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DF
* A system of trading money which:
* provides a safe place to save excess cash, known as deposits.

Marketing of Banking Services
* Bank marketing is the aggregate of functions, directed at providing services to satisfy customers financial (and other related) needs and wants, more effectively and efficiently than the competitors keeping in view the organizational objectives of the bank.” Importance of Marketing of Banking Services

* The existence of the bank has little value without the existence of the customer. Aim is not only to create and win more and more customer but also to retain them through effective customer service. * Appropriate promise to a customer through a range of services (products) and also to ensure effective delivery through satisfaction is important. Concept of Bank Marketing

* Identifying the most profitable markets now and in future; * Assessing the present and future needs of customers;
* Setting business development goals and making plans to meet them * Managing the various services and promoting them to achieve the plans * Adapting to a changing environment in the market place. Marketing Strategies

* Designed after taking into account the strengths and weaknesses of the organization. * Bank with clientele from various segments could think of “market penetration” by offering the existing range of services to existing customers.  * Bank which are not facing acute competition could think of “Market Development” by offering the existing services to new customers. * Design new product range for their customers of various segments Banking Products

* Product: The products offered are the services which includes various types of bank accounts, different types of loans, investment services, Credit cards, Demat accounts, online banking, mobile banking and many more Pricing

* Buyers look for satisfaction which differs from person to person. * The interest charged and the interest paid should have a co-relation between them Place
* It refers to the establishment and functioning of a network of branches and other offices through which banking services are delivered. * Objective is to get the right product ,at right places at right time at the least cost. * Extensive branch network

* With the advent of technology other point of contacts have come up. Such as: -ATM
-Telephone banking
-Online banking
-Mobile banking
Promotion
* Advertising
* Publicity
* Sales Promotion
* Personal Selling
* Push Strategies
* Pull Strategies
Internal Marketing
* It involves the people(5th P) of the bank i.e. the employees. * Employees should also be treated as internal customers
* Quality Human resource can be a point of differentiation

Interactive Marketing
* The quality of service provided during the buyer-employee interaction. * It involves :
Process (6th P)
Physical evidence (7th P)
Current Marketing Strategies
* Referral services
* Direct mailing
* Cold calling
* Offering items having your brand identity
* Using the media
* Getting celebrities to endorse the product or service.
* Sponsoring events
* Using permission-based Marketing
Rural Bank Marketing
* Follows 80-20 Parato principal
* Bankers need to understand the rural psychology
* Employing local literate youth for confidence building
* Banker must be aware of agriculture aspects, cultural and communal aspects, institutional facilities etc. * Status of various development plans should be known

ALM
DEF:
* ALM is defined as, “the process of decision – making to control risks of existence, stability and growth of a system through the dynamic balances of its assets and liabilities.”

* An attempt to match:
Assets and Liabilities
* In terms of:
Maturities and Interest Rates Sensitivities
* To minimize:
Interest Rate Risk and Liquidity...
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