Standard Chartered Finance Ltd.

June-July

2008

[ On the basis of our study we observe that these days any borrowers receive ort!a!e loans with the assistance of a ort!a!e bro"er. # ort!a!e bro"er is a $erson who acts as an inter ediary between a lender and a borrower in a ort!a!e loan. %his ort!a!e bro"er can be called as &eferral.'

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Project Report On
Sales Channel Management At Jaipur

Standard Chartered Finance Ltd.

Delivering Solutions While Inspiring Confidance

Submitted In Partial Fulfillment For Re uirement For !he Degree "f #achelor of #usiness $dministration

Submitted By: Puran Singh She ha!at

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"nde# o$ Contents
Page No.

Certificate #c"nowled!e ent )reface ary 8 *0-*1 *2-/*

*. +,ecutive Su

2. &esearch .ethodolo!y /. 0ndustry )rofile 2. Co $any )rofile 3i4.#bout Stan Charted 5an" a. 6istory b. Stan Charted ban" in 0ndia c. Current Financial &e$orts 3ii4. )roducts offered 7. Sales channel ana!e ent a. 8irect sales channel b. 0ndirect sales channel 1. 8irect vs. 0ndirect sales channel -. 0ntroduction of new sales channel 8. Findin!s : #nalysis 9. Conclusions : reco *0. ;uestionnaire **. 5iblio!ra$hy endations

/2-22

2/-29 70 72-1* 12-1/ 12-17 11

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C%R&"'"CA&%:

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AC()O*+%,%M%)&

0 ta"e this o$$ortunity to than" Mr- Pa!an umar Raj!ania 3S& &elationshi$ .ana!er< .ort!a!es <Jai$ur4 for $rovidin! valuable !uidance throu!hout e an o$$ortunity to do this $ro=ect at Standard Charted Finance Ltd.. %hey have been a source of encoura!e ent and y trainin! $eriod.

0 e,$ress

y sincere than"s to all the staff of the ban" for their coo$eration and y $ro=ect sincerely and well in ti e.

assistance to co $lete

)ame:- Puran Singh She ha!at .ear:- MBA""nd sem

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PR%'AC%
0t is evident that wor" e,$erience is an indis$ensable $art of every $rofessional course. 0n the sa e anner $ractical trainin! in any or!ani>ation is self as a @ualified ca$able ust for each and every individual who is under !oin! cannot consider hi ana!e ent course. ?ithout the $ractical e,$osure one ana!er. 8urin! the trainin! the

student learns throu!h his own e,$erience< the real situation of cor$orate world and to $ut his theoretical "nowled!e into $ractice. %he e,$erience is very valuable for the student and $lays a leadin! and i $ortant role in the carrier Life of the student. 6ence< to fulfill this re@uire ent< ei!ht wee"s trainin! was under ta"en in the SCF Ltd. 3.O&%A#A+4. +nterin! the or!ani>ation is li"e ste$$in! into a new world. #t first< every thin! see s stran!e and unheard but as ti e $asses< one understands the conce$t and wor"in! of the or!ani>ation and thereby develo$ $rofessional relationshi$. 0nitially< it is felt as if classroo study was irrelevant and it is useless in any ConcernBs wor"in! but !radually it is reali>ed that all the basic funda ental conce$ts studied are lin"ed in one or the other ways to the or!ani>ation. 5ut how and what can be with funda entals de$ends u$on the intellectual and a$$licability of the individual. 0t is =ust a is no better $lace to learn this $ractical side of atter to odify theory so as to a$$ly it to a !iven $ractical solution. 0 sincerely believe that there ana!e ent then the industry it self.

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%#ecuti/e Summary:
Cow a 8ays 5an"in! Syste is very hard. Standard Chartered 5an" is a leadin! co $any which $rovides total 5an"in! Services for Cor$orations as well 6ouse holds with their O$erations. 0 wanted to analy>e the Channel .ana!e ent of Stan C at Jai$ur. 6ere )roducts offered by the ort!a!es had !iven ore $riority in the analysis of Channel .! t. has beco e the $art and $arcel of life without this the life of odern an

#ccordin!ly< ob=ectives are constructed and the study is underta"en< the result is tabulated and findin!s and su!!estions are !iven. %he infor ation collected by their sales in $resent co $etitive Scenario. e is ore useful for the co $any to i $rove

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R%S%ARC0 M%&0O,O+O1.

234 Methodology Adopted Face-to-Face interviews. Secondary 8ata #nalysis. 254 &ype o$ the Research $ollo!ed
D

+,$loratory &esearch 264 Sources o$ ,ata Primary ,ata will be collected throu!h a ar"et research in various cities.

Secondary ,ata will be collected throu!h various websites< news$a$ers< Journals< databases. 274 Collection Method Self-ad inistered survey ethod

&%C0)"89% O' A)A+.S"S 5efore analy>in! the data< the raw data have been transfor ed into the ri!ht for at. First< it was edited so that errors can be corrected or o itted. %hen the data was codedE this $rocedure converts the edited raw data into nu bers or sy bols.
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A codeboo

is created to docu ent how the data was coded. Finally< the data is

tabulated to count the nu ber of sa $les fallin! into various cate!ories.

Simple tabulations count the occurrences of each variable inde$endently of the other

variables.
Cross tabulations< also "nown as cross tabs< deals with two or

ore variables

si ultaneously. Cross tabulation can be $erfor ed for both no inal and ordinal variables.

SO'&*AR% 9S%, 3*4 Statistical )ac"a!e for the Social Sciences 3S)SS4 was used for the analysis of the data collected. 324 .S +,cel

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"),9S&R. PRO'"+%:
"ndian Ban s Ban ing System Composition &he &eserve 5an" of 0ndia 3&504 is 0ndiaFs central ban". %hou!h the ban"in! industry is currently do inated by $ublic sector ban"s< nu erous $rivate and forei!n ban"s e,ist. Co ercial ban"in! syste in 0ndia consists of 2-2 scheduled ban"s and four non-

scheduled ban"s as on .arch /*< *992. Of the scheduled ban"s< 222 are in the $ublic sector and these account for about 82.2G of the co ercial ban"in! syste .

0n the $ublic sector ban"in! syste < there are *91 &e!ional &ural 5an"s3&&5s4 and the rest 28 are re!ular co ercial ban"s. &&5s were set u$ es$ecially to increase the flow of

credit to s all borrowers in the rural areas. %hese ban"s have s$ecified areas of o$erations usually li ited to two or three districts. # on! the $ublic sector ban"s< the State 5an" of 0ndia is the lar!est 3as on .arch /*< *9924 with 8<-*7 offices< de$osits of &s 892<9*0 illion and advances of &s 70*<**0 illion.

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%he ban"in! syste

has !rown enor ously in the last thirty years. 3:;: March 3::< Cu ber of ban"s Cu ber of ban" branches )o$ulation $er branch 8e$osits 3&s.billion4 )er ca$ita de$osits 3&s.4 8e$osits as G of A8) CreditH8e$osit &atio 3G4 CashH8e$osit &atio 3G4 89 8212 121921 90 */ -8 8 282 12212 *2000 /-78 2*28 2* 79

%he 12<212 ban" branches are distributed all over the country< includin! rural areas.

"ndian Ban s Abroad *0* branches of 9 0ndian co ercial ban"s were o$eratin! in forei!n countries< as on

.arch /*< *992. %hese branches are s$read over a nu ber of countries and located in a=or centers li"e London< Cew Ior"< )aris< %o"yo< Sin!a$ore and 5ahrain. %hese
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branches s$eciali>e in various areas of international trade includin! financin! of forei!n trade. %he followin! list of ban"s are $rovided alon! with their websites for our userFs convince.

#bu 8habi Co ercial 5an" - )rovides a wide ran!e of ban"in! services for C&0s #llahabad 5an" - %he oldest $ublic sector ban" in 0ndia. #ndhra 5an" - Official website of #ndhra 5an". 5an" #ddresses - +- ail addresses of ban"s in 0ndia 5an" of 5aroda 5an" of 0ndia - Cationali>ed ban" owned wholly by !overn ent of 0ndia. 5an" of .adura 5an" of .aharashtra 5an" of )un=ab 5an"in! Syste - #n article on ban"in! syste in 0ndia Canara 5an" - Leadin! $ublic sector ban" in 0ndia Central 5an" of 0ndia - Co ercial ban" with credit< de$osit : international ban"in! facilities Centurion 5an" Li ited - Official web site with infor ation on their sche es : services Centurion 5an" Ci$her Securities 30ndia4 )vt. Ltd. - 0nvest ent ban"< raisin! funds throu!h $rivate e@uity : venture ca$ital Citiban" - %he !lobal consu er ban". Cor$oration 5an" Cos os 5an" - Offerin! the services of a ultistate scheduled co-o$erative. 8ena 5an" - )re ier nationali>ed ban" 8evelo$ ent Credit 5an" +J0. 5an" of 0ndia - +,$ort i $ort ban" of 0ndia +,$ort 0 $ort 5an" of 0ndia - 0nstitution $ro otin! international trade in 0ndia Federal 5an" Li ited - 5usiness ob=ectives are defined by stron! custo er service. Aaurdian Saha"ara 5an" Ciya ita - Co-o$erative ban" $rovidin! financial services : loans to wea"er sections Alobal %rust 5an" - )rivate ban"in! fir 68FC 5an" Ltd. - Scheduled 0ndian co ercial ban" with net ban"in!< consu er loans etc. 0C0C0 5an" - %he 0ndustrial Credit and 0nvest ent Cor$oration of 0ndia. 0850 5an" - )rivate sector ban" $ro oted by 0850 and S0850. 0ndian 5an" - State-owned ban" based in Chennai. 0ndian Overseas ban" - )re ier $ublic sector ban" 0ndus0nd 5an" Ltd - Leadin! $rivate sector ban"in! co $any 0ndustrial 8evelo$ ent 5an" of 0ndia - )ro otin! industrial and financial !rowth< entre$reneurshi$< etc. Ja u : Kash ir 5an" - ?eb site of the ban" with infor ation on ban"in! services Ja u and Kash ir 5an" Ltd. - )rivate sector ban" Kalyan 5an" - Official website of the ban"

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Ka$ol Co-o$erative 5an" Ltd. - 5an" $rofile< services< $roducts< interest rates etc. La"sh i Lilas 5an" .andvi Co-o$erative 5an" Ltd. - # co-o$erative sector ban"in! or!anisation Cational 5an" for #!riculture : &ural 8evelo$ ent - 0nvolved in lendin! to a!riculture and allied activities. )un=ab Cational 5an" - # leadin! $ublic sector ban" in 0ndia )un=ab and .aharashtra Co-o$erative 5an" )vt. Ltd. - # ban"in! service that !ives the custo ers ut ost ease and convenience. )un=ab and Sind 5an" - Full service 0ndian ban" with branches across the country. &atna"ar 5an" Ltd. - Scheduled co ercial ban" with net ban"in! : loc"er facilities &eserve 5an" of 0ndia - &eserve 5an" of 0ndia is 0ndiaFs central ban". Saraswat Co-o$erative 5an" Ltd. - Scheduled ban" offerin! car loans Saraswat Co-o$erative 5an" Ltd. - )re ier co-o$erative ban"in! institution S all 0ndustries 8evelo$ ent 5an" of 0ndia - %he $rinci$al financial institution for s all scale industries in 0ndia. State 5an" of 6yderabad - # co ercial ban" wor"in! as an associate S50 State 5an" of 0ndia State 5an" of 0ndore State 5an" of .ysore - #n associate of State 5an" of 0ndia. State 5an" of Saurashtra - #n associate of the State 5an" of 0ndia. State 5an" of %ravancore - Iour friend in every need. Syndicate 5an" - Owned by the !overn ent of 0ndia. %he Cedun!adi 5an" Ltd. - #ctive in 0ndian ban"in! services. %he South 0ndian 5an" Ltd. %he %hane Janata Saha"ari 5an" Ltd. - Co-o$erative ban" to contribute in socio-econo ic develo$ ent. %he Mnited ?estern 5an" Ltd. - )rofile< services< $roducts< C&0 services< interest rates etc. %i es 5an" - Official website with services< $roducts< interest rates etc. %i es 5an" - %he convenience ban" MCO 5an" - )ublic sector ban" in 0ndia M%0 5an" - Official website with $rofile< activities< news< financials< $ro oters etc. Mnion 5an" of 0ndia 3M504 Li=aya 5an" - Official website with ban" $rofile< services : sche es etc. Lysya 5an" ?ell an 0nvest ents and .erchant 5an"ers Ltd. - +n!a!ed in erchant ban"in! activities both fund-based and non-fund-based.

COMPA). PRO'"+%:
0"S&OR. O' S&A),AR, C0AR&%R%,

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%he Standard Chartered Arou$ was for ed in *919 throu!h a #ustralia and China< founded

er!er of two ban"sN %he in *87/.

Standard 5an" of 5ritish South #frica founded in *81/< and the Chartered 5an" of 0ndia<

5oth co $anies were "een to ca$itali>e on the hu!e e,$ansion of trade and to earn the handso e $rofits to be +ast and to #frica. &he Chartered Ban Founded by Ja es ?ilson followin! the !rant of a &oyal Charter by ;ueen Lictoria in *87/ Chartered o$ened its first branches in .u bai 35o bay4< Calcutta and Shan!hai in *878< followed by 6on! Kon! and Sin!a$ore in *879 %raditional business was in cotton fro fro Calcutta< rice in 5ur a< su!ar fro Io"oha a in .anila and sil" fro )layed a .u bai 35o bay4< indi!o and tea Java< tobacco fro Su atra< he $ ade fro financin! the ove ent of !oods fro +uro$e to the

a=or role in the develo$ ent of trade with the +ast which followed

the o$enin! of the Sue> Canal in *819< and the e,tension of the tele!ra$h to China in *8-* 0n *97- Chartered 5an" bou!ht the +astern 5an" to!ether with the 0onian 5an"Bs Cy$rus 5ranches. %his established a $resence in the Aulf

o &he Standard Ban

Founded in the Ca$e )rovince of South #frica in *812 by John )aterson. Co enced business in )ort +li>abeth< South #frica< in January *81/

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?as $ro inent in financin! the develo$ ent of the dia ond fields of Ki berley fro *81- and later e,tended its networ" further north to the new town of Johannesbur! when !old was discovered there in *887 +,$anded in Southern< Central and +astern #frica and by *97/ had 100 offices 0n *917< it er!ed with the 5an" of ?est #frica e,$andin! its o$erations into Ca eroon< Aa bia< Ahana< Ci!eria and Sierra Leone 0n *919< the decision was friendly ade by Chartered and by Standard to under!o a

er!er. #ll was !oin! well until *981< when a hostile ta"eover bid was ade

ade for the Arou$ by Lloyds 5an" of the Mnited Kin!do . ?hen the bid was defeated< Standard Chartered entered a $eriod of chan!e. )rovisions had to be could not assetsales. Fro the early 90s< Standard Chartered has focused on develo$in! its stron! and Corth # erica to $rovide custo ers with a brid!e between these and institutional the and on the $rovision of treasury services O areas in which eet their co a!ainst third world debt e,$osure and loans to cor$orations and entre$reneurs who it ents. Standard Chartered be!an a series of divest ents notably in the Mnited States and South #frica< and also entered into a nu ber of

franchises in #sia< the .iddle +ast and #frica usin! its o$erations in the Mnited Kin!do ban"in!< ar"ets. Secondly< it would focus on consu er< cor$orate Arou$ had $articular stren!th and 0n the new illenniu e,$ertise. the #CP Arou$ and the

we ac@uired Arindlays 5an" fro

Chase Consu er 5an"in! o$erations in 6on! Kon! in 2000.

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%stablishment o$ Standard Chartered Ban around the !orld

Country Mnited Kin!do China< Sri Lan"a 6on! Kon!< 0ndia<

.ear %stablished *87/

Country #ustralia

.ear %stablished *912

*878

.e,ico< O an *918

Sin!a$ore 0ndonesia< )a"istan )hili$$ines .alaysia Ja$an Pi babwe %he Sierra %hailand Ahana 5otswana Aa bia<

*879

)eru

*9-/

*81/ *8-2 *8-7 *880 *892

Jersey 5ra>il Lene>uela Fal"land 0slands< .acau %aiwan

*9-8 *9-9 *980 *98/ *987

Leone< *892

Ca eroon

*981

*891 *89-

Ce$al Lietna

*98*990

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MS# 5an!ladesh Pa bia Kenya M!anda %an>ania 5ahrain Jordan Korea ;atar 5runei< M#+

*902 *907 *901 *9** *9*2 *9**920 *927 *929 *970 *978

Ca bodia< South #frica 0ran Colo bia

*992 *99/ *997

Laos< #r!entina *991 Ci!eria Lebanon Cote dB0voire .auritius %ur"ey #f!hanistan *999 2000 200* 2002 200/ 2002

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( *-

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Standard Chartered Ban in "ndia

Standard Chartered 5an" is 0ndiaBs lar!est international ban" with 8* branches in /* cities< havin! a co bined custo er base of 2.* illion in retail ban"in! and over *<000

to$ cor$orate relationshi$s. Key businesses include

Consumer Ban ing )ri arily Credit Cards .ort!a!es )ersonal Loans ?ealth .ana!e ent *holesale Ban ing ?here the 5an" s$eciali>es in the $rovision of Cash .ana!e ent %rade Finance Cor$orate Finance #dvisory< %reasury and Custody services.
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OR1A)"=A&"O) C0AR&

SCB

*holesale ban ing

Consumer Ban ing

Support Ser/ices

"& ? Ser/ices ,eli/ery

Client relationship

9nsecured +oans

'inance

Consumer Ban ing

1lobal mar ets

Secured +oans

0-R

C-R

Shared distribution

+egal ? compliance

Custodial ser/ices

*ealth management

%#ternal a$$airs

"n$ormation technology

SM% > B"+

Audit

"n$ormation System

"n/estigation

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

*9

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SC '")A)C% ? +OA) 2JA"P9R4 MOR&1A1% &%AM

@Cluster

Ashish Rana ana!er 2&a= : M.)4A

Sachin 1oyal @&elationshi$ ana!er 2Jai$ur4A

7 ,SA 28irect sales re$.4

Pa!an (umar Raj!ania @&elationshi$ ana!er 2Jai$ur4A

7 ,SA 28irect sales re$.4

5 Business Support coordinator 3Jai$ur4

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

20

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") "),"A "&BS BRA)C0%S i4 #h adabad. .u bai. ii4 iii4 iv4 v4 vi4 vii4 viii4 i,4 ,4 ,i4 ,ii4 ,iii4 ,iv4 ,v4 ,vi4 ,vii4 ,viii4 #llahabad. # ritsar. 5an!alore. 5ho$al. 5hubaneswar. Chandi!arh. Chennai. Coi batore. 8elhi. +rna"ulu . Auwahati. 6yderabad. Jai$ur. Jalandhar. Kan$ur. Kol"ata. Luc"now. ( +
2*

,,4

,,i4 Ca!$ur. ,,ii4 )atna.

P B R S C C

,,iii4 )une. ,,iv4 &a="ot. ,,v4 Surat. ,,vi4 Ladodara.

, % 1 0

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,i,4

Ludhiana.

Standard Charted today

&he 1roupBs share o$ "ndian ban ing industry

12% 8% Nationalized Foreign Private 80%

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

22

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Current Mar et share o$ Standard Charted Ban

#ther% &0%

Citibank 18% HSBC 16%

SCB 5DE

BN !"#

$%

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

2/

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Standard Chartered Ban "ndia

Finan'ial "e%(lt% 200)*08

Q )#% u$ <3E to Rs 3F6;7-6 crore

Q &evenue !rowth at 63E to Rs <F6:G crore

*Q Cost-inco e ratio down to 6D-7E fro 2

73-3E

/Q %otal #ssets !rew 5HE to Rs <HFH<6 crore

2Q 8e$osits increased 5GE to Rs 67F3D7 crore 7 1Q #dvances =u $ed 5<E to Rs 6GF3G6 crore

-Q Arou$ invested over Rs 3F6;G crore in 0ndia durin! the year 8

((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 22

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9Q %otal Arou$ e $loyees e,ceeded 3DFGGG< u$ fro

37F<GG last

year

COMPAR"&"C% R%POR& O' .%AR G;-GD ? GD-GH

")R crore '.GD-GH &otal "ncome Operating %#penses Pro$it Be$ore &a# Pro$it A$ter &a# &otal Assets ,eposits Ad/ances 7</90 *<200 2<082.8 */12./ 78<87/ /2<*-2 /0<*0/ '.G;-GD 2<**2 *20* *</-*.1 902.8 27<972 28<279 22<0-1 Cariance E /* *72 7* 28 20 27

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

27

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A R%POR& P9B+"S0%, ") B9SS")%SS &O,A. O) 5<th '%B- 5GGH ")R Crore

'oreign Ban s

O>P Pro$it

B>+ Sheet SiIe

ROA 2E4

ROC 2E4 2/.2*

S&A),AR, C0AR&%, C"&"BA)(

*<-22

28*82

*88

*<7--

272/-

*77

*8.2/

0SBC

*<2--

/-2-/

*/-

*/./0

AB) AMRO

78*

2/7/9

*0/

*1.2-

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

21

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J Source B& (PM1 Study

PRODUCT
((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 2-

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Home loan

Mortgages For personal purpose

Purchase

construction

pre-construction

+oan against Property 2+-A-P4 Minimum +oan

.u bai <8elhi< 5an!alore : Chennai O 0C& /0 Lac Calcutta : )une O 0C& /0 Lac Others O 0C& /0 Lac

Ma#imum +oan
((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 28

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0C& 7 crore

&enure
20 years

+oan Purpose-%nd 9se

8ebt consolidation 5usiness $ur$ose )ersonal e,$enses-6oliday< .arria!e< +ducation etc

O!nership
0ndividuals )ro$rietorshi$s Fir s )rivate Ltd.Hclosely held li ited co $anies

Property occupation
Owner occu$ied or by i ediate fa ily e ber

)artly rented H vacant and $artly self occu$ied &ented residential $ro$erty

)ature o$ property
((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 29

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Freehold Leasehold

Property type
&esidential Co ercial

&arget mar et: Salaried employees:

+ $loyees of or!ani>ations ultinational or!. H listed $ublic li ited cos. #nd !overn ent

Sel$ employed:
0ndividual business en and $rofessionals Fir s-$ro$rietorshi$s : $artnershi$s )rivate H closely held li ited co $anies

)ationality K &esident 0ndian

Minimum age
Salaried and self e $loyedN 27 Iears
((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( /0

__________________________________________________________________________..

Ma#imum age
SalariedN 10 years or retire ent whichever is lower Self e $loyedN 17 years

Minimum income - ")R 2<00<000 $.a. for Salaried

- ")R 2 70<000 $.a. for Self + $loyed

+oan to /alue2+-&-C4
0ome loan 20+4 Mortgages 2+AP4 D<E of $ro$erty value ;<E of residential <<E of co ercial

,ebt ser/e ratio2,SR4

<GE ;GE ;<E of onthly inco e

"nterest rate o$ /arious products 'or the year june 5GGH

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

/*

__________________________________________________________________________..

Product

Rate type

L6G lac Salaried 33-H<E 36E 36-<GE 35-H< 37 37 36-D< 37-D< 3<-<G

MN6Glac Salaried 33-D<E 35-D<E 36E 35-D< 36-D< 36-<G 36-<G 37-<G 3<-5<

Cariable

L6G lac Sel$employed 35 36-5< 36-D< 36 37-5< 37-5< 37 3< 3<-D<

MN6Glac Sel$employed 33-H< 36-D< 37-D< 35-H< 37-GG 36-D< 36-D< 37-D< 3<-<G

+&& Surrogate 35-5< 36-5< 37 36-<G 37-D< 3< 3<-<G 3;-<G 3D-5<

0+

Semi $i#ed $i#ed Cariable Semi $i#ed

0S

$i#ed Cariable

+AP

Semi $i#ed $i#ed

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

/2

__________________________________________________________________________..

Objecti/es o$ the Study:

*. %o study various sales channels used in ban" i.e. a. ,irect Sales Channel b. "ndirect Sales Channel 2. %o co $are these sales channels on various as$ects. /. %o su!!est the ost $rofitable ethod on the basis of above study

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

//

__________________________________________________________________________..

SA+%S C0A))%+ MA)A1%M%)&

*hat are channelsO Channels can be defined as R an or!ani>ed networ" institution which< in co bination< $erfor $roducers with users to acco $lish the Channels are between ar"etin! tas". 3syste 4 of a!encies and all the activities re@uired to lin"

eans for sellin! and distributin! !oods and services. %hey are the lin" creator to ay affect their condition or

a"ers and end users. #s !oods and services $ass fro

consu er throu!h channels < various ele ents

status< such as ownershi$ < value-added di ensions< a!e or technolo!y. %he "ey word here is Rchannel.R %he channelFs =ob is to efficiently and effectively deliver infor ation and $roducts or services to custo ers and to deliver the $roceeds to the $roducers of those $roducts or services. %his challen!in! role is the sa e whether the channel isN

# direct account re$ # contracted indirect channel such as a!ents< franchises< consultants and distributors.

%here are so e $rinci$les that are critical to usin! channel for the basis of !ood channel selection< !oalN sales. %hey are

ana!e ent strate!ically. %hey

ar"et and channel develo$ ent< and the ulti ate

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

/2

__________________________________________________________________________..

*. 2. /. 2. 7.

#n inte!rated strate!y $rovides the best results. Solution co $le,ity and channel ca$abilities. Channel selection and develo$ ent Sales and Channel needed< to su$$ort channels. odification affects the entire or!ani>ation< re@uirin! a $rocess for ana!in! chan!e. 5y deter inin! how to er!e the channels of an ac@uired co $any< e,$and business ana!e ulti$le ar"et will all be easier if we use these si, $rinci$les. a,i u $rofit out ust su$$ort cor$orate ob=ectives. ust be built and rebuilt< as ar"etin! or!ani>ation and infrastructure ar"et tar!ets ust be a$$ed and tuned to re!ional

across international borders< launch a co $anyFs first $roduct or channels to do inate a new

%he efficient and $ro$er utili>ation of these sales channels to earn of available resources is called as Channel Management-

&ypes o$ sales channel:

%here are a lot of sales channels which are bein! used by the co $anies these days. 5ut broadly they cate!ori>ed as i4 ii4 ,irect sales channel "ndirect sales channel

Channels can not only add value to $roducts or services< but can actually create custo er and shareholder value< brand e@uity and ar"et $resence for a co $any.
/7 (((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

__________________________________________________________________________..

%he ability to

ar"et< sell< distribute and su$$ort $roducts is =ust as i $ortant as ost valuable $roducts sittin!

buildin! $roducts or services that custo ers want. %he

on a shelf are worthless if there are no custo ers $erceivin! their value and no channels enhancin! that $erce$tion and convertin! it into sales. %hus< efficiently usin! any of the above $rofits. eans for sellin! $roducts of any co $any a"e a co $any earn

i.e. usin! any of these channels or a co bination of these can

,irect Sales Channel:

%he channels which are used to reach and deliver !oods and services to custo ers without usin! ar"etin! iddle en are called as ,irect Sales Channels. easurable res$onse< ty$ically a custo er order. %his is ar"etin!. %hese days ost of the direct sales relationshi$ with the custo er. $ros$ects. %hey need to ost able< willin!< and

%hese channels see" a channels use direct %he ain ai

so eti es called as direct-order

ar"etin! to build a lon! ter

of these channels is to receive an order fro

identify the characteristics of $ros$ects and custo ers who are ready to buy. .ost direct onetary a ount4 for ratin! and selectin! custo ers.

ar"eters a$$ly the &-F-. for ula 3reach< fre@uency<

For carryin! out all these o$erations the co $any needs to desi!n its direct sales tea or sales force. %his direct sales tea 38S&Bs4 who are res$onsible for sales.
((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( /1

consists of no. of direct sales re$resentatives

__________________________________________________________________________..

Managing the direct sales team:

Recruiting and selecting sales representati/es

&raining sales representati/es

Super/ising sales representati/es

Moti/ating sales representati/es

%/aluating sales representati/es

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

/-

__________________________________________________________________________..

'unctions o$ ,irect Sales team

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

/8

__________________________________________________________________________..

'unctions o$ ,SRBs
Prospecting and Puali$ying

Pre-approach

Approach

Presentation and demonstration

O/ercoming objections

Closing

'ollo!-up and maintenance

((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( /9

__________________________________________________________________________..

Merits o$ direct selling:

*. 0t is one of the fastest !rowin! avenues for servin! custo ers. 2. Custo ers feel that its ti e savin!< convenient and hassle free. /. 0t hel$s co $any to build a continuous and lon! ter 2. 0t also relationshi$ with custo ers.

a"es co $anyBs offer and strate!ies less visible to co $etitors. ar"et. ana!e ent.

7. 0t hel$s co $any in selectin! tar!et

1. 0t can be $ersonali>ed< is fle,ible and allows early testin! and res$onse

-. 8irect ar"eters "now enou!h about each custo er to custo i>e and $ersonali>e the offer.

,emerits o$ direct selling:

%he direct sales channel can fail to earn constraints li"eN *. 0nade@uate fundin! to carry out sales o$erations and tea . 2. 0f the business $lan is not /. )oor ana!e ent ade or not $ro$erly $rocessed. aintenance of direct sales a,i u $rofit in certain cases due to

ay also be one of the reasons of its failure.

2. 0f the staff is not trained $ro$erly then it canBt wor" efficiently. 7. )oor Co $ensation $lans ay lead to de oni>ation of the sales tea .

1. )oor Custo er service also results in its failure.

((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 20

__________________________________________________________________________..

"ndirect Sales Channel:

%he channels which are used to reach and deliver !oods and services to custo ers by usin! ar"etin! iddle en are called as "ndirect Sales Channels.

# contracted $erson or or!ani>ation such as a!ents< franchises< consultants and distributors are e few e,a $les of indirect sales channel. %hese $ersons or or!ani>ations are usually co the ban". %hese sales channels wor" indirectly for the ban" i.e. they have their own inde$endent identity and they are $aid co the ban". %hey ay or ission as $er the volu e of business they $rovide to and the ban" does not $lay any role issioned and they do not wor" as direct sales tea of

ay not have a sales tea

in selection and recruit ent of their sales tea . %he or!ani>ations which the ban" ties u$ with for sale of their $roducts are called 8irect Sellin! #ssociates. %hese associates or franchisees wor" for the ban" on contractual basis and are su$$osed to follow the ter s and conditions laid down by the ban". %hese are also called as 8S#Bs.

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

2*

__________________________________________________________________________..

'unctions o$ ,irect Selling Associates: *. %o co $ly with local laws and re!ulations. 2. Should re=ect bribery and corru$tion. /. )revent oney launderin! and fraud.

2. #void conflicts of interest. 7. %o co $ly with the client or!ani>ationBs $ersonal account dealin! rules. 1. 8o not .iss-sale or isre$resent the client or!ani>ation or its $roducts or services.

-. &esolve custo er co $laints @uic"ly and fairly. 8. &es$ect confidentiality and $rotect data. 9. %o be o$en and honest with the re!ulators. *0. Cot to discuss the $ros$ectBs interest with third $arty. **. #ny co unication sent to the $ros$ect should be only in the ode and for at

a$$roved by the client or!ani>ation.

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

22

__________________________________________________________________________..

Merits o$ indirect selling: *. 0t stabili>es staffin! re@uire ents for the 5an". 2. 0t lowers the fi,ed-costs and re@uired ca$ital invest ent. /. 0t frees u$ the ca$ital to focus on hi!h-return $ro=ects. 2. 0t $rovides hi!her business volu e at uch lower cost.

7. 0t also hel$s in !ettin! ed!e over the co $etitors. 1. %he ban" does not have to incur any o$eratin! cost in aintainin! these channels.

-. %hey reach out to a wider custo er base to increase the ar"et share.

,emerits o$ indirect selling: *. %he ban" cannot e,ercise direct control over these channels. 2. %hese channels o$erations. ay have their own ter s and conditions for carryin! out sales

/. 0t ay not be $ossible for the ban" to "ee$ a co $lete chec" on these channels whether they are followin! the rules and re!ulations laid down by the ban". 2. %hese channels 7. %hey 1. %hey ay be biased at ti es. isre$resent the client or!ani>ation or its $roducts or services.

ay .is-sell or

i!ht not follow local laws and re!ulations.

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

2/

__________________________________________________________________________..

,irect /s- "ndirect sales channel:

?ith the increasin! un$redictability of the hi!h tech industry< the co $anies are loo"in! for new ways to tri costs. 0ncreasin! return on invest ent in the sales channel

re@uires si!nificant insi!ht into channel o$$ortunities< channel interactions and day-today o$erations.

%o increase the visibility of and accuracy in trac"in! channel sales< we need to choose the ost $rofitable channel for our sales. For this $ur$ose we can co $are these sales

channels on various as$ects li"e 3- Operating Cost 5- Control o/er channel 6- Customer perspecti/e 7- &ransparency and unbiased ness <- Maintenance o$ ethical and pro$essional standardsCow< fro out the the collected data and observations we will co $are these channels to find ost $rofitable one.

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

22

__________________________________________________________________________..

Operating Cost :
For direct sales channel N For any co $any to do direct sales there is certain a ount of fi,ed cost which is incurred by the are co to carry out various o$erations of direct sales. So e of the which

on in all areN

i4 ii4 iii4 iv4 v4 vi4

Salary $aid to 8irect Sales &e$resentatives38S&Bs4 +lectricity bills %ele$hone bills Stationary e,$enses &ent of the office buildin!3if any4 .iscellaneous e,$enses 3li"e office etc.4 aintenance< vendin! achine e,$enses

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

27

__________________________________________________________________________..

'OR %g N6ere in this de$art ent letBs assu e that %otal nu ber of e $loyees S 20 %otal nu ber of 8S&Bs Salary $aid to each 8S& Other e,$enses incurred by the ban" %hus< Other e,$enses $er e $loyee S &s. 32<00<000 H 204 S &s. 7<000 %herefore< %otal cost incurred by the ban"S &s.3*0<000T7<0004 on each 8S& S &s. *7<000 $er onth S 20 S &s. *0<000 $er S &s. 2< 00<000 $er onth onth

%otal cost incurred by the ban"S &s.3*7<000U204 on 20 8S&Bs S &s. /<00<000 $er onth

%he above cost does not include incentives which are bein! $aid to these 8S&Bs which are actually $erfor ance based and are variable.

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

21

__________________________________________________________________________..

For +ndire't %ale% 'hannel ,

6ere< for indirect sales we are considerin! 8irect Sellin! #!ents or #ssociates i.e.

8S#Bs who are not related to ban" directly but they wor" for the ban" on co basis. Followin! shows the current co ission chart for these 8S#Bs

ission

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

2-

__________________________________________________________________________..

Loan disburse ent value 2.0*-/.0 crore *.0*-2.0 crore V* crore 70 lac-* crore /0-20 lac

)ayout G of value *.00 0.87 0.-7 0.17 0.27

%he followin! Ara$h re$resents co $arison between cost incurred $er 8irect and 0ndirect sales channel at various loan a ounts

onth in

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

28

__________________________________________________________________________..

300000 250000 200000

Co%t 150000 +n'(rred

100000 50000 0 1 cr 2 cr 3 cr 4 cr 5 cr

/ire't %ale% +ndire't %ale%

-oan a.o(nt

CustomerBs Perspecti/e: 6ere to "now the custo er $oint of view about various sales channels to ta"e loans< we conducted a s all Sa $le si>eN 20 Fre@uency 8irect sales channel */ )ercenta!e 17 ort!a!e

ar"et research the result of which is shown belowN

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

29

__________________________________________________________________________..

0ndirect sales channel

/7

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

70

__________________________________________________________________________..

Customer's view

6<E ;<E

/ire't %ale% Channel +ndire't %ale% Channel

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

7*

__________________________________________________________________________..

Fro

the above conducted survey we can conclude that round about ;< E custo ers eet 8irect Sales $eo$le before any transaction of loans. %hey li"e to clear

$refer to

u$ all the ter s and conditions with the . &est 6< E custo ers $refer to have so e ediator accordin! to the financial sector %hus we can see that tea ost of the custo ers trust on direct sales tea of the ban" if the ediator between the and the ban". %his

should be so e unbiased $erson who deals in this

wor"s efficiently to deliver the services accordin! to custo erBs e,$ectations

Maintenance o$ pro$essional and ethical standards

,irect sales channel "ndirect sales channel

*. %he ban" can enforce direct sales *. %hese channels are always as"ed to tea to aintain its $rofessional aintain u$on. 2. %he ban" can always "ee$ a chec" on 2. 0n the todayBs world of co $etition the if they are followin! the ethics they ay not necessarily follow laid down by the ban". these ethics. issioned so they eans the $rofessional standards. standards but canBt be enforced

/. %hey are bound by the ban" for /. %hese are co avoidin! any unfair a"in! sales. eans for are for a"in! sales.

ore $rone to use unfair

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

72

__________________________________________________________________________..

"ntroduction o$ ne! sales channel:

On the basis of our study we observe that these days loans with the assistance of a ort!a!e bro"er. # any borrowers receive ort!a!e loan. %his ort!a!e ort!a!e

ort!a!e bro"er is a $erson who acts

as an inter ediary between a lender and a borrower in a bro"er can be called as Re$erral?ith the infinite variations in rates and ter s of eets their needs.

ort!a!e loan $ro!ra s<

ort!a!e

bro"ers often $rovide a valuable service by hel$in! borrowers select a loan that best

Further ore< bro"ers ty$ically assist borrowers throu!hout the loan $rocess by $rovidin! services such as co $letin! re@uired loan a$$lications< orderin! a$$raisals< retrievin! the borrowersF credit re$ort< and !atherin! all infor ation re@uired to co $lete the loan. Oftenti es< borrowers loan $ro!ra lender. 5ro"ers often receive co $ensation by char!in! the borrowers direct fees. For instance< a ort!a!e bro"er ay char!e a borrower one $ercent of the loan a ount as a loan ay also char!e other fees such as $rocessin!< docu ent ori!ination fee. 5ro"ers by !oin! throu!h a ay receive a better rate and ter on their ort!a!e bro"er rather than if they went directly to a

$re$aration< and a$$lication fees.

((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 7/

__________________________________________________________________________..

# lesser "nown

anner by which bro"ers !et co $ensated< and the sub=ect of this a ount< they are !enerally lin"ed to

article< are yield s$read $re iu s $aid to bro"ers by lenders. ?hile there are several factors that deter ine the yield s$read $re iu the interest rate of a loan.

%hus new indirect sales channels which can $rovide the ban" a new and effective way to increase its reach to custo ers is throu!h these referrals who can be co certain $ayout G of loan a ount for referrin! their clients to our ban". issioned with

&hese re$errals can be:

*. Charted accountants 3C#4 2. Cost accountants 3FC#4 /. CF#Bs 2. 8S#BS 7. &etired ban"er or any other related $erson

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

72

__________________________________________________________________________..

%hese $eo$le should be contacted by the ban" and the ban" should tie u$ an a!ree ent with these $eo$le so as to $ay the return of the refers ade by the . a certain $ayout G of loan a ount in

Ad/antages o$ Re$errals : *. %hey do not re@uire any sales force. 2. Lower fi,ed-costs and re@uired ca$ital invest ent /. %hey $rovide effective o$inion to their clients in favor of the ban". 2. %hey can hel$ ban" to $re=ud!e $edi!ree of builder< @uality of construction< title deeds etc. 7. %hey can hel$ the ban" by doin! word of 1. 0f !ood relations are for the ban". -. Stabili>e staffin! re@uire ents. 8. Free u$ ca$ital to focus on hi!h-return $ro=ects. aintained with the outh $ublicity. then they can levera!e lon! ter !rowth

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

77

__________________________________________________________________________..

0o! these re$errals can be help$ul to the ban O

3- #n inde$endent

ort!a!e offerin! can be an e,$ensive $ro$osition< considerin!

overhead and technolo!y< and as loan volu es dro$ the infrastructure re@uired to ori!inate ort!a!e $roducts beco es ore costly. Studies indicate that ort!a!e-

related earnin!s rise and fall ra$idly in res$onse to chan!in!

ar"et conditions<

stressin! the financial institution and leadin! to hi!her e,$enses as the co $any stru!!les to react. %his ulti ately creates si!nificant swin!s in earnin!s. 0n such cases a"in! business throu!h these channels can ini i>e or eli inate this

earnin!s volatility.

2. 0n a down

ar"et< even when the ban" is able to tri

fi,ed costs and staff< its

technolo!y< infrastructure and $rocesses

ay not receive the fundin! re@uired to

aintain hi!h custo er service levels or co $liance tar!ets< which can lead to further erosion of business. %o address volatile ar"et conditions without ne!atively affectin! custo er service< the

ban" can use these referral channels. %his converts e,$ensive functions such as $hone sales< $rocessin! and servicin! into a variable cost. %his can $rovide the re@uired
((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 71

__________________________________________________________________________..

fle,ibility to absorb !rowth in ti es of e,$ansion< as well as ad=ust to consolidations while i $rovin! service levels and lowerin! cost

ar"et

'"),")1S ? A)A+.S"S

The following is the Analysis done by me. I have targeted 100 respondents with the help of !estionnaire" what I have fo!nd is as follows#$ 1.
45

40

35

No. of Respondents

30

25 /eries1 20

15

10

0 !pto 's. 50000 's. 50000$150000 's. 150000$300000 Above 's. 300000 Income group

32% of the &!stomers are in the income gro!p of 's.50" 000. (hereas ma)im!m no. of respondents i.e. 3*% fall !nder 's.1" 50"000$3" 00000 per ann!m income gro!p. +rom this analysis I fo!nd that ma)im!m no. of c!stomers who !tili,es the -an. /ervices are from middle$class gro!p and some part of there reven!e solely depends !pon the ban..

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

7-

__________________________________________________________________________..

2.
Awareness about STAN-C

2o 3*%

1es 2o

1es 01%

+rom the above graph" I have fo!nd that 01% of the respondents are aware abo!t the /tandard &hartered -an. whereas 3*% are not aware of /tan$&. 3.
New members of Stan-C

1es 20%

1es 2o

2o 30%

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

78

__________________________________________________________________________..

4!ring s!rvey" I have fo!nd that 20% of the respondents have c!rrently availed the services offered by the /tan$& whereas 30% have not availed the services till yet. 4.
Schemes Awareness

40% 6* 1es 6* 2o 54%

40% of the respondents are aware of the 5oan schemes offered by the /tan$& whereas 54% are not aware of the schemes offered by the ban..
Brand Awareness of Stan-C

5.

Any other

33

Awareness

edias

+riends8'elative

25

/eries1

7)ec!tive

15

Advertisement

22

((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 0 5 10 15 20 25 30 35 40
No. of Respondents

79

__________________________________________________________________________..

32% of the respondents clearly s!ggest that internet" newspaper" Television etc are the most pop!lar 9edias by which they came to .now abo!t this ban.. (hereas 25% of the respondents are familiar with this ban. thro!gh their friends and relatives and 15% of the respondents have availed the services of the ban. thro!gh the ban. e)ec!tives.

Securit! Concerns

0.

2o 3%

610 1es 610 2o

1es 610 *2%

*2% of the respondents are very m!ch satisfied with the privacy of the confidential records offered by the ban. whereas only 3% of the respondents are not happy with the /ec!rity concerns beca!se of their past e)perience. :. 9ost of the respondents feel that /tan$& offer their services by the time they promise to do whereas some of the respondents are still not happy" they feel that the e)ec!tives didn;t respond timely and also few of them are not aware of the &!rrent /ervices offered in ban.. 3. The &!stomer service of /tan$& is by far m!ch more better then the &!stomer /ervice of any other ban.. The /tan$& is m!ch more c!stomer oriented according to the respondents. And the c!stomer retention is by far the best amongst all the ban.s. ((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((( 10

__________________________________________________________________________..

*. According to the respondents" the /tan$&;s wor.ing force is m!ch more e)perienced than any other ban. and also the e)ec!tives have proper .nowledge of the services provided by ban.. Also the e)ec!tives g!ide and help the c!stomers whenever they need. 10. The prod!cts and /ervices offered by the ban. are latest are of the m!t!al concern to the general p!blic according to the respondents. <n an average they rate the services" staff and prod!cts as 7)cellent.
Ban" Rating B! the Customers
35

30

25 No. of Respondents

20 /eries1 15

10

0 =oor Average >ood Rating Categore! ?ery >ood 7)cellent

Brand #o!a$t!

11.

2o" 34

1es 2o

1es" 00

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

1*

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00% of the respondents are -rand 5oyal and will s!ggest other &!stomers abo!t this ban. whereas 34% of the respondents are c!rrently availing the services of the ban. b!t they are not happy and they don;t want to s!ggest the services offered by the ban. to others. 14.

80% 70% 60% 50% 40% 30% 20% 10% 0% 1st Qtr satisfy not satisfy

2ear abo!t 30% of the respondents are not satisfy with the increase in the interest rate of the -an.. 9ost !ncommon thin. of respondent are not satisfy with the slow interest growth which -an. offer them. 15. 9ost of the e)isting c!stomers are ready to ta.e loan from ban." near abo!t *3% respondent say this thing. 10. (hatever ban. committed to c!stomer is f!lfilling by ban. and they are satisfied for that also. The image of ban. is e)cellent in the mar.et this s!rvey shows.

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

12

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Conclusion o$ the obser/ations :

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

1/

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Business tas 3- 'i#ed e#penses 5- Cariable e#penses 6- &a es o!nership 7- Product bears $ull sales cost <- Recei/es payment $or product ;- Order acceptance D- Commissioned H- ,etermines interest rates :- Managerial control 3G- 0as a sales $orce 33- Control o/er company image 35- "nter channel con$lict 36- Sells only 3 product line

,SC .es ,epends .es .es .es .es .es .es .es .es .es .es .es

"SC )o .es )o )o )o )o .es )o )o .es )o .es )o

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

12

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SCOP%

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

17

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%he sco$e of this re$ort is to understand the Channel .ana!e ent in Standar-d Charter-ed 5an" at Jai$ur. 0n this survey a=or users of services of the co $any have been covered. %he ar"et and also about the

re$ort will !ive an idea about the e,istin! co $etitors in the e,$ectations of the custo ers fro the co $any.

+"M"&A&"O)S
%i e constraints. Confidentiality factor.

SAMP+")1 P+A)
Sample 9nit: - Custo ers of Standard Chartered 5an" fro Sample SiIe: %otal *00 sa $les have been collected. Sampling Procedure: &ando

Jai$ur.

sa $lin!

#s this is a si $le and over all res$ondents is eli!ible for to survey it is better to !o for &ando Sa $lin! where every one ay !et e@ual chance of res$onse.

Conclusion:

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

11

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Offerin! ho e ort!a!es is one of the best ways for ban"s to dee$en their relationshi$s with custo ers. .ort!a!es hel$ facilitate cross-sellin! of additional $roducts< which can increase share-of-wallet and i $rove its $rofitability. On the basis of above studied as$ects of different ty$es of sales channel which are bein! used by the ban"< we co e to the conclusion that the ban" should follow a Multi-Channel approach to tap c!stomers. 4epending on the effectiveness" the following
channels are !sed for sales" service and other allied activities. The main ob@ective of these channels sho!ld be#

a. %o create value beyond the W$roductX. b. %o convert custo er to clients. c. %o s$read awareness about the co $any and its $roducts. Sales force< a!ents and bro"ers are the drivin! force behind the ban"Bs business. %hey are the $oint of contact with the end custo er and share the co $anyBs vision of brin!in! innovative insurance solutions to custo ersF doorste$s. ,irect: --&he companyBs sales $orce -- sales e,ecutives and sales officers O for co $anyBs bac"bone and are the "ndirect: -- Bro"ers# Thro!gh this channel" we plan to reach o!t to a wider c!stomer base to
increase o!r mar.et share. &!stomers loo. forward to these bro.ers for e)pert advice on c!stomi,ed sol!tions.

the

ost $owerful assets behind our !rowth.

-- Agents# Agents are the face of the ban. and are critical to ban.As growth. The
can have individ!al and corporate as its agents.

ban.

Recommendations:

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

1-

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%o earn

a,i u

$rofitability and a co $etitive ed!e over other $layers in this er!in! both indirect and direct sales channel in an

sector< the ban" should focus on efficient anner.

&he ban can ta e $ollo!ing stepsN*. ?hile a"in! business throu!h direct sales< it should also focus on outsourcin! of 8S#Bs which will stabili>e their staffin! re@uire ents and

business fro e,$enditures.

2. %he bro"ers or referral a!ents who include insurance a!ents< C#Bs etc. should be contacted on re!ular basis. /. %he ban" should officially of local laws. %here is a hu!e $otential in the ar"et which the ban" can cash in by ana!in! a,i u a"e a contract with these bro"ers to avoid any violation

these channels efficiently. %o !et an ed!e over co $etitors and to earn the

revenue< the ban" should now focus their attention towards these non-traditional channels for sellin! their $roducts and reachin! the custo ers.

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

18

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Anne#ure 3 R%'%RRA+ A1%)& APP+"CA&"O)> APPROCA+ 'ORM )aste $hoto!ra$h of the referral a!entH$rinci$al of the referral a!ent : Place : Jaipur Product : Mortgages +ocation : Jaipur R%''RA+ CO,% : QQQQQQQQQQQQQQQQQ 2%o be !iven by sales !overnance4
,A&%

Ca e of the referral a!ent )an nu ber Service ta, nu ber #ddress Contact landlineHcell $hone Cature of businessH$rofessionHcate!ory 3stri"e off which is not a$$licable4 C#HCSH%a, consultantH0nsurance a!entHCar dealerHfinance consultantH6C0 service $roviderH+, ban"erHOther $roduct co $etitor 8S#H&eal +state a!entH Others

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

19

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&eferral #!ent Si!nature 0nitiator na e and si!nature 3#S.4 &eco endation by na e and si!n 3&S.HCenter ana!er4 #$$roved by 3 ana!er-a!encies4 0n case of others whether a$$roval 3stri"e off is not a$$licable4 ails attached #shish rana Cetra$al sin!h

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

-0

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B"B+"O1RAP0.

Boo s U Funda entals of 5an"in! %heory< 200- by &a a &eddy U )rinci$les of Financial .ana!e ent< 2008 by &an!ara=an

MagaIines U 0nternational 5an" &e$ort< *7th June< 2008 U 5usiness 0ndia. *0th .ay< 2008 U +cono ic ti es. *st July< 2008 U .aterial $rovided by the co $any

Search %ngines UUU???.S%#C8#&8C6#&%+&+8.CO. UUU???..#JC+?IO&K6O.+.CO.

(((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((((

-*