes towards Saving Account of HDFC Bank

o Minimum Balance
o DD/ Pay Order
o Free Cheque
o Debit Card
o Cash Deposit

5. Which mode of transaction do you avail frequently?

(a) Cheque

6.

(c) Pay Order

Which type of transaction do you made

(a) Inter city

7.

( b) DD

(b) Intra city

(c) Both

Does your bank assist you in case of any problem

(a) Yes

(b) No

8.. What are the additional Benefits do you expect from a Saving Account?

Customer preference & attributes towards Saving Account of HDFC Bank

___________________________________________________________________
___________________________________________________________________
_______.

Date___________________
Signature

Place__________________

Customer preference & attributes towards Saving Account of HDFC Bank

BIBLIOGRAPHY

1.BOOKS & AUTHORS

Marketing Management

Customer preference & attributes towards Saving Account of HDFC Bank

2. NEWS PAPERS
Times of India
Financial Express
3. WEBSITES
www.hdfcbank.com
www.google.com