Contents

Introduction to Bank AL HABIB....................................................................................................................2

Habib Family's Business Units..................................................................................................................3
BANK AL HABIB SENIOR CITIZEN’S ACCOUNT DETAILS............................................................................3
Purpose and Objectives...............................................................................................................................4
Analysis of the environment:.......................................................................................................................5
MARKETING MIX:........................................................................................................................................6
People......................................................................................................................................................6
Physical evidence.....................................................................................................................................6
Process....................................................................................................................................................7
External Assessment:...................................................................................................................................8
SWOT Analysis.............................................................................................................................................9
Strengths:..............................................................................................................................................10
Weaknesses:..........................................................................................................................................10
Opportunities:.......................................................................................................................................11
Threats:.................................................................................................................................................11
Conclusion:................................................................................................................................................12

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Introduction to Bank AL HABIB

Bank AL Habib was incorporated as a Public Limited Company in October 1991 and started its
operations in January 1992. It is a venture of the Habib Group, which owns 50% of the shares -
20 % shares are owned Bank AL Habib was incorporated as a Public Limited Company in
October 1991 and started its operations by NIT and 30% are owned by the general public. The
Bank operates in the private sector, with 30 branches in the major cities of Pakistan, and has its
principle office at Karachi.

It is a scheduled Bank principally engaged in the business of commercial Banking with a

network of 233 branches including a wholesale branch (in the Kingdom of Bahrain, a branch in
Karachi Export Processing Zone and four Islamic Banking branches. The Bank has invested in
66.67% shares of AL Habib Capital Markets (Private) Limited.

The principal objective of the company is to engage in the business of equity, money market and
foreign exchange, brokerage, equity research and corporate financial advisory and consultancy
services. AL Habib Capital Markets (Private) Limited (the Company) was incorporated in
Pakistan as a (Private) Limited Company on 23 August 2005 under the Companies Ordinance,
1984 and started operations from14 December 2005.AL Habib Financial Services Limited is a
wholly owned subsidiary of the Bank. The principal objective of the company is to engage in
arranging / advising on financial products and services. AL Habib Financial Services Limited
was incorporated in Dubai on 05 March 2008.

Its commercial Banking services also include acceptance and placement of funds in the interbank
market; purchase and sale of foreign currencies; trade information and research; remittances and
transfer of funds; purchase and sale of government securities; Sui gas bills collection; and MCB
rupee traveler cheque services.

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Habib Family's Business Units
Banking and Finance;

Bank AL Habib (Pakistan)

Habibsons Bank (UK & Switzerland)
Habib Overseas Bank (South Africa)
Habib African Bank (Tanzania)
Habib Banking Corporation (Bahamas)
Habib Investment Corp. (FZE) (UAE)
Habib Capital Advisors Ltd (BVI)

BANK AL HABIB SENIOR CITIZEN’S ACCOUNT DETAILS

 Savings Account – For Senior Citizens of 60

Years & Above (At least one of the
accountholders should be of 60 years & above
in case of joint account)
 Rate of Profit – 10 % p.a. (expected rate of return)
 Profit Payable Monthly.
 Profit will be automatically credited to account on minimum monthly balance on first
working day of each month. Profit may be withdrawn through ATM or cheque from any
of our branch.
 No Minimum or Maximum Deposit Limits
 Free Online Banking
 Free ATM / Debit Card
 Up to 90% Financing Against Deposits
 All other conditions including Zakat & Taxes for Savings Account are applicable.

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Purpose and Objectives

 Cater the market of senior citizens

 Ageing population-opportunity to capitalize
 Providing services that others don’t and differentiating amongst the others
 To satisfy the aging population issues by giving them out of the box services and at a
very lower rate to fulfill their needs
 Targeting the savings of retired people, giving them good returns and secure most
importantly- as retired people want security of their funds the most.

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Analysis of the environment:

Due to the tensed economic factors affecting our lives, all of us need financial security. For
people above 60, after retirement, this product has been launched. In our country, not all
organizations pay pension. So by observing this factor,
Senior Citizens account will provide them an edge to invest
and get the return in old age. Except from Bank Al Habib,
not any other Bank has taken this initiative so far. Although
the government has a product in place for senior citizens in
National Savings with the name of Behbood Savings, which
offers higher rate of return, but the main issue with national
savings is its availability and customer services issue at their
offices. So with Bank Al Habib’s Senior citizens account, it
reduces the hassle of collection of returns, as profits are
directly credited to the account and can be withdrawn from any ATM or branch of Bank Al
Habib. So keeping all the factors in view, Bank Al Habib’s tailor made account for senior
citizens will give them a competitive edge over other Banks.

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MARKETING MIX:

In the Banking sector, since it involves services, we will use the extended marketing mix. It will
include people, physical evidence and process, apart from 4P’s of marketing.

People: People or the staff of the Bank plays an important role. They are the key players in
convincing the potential customers to go for their product. They need to be very gentle with the
old aged customers and must have expert verbal skills .Plus such customers are very hard to
convince to go for something new.

Physical evidence: Physical evidence is the material part of a service. Strictly speaking there
are no physical attributes to a service, so a consumer tends to rely on material cues. In a Banking
service, when a customer enters the building, the ambiance must click him. When old aged

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customers will enter the Bank, or even search about such a product, they could be convinced
with the help of following materials:

 Packaging.
 Internet/web pages.
 Paperwork (such as invoices, tickets and dispatch notes).
 Brochures.
 Furnishings.
 Signage
 Uniforms
 Business cards.
 The building itself (such as prestigious offices or scenic headquarters).
 Mailboxes and many others

Process: Refers to the systems used to assist the organisation in delivering the service. Some
see processes as a means to achieve an outcome, for example - to achieve a 30% market share a
company implements a marketing planning process. Customers will judge the new product based
on the delivery process of the Bank. It would include that within what time period the
information was delivered to them, how quickly the account would be opened, how accurately
the pre-sale and post-purchase service would be delivered etc. Apart from this there are certain
important factors that come under process:

 Deliver value through all elements of the marketing mix. Process, physical evidence and
people enhance services.
 Feedback can be taken and the mix can be altered.
 Customers are retained, and other serves or products are extended and marked to them.
 The process itself can be tailored to the needs of different individuals, experiencing a
similar service at the same time.

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External Assessment:

 Various banks offering different kinds of products to various segments of market

 No financial institution except National Savings, offering a special product for Senior
Citizens

 Giving as competitive rate of return as National Savings

 A product specifically for senior citizens was not there in the banking sector

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SWOT Analysis

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Strengths:

 Senior Citizens account of Bank Al Habib is good source of promotion for Bank Al
Habib.
 Bank Al Habib’s brand name is itself a strength
 Bank Al Habib provides online as well as physical training for its employees all over
world
 Bank Al Habib have the more then 230 branches in Pakistan
 There is a huge variety of products and services
 They do not consume to much capital on the marketing of their product
 Less risk in their Banking system because they are not easily give the credit facilities to
the customer
 Brand name is also the strength of the Bank Al Habib.
 Decent way of dealing with the customers.
 Rapidly expansion of branches in the different cities of Pakistan.
 Too much focus on the development and the promotion of the employees.
 Proper online Banking system.
 No too much threat of the political environment.
 Do well socially
 Current ratio is above 20% of the total deposits
 Controlling Standards
 First in the industry to introduce senior citizens account
 No financial institution except National Savings, offering a special product for Senior
Citizens

Weaknesses:

 No special counters dedicated for senior citizens

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Opportunities:

 There is a lot of cushion available for Bank Al Habib in terms of expanding its network
of branches up to 230 but all this depends on stability of the Pakistan economic and
political situation
 Bank Al Habib has an opportunity to merge with some other Bank to increase the number
of its branches in Pakistan
 Marketing department should be started in order to promote the name of Bank Al HAbib.
 On the job training & coaching sessions can be conducted.
 Creating separate counters for senior citizens
 Giving home delivery service to customers

Threats:

 Day by day competition is increasing not only of the expansion of the Banks but also due
to the launching of the new Bank in the market
 More and more Banks are launching their operations in Pakistan which is increasing
competition for the Bank AL Habib.
 Circumstances of Pakistan are a great threat for the existence of the Bank Al Habib.
 Other Banks can copy the product and add value to their services

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Conclusion:

The prime objective of the Bank-Al-Habib with respect to Senior Citizens Account is to provide
an opportunity for ageing segment of the market to financially secure their future after
retirement. This is one of the impactful initiatives taken by the bank. Being first in its category,
can definitely lead the bank to strengthen its already established brand name. Moreover, it is one
of the most oldest and established bank in the country. So, this a plus point for the older segment
of the market that they could easily be convinced to go for this service.

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