Al – Wadi’ah Premier Savings+

Protection Account

CONTENTS:• Our Bank• Brief introduction on Islamic Banking and

Islamic Insurance• Market Research• Al-Wadi’ah Premier Savings + Protection

Account• Advertising Strategies• Marketing Strategies• Campaigns• 4Ps

Premier Bank• Started its operations in Singapore in 1960 as a full

licensed commercial bank• Top five banks in ASEAN and a Qualifying Full Bank in

Singapore• 22 Branches and 32 ATMs are strategically located in

both the business districts and the suburban estates for the convenience of our customers

• Committed to bring convenience and a wider spectrum of value-added financial services to our customers.

• Customers will be able to conduct their banking needs anytime, anywhere in the world

VisionVision

• Be a Premier Bank in the Asia-Pacific region• Committed to providing Quality Products• Excellent Customer Service

• Simply the Best!

Our Objectives

• Adopt a relationship-based approach to banking and seek to develop long-term and mutually beneficial relationships with customers.

• Protect the interest of our customers. • Ensure that customers are equipped with

sufficient knowledge about our products• Continuously seek ways to improve our

customer-centricity

Our Products and Services

Deposits Personal iSavy Savings Account-iSavings Account-iPremierOne Account-iAl-Wadiah Premier Savings and Protection Account-i(new)

BusinessCurrent Account-i

Investments Structured Deposit Alpha Structured DepositPrestige Structured DepositPremier Structured Deposit

Unit TrustsDWS Noor Global Equity Select FundDWS Noor Precious Metals Securities FundDWS Noor China Equity FundDWS Noor Japan Equity FundDWS Noor Asia Pacific Equity FundEhical Growth Fund Ethical Value Fund

Our BranchesCentral PremierBank TowerPremierBank @ BalestierPremierBank @ ChinatownPremierBank @ RobinsonRdPremierBank @ NorthBridgePremierBank @ QueenswayPremierBank @ TextileCentre

East PremierBank @ BedokPremierBank @ GeylangSeraiPremierBank @ KovamPremierBank @ MarineParadePremierBank @ SiglapPremierBank @ Tampines

North PremierBank @ AMKPremierBank @ HDBHubPremierBank @ Woodlands888PremierBank @ Yishun

West PremierBank @ BtTimahPremierBank @ ChoaChuKagngPremierBank @ HollandVPremierBank @ Jurong EastPremierBank @ Jurong Point

Contacts

Address: 2 Battery Road Premierbank Tower

Singapore 049907

Phone:- Local: 1800-PREMIER (1800-773-6437)- Overseas:(65) 6533 5229

Website: www.premierbank.com.sg

Islamic Banking• KUALA LUMPUR, MALAYSIA - ISLAMIC banking

has largely escaped the fallout from the global financial crisis

• The outlook for Islamic financing is bright• Transactions must be backed by real assets• Global Islamic banking pie is valued at about

US$1 trillion (S$1.5 trillion)• In light of the financial crisis, many investors are

opting for less risky alternatives

ISLAMIC BANKING

The basic principle of Islamic Banking is the prohibition of Riba’ (Usury or Interest)

Riba’• “increase in” or “addition to anything”. • effortless profit or profit that comes free from

compensation or extra earning obtained without any exchange

• Islam prohibits lending of money to profit. • Instead Muslims are encouraged to do

businesses through partnerships where investor and entrepreneurs can carry out business on a more equitable basis

Contemporary Insurance

• Current insurance provided by insurance agents are not in line with teachings of Islam

1) Insurance contracts has usury/riba’ as they promise to pay more than the premium paid

2) Insurance companies invest the premiums which they have collected in interest-bearing investments

3) Considered as gambling as policy holder loses the insurance premium to insurance company if insured event does not take place

Islamic Insurance

• Mutual provision of guarantees• Parties to the contract support each other

when any of them suffer losses• Allow policy holders to enjoy the same level of

cover provided by conventional insurance and at the same time help the unfortunate in time of needs

Market Research

• Competitive Analysis• Market survey

Competitive AnalysisOCBCAl-Wadi'ah Savings Account

Maybank Savings A/c

Maybank PremierOne Account-i

Dividend Payout Half- Yearly dividend Payout

At Bank’s Discretion At Bank’s discretion

Benefits ATM card Phone Banking Internet Banking Monthly Statement Zakat Auto Deduction ServiceFree Giro Service24-Hour account access

MayBank Visa Money TransferInterbank GIROMobile BankingPhone Banking24-Hour account access

Monthly StatementNo account feesFree 1 chequebook Phone bankingMobile Banking Internet Banking24-Hour account access

Eligibility Min. Age of 15Min. deposit of $1000

Min. Age of 15Min initial deposit of $10Avg daily bal. Req. is $200.

Min. Age of 21Min. Deposit of $1000

Service Fee S$2 per month if monthly avg. Bal. falls below S$1,000

- $8.50 levied if monthly avg. Bal. falls below S$3,000,

Indicative Div. Rate 0.125% - 0.4%p.a. 0.25% - 0.3750% 0.25% - 0.3750%

Market Survey

Questions:1) Do you know what Islamic Banking is?2) Have you heard of any bank that provide Islamic

Banking services?3) In your opinion, are there enough

advertising/campaigns on Islamic Banking?4) Would you open an account if Islamic Banking only

offers dividend and not interest?5) If road shows are carried out at Community Centre or

mosques, are you interested to attend?

1) Do you know what Islamic Banking is?

3) In your opinion, are there enough advertising/campaigns on Islamic

Banking?

5)If road shows are carried out at Community Centre or mosques, are

you interested to attend?

Al-Wadi’ah Premier Savings+

Protection Account

Product Info

• Combines the features of savings and insurance

• "Hibah" or "token" in the form of dividends is distributed quarterly

• Minimum balance required :500 SGD• Insurance premium of SGD 50 automatically

deducted from account monthly.

Assuming a non-smoking female or male who takes up this account

The figures are for illustration purposes only. Insurance eligibility and premiums are subject to underwriting.

* Subject to terms and conitions

Age Coverage Benefits Annual premium amount

Monthly premium amount

30 year old, male Terminal illness,

permanent disability, accidents and loss of property*

Sum assured of S$200,000 up till age 70

S$570.00 S$50

35 year old, female

Sum assured of S$500,000 up till ge 70

S$700.00 S$60

Benefits-Product

• Provides convenience for consumers• Easy cash withdrawals via your ATM Card• 24-Hour account access• Easy transaction monitoring• Interbank GIRO• Insured up to 200,000 for accidents and loss

of property• Hibah or dividend is distributed quarterly

Eligibility

• To be at least 21 years of age • This account is also open to non-profit

organisations• The account can also be opened in your child's

name as a trust account with you as the sole account operator

• Be Singapore Citizens or Singapore Permanent Residents

• Minimum Deposit of SGD500

Recent Dividends Declared

• First S$500: 0.3500% p.a.• Next S$10,000: 0.4750% p.a.• Remaining balance above S$10,500: 0.6000%

p.a.

***Effective as at 4 July 2009

Summary of Product

Premier BankAl-wadiah Premier Savings +Protection

Dividend Payout Quarterly dividend payout

Benefits ATM CardInterbank GIROMobile BankingPhone Banking24-Hour account access No account feesInsurance coverage of up to SGD200,000

Eligibility Min. Age of 21Min. Deposit of $500

Service Fee S$2 per month if monthly avg. Bal. falls below S$500

Indicative Div. Rate 0.30-0.60%

FAQ-Products1. Is Islamic Banking only for Muslims? No. Islamic Banking is for anyone who may wish to use interest-free

banking. We welcome all customers regardless of their religious background.

2. If my Islamic Account is interest-free, how does it work?Your money is kept in accordance with the Syariah guidelines. This means that we don't use the money you keep with us for activities that is contrary to the Syariah guidelines.

3. Who has decided that the Islamic Account is Syariah compliant?We work with a committee of distinguished scholars who have a lot of experience in Islamic finance and the Syariah law. They guide us in our creation of Islamic Banking products which are right for you.

4. I am already a Premier bank customer. Can I change my existing account to the Islamic Account? Yes. You just need to visit any Branch, and we will effect the necessary changes.

5. How do I go apply for an Al-Wadiah Premier Savings and Protection Account? Simply visit any of our 22 Branches. Applicant(s) only need to bring their NRIC and place an initial deposit in cash

6. Can I open an Al-Wadiah Premier Savings and Protection Account with a joint account holder? Yes, you can open an account with another applicant. The joint account will be opened based on either party to sign basis.

Marketing

Marketing

• Target Group: 30 – 60 years old• Both Muslims and Non-Muslims• Preferably working adult

Advertising Strategies/Programs

We carried out a survey and many felt that not much advertising is carried out to promote Islamic Banking. Many do not know what it is about and the products that banks in Singapore provide. Thus, we have decided to have:

• Posters at bus-stops/MRTs• Brochures to be given out and is available at all of our banks• Premier Bank website • Talks at Mosque• Sponsor Carnivals( give talk and goodie bags on product)• Newspaper advertisements• Hotline• Goodie Bags

Marketing Strategies/Programs

• A team will be created to be in-charge of promoting the new Islamic product

• Letters and emails will be sent to customers to promote the new product to them.

• Database of all customers between the ages of 30 to 60 will be collected

• Team will have to check that all data is correct and emails/letter will be sent to them.

• Team will also need to include the brochure in the letter and send it for printing.

• A follow-up will have to be carried out to find out who are interested in it.

Brand/Publicity Campaigns

• We will conduct road shows at mainly 4 housing estates (North, South, East and West).

• Around 4 will be employed each day at each location to promote the new product.

• collaborate with mosques during a ‘Family Carnival’ to conduct talks or road shows with regards to the product.

• Tissues, Brochures and goodie bags given out during the campaigns

Promotion

• Lucky draw1st Prize: Pair of air tickets to and fro to Japan.

2nd Prize: Pair of 3 days 2 nights trip to Phuket

3rd Prize: $200 NTUC voucher. *50 consolation prizes of $50 NTUC vouchers.

Place

• Talks at Community Centres• Talks at Mosques in Singapore• 3 day Road shows(Friday, Sat, Sun) at:1.North: Woodlands2.South: Tiong bahru3.East: Hougang4.West: Choa Chu Kang

Distribution

• Direct mail and emails to existing customers• Posters at various heartlands, bus stops, and

notice boards at community centres

Limitations faced by Premier Bank

• May not get the authority to hold talks at mosques

• May exceed the limit for our budget• Product may not be as well received as expected• Customers not willing to change bank as they are

loyal• Ensure that all staff act according to the Code of

Consumer Banking Act• Difficulty in retaining customers

Solutions

• Ensure that all licenses required are obtained (license to give talks etc)

• Come up with more promotions to attract new customers (give out vouchers and movie tickets)

• Provide excellent customer orientated services (free coffee at branches)

• Open more counters during peak hours• Make sure all staff go through a 3 day training

program with regards to promoting financial products

BudgetBUDGET Quantity Price Total PriceCost of printing survey forms 1000 $0.05 $50.00Cost of printing application forms 10000 $0.03 $300.00Posters at bustops (license to put up posters included) 100 $62.00 $6,200.00Brochures 60000 $1.50 $90,000.00Newspaper advertisements (for 5 days) $111,650.00> The Straits Times 7 $9,900.00 $69,300.00> The Business Times 7 $2,600.00 $18,200.00> Barita Harian 7 $3,450.00 $24,150.00Radio advertisement $13,000.00> Warna 94.2FM (morning-$120, lunch-$150, day-$100, evening-$110, night-$50) 5 $530.00 $2,650.00> 938LIVE (morning-$290, lunch-$160, day-$150, evening-$240, night-$60) 5 $900.00 $4,500.00> Love 97.2FM (morning-$250, lunch-$450, day-$170, evening-$240, night-$60) 5 $1,170.00 $5,850.00Magazine advertisement $34,500.00> Female 3 $4,200.00 $12,600.00> NTUC lifestyle 3 $4,200.00 $12,600.00> Manja 3 $3,100.00 $9,300.00Printing of letters 100000 $0.03 $3,000.00Postage Costs 100000 $0.27 $27,000.00Envelopes 100000 $0.05 $5,000.00Rental of place for roadshows (3 days, at 4 locations) 12 $4,500.00 $54,000.00Logistic fee $15,000.00> Sound system rental 12 $500.00 $6,000.00> Hiring of emcees 12 $750.00 $9,000.00Cost of employing workers ($70 per day, three times) 40 $210.00 $8,400.00Banners 8 $168.00 $1,344.00Collaboration with mosques 4 $1,500.00 $6,000.00Tissue paper together with information of our product printed on it 60000 $0.35 $21,000.00Notepads 60000 $0.60 $36,000.00Recyclable bags (goodie bag for roadshows) 60000 $0.50 $30,000.00Expenses incurred for promotion $11,180.00> Pair of air ticket to and fro to Japan 2 $2,210.00 $4,420.00> Pair of 3 days 2 nights trip to Phuket 2 $630.00 $1,260.00> NTUC vocher 1 $500.00 $500.00> Consolation Prizes 50 $100.00 $5,000.00Family Day Carnival (sponsored by us, talk and brochures given) 1 $4,000.00 $4,000.00 $477,624.00

References

• http://www.wealth.moreclass.com.my/index.php/riba-and-usury/what-is-riba-and-usury

• http://www.islamic-banking.com/ibanking/whatib.php

• http://www.takafol.ru/eng/rubrika.php?rub=47• http://www.islamic-banking.com/aom/takaful/

i_shakir.php• http://www.corporate.mediacorp.sg/

mediarates_radio.html