Marketing Of Financial Services

Group members Roll no.

Sameer jadhav 511

Priyanka limbachiya 512

Krishna mehta 513

Mudra mehta 515

Yash mehta 516

Richa modi 517

Tushar mota 518

Devanshi parekh 519

Dixita parmar 520

INTRODUCTION TO FINANCIAL INSTRUMENTS

The written legal obligation of one party to transfer something of value, usually money, to another party at some future date.

MEANING OF FINANCIAL INSTRUMENTS Financial products are the products offered by

banks, credit card companies, insurance companies, consumer finance companies, stock brokerages, and some government sponsored enterprises. 

Generally they involves every type of product where consumer is putting his money and getting some product which involves the complexities of risk, return, volatility etc.

There are many companies who are dealing directly into the business of financial products.

DEFINITION OF FINANCIAL INSTRUMENTS

Financial instruments are defined as any contracts that gives rise to financial assets of one entity and financial liability or equity instruments of other entity.

A real or virtual document representing a legal agreement involving some sort of monetary value.

In today's financial marketplace, financial instruments can be classified generally as equity based, representing ownership of the asset, or debt based, representing a loan made by an investor to the owner of the asset. 

MARKETING OF BANKS

PUBLIC RELATIONS

SELLING PROMOTIONAL TOOLS

INTERNAL MARKETING

NETWORK MARKETING

RELATIONSHIP MARKETING

USE OF TECHNONOLY

USE OF HR

SOME INNOVATIVE STRATEGIES

Put comedy routines into your on-hold messages.

Put Easter eggs on your website.Put some fun into your ATM

receipts.

Taking Mobile Bank Marketing OutsideGamify banking. Lost wallets. Make your recruitment ads fun.Use toy cars to sell auto loans.Creative News paper advertisement.

MONEY MARKETAs money became a commodity, the money market became a component of the financial markets for assets involved in short term borrowing, lending, buying and selling with original maturities of one year or less. Trading in the money market is done over the counter and is wholesale.Various instruments exist, such as Treasury bills, Commercial paper, Certificate of deposit, Bills of exchange, repurchase agreements, etc.

TREASURY BILLS T-bills offer short term investment

opportunities, generally up to one year.

They are useful in managing short term liquidity.

At present, the government of India issues three types of treasury bills through auctions, namely, 91-day, 182-day and 364-day.

There are no treasury bills issued by state governments.

MARKETING STRATEGY- KNOWING YOUR CUSTOMERS

Understanding your customer

Market research

Customer segments

How to measure up

MARKETING STRATEGY- MAKING A PLAN

Marketing plan

To talk to target customers

Timing activities

Measure progress regularly

MARKETING STRATEGIES OF CERTIFICATE OF DEPOSITS

INTRODUCTION

The certificates of deposit are basically time deposits that are issued by the commercial banks with maturity periods ranging from 3 months to five years. The return on the certificate of deposit is higher than the Treasury Bills because it assumes a higher level of risk.

INVESTMENT STRATEGIES FOR CERTIFICATE OF DEPOSIT

Setting Up a CD Ladder

A CD as Part of a Growth Strategy

Hedging and Speculating

ADVANTAGES OF CERTIFICATE OF DEPOSITS

1. Since one can know the returns from the

certificates of deposits are considered much safe.

2. One can earn more as compared to depositing

money in savings account.

3. The Federal Insurance Corporation guarantees

the investments in the certificate of deposit.

MARKETING OF INSURANCE

Harness the power of Internet.

Good Old Telemarketing.

TV Advertising.

CONTD..

Customer Appreciation Party. T-shirts. Send Holiday or Birthday Cards.

BONDS In finance, a bond is an instrument of indebtedness

of the bond issuer to the holders. It is a debt security, under which the issuer owes

the holders a debt and, depending on the terms of the bond, is obliged to pay them interest (the coupon) and/or to repay the principal at a later date, termed the maturity date. 

Interest is usually payable at fixed intervals (semiannual, annual, sometimes monthly).

Very often the bond is negotiable, i.e. the ownership of the instrument can be transferred in the secondary market.

MARKETING STRATEGIES

Clarify Business Objectives

Use Innovation Teams to Identify,

Evaluate and Activate Emerging

Opportunities

Decouple Strategy and Innovation

Build Open Assets in the Marketplace

SHARES

The capital of a company is divided into shares. Each share forms a unit of ownership of a company and is offered for sale so as to raise capital for the company. 

To raise the money the company issues share , but what is the 1st step to issue the share s?

Its marketing………….

HOW TO DO MARKETING OF SHARES?

To issue IPO

Give good information in the

prospectus

Transparency to the client

Advertisement in the reputed

newspaper.

MUTUAL FUND Definition: An investment vehicle that is made up of a

pool of funds collected from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments and similar assets. Mutual funds are operated by money managers, who invest the fund's capital and attempt to produce capital gains and income for the fund's investors. A mutual fund's portfolio is structured and maintained to match the investment objectives stated in its prospectus.

One of the main advantages of mutual funds is that they give small investors access to professionally managed, diversified portfolios of equities, bonds and other securities, which would be quite difficult (if not impossible) to create with a small amount of capital.

Each shareholder participates proportionally in the gain or loss of the fund. Mutual fund units, or shares, are issued and can typically be purchased or redeemed as needed at the fund's current net asset value (NAV) per share, which is sometimes expressed as NAVPS.

MARKETING OF MUTUAL FUND IN INDIA

Distribution: Mutual fund investments are sourced both

from institutions (companies) and individuals. Since January 2013, institutional investors have moved to investing directly with the mutual funds since doing so saves on the expense ratio incurred. Individual investors are, however, served mostly by Investment advisor and banks. Since 2009, online platforms for investing in Mutual funds have also evolved.

HOW COMPANIES PROMOTE THEIR PRODUCTS Certified agents(sale and distribution) –

certification from the national institute of securities market(NISM).

Service centers Company web portal Little promotion in print media Outdoor advertising through large size bill

boards/hoardings Retail bank 90% of the customers said that they would

prefer to buy mutual fund products from banks due to existing personal relationship with banks.