STRATEGIES TO INCREASE CUSTOMERS IN HDFC BANK

A PROJECT REPORT Submitted by

SURBHI SHARMA

in partial fulfillment for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

in

FINANCE
at

ISBI COLLEGE, INDORE

PTU UNIVERSITY: JALANDHER

MAY 2011

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DECLARATION
I hereby declare that I have carried out Summer Training Project on the t o p i c e n t i t l e d STRETEGIES TO INCREASE CUSTOMERS IN HDFC BANK At ISBI, Indore. I further declare that this project work is based on my original work and no part of this project has been published or submitted to anybody.

Surbhi Sharma

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CONTENTS
CHAPTER Chapter 1
1.1 1.2 1.3 1.4

Chapter 2
2.1 2.2 2.3 2.4 2.5 2.6

Chapter 3
3.1 3.2 3.2.1 3.2.2 3.3

Chapter 4
4.1 4.1.1 4.1.2 4.2 4.2.1 4.2.2 4.3 4.4 4.5 4.6

PARTICULARS Acknowledgement Introduction The Topic Reason for Selection of this Topic Importance to The Company Learning from the Study Organization Profile Company History Product Scope Product and Services at a glance Milestones in the history Merger Quality Policy Research objective and Scope of research Problem Definition Objective of research project Primary Objective Secondary Objective Product Scope Research Methodology and Limitations Research Plan Preliminary Investigation Exploratory Study Research Design Developing the research plan Collection of data Sampling plan Sample Size Data collection instrument development Research limitations

Pg .No

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Chapter 5 Chapter 6

Chapter 7 Chapter 8

Data analysis, Interpretations andPresentation Conclusions and Suggestions Conclusions Suggestions Limitations SWOT Analysis of HDFC Bank ANNEXURES BIBLIOGRAPHY

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Acknowledgement
I, Surbhi Sharma, MBA Student in ISBI, Indore is highly grateful to all those who guided me in completing this project. First of all, I would like to pay my heartiest thanks to entire family of HDFC BANK especially Mrs. Manisha Sharma, Branch manager, who provided me such a wonderful opportunity to do Summer Training and provided their valuable suggestions in understanding the work of Research Project. Last but not the least, I would like to thanks all faculties of ISBI, Indore, who gave me the useful tips and suggestions regarding project. I would like to thanks my project manager, Mrs. Rashmi Singh for imparting his valuable guidance to me. Words can never express the deep sense of gratitude, I feel for HDFC BANK employees, who has been a constant source of inspiration and encouragement for me.

SURBHI SHARMA (MBA- 2010-2012)

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CHAPTER 1- INTRODUCTION 1.1 THE TOPIC: STATEGIES TO INCREASE CUSTOMERS IN HDFC BANK
At HDFC Bank, I was assigned with the topic as Strategies to increase customers in HDFC Bank for my project work. I joined the company as a Personal Banker. The selection of the topic was to know how the company generates business through them. Personal Bankers are those sources of a company who have their own relations and personal contacts among common public that they use to generate business through.

1.2 REASON FOR SELECTION OF THIS TOPIC:

The financial sector is one of the booming and increasing sectors in India. The Personal Banker are one of the most powerful, efficient and effective channel through which the company sales its various types of financial products and company takes operational work also. It is really difficult to convince customers and sell a single product and accomplish operational work. Where as in my entire project work I found my interest in working in a team, dealing with customers and finally convincing them to buy a product.

1.3 IMPORTANCE TO THE COMPANY:

The ultimate purpose of giving me this topic was to know about the customers perceptions about the different products of the bank, and to know about operational process. How these products can attract them and how the company can generate maximum profit by convincing them through personal banker. To better understand customer requirement and to understand operational methodology.

1.4 LEARNING FROM THE STUDY:

The process of bank related transaction Bank related various terms Work environment of HDFC Bank Different products and services provided by the bank Customers perception about the different products The brand image of the bank What are the problems faced by customer on daily basis. How to communicate with the customers Different techniques of dealing with the customers How to convince and convert a customer into a real customer And at the last how to better response to the customer problem

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CHAPTER 2-ORGANIZATION PROFILE 2.1 COMPANY HISTORY:

The Housing Development Finance Corporation Limited (HDFC) was amongst the first to receive an 'in principle' approval from the Reserve Bank of India (RBI) to set up a bank in the private sector, as part of the RBI's liberalization of the Indian Banking Industry in 1994. The bank was incorporated in August 1994 in the name of HDFC Bank Limited, with its registered office in Mumbai, India. HDFC Bank commenced operations as a Scheduled Commercial Bank in January 1995.

PROMOTER
HDFC is India's premier housing finance company and enjoys an impeccable track record in India as well as in international markets. Since its inception in 1977, the Corporation has maintained a consistent and healthy growth in its operations to remain the market leader in mortgages. Its outstanding loan portfolio covers well over a million dwelling units. HDFC has developed significant expertise in retail mortgage loans to different market segments and also has a large corporate client base for its housing related credit facilities. With its experience in the financial markets, a strong market reputation, large shareholder base and unique consumer franchise, HDFC was ideally positioned to promote a bank in the Indian environment.

BUSINESS FOCUS
HDFC Bank's mission is to be a World-Class Indian Bank. The objective is to build sound customer franchises across distinct businesses so as to be the preferred provider of banking services for target retail and wholesale customer segments, and to achieve healthy growth in profitability, consistent with the bank's risk appetite. The bank is committed to maintain the highest level of ethical standards, professional integrity, corporate governance and regulatory compliance. HDFC Bank's business philosophy is based on four core values Operational Excellence, Customer Focus, Product Leadership and People.

CAPITAL STRUCTURE
The authorized share capital of the Bank is Rs. 550 crore. The paid-up capital as on the said date is Rs. 469,33,76,540 (234,66,88,270 equity shares of Rs. 2/- each). The HDFC Group holds 23.15% of the Bank's equity and about 17.29 % of the equity is held by the ADS / GDR Depositories (in respect of the bank's American Depository Shares (ADS) and Global Depository Receipts (GDR) Issues). 30.68 % of the equity is held by Foreign Institutional Investors (FIIs) and the Bank has 4,47,924 shareholders. The shares are listed on the Bombay Stock Exchange Limited and The National Stock Exchange of India Limited. The Bank's American Depository Shares (ADS) are listed on the New York Stock Exchange (NYSE) under the symbol 'HDB' and the Bank's Global

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Depository Receipts (GDRs) are listed on Luxembourg Stock Exchange under ISIN No US40415F2002.

DISTRIBUTION NETWORK
The Banks distribution network was as 1,986 branches and 5,471 ATMs in 996 cities as of March 31, 2011. All branches are linked on an online real-time basis. Customers in over 120 locations are also serviced through Telephone Banking. The Bank's expansion plans take into account the need to have a presence in all major industrial and commercial centers where its corporate customers are located as well as the need to build a strong retail customer base for both deposits and loan products. Being a clearing/settlement bank to various leading stock exchanges, the Bank has branches in the centers where the NSE/BSE has a strong and active member base. The Bank also has a network of about over 2526 networked ATMs across these cities. Moreover, HDFC Bank's ATM network can be accessed by all domestic and international Visa/MasterCard, Visa Electron/Maestro, Plus/Cirrus and American Express Credit/Charge cardholders.

FIVE S PART OF KAIZEN Focus on effective work place organization believe in Small changes lead to large improvement
Every successful organization have their own strategy to win the race in the competitive market. They use some technique and methodology for smooth running of business. HDFC BANK also acquired the Japanese technique for smooth running of work and effective work place organization. Five S Part of Kaizen is the technique which is used in the bank for easy and systematic work place and eliminating unnecessary things from the work place.

BENEFIT OF FIVE S It can be started immediately. Everyone has to participate. Five S is an entirely people driven initiatives. Brings in concept of ownership. All wastages are made visible.
FIVE S
S-1 S-2 S-3 S-4 S-5 SORT SYSTEMETIZE SPIC- N- SPAN STANDARDIZE SUSTAIN SEIRI SEITON SEIRO SEIKETSU SHITSUKE

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1. SORT:
It focuses on eliminating unnecessary items from the work place. It is excellent way to free up valuable floor space. It segregates items as per require and wanted. 2. SYSTEMATIZE: Systematize is focus on efficient and effective Storage method. That means it identifies, organize and arrange retrieval. It largely focuses on good labeling and identification practices. Objective: A place for everything and everything in its place.

3. SPIC- n - SPAN:
Spic-n-Span focuses on regular clearing and self inspection. It brings in the sense of ownership.

4. STANDERDIZE:
It focuses on simplification and standardization. It involves standard rules and policies. It establish checklist to facilitate autonomous maintenance of workplace. It assigns responsibility for doing various jobs and decides on Five S frequency.

5. SUSTAIN:
It focuses on defining a new status and standard of organized work place. Sustain means regular training to maintain standards developed under S-4. It brings in self- discipline and commitment towards workplace organization.

LABELLING ON FILE FILE NUMBER SUBJECT FROM DATE TO DATE OWNER

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BOX LABEL:
For Example:1/3/A/6 1 Work Station (1) 3 Drawer (3) A - Shelf (A) 6 File Number ( 6)

COLOR CODING
In the HDFC BANK each department has their different color coding apply on the different file. Due to this everyone aware about their particular color file which is coding on it and they save their valuable time. It is a part of Kaizen and also included in the system of the Five S. Logic behind it that, the color coding are always differentiate the things from the similar one. particularly in the retail banking businesses in line with the business growth. Total number of employees increased from 14878 as of March31, 2006 to 21477 as of March 31, 2008.The Bank continues to focus on training its employees on a continuing basis, both on the job and through training programs conducted by internal and external faculty. The Bank has consistently believed that broader employee ownership of its shares has a positive impact on its performance and employee motivation. The Banks employee stock option scheme so far covers around 9000 employees.

DEPARTMENT
Welcome Desk Personal Banker Teller Relationship Manager Branch Manager Demat Others

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MANAGEMENT
Mr. Jagdish Capoor took over as the bank's Chairman in July 2001. Prior to this, Mr. Capoor was a Deputy Governor of the Reserve Bank of India. The Managing Director, Mr. Aditya Puri, has been a professional banker for over 25 years and before joining HDFC Bank in 1994 was heading Citibank's operations in Malaysia. The Bank's Board of Directors is composed of eminent individuals with a wealth of experience in public policy, administration, industry and commercial banking. Senior executives representing HDFC are also on the Board. Senior banking professionals with substantial experience in India and abroad head various businesses and functions and report to the Managing Director. Given the professional expertise of them an agement team and the overall focus on recruiting and retaining the best talent in the industry, the bank believes that its people are a significant competitive strength.

TECHNOLOGY
HDFC Bank operates in a highly automated environment in terms of information technology and communication systems. All the bank's branches have online connectivity, which enables the bank to offer speedy funds transfer facilities to its customers. Multi-branch access is also provided to retail customers through the branch network and Automated Teller Machines (ATMs). The Bank has made substantial efforts and investments in acquiring the best technology available internationally, to build the infrastructure for a world class bank. The Bank's business is supported by scalable and robust systems which ensure that our clients always get the finest services we offer. The Bank has prioritized its engagement in technology and the internet as one of its key goals and has already made significant progress in web-enabling its core businesses. In each of its businesses, the Bank has succeeded in leveraging its market position, expertise and technology to create a competitive advantage and build market share.

HDFC BANK business strategy emphasizes the following:

Increase market share in Indias expanding banking and financial services industry by following a disciplined growth strategy focusing on quality and not on quantity and delivering high quality customer service. Leverage our technology platform and open scaleable systems to deliver more products to more customers and to control operating costs. Maintain current high standards for asset quality through disciplined credit risk management. Develope innovative products and services that attract the targeted customers and address inefficiencies in the Indian financial sector. Continue to develop products and services that reduce banks cost of funds. Focus on high earnings growth with low volatility.

2.2 PRODUCT SCOPE:

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 arrange 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
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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: Accounts and deposits. Loans. Investments and Insurance. Forex and payment services. Cards. Customer center

2.3 PRODUCTS AND SERVICES AT A GLANCE 1. PERSONAL BANKING SERVICES

A. Accounts & Deposits Savings Account Regular Savings Account Savings Plus Account Savings Max Account Senior Citizens Account No Frills Account Institutional Savings Account Payroll Salary Account Classic Salary Account Regular Salary Account Premium Salary Account Defence Salary Account Kid's Advantage Account Pension Saving Bank Account Family Savings Account Kisan No Frills Savings Account Kisan Club Savings Account Current Account Plus Current Account Trade Current Account Premium Current Account Regular Current Account Apex Current Account Max Current Account Reimbursement Current Account Fixed Deposit Regular Fixed Deposit Super Saver Account Sweep-in Account Recurring Deposit Demat Account Safe Deposit Locker

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B. Loans
Personal Loans Home Loans Two Wheeler Loans New Car Loans Used Car Loans Overdraft against Car Express Loans Loan against Securities Loan against Property Commercial Vehicle Finance Working Capital Finance Construction Equipment Finance

C. Investments & Insurance

Mutual Funds Insurance Bonds Financial Planning Knowledge Centre Equities & Derivatives Mudra Gold Bar

D. Forex Services
Trade Finance Travelers Cheques Foreign Currency Cash Foreign Currency Drafts Foreign Currency Cheque Deposits Foreign Currency Remittances Forex Plus Card

E. Payment Services
Net Safe Prepaid Refill Bill Pay Direct Pay Visa Money Transfer E-Monies Electronic Funds Transfer Excise & Service Tax Payment

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F. Access Your Bank - One View Insta Alerts

Mobile Banking ATM Phone Banking Branch Network

G. Cards

Silver Credit Card Gold Credit Card Woman's Gold Credit Card Platinum plus Credit Card Titanium Credit Card Value plus Credit Card Health plus Credit Card HDFC Bank Idea Silver Card HDFC Bank Idea Gold Card

2. WHOLESALE BANKING SERVICES

Funded Services Non Funded Services Value Added Services Internet Banking Clearing Sub-Membership RTGS sub membership Fund Transfer ATM Tie-ups Corporate Salary a/c

Tax Collection
Financial Institutions Mutual Funds Stock Brokers Insurance Companies Commodities Business Trusts

3. NRI BANKING SERVICES

Rupee Saving a/c Rupee Current a/c Rupee Fixed Deposits Foreign Currency Deposits Accounts for Returning Indians Payment Services Net Safe
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Bill Pay Insta Pay Direct Pay Visa Money Online Donation Remittance

2.5 MERGER
HDFC Bank and Centurion Bank of Punjab merger at share swap ratio of 1:29 The Boards of HDFC Bank and Centurion Bank of Punjab met on 25 February, 2008 and approved, subject to due diligence, the share swap ratio for the proposed merger of Centurion Bank of Punjab with HDFC Bank. The Scheme of Amalgamation envisages a share exchange ratio of one share of HDFC Bank for twenty nine shares of Centurion Bank of Punjab. The combined entity would have a nationwide network of 1,148 branches (the largest amongst private sector Banks) a strong deposit base of around Rs. 1,200 billion and net advances of around Rs. 850billion. The balance sheet size of the combined entity would be over Rs. 1,500 billion. Commenting on the proposed merger, Mr. Deepak Parekh, Chairman, HDFC said, We were amongst the first to get a banking license, the first to do a merger in the private sector with Times Bank in 1999, and now if this deal happens, it would be the largest merger in the private sector banking space in India. HDFC Bank was looking for an appropriate merger opportunity that would add scale, geography and experienced staff to its franchise. This opportunity arose and we thought it is an attractive route to supplement HDFC Banks organic growth. We believe that Centurion Bank of Punjab would be the right fit in terms of culture, strategic intent and approach to business. Mr. Aditya Puri, Managing Director, HDFC Bank said, These are exciting times for the Indian banking industry. The proposed merger will position the combined entity to significantly exploit opportunities in a market globally recognized as one of the fastest growing. Im particularly bullish about the potential of business synergies and cultural fit between the two organizations. The combined entity will be an even greater force in the market. Mr. Rana Talwar, Chairman, Centurion Bank of Punjab stated, Over the last few years, Centurion Bank of Punjab has set benchmarks for growth. The bank today has a large nationwide network, an extremely valuable franchise, 7,500 talented employees, and strong leadership positions in the market place. I believe that the merger with HDFC Bank will create a world class bank in quality and scale and will set the stage to compete with banks both locally as well on a global level.Mr. Shailendra Bhandari, Managing Director and CEO, Centurion Bank of Punjab said, We are extremely pleased to receive the go ahead from our board to pursue this opportunity.

A merger between the banks provides significant synergies to the combined entity. The proposed merger would further improve the franchise and customer proposition offered by the individual banks.
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2.6 QUALITY POLICY SECURITY:

The bank provides long term financial security to their policy. The bank does this by offering life insurance and pension products.

TRUST:
The bank appreciates the trust placed by their policy holders in the bank. Hence, it will aim to manage their investments very carefully and live up to this trust.

INNOVATION:
Recognizing the different needs of our customers, the bank offers a range of innovative products to meet these needs. Integrity Customer Centric People Care ONE FOR ALL AND ALL FOR ONE Team work, Joy and Simplicity.

CHAPTER 3- RESEARCH OBJECTIVES AND SCOPE OF RESEARCH PROJECT 3.1 PROBLEM DEFINITION:
Personal Banker 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 and operational support. The communication technique and dealing with the customers is also a problem to the personal banker

3.2 OBJECTIVES OF RESEARCH PROJECT: 3.2.1 PRIMARY OBJECTIVES:

To acquire new customer by convincing them and to promote the benefits of those which are provided by the bank. To find the different way of convincing customers. To study brand image of the bank. To increase the business of the bank.
3.2.2 SECONDARY OBJECTIVES:

To determine the need and purpose of a personal banker. To understand the deciding criteria for people to become a personal banker. To offer suggestions based upon the findings.

3.3 PRODUCT SCOPE:

Studying the increasing business scope of the bank. Market segmentation to find the potential customers for the bank. To study how the various products are positioned in the market.

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 Corporate marketing of products. Customers perception on the various products of the bank.

CHAPTER 4- RESEARCH METHODOLOGY AND LIMITATIONS

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 group during my summer training. I have collected data from people linked with different professional at Indore.

4.1 RESEARCH PLAN: 4.1.1. PRELIMINARY INVESTIGATION:

In which data on the situation surrounding the problems shall be gathered to arrive at. The correct definition of the problem. An understanding of its environment.

4.1.2. EXPLORATORY STUDY:

To determine the approximate area where the problem lies.

4.2 RESEARCH DESIGN:

Research was initiated by examining the secondary data to gain insight into the problem. By analyzing the secondary data, the study aim is to explore the short comings of the present system and primary data will help to validate the analysis of secondary data besides on unrevealing the areas which calls for improvement. 4.2.1 DEVELOPING THE RESEARCH PLAN: The data for this research project has been collected through self Administration. Due to time limitation and other constraints direct personal interview method is used. A structured questionnaire was framed as it is less time consuming, generates specific and to the point information, easier to tabulate and interpret. Moreover respondents prefer to give direct answers. In questionnaires open ended and closed ended, both the types of questions has been used.

4.2.2 COLLECTION OF DATA: 1: SECONDARY DATA:

It was collected from internal sources. The secondary data was collected on the basis of organizational file, official records, news papers, magazines, management books, preserved information in the companys database and website of the company.

2: PRIMARY DATA:

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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.

4.3 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: Different professionals. Chartered Accountants, Tax Consultants, Lawyers, Business Man, Professionals and House Wives of Indore. Sample Technique: Random Sampling. Research Instrument: Structured Questionnaire. Contact Method: Personal Interview.

4.4 SAMPLE SIZE:

My sample size for this project was 50 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 50 respondents.

4.5 DATA COLLECTION INSTRUMENT DEVELOPMENT:

The mode of collection of data will be based on Survey Method and Field Activity. Primary data collection will base on personal interview. I have prepared the questionnaire according to the necessity of the data to be collected.

4.6 RESEARCH LIMITATIONS:

It was not possible to understand thoroughly about the different marketing aspects of the Financial Consultant within 45 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 Indore so the findings should not be generalized. The area of research was Indore and it was too vast an area to cover within 45 days.

CHAPTER 5-DATA ANALYSIS, INTERPRETATIONAND PRESENTATION

Q1.Your Age? Ans. 1. 18-23 Years 2. 24-29 Years 3. 30-35 Years 4. 35 Years and above Base 50 respondents: Interpretation

10 Person 20 Person 10 Person 10 Person

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From above response it can be seen that 20% respondents age are 18 to 23 years. 35% respondents age are 24 to 29 years. 30% respondents age are 30 to 35 years. 15% respondents age are 35 to above years. Q2.Marital Status? 1. Married 2. Single No. of Children: __________ Ans.

Married 32 Person Single 18 Person No. of Children Nil

Interpretation From above response it can be seen that 70% respondents are married. 30% respondents are unmarried. Q3. Educational Qualification? 1. Undergraduate 2. Graduate 3. Postgraduate Ans.

Undergraduate 10 Person Graduate 22 Person Postgraduate 18 Person

Interpretation From above response it can be seen that. 25% respondents are Under graduate. 40% respondents are Graduate. 35% respondents are Post graduate. Q4. Numbers Of years are you in Indore? Less than five years More than five years Ans. Less than five years 17 Person More than five years 33 Person

Interpretation

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From above response it can be seen that. 39% respondents are in Indore for less than five years. 61% respondents are in Indore for more than five years.

Q5.Your Occupation? 1. Business 2. Profession 3. Service Ans.

Business 13 Person Profession 17 Person Service 20 Person

Interpretation From above response it can be seen that. 20% respondents Occupation is Business. 26% respondents Occupation is Profession. 54% respondents Occupation is Service. Q6. Your annual household income? 1. Less than 2 lacs 2. Between 2 to 5 lacs 3. Between 5to 8 lacs 4. More than 8 lacs Ans.

Less than 2 lacs 32 Person Between 2 to 5 lacs 13 person Between 5to 8 lacs 3 Person More than 8 lacs 2 Person

Interpretation From above response it can be seen that. 49% respondents annual household income is less than 2 lacs. 31% respondents annual household income is between 2 to 5 lacs. 15% respondents annual household income is between 5 to 8 lacs. 5% respondents annual household income is more than 8 lacs. Q7.What is your perception about different products/services provided by HDFC bank? 1. Lucrative 2. Not lucrative 3. No idea Ans.

Lucrative 12 Person
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Not lucrative 33 Person No idea 5 Person

Interpretation From above response it can be seen that. 25% respondents perception about different products is lucrative. 6 0 % r e s p o n d e n t s p e r c e p t i o n a b o u t d i f f e r e n t products is not lucrative. 15% respondents have no idea. Q8. Do you want to open an account with HDFC bank? 1. Yes 2. No 3. Will tell later Ans.

Yes 8 person No 5 Person Will tell later 37 Person

Interpretation From above response it can be seen that. 80% respondents are not interested to open an account with the bank. 5% respondents are interested to open an account with the bank. 15% of the respondents say that they will tell later. Q9.Do you have all the documents which are required to open an account? 1. Yes 2. No Ans.

Yes 15 person No 35 Person

Interpretation From above response it can be seen that. 60% respondents have all the documents which are required to open an account with the bank. 25% respondents do not have all the documents which are required to open an account with the bank Q10. Are you aware that the bank provides you free phone banking & net banking services. If you open a new savings account with HDFC bank? 1. Yes 2. No

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Ans.

Yes 32 Person No 18 Person

Interpretation From above response it can be seen that 20% respondents are aware of it. 40% respondents are not aware of it. Q11.Are you aware of different terms and conditions which are very much essential to maintain an account at HDFC Bank? 1. Yes 2. No Ans.

Yes 15 Persons No 35 Persons

Interpretation From above response it can be seen that 12% respondents are familiar with different terms and conditions which are very much essential to maintain account with the bank. 88% respondents have no idea about it.

CHAPTER 6- CONCLUSIONS AND SUGGESTIONS 6.1 CONCLUSIONS:

HDFC Bank, the banking arm of HDFC is expected to go on stream. The bank already has good number of employees on board and is recruiting personal banker heavily to take the headcount to many more. It is on the brim of increasing its customers through its attractive schemes and offer. The project opportunities provided was market segmentation and identifying prospective customers in potential geographical location and convincing them to attract more customers so that new business opportunities of the bank can be explored. Through this project, it could be concluded that people are not much aware about the various products of the bank and many of them not interested to open an account, to invest money at all. services was considered as unsought good which require hard core selling, but in changing trend in income and people becoming financially literate, the demand for banking sector is increasing day by day. So, at last the conclusion is that there is tough competition ahead for the company from its major competitors in the banking sector. Last but not the least I would like to thank HDFC Bank for giving me an opportunity to work in the field of Marketing and Operation. I hope the company finds my analysis relevant

6.2 SUGGESTIONS:

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Finally some recommendations for the company are as follows:To make people aware about the benefit of becoming a customer of HDFC Bank, following activities of advertisement should be done through 1. Print Media. 2. Hoarding & Banners. 3. Stalls in Trade Fares 4. Distribution of leaflets containing details information. Other facilities must be providing to the customer: Minimum balance for savings account should be reduced from Rs 10000 to Rs 5000, so that people who are not financially strong enough can maintain their account properly. The company should provide a pass book to all its customers. Make people understand about the various benefits of its products. Company should organize the program in the society, so that people will be aware about the company and different products of the bank. Company should open more branches in different cities

CHAPTER 7- LIMITATIONS
Every work has its own limitation. Limitations are extent to which the process should not exceed. Limitations of this project are: The project was constrained by time limit of two months. Mindset of people may vary depending upon their age, gender, income etc. Getting appointment from the concern person was very difficult. People mind set about the survey was obstacles in acquiring complete Respondents were very busy in their schedule. So it was very time consuming for information & positive interaction, them to answer all the questions properly.

SWOT ANALYSIS OF HDFC BANK:

Strengths HDFC bank is the second largest private banking sector in India having 2,201 branches and 7,110 ATMs. HDFC bank is located in 1,174 cities in India and has more than 800 locations to serve customers through Telephone banking The banks ATM card is compatible with all domestic and international Visa/Master card, Visa Electron/ Maestro, Plus/cirus and American Express. This is one reason for HDFC cards to be the most preferred card for shopping and online transactions.

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 HDFC bank has the high degree of customer satisfaction when compared to other private banks The attrition rate in HDFC is low and it is one of the best places to work in private banking sector HDFC has lots of awards and recognition, it has received Best Bank award from various financial rating institutions like Dun and Bradstreet, Financial express, Euromoney awards for excellence, Finance Asia country awards etc HDFC has good financial advisors in terms of guiding customers towards right investments Weakness HDFC bank doesnt have strong presence in Rural areas, where as ICICI bank its direct competitor is expanding in rural market. HDFC cannot enjoy first mover advantage in rural areas. Rural people are hard core loyals in terms of banking services. HDFC lacks in aggressive marketing strategies like ICICI The bank focuses mostly on high end clients Some of the banks product categories lack in performance and doesnt have reach in the market The share prices of HDFC are often fluctuating causing uncertainty for the investors Opportunities HDFC bank has better asset quality parameters over government banks, hence the profit growth is likely to increase. The companies in large and SME are growing at very fast pace. HDFC has good reputation in terms of maintaining corporate salary accounts. HDFC bank has improved its bad debts portfolio and the recovery of bad debts are high when compared to government banks HDFC has very good opportunities in abroad. Greater scope for acquisitions and strategic alliances due to strong financial position Threats

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 HDFCs nonperforming assets (NPA) increased from 0.18 % to 0.20%. Though it is a slight variation its not a good sign for the financial health of the bank The non banking financial companies and new age banks are increasing in India The HDFC is not able to expand its market share as ICICI imposes major threat The government banks are trying to modernize to compete with private banks RBI has opened up to 74% for foreign banks to invest in Indian market

ANNEXURES1. QUESTIONNAIRE
Dear Sir/Madam, Name: Address: Contact No :( O) (M) City: ...............Pin: .State: I am a student of International School of Business Insight (ISBI) Studies presently doing a project on STRETEGIES TO INCREASE CUSTOMER IN HDFC BANK .I request you to kindly fill the questionnaire below and I assure you that the data generated shall be kept confidential. 1) Your Age: ____________________ 2) Education Qualification. Undergraduate Graduate Postgraduate 3) Marital Status . Married Single No. of Children: __________ 4) .Number of years Are You in Indore. Less than five years More than five years 5) Occupation. Business Profession Service (Please mention below the type of business/profession you are in incase of service please mention your organization name and designation) 6) Your annual household income. <than 2 lack Between 2 to 5 lack
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Between 5 to 8 lack >than 8 lack 7) What is your perception about different products and services offered by HDFC Bank? Lucrative Not lucrative No idea 8) Do you want to open an savings account with HDFC Bank? Lucrative Not lucrative No idea 9) Do you have all the documents which are required to open an account? Yes No 10) Are you aware of that HDFC Bank provide you free phone banking & net banking services. If you open a new savings account with HDFC bank? Yes No 11) Are you aware of different terms and conditions which are very much essential to maintain an account at HDFC Bank? Yes No

Date: Place: Signature Thank You

BIBLIOGRAPHY
1. BOOKS Marketing Management (10th Edition), Philip Kotler , Marketing Management (3rd Edition), V.S. Ramaswamy, Research Methodology (2nd Edition), C.R.Kothary, Research Methodology (3rd Edition). S.P. Kasande

2. NEWS PAPERS
Times of India

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Financial Express

3. WEBSITE www.hdfcbank.com www.google.com

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