A STUDY ON CUSTOMER SATISFACTION IN ICICI BANK

EXECUTIVE SUMMARY

Private Banking is a concept which is new and fast emerging in the world of banking where

changes have become a necessity in order to survive in this competitive environment vis-à-vis

not only from the public and private sector banks but also from foreign banks.

The objective of the research is to explore the various products, which a private banker deals into

and the systematic process used by the ICICI bank to make its services customer friendly.

ICICI started in Aug 2002 and since then it has been a remarkable success. Today there are

enormous solutions to cater client needs but what suits best to a client is where private banking

fits in. Every client will have different needs, liking and preferences. So, a customized portfolio

for every client is the need of the day.

This research will highlight more on the products & services portfolio of the ICICI private

banking, how they have changed or innovatively structured to be attractive and competitive.

1

LITERATURE REVIEW

Satisfaction means a feeling of pleasure because one has something or has achieved something.

It is an action of fulfilling a need, desire, demand or expectation. Every rationale customer

compares the cost (price) and benefit (utility) of any product or Services. Customers compare

their expectations about specific product/services and its actual benefits. This comparison results

into three types of customers: dissatisfied Customers (expectations are more than actual

performance of the service); satisfied Customers (actual benefits realized from services are equal

to or more than expectations); indifferent customers (actual performance and expectation are

exactly equal).

Westbrook (1981) reported that overall satisfaction is the outcome of customer's evaluation of a

set of experiences that are linked with the specific service provider. It is observed that

organization's concentration on customer expectations resulted into greater Satisfaction (Peters

and Waterman, 1982). Kotler (2000) defined satisfaction as a person’s feelings of pleasure or

disappointment resulting from the comparison of Product’s perceived performance in reference

to expectations. Customers' feelings and Beliefs also affect their satisfaction level. It is said that

satisfaction is a function of Customer’s belief about fair treatment (Hunt, 1991).

Customer satisfaction has become important due to increased competition as it is considered very

important factor in the determination of bank's competitiveness (Bartell, 1993; Haron et al.

1994).Satisfaction is a post purchase evaluative judgment associated with a specific purchase

decision (Churchill and Suprenant, 1992). The customer Satisfaction is indispensable for the

successful survival of any organization. Continuous measurement of satisfaction level is

necessary in a systematic manner (Chakravarty et al.1996; Chit wood, 1996; Romano and

Sanfillipo, 1996).

2

Customer Satisfaction in Banking:

Financial liberalization and deregulation has increased the competition among banks to attract

potential customers. Every banker tries to provide superior services to keep satisfied customers.

Satisfied customer is the real asset for any organization that ensures long-term Profitability even

in the era of great competition. It is found that satisfied customer repeat his/her experience to buy

the products and also creates new customers by communication of positive message about it to

others (Dispensa, 1997). On the other hand, dissatisfied Customer may switch to alternative

products/services and communicate negative message to others. So, organizations must ensure

the customer satisfaction regarding their Goods/services (Gulledge, 1996).

Expectation-Outcome Experience of Customers:

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Report

Satisfaction or

Dissatisfaction

Actual

Performance

Pre purchase

Expectation

Switch

CHAPTER I

INTRODUCTION

INTRODUCTION TO BANKING IN INDIA:

The banking section will navigate through all the aspects of the Banking System in India. It will

discuss upon the matters with the birth of the banking concept in the country to new players

adding their names in the industry in coming few years.

The banker of all banks, Reserve Bank of India (RBI), the Indian Banks Association (IBA) and

top 20 banks like IDBI, HSBC, ICICI, ABN AMRO, etc. has been well defined under three

separate heads with one page dedicated to each bank.

However, in the introduction part of the entire banking cosmos, the past has been well explained

under three different heads namely:

History of Banking in India

Nationalization of Banks in India

Scheduled Commercial Banks in India

The first deals with the history part since the dawn of banking system in India. Government took

major step in the 1969 to put the banking sector into systems and it nationalized 14 private banks

in the mentioned year. This has been elaborated in Nationalization Banks in India. The last but

not the least explains about the scheduled and unscheduled banks in India. Section 42 (6) (a) of

RBI Act 1934 lays down the condition of scheduled commercial banks.

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HISTORY OF BANKING IN INDIA:

Without a sound and effective banking system in India it cannot have a healthy economy. The

banking system of India should not only be hassle free but it should be able to meet new

challenges posed by the technology and any other external and internal factors.For the past three

decades India's banking system has several outstanding achievements to its credit. The most

striking is its extensive reach. It is no longer confined to only metropolitans or cosmopolitans in

India. In fact, Indian banking system has reached even to the remote corners of the country.The

government's regular policy for Indian bank since 1969 has paid rich dividends with the

nationalization of 14 major private banks of India.

Not long ago, an account holder had to wait for hours at the bank counters for getting a draft or

for withdrawing his own money. Today, he has a choice. Gone are days when the most efficient

bank transferred money from one branch to other in two days. Now it is simple as instant

messaging or dials a pizza. Money has become the order of the day.

The first bank in India, though conservative, was established in 1786. From 1786 till today, the

journey of Indian Banking System can be segregated into three distinct phases. They are as

mentioned below:

Early phase from 1786 to 1969 of Indian Banks

Nationalization of Indian Banks and up to 1991 prior to Indian banking sector Reforms.

New phase of Indian Banking System with the advent of Indian Financial & Banking

Sector Reforms after 1991.

SCHEDULED COMMERCIAL BANKS IN INDIA:

The commercial banking structure in India consists of:

Scheduled Commercial Banks in India

Unscheduled Banks in India

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Scheduled Banks in India constitute those banks which have been included in the Second

Schedule of Reserve Bank of India (RBI) Act, 1934. RBI in turn includes only those banks in

this schedule which satisfy the criteria laid down vide section 42 (6) (a) of the Act.

As on 30th June, 1999, there were 300 scheduled banks in India having a total network of 64,918

branches. The scheduled commercial banks in India comprise of State bank of India and its

associates (8), nationalized banks (19), foreign banks (45), private sector banks (32), co-

operative banks and regional rural banks.

"Scheduled banks in India" means the State Bank of India constituted under the State Bank of

India Act, 1955 (23 of 1955), a subsidiary bank as defined in the State Bank of India (Subsidiary

Banks) Act, 1959 (38 of 1959), a corresponding new bank constituted under section 3 of the

Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 (5 of 1970), or under

section 3 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 (40

of 1980), or any other bank being a bank included in the Second Schedule to the Reserve Bank

of India Act, 1934 (2 of 1934), but does not include a co-operative bank".

"Non-scheduled bank in India" means a banking company as defined in clause (c) of section 5 of

the Banking Regulation Act, 1949 (10 of 1949), which is not a scheduled bank".

The following are some of the Scheduled Banks in India (Public Sector):

State Bank of India

Allahabad Bank

Bank of India

Central Bank of India

Dena Bank

The following are some of the Scheduled Banks in India (Private Sector):

Axis Bank Ltd

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ICICI Bank Ltd

HDFC Bank Ltd

Bank of Punjab Ltd

IDBI Bank Ltd

The following are some of the Scheduled Foreign Banks in India:

American Express Bank Ltd.

Bank of Tokyo Ltd.

Citi Bank N.C.

Standard Chartered Bank.

BANKING SERVICES IN INDIA:

With years, banks are also adding services to their customers. The Indian banking industry is

passing through a phase of customers market. The customers have more choices in choosing

their banks. A competition has been established within the banks operating in India.With stiff

competition and advancement of technology, the services provided by banks have become more

easy and convenient. The past days are witness to an hour wait before withdrawing cash from

accounts or a cheque from north of the country being cleared in one month in the south.

This section of banking deals with the latest discovery in the banking instruments along with the

polished version of their old systems.

Bank Account:

The most common and first service of the banking sector. There are different types of bank

account in Indian banking sector. The bank accounts are as follows:

Bank Savings Account - Bank Savings Account can be opened for eligible person /

persons and certain organizations / agencies (as advised by Reserve Bank of India (RBI)

from time to time)

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Bank Current Account - Bank Current Account can be opened by individuals /

partnership firms / Private and Public Limited Companies / HUFs / Specified Associates /

Societies / Trusts, etc.

Bank Term Deposits Account - Bank Term Deposits Account can be opened by

individuals / partnership firms / Private and Public Limited Companies / HUFs/ Specified

Associates / Societies / Trusts, etc.

Bank Account Online - With the advancement of technology, the major banks in the

public and private sector has facilitated their customer to open bank account online. Bank

account online is registered through a PC with an internet connection. The advent of bank

account online has saved both the cost of operation for banks as well as the time taken in

opening an account.

Plastic Money:

Credit cards in India are gaining ground. A number of banks in India are encouraging people to

use credit card. The concept of credit card was used in 1950 with the launch of charge cards in

USA by Diners Club and American Express. Credit card however became more popular with use

of magnetic strip in 1970.Credit card in India became popular with the introduction of foreign

banks in the country. Credit cards are financial instruments, which can be used more than once to

borrow money or buy products and services on credit. Basically banks, retail stores and other

businesses issue these.

Loans:

Banks in India with the way of development have become easy to apply in loan market. The

following loans are given by almost all the banks in the country:

Personal Loan

Car load or Auto Loan

Loan against Shares

Home Loan

Education Loan or Student Loan

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Money Transfer:

Beside lending and depositing money, banks also carry money from one corner of the globe to

another. This act of banks is known as transfer of money. This activity is termed as remittance

business. Banks generally issue Demand Drafts, Banker's Cheque, Money Orders or other such

instruments for transferring the money. This is a type of Telegraphic Transfer or Tele Cash

Orders.It has been only a couple of years that banks have jumped into the money transfer

businesses in India. The international money transfer market grew 9.3% from 2003 to 2004 i.e.

from US$213 bn. to US$233 bn. in 2004. Economists say that the market of money transfer will

further grow at a cumulative 12.1% average growth rate through 2009.

FUTURE OF BANKING IN INDIA:

A healthy banking system is essential for any economy striving to achieve good growth and yet

remain stable in an increasingly global business environment. The Indian banking system has

witnessed a series of reforms in the past, like deregulation of interest rates, dilution of

government stake in PSBs, and increased participation of private sector banks. It has also

undergone rapid changes, reflecting a number of underlying developments. This trend has

created new competitive threats as well as new opportunities.

Given the competitive market, banking will (and to a great extent already has) become a process

of choice and convenience. The future of banking would be in terms of integration. This is

already becoming a reality with new-age banks such as YES Bank ICICI Bank, and others too

adopting a single-PIN, OTP facility. Geography will no longer be an inhibitor. Technology will

prove to be the differentiator in the short-term but the dynamic environment will soon lead to its

saturation and what will ultimately be the key to success will be a better relationship

management.

If one were to say that the future of banking in India is bright, it would be a gross

understatement. With the growing competition and convergence of services, the customers stand

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only to benefit more to say the least. At the same time, emergence of a multitude of complex

financial instruments is foreseen in the near future (the trend is visible in the current scenario

too) which is bound to confuse the customer more than ever unless she spends hours (maybe

days) to understand the same. Hence, I see a growing trend towards the importance of

relationship managers. The success (or failure) of any bank would depend not only on tapping

the untapped customer base (from other departments of the same bank, customers of related

similar institutions or those of the competitors) but also on the effectiveness in retaining the

existing base.

India has witness to a sea change in the way banking is done in the past more than two decades.

Since 1991, the Reserve Bank of India (RBI) took steps to reform the Indian banking system at a

measured pace so that growth could be achieved without exposure to any macro-environment

and systemic risks. Some of these initiatives were deregulation of interest rates, dilution of the

government stake in public sector banks (PSBs), guidelines being issued for risk management,

asset classification, and provisioning. Technology has made tremendous impact in banking.

‘Anywhere banking’ and ‘Anytime banking’ have become a reality. The financial sector now

operates in a more competitive environment than before and intermediates relatively large

volume of international financial flows. In the wake of greater financial deregulation and global

financial integration, the biggest challenge before the regulators is of avoiding instability in the

financial system.

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CHAPTER II

RESEARCH OBJECTIVE

This Study will help us to understand the consumer’s satisfaction about banking services and

products. This study will help banks to understand, how a consumer selects, organizes and

interprets the Quality of service and product offered by banks. The market is more aware and

realistic about investment and returns from financial products. In this background this study tries

to analyze the customer satisfaction towards banking services in general and ICICI Bank in

particular.

SCOPE OF THE STUDY:

This study is limited to the consumers with in New Delhi city. The study will be able to reveal

the preferences, needs, satisfaction of the customers regarding the banking services, It also help

banks to know whether the existing products or services they are offering are really satisfying the

customers’ needs.

OBJECTIVE OF THE STUDY:

1. To understand the major attributes of customer satisfaction.

2. To determine the main factors influencing the level of customer satisfaction in

ICICI Bank.

3. To assess the level of customer satisfaction on the quality of service provided by

the ICICI Bank.

4. To study consumer perception about the ICICI Bank.

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CHAPTER III

COMPANY PROFILE

ICICI Bank is India's largest private sector bank with total assets of Rs. 6,461.29 billion (US$

103 billion) at March 31, 2015 and profit after tax Rs. 111.75 billion (US$ 1,788 million) for the

year ended March 31, 2015. ICICI Bank currently has a network of 4,450 Branches and 13,797

ATM's across India.

HISTORY:

ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian financial institution,

and was its wholly-owned subsidiary. ICICI's shareholding in ICICI Bank was reduced to 46%

through a public offering of shares in India in fiscal 1998, an equity offering in the form of

ADRs listed on the NYSE in fiscal 2000, ICICI Bank's acquisition of Bank of Madura Limited in

an all-stock amalgamation in fiscal 2001, and secondary market sales by ICICI to institutional

investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at the initiative of the World

Bank, the Government of India and representatives of Indian industry. The principal objective

was to create a development financial institution for providing medium-term and long-term

project financing to Indian businesses.

In the 1990s, ICICI transformed its business from a development financial institution offering

only project finance to a diversified financial services group offering a wide variety of products

and services, both directly and through a number of subsidiaries and affiliates like ICICI Bank.

In 1999, ICICI become the first Indian company and the first bank or financial institution from

non-Japan Asia to be listed on the NYSE.

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After consideration of various corporate structuring alternatives in the context of the emerging

competitive scenario in the Indian banking industry, and the move towards universal banking,

the managements of ICICI and ICICI Bank formed the view that the merger of ICICI with ICICI

Bank would be the optimal strategic alternative for both entities, and would create the optimal

legal structure for the ICICI group's universal banking strategy. The merger would enhance value

for ICICI shareholders through the merged entity's access to low-cost deposits, greater

opportunities for earning fee-based income and the ability to participate in the payments system

and provide transaction-banking services. The merger would enhance value for ICICI Bank

shareholders through a large capital base and scale of operations, seamless access to ICICI's

strong corporate relationships built up over five decades, entry into new business segments,

higher market share in various business segments, particularly fee-based services, and access to

the vast talent pool of ICICI and its subsidiaries.

In October 2001, the Boards of Directors of ICICI and ICICI Bank approved the merger of ICICI

and two of its wholly-owned retail finance subsidiaries, ICICI Personal Financial Services

Limited and ICICI Capital Services Limited, with ICICI Bank. The merger was approved by

shareholders of ICICI and ICICI Bank in January 2002, by the High Court of Gujarat at

Ahmedabad in March 2002, and by the High Court of Judicature at Mumbai and the Reserve

Bank of India in April 2002. Consequent to the merger, the ICICI group's financing and banking

operations, both wholesale and retail, have been integrated in a single entity.

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ICICI GROUP COMPANIES:

ICICI Bank offers a wide range of banking products and financial services to corporate and retail

customers through a variety of delivery channels and through its group companies.

ICICI Group

http://www.icicigroupcompanies.com

ICICI Prudential Life Insurance Company

http://www.iciciprulife.com/public/default.htm

ICICI Securities

http://www.icicisecurities.com

ICICI Lombard General Insurance Company

http://www.icicilombard.com

ICICI Prudential AMC & Trust

http://www.icicipruamc.com

ICICI Venture

http://www.iciciventure.com

ICICI Direct

http://www.icicidirect.com

ICICI Foundation

http://www.icicifoundation.org

Disha Financial Counselling

http://www.icicifoundation.org

ICICI Bank also has banking subsidiaries in UK and Canada

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BOARD OF DIRECTORS:

ICICI Bank's Board members include eminent individuals with a wealth of experience in

international business, management consulting, banking and financial services.

Board Members:

Mr. K. V. Kamath, Chairman Mr. SridarIyengar

Mr. Homi R. Khusrokhan Mr. Lakshmi N. Mittal

Mr. NarendraMurkumbi Dr. Anup K. Pujari

Mr. AnupamPuri Mr. M.S. Ramachandran

Mr. M.K. Sharma Mr. V. Sridar

Prof. Marti G. Subrahmanyam Mr. V. PremWatsa

Ms. Chanda D. Kochhar, Mr.SandeepBakhshi,

Managing Director & CEO Deputy Managing Director

Mr. N. S. Kannan, Mr. K. Ramkumar,

Executive Director & CFO Executive Director

Mr. SonjoyChatterjee,

Executive Director

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BOARD COMMITTEE:

Audit Committee Board Governance Remuneration & Nomination Committee

Mr. SridarIyengar, ChairmanMr. M. K. Sharma, Alternate ChairmanMr. NarendraMurkumbiMr. V. Sridar

Mr. M. K. Sharma, ChairmanMr. K. V. KamathMr. AnupamPuriProf. Marti G. Subrahmanyam

Corporate Social Responsibility Committee Customer Service Committee

Mr. M. K. Sharma, ChairmanDr. Anup K. PujariMs. Chanda D. Kochhar

Mr. K. V. Kamath, ChairmanMr. NarendraMurkumbiDr. Anup K. PujariMr. M. S. RamachandranMr. M.K. SharmaMs. Chanda D. Kochhar

Credit Committee Fraud Monitoring Committee

Mr. K. V. Kamath, ChairmanMr. NarendraMurkumbiMr. M. S. Ramachandran Mr. M .K. SharmaMs. Chanda D. Kochhar

Mr. M. K. Sharma, ChairmanMr. K. V. KamathMr. NarendraMurkumbiMs. Chanda D. KochharMr. SandeepBakhshi

Risk Committee Share Transfer & Shareholders'/ Investors' Grievance Committee

Mr. K. V. Kamath, ChairmanMr. SridarIyengarDr. Anup K. PujariProf. Marti G. SubrahmanyamMr. V. PremWatsaMs. Chanda D. Kochhar

Mr. M. K. Sharma, ChairmanMr. NarendraMurkumbiMr. N. S. Kannan

Committee of Executive DirectorsMs. Chanda D. Kochhar, Chairperson Mr. SandeepBakhshiMr. N. S. KannanMr. K. RamkumarMr. SonjoyChatterjee

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BUSINESS OBJECTIVE:

Vision

To be the leading provider of financial services in India and a major global bank.

Mission

We will leverage our people, technology, speed and financial capital to: be the banker of

first choice for our customers by delivering high quality, world-class service.

Expand the frontiers of our business globally.

Play a proactive role in the full realisation of India’s potential.

Maintain a healthy financial profile and diversify our earnings across businesses and

geographies.

Maintain high standards of governance and ethics.

Contribute positively to the various countries and markets in which we operate.

Create value for our stakeholders.

TECHNOLOGY USED IN ICICI BANK:

ICICI use many type of advance technological software like Pinnacle 7.0

andPinnacle7.016.Among from this software ICICI bank uses the e-banking, core banking,

mobile banking electronic display. ICICI Bank was using Teradata for its data warehouse.

However, due to its proprietary hardware, the cost of procurement, upgrades and administration

was soaring. The closed box architecture of Teradata imposed restrictions on scalability.

Secondly, querying and loading could not happen simultaneously. Queries could only be run

during business hours because the loading of data had to take place during off business hours.

This meant that the refresh rate of EDW was delayed, so queries may not reflect the most current

data. ICICI Bank was also dependent on Teradata for support and other activities: The bank was

completely tied down to that solution.

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These issues compelled ICICI Bank to look for more efficient and flexible solutions. The

solution would have to address not only current issues, but accommodate future growth

expectations and business requirements. ICICI Bank evaluated numerous data warehousing

solutions in the pursuit of solving its issues, and developed a shortlist of alternatives for its

migration proof-of-concept: Sybase, SAS and Netezza. The primary criteria for evaluation were

the price-to-performance ratio where Sybase IQ emerged the clear winner. During this rigorous

testing, Sybase IQ delivered faster results on independent hardware and operating systems with

minimum infrastructure. Commending the improvements achieved, AmitSethi, Joint General

Manager, ICICI bank says, "What impressed us wasthat even with overall lower costs, we could

achieve significantly better query performanceafter implementing the Sybase enterprise

warehouse solution." ICICI Infotech today launched an enterprise resourceplanning (ERP)

solution for the small and medium enterprises.

The ERP package - Orion Advantage - comes bundled with an HP dual processor Xeon server,

Oracle 9i database, Windows 2003 server and costs about Rs 9.90 lakh and has a 15-user license.

An ERP package helps a manufacturer or any other business implementing it to manage all the

important parts in the company such as product planning, parts purchasing, maintaining

inventory and interacting with suppliers and customers.

ICICI Infotech officials told a press conference here today that Orion Advantage offered a set of

business practice solutions for industry segments such as engineering, auto ancillary,

pharmaceuticals, chemicals and IT distribution. Besides the cost advantage, the ERP package

also came pre-configured. ICICI Infotech had mapped the processes specific to each industry

segment into the package.

Mr. R.K. Kanthi, Deputy General Manager, ICICI Infotech, said there was no ERP packagefor

the SMEs that bundled the server, database and operating system right now. That was the

advantage ICICI Infotech offered to SMEs as Orion Advantage came bundled and preconfigured.

Besides the high cost of generic ERP packages, their implementation time as far as SMEs were

concerned was also long. Orion Advantage could be installed in 45 days.

ICICI Infotech had signed up six customers so far for the package and hoped to garner a 15 per

cent market share of the SME segment, whose number in the country was estimated at 2.30 lakh.

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We can see that the how technology gives the best results in the below diagram. There are

drastically changes seen in the use of Internet banking, in a year 2001 (2%) and in the year 2008

(25%).

Centralized Processing Units Derived Economies Of Scale

Electronic Straight through Processing Reduced Transaction Cost

Data Warehousing,CRM Improve Cost Efficiency,Cross Sell

Innovative Technology Application Provide New Or Superior Products

The country’s middle class accounts for over 320 million people. In correlation with thegrowth

of the economy, rising income levels, increased standard of living, and affordability of banking

products are promising factors for continued expansion.

CHAPTER IV19

PRODUCTS AND SERVICES

Loan Product Deposit Product Investment & Insurance

Auto loan Loan against

security Loan against

property Personal loan 2- wheeler loan Commercial

vehicles finance Home loans Retail business

banking Tractor loan Working capital

finance Construction Equipment finance Health care finance Education loan Gold loan

Savings A/C Current A/C Fixed Deposits Demat A/C Safe Deposit

Lockers

Mutual Funds Bonds Knowledge Centre Insurance General And Health

Insurance Equity And

Derivatives Mudra Gold Bar

Cards Payment Services Access To Bank

Credit Card Debit Card Prepaid Card

--------------------------------

Forex services

--------------------------------

Product And Services

Trade Services Forex Service

Branch Locater RBI Guidelines

Net Safe Merchant Prepaid Refill Bill Pay Visa Bill Pay InstaPay Direct Pay VisaMoney

Transfers E-Monies Electronic

Funds Transfer Online Payment Of

Direct Tax

Net Banking One View InstaAlert Mobile

Banking ATM Phone Banking Email Statements Branch Network

ICICI Bank offers wide variety of Deposit Products to suit your requirements. Coupled with

convenience of networked branches/ ATMs and facility of E-channels like Internet and Mobile

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Banking, ICICI Bank brings banking at your doorstep. Select any of our deposit products and

provide your details online and our representative will contact you for Account Opening.

SAVING ACCOUNTS:

ICICI Bank offers you a power packed Savings Account with a host of convenient features and

banking channels to transact through. So now you can bank at your convenience, without the

stress of waiting in queues

SENIOR CITIZEN SERVICES:

We understand that as you reach the age to retire, you do have certain concerns … whether your

hard earned money is safe and secure … whether your investments give you the kind of returns

that you need. That's why we have an ideal Banking Service for those who are 60 years and

above. The Senior Citizen Services from ICICI Bank has several advantages that are tailored to

bring more convenience and enjoyment in your life.

YOUNG STARS:

It's really important to help children learn the value of finances and money management at an

early age. Banking is a serious business, but we make banking a pleasure and at the same time

children learn how to manage their personal finances.

FIXED DEPOSITS:

Safety, Flexibility, Liquidity and Returns!!!! A combination of unbeatable features of the Fixed

Deposit from ICICI Bank.

RECURRING DEPOSITS:

When expenses are high, you may not have adequate funds to make big investments. But simply

going ahead without saving for the future is not an option for you. Through ICICI Bank

Recurring Deposit you can invest small amounts of money every month that ends up with a large

saving on maturity. So you enjoy twin advantages- affordability and higher earnings

HOME LOAN:

The No. 1 Home Loans Provider in the country, ICICI Bank Home Loans offers some

unbeatable benefits to its customers - Doorstep Service, Simplified Documentation and Guidance

throughout the Process. It's really easy!

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PERSONAL LOANS:

If you’re looking for a personal loan that’s easy to get, your search ends here. ICICI Bank

Personal Loans are easy to get and absolutely hassle free. With minimum documentation you can

now secure a loan for an amount up to Rs. 15 lakhs

CAR LOAN:

The NO 1 financier for car loans in the country.Network of more than 1500 channel partners in

over 780 locations.Tie-ups with all leading automobile manufacturers to ensure the best

deals.Flexible schemes & quick processing.Hassle-free application process on the click of a

mouse.

COMMERCIAL VEHICLE LOANS:

Range of services on existing loans & extended products like funding of new vehicles, refinance

on used vehicles, balance transfer on high cost loans, top up on existing loans, Extend product,

working capital loans & other banking products.

TWO WHEELER LOANS:

Avail attractive schemes at competitive interest rates from the No 1 Financier for Two Wheeler

Loans in the country. Finance facility up to 90% of the On Road Cost of the vehicle, repayable in

convenient repayment options and comfortable tenors from 6 months to 36 months. Ride home

on your Dream Two Wheeler with our hassle free finance.

FARM EQUIPMENT LOANS:

Preferred financier for almost all leading tractor manufacturers in the country. Flexible

repayment options in tandem with the farmer's seasonal liquidity. Monthly, Quarterly and Half-

yearly repayment patterns to choose from. Comfortable repayment tenures from 1 year to 9 year

CREDIT CARDS:

ICICI Bank Credit Cards give you the facility of cash, convenience and a range of benefits,

anywhere in the world. These benefits range from life time free cards, Insurance benefits, global

emergency assistance service, discounts, utility payments, travel discounts and much more.

DEBIT CARDS:

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The ICICI Bank Debit Card is a revolutionary form of cash that allows customers to access their

bank account around the clock, around the world. The ICICI Bank Debit Card can be used for

shopping at more than 100,000 merchants in India and 13 million merchants worldwide.

TRAVEL CARD:

Presenting ICICI Bank Travel Card.The Hassle Free way to Travel the world. Traveling with US

Dollar, Euro, Pound Sterling or Swiss Francs; Looking for security and convenience; take ICICI

Bank Travel Card. Issued in duplicate. Offers the Pin based security. Has the convenience of

usage of Credit or Debit card.

PRE PAID CARDS:

ICICI Bank brings to you a complete bouquet of pre-paid cards providing payment solutions at

your fingertips. ICICI Bank pre-paid cards are a safe & convenient way for associate payments,

disbursements, gifting & small ticket transactions. Pre-paid cards are available on a VISA

platform thus providing accessibility to over one lakh merchant establishments & cash

withdrawal from all VISA ATMs in India.

INVESTMENTS:

At ICICI Bank, we care about all your needs. Along with Deposit products and Loan offerings,

ICICI Bank assists you to manage your finances by providing various investment options

ranging from ICICI Bank Tax Saving Bonds to Equity Investments through Initial Public Offers

and Investment in Pure Gold. ICICI Bank facilitates following investment products:

ICICI Bank Tax Saving Bonds

Government of India Bonds

Investment in Mutual Funds

Initial Public Offers by Corporate

Investment in "Pure Gold"

Foreign Exchange Services

Senior Citizens Savings Scheme, 2004

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You can invest in above products through any of our branches. For select products ICICI Bank

also provides the ease of investing through electronic channels like ATMs and Internet

(ICICIdirect.com)

ICICI BANK PURE GOLD:

Gold has been traditionally the most favored form of investment for Indians. In fact, India, even

today is amongst the highest consumers of Gold in the world. However, the Gold market remains

largely unorganized with reliability and convenience remaining the key issues for gold buyers in

the country.ICICI Bank with its `Pure Gold' offer attempts to bridge the gap between the need of

the customers for buying gold and availability of an organized avenue to satisfy that need, by

taking care of the two key components Reliability and Convenience. Reliability 24 Carat ICICI

Bank Pure Gold is imported from Switzerland. This Gold carries a 99.99% Assay Certification,

signifying highest level of purity, as per international standards.

FOREX SERVICES:

ICICI Bank's Foreign Exchange Services will help you organize your foreign exchange in the

most hassle free manner. Whether its Foreign Currency, Travelers Cheques or Travel Card,

ICICI Bank Foreign Exchange Services is a one-stop solution to your foreign exchange

requirement.

SWOT ANAYSIS:

STRENGTH: WEAKNESS:

Online service

Advanced Infrastructure

High bank service charges

Less credit period

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Friendly staff

12 hr banking service

Other facilities to the customers and employees

Late night ATM service

OPPURTUNITY: THREATS:

Bank Insurance service

Increase in percentage of returns on increase

Recruit professionally guided students

Associate with social cause

Competition

Net services

Decentralized management

CHAPTER V

RESEARCH METHODOLOGY

Research Methodology is a way to solve the research problem systematically. It involves the

various steps to find out the solution of an identified problem. It also clarifies the logic behind

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the study of the problem. When we talk about research methodology we not only talk of the

research method but also consider the logic behind the method we use in the context of our

research study and explain why we are using a particular method or techniques and why we are

not using other so the result are capable of being evaluated.

RESEARCH DESIGN:

A descriptive study tries to discover answers to the questions who, what, when, where, and,

sometimes, how. The researcher attempts to describe or define a subject, often by creating a

profile of a group of problems, people, or events. Such studies may involve the collection of data

and the creation of a distribution of the number of times the researcher observes a single event or

characteristic (the research variable), or they may involve relating the interaction of two or more

variables. Organizations that maintain databases of their employees, customers, and suppliers

already have significant data to conduct descriptive studies using internal information. Yet many

firms that have such data files do not mine them regularly for the decision-making insight they

might provide. This descriptive study is popular in business research because of its versatility

across disciplines. In for-profit, not-for-profit and government organizations, descriptive

investigations have a broad appeal to the administrator and policy analyst for planning,

monitoring, and evaluating. In this context, how questions address issues such as quantity, cost,

efficiency, effectiveness, and adequacy. Descriptive studies may or may not have the potential

for drawing powerful inferences. A descriptive study, however, does not explain why an event

has occurred or why the variables interact the way they do.

SAMPLE METHOD:

Convenience sampling method is used for the survey of this project. It is a non-probability

sample. This is the least reliable design but normally the cheapest and easiest to conduct .In this

method Researcher have the freedom to choose whomever they find, thus the name convenience.

Example includes informal pools of friends and neighbors or people responding to a newspaper’s

invitation for readers to state their position on some public issue.

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SAMPLE SIZE:

Sample size denotes the number of elements selected for the study. For the present study, 50

respondents were selected at random. All the 50 respondents were the customers of different

branches of ICICI Bank.

SAMPLING METHOD:

A sample is a representative part of the population. In sampling technique, information is

collected only from a representative part of the universe and the conclusions are drawn on that

basis for the entire universe.

TYPES OF DATA:

Every decision poses unique needs for information, and relevant strategies can be developed

based on the information gathered through research. Research is the systematic objective and

exhaustive search for and study of facts relevant to the problem

Research design means the framework of study that leads to the collection and analysis of data. It

is a conceptual structure with in which research is conducted. It facilitates smooth sailing of

various research operations to make the research as effective as possible.

PRIMARY DATA:

Primary data are those collected by the investigator himself for the first time and thus they are

original in character, they are collected for a particular purpose. A well-structured questionnaire

was personally administrated to the selected sample to collect the primary data.

SECONDARY DATA:

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Secondary data are those, which have already been collected by some other persons for their

purpose and published. Secondary data are usually in the shape of finished products.

CHAPTER VI

DATA ANALYSIS & INTERPRETATION

1. How long have you been customer of the ICICI bank?

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No. of Years No. of Respondents

Less than a year 13

1-4 years 18

4-7 years 15

More than 7 years 4

Less than a year1-4 years

4-7 yearsMore than 7 years

13

18

15

4

How long have you been customer of the ICICI bank?

INTERPRETATION: From the above graph it is clear that majority of the respondents are part

of the ICICI bank from 1-4 years i.e.36%; 30% of the respondents are part of the ICICI bank

from 4-7 years; 26% respondent from less than a year and remaining 8% respondent are part of

the ICICI bank form more than 7 years.

2. Do you always get the prompt service whenever you visit the ICICI bank branch?

No. of Respondents

Strongly agree 23

Agree 17

Neither Agree nor Disagree 7

Disagree 2

Strongly disagree 1

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46%

34%

14% 4% 2%

Do you always get the prompt service whenever you visit the ICICI bank?Strongly agree Agree Neither Agree nor DisagreeDisagree Strongly disagree

INTERPRETATION: From the above graph it is clear that majority of the respondents get

timely and quick services by the ICICI bank i.e.46%; 34% of the respondents seem to be just

satisfied; 14% respondent are neither happy nor have any problem and remaining 6% respondent

are dissatisfied with respect to get late services from the ICICI bank.

3. Do you agree that the procedure to open an account with the ICICI bank is

difficult?

No. of Respondents

Strongly agree 0

Agree 1


30

Disagree 19

Strongly disagree 25

Strongly agree Agree Neither Agree nor Disagree

Disagree Strongly disagree

0 15

19

25

Do you agree that the procedure to open an account with the ICICI bank is difficult?

INTERPRETATION: From the above graph it is clear that 3/4 th of the respondents doesn’t face

any problem in the process of opening a new account; 10% respondent are neither happy nor

have any problem and remaining 2% respondent are dissatisfied with the procedure of opening a

new account in the ICICI bank.

4. Do you agree that the process of depositing and withdrawing money from the ICICI

bank is complex?

No. of Respondents

Strongly agree 1

Agree 1


31

Disagree 29

Strongly disagree 11


Disagree Strongly disagree1 1

8

29

11

Do you agree that the process of depositing and withdrawing money from the ICICI bank

is complex?

INTERPRETATION: From the above graph it is clear that 80% of the respondents feel that the

process of depositing and withdrawing money from the by ICICI bank isn’t complex; 16% of the

respondents are neither happy nor have any problem and remaining 4% respondent face problem

in depositing and withdrawing money from the ICICI bank.

5. Are satisfied you with the way the queries of the customers have been resolved by

the ICICI bank?

No. of Respondents

Strongly agree 23

Agree 16


32

Disagree 0

Strongly disagree 1

50%

32%

16%

2%

Are satisfied you with the way the queries of the customers have been resolved by the

ICICI bank?Strongly agree Agree Neither Agree nor DisagreeDisagree Strongly disagree

INTERPRETATION: From the above graph it is clear that 82% respondent’s query and

conflict has been easily resolved by the ICICI bank; 16% of the respondents are neither happy

nor have any problem and remaining 4% respondent feels that their problems have not been

resolved in the best way by the ICICI bank.

6. Do you agree that minimum account limit is not high and easy to maintain in the

ICICI bank?

No. of Respondents

Strongly agree 5

Agree 17


Disagree 9

33

Strongly disagree 3


Disagree Strongly disagree

5

17 16

9

3

Do you agree that minimum account limit is not high and easy to maintain in the ICICI

bank?

INTERPRETATION: From the above graph it is clear that 44% of the respondents are satisfied

with the minimum account limit and easy maintenance of the in the ICICI bank; 32% of the

respondents are neither happy nor have any problem and remaining 24% respondent feels that

minimum account limit isn’t good and face some problem in operating their accounts.

7. According to you which service provided by the ICICI bank is best?

Services No. of Respondents

Depositing and withdrawing money 8

Query handling 12

New account process 9

Friendliness of bank personnel 7

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Minimum account limit is not high 1

Easy maintenance of account 2

Parking facilities and accessibility 2

Convenience of location 1

Online services 8

Depositi

ng and with

drawing m

oney

Query han

dling

New ac

count pro

cess

Frien

dliness

of ban

k pers

onnel

Minimum ac

count limit i

s not h

igh

Easy m

ainten

ance

of acco

unt

Parking f

aciliti

es an

d acces

sibilit

y

Convenien

ce of lo

cation

Online s

ervice

s

812

9 7

1 2 2 1

8

According to you which service provided by the ICICI bank is best?

INTERPRETATION: From the above graph it is clear that majority of the respondents would

feel that new account process, inquiry facility, depositing and withdrawing process & online

services are the best services provided by the ICICI bank; 14% like friendliness of personnel and

the remaining like parking facilities, convenience of location etc. as best services among the

various services provided by the ICICI bank.

8. What are problems that you face whenever you make a visit to the ICICI Bank?

Services No. of Respondents

Depositing and withdrawing money 1

Query handling 1

New account process 1

Friendliness of bank personnel 0

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Minimum account limit is not high 1

Easy maintenance of account 1

Parking facilities and accessibility 27

Convenience of location 10

Online services 8

Depositi

ng and with

drawing m

oney

Query han

dling

New ac

count pro

cess

Frien

dliness

of ban

k pers

onnel

Minimum ac

count limit i

s not h

igh

Easy m

ainten

ance

of acco

unt

Parking f

aciliti

es an

d acces

sibilit

y

Convenien

ce of lo

cation

Online s

ervice

s

1 1 1 0 1 1

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10 8

What are problems that you face whenever you make a visit to the ICICI Bank?

Interpretation: From the above graph it is clear that majority of the respondents face the

problem of parking and location of the branch of the ICICI bank i.e.74; 16% face the problem

while performing online services and the remaining face the problem in depositing and

withdrawing process, new account opening process in the ICICI bank.

9. Are satisfied you with the services provided by the ICICI bank?

No. of Respondents

Strongly agree 21

Agree 16


Disagree 3

36

Strongly disagree 1

42%

32%

18%

6% 2%

Are satisfied you with the services provided by the ICICI bank?

Strongly agree Agree Neither Agree nor DisagreeDisagree Strongly disagree

INTERPRETATION: From the above graph it is clear that 74% of the respondents are satisfied

with the dealing of the ICICI bank, 16% are not fully satisfied and 18% are satisfied to some

extent.

CHAPTER – VII

FINDINGS & CONCLUSION

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From the analysis of the results and based on the objectives of the study the following findings

can be ascertained.

According to the data collected, it is clear that most of the respondents are part of the

ICICI bank from 1-7 years.

Almost half of the population gets timely and quick services by the ICICI bank and 75%

of the respondents are satisfied with the service offered by ICICI bank.

Presently the bank offers varieties of services but the customers are mostly happy with

the easy and simple process of opening a new account, depositing and withdrawing

money and query handling process of the ICICI bank.

The problems face by the majority of the population is related to the location of branch

and parking facility availability. Whereas online services are new to the customers so

they also face some problem in performing the online services of the ICICI bank.

As minimum account limit is a cause that restricts the population to make them a part of

the ICICI bank. On the other hand maintain the account is seems to a problem for 1/4 th of

the population.

CHAPTER – VIII

SUGGESTIONS & RECOMMENDATIONS

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With regard to banking products and services, consumers respond at different rates, depending

on the consumer’s characteristics. Hence ICICI Bank should try to bring their new product and

services to the attention of potential early adopters.

Due to the intense competition in the banking sector, the ICICI Bank should adopt better

strategies to attract more customers.

ICICI Bank should select the location for its branch in such a way that the parking

problem should be solved, as more than half of the respondents are facing this problem.

ICICI Bank should come up with various supporting policies to increase the awareness

level among the consumers about the new online services.

ICICI Bank should ask for their consumer feedback to know whether the consumers are

really satisfied or dissatisfied with the service and product of the bank. If they are

dissatisfied, then the reasons for dissatisfaction should be found out and should be

corrected in future.

ICICI Bank should try to increase the Brand image through performance and service then

only the customers will be satisfied.

Majority of the people find banking important in their life, so the ICICI Bank should

employ the strategies to convert the want in to need which will enrich their business.

BIBLIOGRAPHY

www.rbi.org.in

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www.moneycontrol.com

www.nseindia.com

www.icicibank.com

www.google.com

ANNEXURE I

QUESTIONNAIRE

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1. How long have you been customer of the ICICI bank?

<1 year 1-4 years

4-7 years >7 years

2. Do you always get the prompt service whenever you visit the ICICI bank branch?

Strongly agree

Agree

Neither Agree nor Disagree

Disagree

Strongly disagree

3. Do you agree that the procedure to open an account with the ICICI bank is

difficult?

Strongly agree

Agree


Disagree

Strongly disagree

4. Do you agree that the process of depositing and withdrawing money from the ICICI

bank is complex?

Strongly agree

Agree


Disagree

Strongly disagree

5. Are satisfied you with the way the queries of the customers have been resolved by

the ICICI bank?

Strongly agree

Agree

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Disagree

Strongly disagree

6. Do you agree that minimum account limit is not high and easy to maintain in the

ICICI bank?

Strongly agree

Agree


Disagree

Strongly disagree

7. According to you which service provided by the ICICI bank is best?

Depositing and withdrawing money

Query handling

New account process

Friendliness of bank personnel

Minimum account limit is not high

Easy maintenance of account

Parking facilities and accessibility

Convenience of location

Online services

8. What are problems that you face whenever you make a visit to the ICICI Bank?

Depositing and withdrawing money

Query handling

New account process

Friendliness of bank personnel

Minimum account limit is not high

Easy maintenance of account

Parking facilities and accessibility

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Convenience of location

Online services

9. Are satisfied you with the services provided by the ICICI bank?

Strongly agree

Agree


Disagree

Strongly disagree

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A STUDY ON CUSTOMER SATISFACTION IN ICICI BANK

Recruiting & HR

Transcript of A STUDY ON CUSTOMER SATISFACTION IN ICICI BANK