SREEHARI ABHILASHI MBA, Sec-D, Roll No.25SMB321

Sathyabama Institute of Science & TechnologyDeemed UniversityChennai – 600 119

(sreehariabhilash@yahoo.co.in)

01.08.2005 - 18.08.2005

A MARKET RESEARCH & SURVEY ON STUDENT SERVICES RENDERED BY ICICI BANK

“ BANK @ CAMPUS ACCOUNT ”

BY

Sri.Vijayachandran. Sri. V. Binu Raj

Customer Acquisition Team Sales Manager

ICICI Bank Ltd., Thiruvananthapuram, Kerala State

PROJECT LEADERS

ACKNOWLEDGEMENTS

Sri.Vijayachandran.V, Customer Acquisition Team, ICICI Bank Ltd., Trivandrum

Sri.Binu Raj, Sales Manager, ICICI Bank Ltd., Trivandrum

Dr.Sreenath MD, Warden of Mens Hostel, Govt. Medical College, Trivandrum

Smt.Radhamoni, Principal, LBS Institute of Technology for Women, Poojapura, Trivandrum

Sri.P.R.Sreemadhavan Pillai, Principal, SCT College of Engineering, Pappanamcode, Trivandrum

Smt.Esther Jayanthi, Principal, All Saints’ College for Women, Trivandrum

All students participated in the survey.

INTRODUCTION

Banking is commonly used word in our day to day life. The banking institutions are changing round the clock in order give maximum benefits to their customers in this competitive world. Converting non-customers into customers is the biggest challenge in banking sector just like any other sectors. But in banking, retaining the customers without excusing quality of service is found difficult. Among the new generation private sector banks, ICICI Bank Limited is found as a forerunner. It renders a bunch of services and various kinds of accounts other than what is usually seen in the scheduled banks in India.This is the first time, a bank is coming out with a special package exclusively for college students. So a study on market potential of “Bank @ Campus A/c” of ICICI Bank Limited is why undertaken.

COMPANY PROFILE

“ICICI Bank is India's second-largest bank with total assets of about Rs.1,67,659 crore at March 31, 2005 and profit after tax of Rs. 2,005 crore for the year ended March 31, 2005 (Rs. 1,637 crore in fiscal 2004). ICICI Bank has a network of about 560 branches and extension counters and over 1,900 ATMs. 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 specialised subsidiaries and affiliates in the areas of investment banking, life and non-life insurance, venture capital and asset management. ICICI Bank set up its international banking group in fiscal 2002 to cater to the cross border needs of clients and leverage on its domestic banking strengths to offer products internationally. ICICI Bank currently has subsidiaries in the United Kingdom, Canada and Russia, branches in Singapore and Bahrain and representative offices in the United States, China, United Arab Emirates, Bangladesh and South Africa.” - Source: www.icicibank.com

THE “ BANK @ CAMPUS ACCOUNT ” FEATURESBenefits to students:- Free Debit-cum-ATM Card Free Personalized Cheque Book Free Internet Banking through www.icicibank.com Free Phone Banking (All Kerala Tel. No. 98954 78000) Free Supplimentary Credit Card, if parent have an ICICI Credit Card Free Annual Statement of Accounts Free transfer of funds into Students A/c from any ICICI Bank A/c.Benefits to parents:- Free transfer of funds from parent’s ICICI Bank A/c to child’s A/c. (Taking care of College Fees, Tuition, Living Expenses, etc) If parent have an ICICI credit card, he/she can give a supplement credit card to son/daughter and even specify pre-determined spending limit.Free Internet banking includes: - Downloading detailed statement of accounts, view details of all accounts maintained with ICICI Bank, Transfer funds between your account and any other ICICI Bank account, pay your utility bills – mobile, electricity and telephone bills, request cheque book and demand drafts, request to stop payment of cheque, report your lost debit cards, open fixed and recurring deposits online, access information on personal finance, computing & the internet, e-commerce, lifestyle etc., liaise with your Account Manager, invest in mutual funds.

Free Phone banking includes:- Enquire about balance, request a tele-draft, obtain mini-statements, request a cheque book, request to stop payment of cheque, intimate lost debit card, transfer of funds between ICICI Bank accounts.

Eligibility:- He/She should be a student and of above 18 years of age.

Documentation:- Verified True copy of college ID card with PP-Size photograph of the applicant attested by Principal/Vice Principal/Head of Department of the college. The college should be recognized by an Indian University / Technical Body/ or a Deemed University.

Mandatory information to be provided in account opening form includes:-Basic details like name, current & permanent address, phone no., Date of birth, nationality, residential status, college and course particularly including end date of the course, basic details of parents, photograph and signature, expected international transfer of funds in the case of foreign students.

FREQUENTLY ASKED QUESTIONS (FAQS)

1) How to open a “Bank @ Campus” A/c? (4 options) a) Apply onlinehttp://icicibank.com/pfsuser/icicibank/depositproducts/bank@campus/residentindianform.htm b) Walk into any ICICI Bank branch c) E-mail at info@icicibank.com d) Call ICICI Bank 24 hour customer care centre.

2) How much amount is needed to open the A/c? Rs.500/-

3) What is the minimum balance amount to be maintained? Minimum quarterly average balance of Rs.500/-

4) At what frequency the interest is paid to me? Interest earned on you balance is credited in your account on half yearly basis in the months of September and March.

5) What is the interest rate? 3.5% p.a. (subject to change)

6) How to change the Nominee(s)? Nominee(s) can be changed by giving written declaration in appropriate formavailable in all the ICICI bank branches.

7) What are the different channels of accessing my account? a) Through www.icicibank.com b) Through ICICI ATMs c) Phone banking

8) What is the withdrawal limit from ATMs? Rs.25,000/day

9) What is the shopping limit using Debit card? Rs.25,000/day

10) How do we deposit in to the A/c? a) Through ICICI Bank ATMs (Cash or Cheque) by the student. c) Through ICICI Bank branches (Cash / Cheque) by the parent. (Free Cash deposit by parent is allowed only one time in a month)

OBJECTIVES OF STUDY

Primary Objective:

To analyze the market for special savings account/ banking services forstudents.

Secondary Objective:

To disseminate the information regarding benefits to student bankingservices.

To know the willingness of students to open an account.

To refine the facilities, that is being offered by ICICI Bank Ltd.

SCOPE OF STUDY

The Market Research & Survey of ICICI Bank Student Service – “Bank @ Campus A/c” was undertaken only in Trivandrum City. The study covers 4 famous colleges which are spread over the Trivandrum City. Out of the 4, 3 are reputed professional colleges.

1. Govt. Medical College, Trivandrum (Mens hostel only)

2. LBS Institute of Science & Technology for Women, Poojapura, Trivandrum

3. SCT College of Engineering, Pappanamcode, Trivandrum

4. All Saints’ College for Women, Trivandrum

SOURCES OF DATA

Maximum efforts were taken to collect information from the students directly.

Primary data: -

1.Given structured questionnaires having 8 simple queries for the purpose of survey.2. Directly interacting with students to answer their queries and doubts.3. Explaining about the ‘Bank @ Campus A/c’ features and advantages over otherbanking services.

Secondary data:-

1. Acquired from the bank officials, current customers, websites, etc.

Bank @ Campus

Questionnaire

DATA REPORT USING PIE-DIAGRAMBased on the filled-up Questionnaires

1. Have you heard about ICICI Bank?

2. How many times in a month you visit bank (any bank)?

3. Are you really bored of standing in long queues of scheduled banks (Ordinary banks)?

4. Have you really interested in transacting through ATMs?

5. How much money you spend in a month for your personal needs?

6. Would you like to carry Cash or Card while you go for shopping?

7. Do you feel that a Bank Account is necessary for a student?

8. Do you need a Rs.500/- minimum balance Student Account from ICICI?

METHODOLOGY

Random survey method using unique structured questionnaires to the students.

Direct oral communication with students & understanding their problems.

Colleges covered is mentioned under “Scope of study” head.

Tables, diagrams and basic statistical calculations used in this study.

LIMITATIONS

1) This survey is carried out only in famous 4 colleges of Thiruvananthapuram city region only.

2) There were only 185 students participated in the survey, i.e. 77 male students & 108 female students.

3) Random survey method is been carried out in all colleges.

4) As this survey is made in college campus/hostel, there were lot of restrictions to speak & to distribute questionnaire, pamphlet to students. So it is undertaken at the time of interval for lunch & after college hours (when the students were returning home).

5) As most of the students are teenagers, it is probable that some students have filled up the questionnaire as it is meant for playing purposes. It may result in wrong result.

6) As this survey is related with subjects of money, banking, ATM cards etc most students were hesitated to participate because of fear. Majority opined that they are ready to speak, but does not fill up any such questionnaire. Some students participated in the survey and filled up the questionnaire after convincing them that there is nothing to worry about.

7)Bank @ Campus Account cannot be operated by private candidates and students studying other than university affiliated colleges. Still majority of the students are doing courses in private and autonomous institutions for learning various trades.

FINDINGS

1) It was found that all most all the students heard about ICICI Bank Ltd.

2) Almost 45% of students visit bank (any bank with/without their parents) once in a month & 36% visit more than twice a month. But 19% of the students still not visiting bank even with their parents, hence they are not aware about the banking practices. Among the male students, those who are not visiting bank is only 6%.

3) 85% of the students are found not willing to stand in long queue systems found in scheduled banks, which is an utter wastage of time and effort.

4) 93% of students are interested in transacting through ATMs. They are surprised to know that cash can be deposited through ATMs of ICICI Bank.

5) 54% of students is found spending upto Rs.500/-, 18% between Rs.501/- and Rs.1000/- and 28% above Rs.1000/-. The male students found spending almost double of the female students.

6) 53% of the students wish to use Debit cards for shopping, out of this male students is 65% & female students is 44%.

7) 86% of the students collectively opine that a bank account is necessary for a student. While the male students’ rate the same to 96% and female students to 80%.

8) 44% of the students would like to open a ‘Bank @ Campus A/c’ with ICICI Bank Ltd. Male students rates the same to 51% and female students rate to 40%.

9) It was found that majority of the students have account where their parents maintain accounts, mostly joint accounts with parent. Majority of these students opened their accounts in SBT/SBI.

10) Students who are not maintaining any accounts opine that they collect money on a daily or weekly basis from their parents.

11) Students studying in professional colleges jointly said that they can open a savings bank account in most of the scheduled banks (especially in SBT) with just Rs.100/- to Rs.300/- and can enjoy Debit-cum-ATM cards. They are against of maintain a minimum balance of Rs.500/-.

12) A few students already having ‘Bank @ Campus A/c’ of ICICI Bank Ltd. in Govt. Medical College – Mens hostel complained that hefty fines were imposed on them as they could manage the minimum balance of Rs.500/-

13) ID cards of majority colleges do not have course finishing date printed/written on it. The students opine that it is difficult to fill the account opening form without any help of the bank officials and the formalities like getting signature from the busy principal or vice principal not easy.

14) The students are not aware of the banking practices, ATM operations, legal issues of banking, etc.

15) The students think that ATM operation, usage of debit cards for paying bills, shopping, etc are risky than using currency. They fear of getting deficit amount while withdrawing cash from ATM and hence losing the actual amount they keys in the ATM from their account.

SUGGESTIONS FOR IMPROVEMENT

1) Easy and less formalities should be implemented for opening Bank @ Campus A/c.

2) The minimum balance should be made to Rs.100/- which attracts more students.

3) Branch banking to be provided for students, as many students have doubts regarding operation of accounts which a security personal in an ATM cannot solve.

4) The fines for not maintaining minimum balance to be lessen and fix at par with that of scheduled banks.

5) In order to attract more students into the bank, the bank should conduct seminars & workshops in colleges and surroundings regarding usual bank practices, ATM operations, Internet & Telephone banking services and legal issues regarding the account and account holder. Also the importance of creating savings practices even at the time of their college days.

6) Creating a better name of the bank among students will take the bank to greater heights as once the students become employees, businessmen, etc. In the future they make more investments in the bank. In these days, there is a high rising number of professional students getting job in foreign countries especially in the middle-east, Australia, UK, USA, etc. So concentrating more in professional colleges especially the nursing colleges across Kerala, medical colleges, engineering colleges etc in the city.

7) The bank executives should be reachable to students at times of need.

8) To attract and build more number of student accounts, the bank should arrange seminars of banking services to students in every residents’ association in Trivandrum city as a social service, but it is very beneficial to the bank in the long run.

9) Separate help desk to be arranged in bank branches for student services.

10) Usually students open accounts in the bank where parents maintain account or near to their house or college. As ICICI Bank does not have more branches in Trivandrum, it has to reach students in the form of seminars and temporary student help desk on banking services at their college campus. Then only the word ‘Bank @ Campus’ lives long. Because are several other banks providing SB A/c and ATM facilities to students for just Rs.250/- minimum balance which is a tight competition.

11) Qualified and experienced executives to be put in these help desks as they should be thorough with terms and conditions of the account and ready to answer the queries of the students.

12) As scheduled banks gives more interest on their savings to senior citizens, ICICI banks should bring the concept of more interest for students.

13) Students studying in private and autonomous institutions other than of Indian / Deemed universities to be allowed to open Bank @ Campus A/c. Still majority students do short and long term courses in such institutions in Kerala.

14) There is no brochure for ‘Bank @ Campus Account’ found in the bank. Hence, colourful and easy to understand pamphlet to be introduced for supplying to students. Attractive brochures may create a good impact of the Bank /Account on students..

CONCLUSION

ICICI Bank proves to be an ideal & leading other banks by using latest technologies and variety of services. The students are expecting more beneficial services from the bank such as educational loans, etc. Students of all colleges accept ICICI Bank – Bank @ Campus Account as a good step into the students services. As the first bank to introduce special savings account for students, it should keep-up the expectations of students by regularly conducting surveys on student service and alter services in favour of students. It is easy to gain a fine position but harder to retain it.

“Students are the building blocks of a nation, In future, they mature to employees & business persons with lots of money at ICICI Bank!”

Thank you!

Please write your comments & suggestion to The Researcher:-

• Email Address: sreehariabhilash@yahoo.co.in • Website:- http://www.geocities.com/sreehariabhilash