ICICI BankA Marketing Perspective on

INTRODUCTION

 Setup in 1994

Headquartered in Mumbai

Largest Private Sector Bank in India by Assets and Profits

SBI and HDFC 4th PNB

Third most valuable bank in India

1st mover in Internet and Mobile banking space

Ranked 59rd most valuable brand in the world by Millward

Brown Brandz Survey 2012. (Brand Value of $ 14.19 Billion)

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MARKETING PLAN – OUR APPROACH

Where is ICICI currently?

Where does ICICI want to be?

Mapping the path - Strategy

Measurement of Success

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WHERE IS ICICI BANK TODAY?

Current Headquarters,ICICI Bank, Mumbai

EXISTING PRODUCT LINES

• Personal Banking• Privilege Banking• Wealth Management• Private Banking

Retail Business

• Current Account and Services• Business Loans• Trade Services• Advisory Services

Corporate

Business• M&A Advisory• Global Markets• Commercial Banking• Project Finance

Investment

Banking5

SWOT

STRENGTHS

• Pan India Presence

• Large customer base

• High Brand Recall

• Tech Savvy

• Listed on NYSE

• Complete Array of Products

• Largest Indian Bank abroad

WEAKNESSES

• Low Rural Presence

• Rural Model not profitable

• NPA higher than Industry

• Bad Image due to external

recovery agents

• Higher exposure to global

crisis

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Opportunity Matrix Threat Matrix

1.Dissatsfied customers of other banks.2.Recruits professionally guided students.

1. Within next 3 years, ICICI is planning to open 1500 branches.

1.Banking sector is expected to grow at 17% in the next 3 years.2.Concept of savings increasing in rural areas.

1.Associate with social causes.

1.Ever changing RBI Policies.2.Competition increasing – Banking Reforms3. Global Crisis4. Other banks have increased deposit rates

1. Decentralized management.

2. In rural areas micro financing group holds the major share.

1.Inability to adopt to changing conditions due to large size.2.Unsatisfied customers are increasing and shifting.

1.No proper services to uneducated customers.

Success ProbabilityOccurrence Probability

Att

ract

iveness

Serio

usn

ess

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ENVIRONMENTAL SCANNING – KEY ISSUES

Positive

Negative

Interest rate

Basel III standards

Regulations

Lessons from recession

e-leverage

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COMPETITION MAPPING

Branches

Assets (Rs. Cr.)

PAT (Rs. Cr.)Market Cap

(Rs. Cr.)

2,888

4,73,646

1,956

1,22,691

2,620

3,37,909

1,417

1,66,314

14,119

13,35,519

3,658

1,45,620

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WHERE ICICI BANK WANTS TO BE?

Proposed Headquarters,ICICI Bank, Mumbai

FUTURE GOALS

Long Term GOALS

Become one of the 20 biggest bank in the world (currently not in

top 50)

Global Presence

Short Term GOALS

Improve asset quality

Strong growth

Not really concerned with market share11

THE PATH TO ACHIEVING THESE GOALS

PROPOSED STRATEGY

Ms. Chanda Kochhar,CEO & MD, ICICI Bank

Macro Strategy

• Focus on NRI Banking• Geographical Expansion• Strong Brand Image• Robust IB Business

Global Presence

• Stronger Internal Processes• Quality Sourcing• Develop Customer Intelligence• Charging Risk Premium

Asset Quality

• Organization Restructuring• Increase Wallet Share• Target Rural Markets• Leveraging Technology

Growth

GOALS ENABLERS

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MARKETING MIX [1/3]

Product

Rural & Agri Products

Concentrate on Fee Products

Non – Income Based Products

Price

Charge Risk Premium

Increase deposit rates

PlaceOnline and

Mobile Banking

Branch Penetration

Channel Penetration

Door Step Service

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MARKETING MIX [2/3]

Promotion

Rural Seminars / Nukkad Nataks

Make Elders as Agents of Bank

Sponsor shows abroad by Indian Artists

Target Visa Agents as Channel Partners

Physical Evidence

No Frill Branches

Customized Cards

Decongest Branches

People

Employ Locals

Stringent DSA

Norms

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MARKETING MIX [3/3]

ProcessDevelop Scoring System

Automation of Manual Processes

Common Documentation

Customer oriented processes

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CUSTOMER RELATIONSHIP MANAGEMENT

Leverage Technology

Create Green Channel Customer Base

Apply Customer Intelligence to New Customers

Continuous Customer Engagement to generate leads

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BRAND STRATEGY OVER THE YEARS

Shedding its image of a Financial institution

2001 : Safer, Simpler, Smarter (making foray into retail)

2003 : Hum Hain Na (Beyond Just banking)

2005 : Opportunities Unlimited

2008 : Vishwas hai toh sab kuch hai (in the wake of the Financial crisis )

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MEASURING PERCEPTION ICICI VS SBI

Source: Taproot Banking Survey, 201219

FUTURE BRAND STRATEGY

Continue with “Khayal Apka”

Continue with geographical expansion

Enhance Trust and Safety positioning by:

Develop In-house Collection capabilities

Leverage good financial performance in Marcoms

Rope in Regional Brand Ambassadors

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MEASUREMENT OF SUCCESS

Customer Satisfaction Index – Continuous Evaluation

Brand Development Index Measurement

Perception Survey

Financial Performance and Goal Achievement

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THANK YOUQ&A