AN INTRIM REPORT ON

INVESTOR AWARENESS AND MARKET PENETRATION OF SHAREKHAN IN NIRALANAGAR AND DALIGANJ,

LUCKNOW

By (MANISH KUMAR SINGH ) (MBA)

(.SHAREKHAN Ltd) A REPORT ON

INVESTOR AWARENESS AND MARKET PENETRATION OF SHAREKHAN IN NIRALA NAGAR AND DALIGANJ, LUCKNOW

BY (MANISH KUAMAR SINGH ) (MBA 2005-07)

A report submitted in partial fulfillment the requirements of (MBA Program (Class of 2007 ICFAI National College

EXECUTIVE SYNOPSIS
STUDENTS NAME ORGANISATION : : Manish Kumar Singh Sharekhan Ltd.

ADDRESS

Above Aryan Resturant 4 Shahnazaf Road, Hazratganj, Lucknow Mr. Tariq Nafees Assistant Manager (Sales) ShareKhan Ltd. Mr. Bhagwan Jagwani Mr. Ankush Arora Investor Awareness and Market Penetration of Share Khan at Nirala Nagar and Daliganj, Lucknow Disguised Questionnaire Method 100 respondents in Nirala Nagar and Daliganj

REPORTING OFFICER

FACULTY GUIDE COMPANY GUIDE PROJECT TITLE

: : :

METHODOLOGY SAMPLE SIZE

: :

ACKNOWLEDGEMENT
During my project work, many helping hands came across my way and when and how I have completed my half project; I would feel no less pride in expressing my sincere and endless gratitude to them. First and foremost, I express my deep sense gratitude to Mr. Ankush Arora Territory Manager, Sharekhan, where I am undergoing my training. I am deeply indebted to Mr. Anil Tandon, Principal, Mr. Bhagwan Jagwani, Faculty Guide, Kanpur,ICFAI National College, Assistance Managers, Mr. Tariq Nafees, Mr. Ishrat Khan, Mr. Apoorva Mathur of Sharekhan, Lucknow now for their helping attitude and kind attention, Last but no least, I would like to thanks all the faculty members of my Institute, ICFAI National College, Lucknow for their inspiration and moral support in making my project. It was the love and indispensable support of my parent, who despite all inconvenience and my typically perceptual insolence provided me with the best possible of everything in my ascent to the present accomplishment. Lastly is should not be deemed that those who are not mentioned have gone without my heartful acknowledgement.

Manish Kumar Singh (Management Trainee)

PREFACE
It naturally follows if the researchers want to make a special study of any subject experience and studies research, they will in the end reveal at least to some extent so called mysteries of one subject on which they have concentrated their efforts. Sharekhan Ltd. holds an important place in stock market. It is also Indias leading stock broker company. This marketing strategy is survey for the investor awareness and market penetration of the company in NiralaNagar and Daliganj, Lucknow. After the survey of penetration of the company. the area NiralaNagar and Daliganj, Lucknow researchers can find out the investor awareness level and market

TABLE OF CONTENT
1. ON THE JOB TRAINING
OBJECTIVE TARGET/TASK STRATEGY ACHIEVEMENTS LIMITATIONS CONCLUSION

2.

PROJECT
TITLE PAGE SUMMARY OF THE PROGRESS TILL DATE INTRODUCTION REPORT REFERENCES

ON THE JOB TRAINING

OBJECTIVE
The objective of on the job training is to.
1. 2. 3. Give business to the company though opening of demat accounts. Get full knowledge about the stock market and different type of customers. Get full knowledge and make myself full aware of the products of the company. 4. Make myself full aware about the rule and regulations followed by the company. 5. Get full knowledge about the competitors, who is present in the market an to know that how far the competitors are different from my company and how their products are different from us and my company. 6. Make the market full aware of the company, its products, its features, its uniqueness and jobs offered by the company. 7. 8. Learn the ground reality of the corporate world. Learn that how to overcome from all the objections of prospective clients.

TARGET/TASKS

The target/tasks of OJT (On the Job Training) are as; To find out the prospective clients and convince them to open their demat account. To open at lest two demat accounts on weekly basis or 8 demat accounts on monthly basis. To motivate the people to trade in shares who have demat accounts. To make CIS on the computer. To create the database of those people who opened demat account with the company.

STRATEGY
The strategies for OJT (On the Job Training) are as to; Found the prospective customer database from different means. First of all we made cold calls to people and took an appointment from them to give the product knowledge of the company. This is a part of Direct Marketing.
Database Marketing - Direct marketers mine the database to identify

prospects that would have the most interest in an offer.

Tele prospecting - Generating and qualifying new leads for closure by

another sales channel. If any customer is looks like more potential and more profitable for the company then I have to fix an appointment of that customer with my company guide.
Presentation - We tells the product story to the buyer. We use a FABV

(Features, Advantage, Benefits, and Value) approach. Features describe the economic, technical, job and social benefits delivered by the offerings. Value describes the worth of offerings (how much a person can achieve by investing through our company). To ensure the customer satisfaction and repeat the business we follow up with them. We also deliver the details to the customer on the matter of purchase and sales and other matters that are important and beneficial to the customer.

ACHIEVEMENTS
As per my assigned target/task achievements are as; I had opened 15 demat accounts by contacting approximately 150 people and I had achieved the target. We (the Sharekhan team) have got the appreciation letter from our company guide as a team. In the SIP news bulletin of ICFAI National College the names of Sharekhan team members was written for the appreciation got from the company guide Mr. Ankush Arora, Territory Manager Sharekhan Limited, Lucknow.

LIMITATIONS
Limitations of OJT are as;
There are some documents needed to open demat account such as, PAN card, address proof, bank proof etc. To open a demat account and trading in shares MICR cheque is compulsory. All the signatures of account opening form must be matched with the signature of the pan card. People are not interested in stock market.

CONCLUSION
Going through my OJT I concluded that;
I have to make aware people about the company.

I have to meet different type of people and convince them to be the client of the company and also to invest in the share market. I have to search potential client, if they want extra facility then I fix an appointment with my immediate senior Mr. Tariq Nafees Assistant Manager (Sales) Sharekahn Ltd.

I had achieved my target till now, but my performance level can be improved by some more training classes. The tasks and targets can be better achieved if company gives some attention on the advertisement in the city.

PROJECT

SUMMARY OF THE PROGRESS TILL DATE

My project name is INVESTOR AWARENESS AND MARKET PENETRATION OF SHAREKHAN IN NIRALA NAGAR AND DALIGANJ

When I was assigned the project first of all to understand the completely the project that what actually has to done in the project. I understood the project in detail with the help of our faculty guide as well as our company guide. After complete knowledge of project I made a questionnaire for the collection of primary data. After approval of the questionnaire I started the primary data collection based on it. I went to Niralanagar and Daliganj with questionnaire. My target people was professional, high class salaried people, well established businessmen, Showrooms etc. After collecting the data from Niralanagar and Daliganj then I started data analysis. According my data analysis found that most of the people are not aware with the stock market. Most of awared people are not interested to invest in the stock market.

INTRODUCTION
The goal of the project is to find out the investor awareness, presence of other competitor companies and their market share at NiralaNagar and Daliganj Lucknow.

There are many stock broker companies are coming in the existing in the market and these are affecting the business of the company. So analyze the reasons to affecting the business.

With the help of this project I have to find out the customers believe in the better services, market penetration of the company, Believe in local share trading companies, Own research or reference, Brokerage rate, growth etc.

Through this project I will find that market share of company, positioning of the companies, and unknown people from the company and most preferable company in the Lucknow market at the specified areas.

To proceed this project I have designed a questionnaire. It have included close ended and open-ended question. Then I will go for the primary data for my project at NiralaNagar and Daliganj Lucknow.

The reason of conducting of this project is to know the perception of the clients towards share market as well as stock broking companies and now a days share market growing day by day but what customer are also investing more to more if not what are the reasons.

After collection of primary data I have compiled it and find out the result base on the questionnaire and suggestion for the company.

Objective
The expected outcome from the project is
Investor awareness for the Sharekhan. Market penetration of Sharekhan. Most preferable stock broking company in Lucknow market. Customer base of the company Target customers of the company. Customers dealing with share market. Type of customers. Positioning of the company in the market. Positioning of the others competitors in the market. Reason of the having interest /not interest in share market. Feed back of the different clients towards different companies.

RESEARCH METHODOLOGY
For the questionnaire:
I have used the methodology for the questionnaire close ended and open ended.

Close ended Method:

i. ii.

Dichotomous Multiple choice

Open ended Method:

i. ii.

Completely unstructured Sentence completion

For the project:

i.

ii. iii. iv. v. vi. vii.

Descriptive research Applied research Qualitative research Conclusion oriented Scientific method Sample survey Computer application

Method of data collection:

Primary data i. Collection of data through questionnaire ii. Data collection through schedule

RESEARCH METHODOLOGY
Descriptive research:
Descriptive research includes surveys and fact-finding enquires of different kinds. The major purpose of descriptive research is description of the state of affairs as it exists at present.

Applied Research:
Applied research aims at finding a solution for an immediate problem facing a society or an industrial/business organization.

Qualitative Research:
Qualitative research on the other hand is connected with qualitative phenomenon i.e., phenomenon relating to or involving quality or kind. For instance when we are interest in investing from the reasons for human behavior i.e., why people think or do certain things.

Conclusion Oriented:
While doing conclusion-oriented research, awareness is free to pick up a problem redesigning enquires as the proceeds and is prepared to conceptualize as he wishes.

Scientific Methods:
The scientific method is one and same in the branches (of sciences) and that method is the method of all logically trained minds. The utility of all sciences consists alone in its methods, not its material: the man who classifies facts of any kind whatever, who sees their mutual relation and describe their sequences, is applying the scientific method and is a man of science.

Sample survey:
The respondents selected should be as representative of the total population as possible in order to produce a miniature cross section. The selected respondents constitute what is technically called a

Sample and the selection process is called sampling Technique. The survey so conducted is known as sample survey.

Computer Application:
Computer can be used by just about anyone Doctor, Engineers and recently even house wives. Computers are used not only in numeric application but also in non numerical such as proving theorems, playing chess, Share trading, Preparing menu, Preparing projects and so on. Without computers we might not have achieved a number of things.

RESEARCH INSTRUMENT
QUESTIONNAIRE:
Questionnaire are formal set of questions prepare to collect the required information. This is one of the most effective and popular techniques used in surveys. However, one has to be careful while drawing up questionnaire. Before deciding on the questions, it is important to understand the exact nature of the information required and who should be interviewed. The contents, phrasing and the sequence of the questionnaire should also be clear and unambiguous. The knowledge levels of the target of respondents should be kept in the mind while drawing up the questions.

MECHANICAL INSRUMENTS Sampling:

A sample is a subset of a unit or populations, collected as a representation of it. A sample is used to discover one or more properties of the population. Collected of sample is called SAMPLING. Proper sampling design is essential in marketing research. The sample has to be collected in such a way that is represents the populations.

Sampling Units:
In sampling researches, decide who will be surveyed. The portion of population that researches need to target and that represents the entire population is known as SAMPLING UNITS. The target population is should be selected in such a way that everyone in the population has that equal chances of being included in the sample.

Sample size:
The sample size is an important element in research process. As the size of the sample has the direct effect of a research. It is essential for researchers to select an appropriate sample size. As the size of a sample increases, accuracy and reliability of research also increases however, the cost of research also increases. Therefore, research need to make a trade off between the accuracy and cost of research.

Sampling procedure:
Sampling procedure is the way in while we selected a sample. The method for selecting samples includes stratified and un stratified sampling. Probability and non probability sampling, single stage sampling and multistage sampling and single unit sampling and clusters of unit samplings.

In my survey I have used QUESTIONNAIRE as the research instrument sampling size of the survey is 100.

ABOUT COMPANIES

KARVY KARVY, is a premier integrated financial services provider, and ranked among the top five in the country in all its business segments, services over 16 million individual investors in various capacities, and provides investor services to over 300 corporates, comprising the who is who of Corporate India. KARVY covers the

entire spectrum of financial services such as Stock broking, Depository Participants, Distribution of financial products - mutual funds, bonds, fixed deposit, equities, Insurance Broking, Commodities Broking, Personal Finance Advisory Services, Merchant Banking & Corporate Finance, placement of equity, IPOs, among others. Karvy has a professional management team and ranks among the best in technology, operations and research of various industrial segments. The birth of Karvy was on a modest scale in 1981. It began with the vision and enterprise of a small group of practicing Chartered Accountants who founded the flagship company Karvy Consultants Limited. We started with consulting and financial accounting automation, and carved inroads into the field of registry and share accounting by 1985. Since then, we have utilized our experience and superlative expertise to go from strength to strengthto better our services, to provide new ones, to innovate, diversify and in the process, evolved Karvy as one of Indias premier integrated financial service enterprise.

KOTAK SECURITIES Kotak Mahindra is one of India's leading financial institutions, offering complete financial solutions that encompass every sphere of life. From commercial banking, to stock broking, to mutual funds, to life insurance, to investment banking, the group caters to the financial needs of individuals and corporates.

The group has a net worth of around Rs.2000 crore and the AUM across the group is around 120 billion and employs over 6000 employees in its various businesses. With a presence in 216 cities in India and offices in New York, London, Dubai and Mauritius, it services a customer base of over 10,00,000.

The group specializes in offering top class financial services, catering to every segment of the industry.

ICICI direct .com ICICI Bank Demat Services boasts of an ever-growing customer base of over 11.5 lacs account holders. In our continuous endeavor to offer best of the class services to our customers we offer the following features: E-Instructions: You can transfer securities 24 hours a day, 7 days a week through Internet & Interactive Voice Response (IVR) at a lower cost. Now with "Speak to transfer", you can also transfer or pledge instructions through our customer care officer. Consolidation Demat Account: Dematerialise your physical shares in various holding patterns and consolidate all such scattered holdings into your primary demat account at reduced cost. Digitally Signed Statement: Receive your account statement and bill by email. Corporate Benefit Tracking: Track your dividend, interest, bonus through your account statement.

Mobile Request: Access your demat account by sending SMS to enquire about Holdings, Transactions, Bill & ISIN details. Mobile Alerts: Receive SMS alerts for all debits/credits as well as for any request which cannot be processed. Dedicated customer care executives specially trained at our call centre, to handle all your queries. Countrywide network of over 235 branches, you are never far from an ICICI Bank Demat Services outlet. INDIA INFOLINE The India Infoline Group comprises the holding company, India Infoline Ltd, which has 4 wholly-owned subsidiaries engaged in distinct yet complementary businesses which together offer a whole bouquet of products and services to make your money grow. As on date, the Group employs 4000 plus employees, in over 60 locations, across India. The corporate structure has evolved to comply with oddities of the regulatory framework but still beautifully help attain synergy and allow flexibility to adapt to dynamics of different businesses. The parent company, India Infoline Ltd owns and manages the web properties www.indiainfoline.com and www.5paisa.com. It also undertakes research, customized and off-the-shelf. Launched on 11 May 1999, www.indiainfoline.com is Indias leading and most comprehensive business and financial information website. The site provides quality information and analysis - earlier restricted to a few people - to the common man, absolutely free! The site has met with an overwhelming response and has been reviewed as the most comprehensive financial

content website in India by BBC World - Money Watch, Business World, Business Line and others. The company also won the Golden Mouse Award in India Internet World 2000 for the "Best Finance" site. In May 2001, our website was included in the Top 200 Best of the Web list by Forbes Global under the Asia Investing category. We were the only website from India to be featured in any category. Since then it has been nominated twice to this list. In its last review, Forbes editors have said, "www.indiainfoline.com is a must read for the investors in South Asia..."

Sharekhan
Sharekhan is a Indias leading stock broker of the retail arm SSKI(Sri Shantilal Kantiwal,Ishwarlal Pvt. Ltd.), an organization with over eighty years of experience in the stock market, With more than 240 share shops in 110 cities, and Indias premier online trading destination. Sharekhans customer enjoy multi channel access to the stock market, and it offers you trade execution facilities for each as well as derivatives, on the BSE and the NSE, depository services, commodities trading on the MCX and NCDEX and most importantly, It bring investment advice tempered by eighty years of broking experience. Services of Sharekhan 1. 2. 3. 4. 5. 6. Equity and derivatives trading Technical research Fundamental research Share shops Commodities trading Online trading

7. 8. 9. 10.

Depository services Portfolio management Dial-n-trade Mutual Fund

Awards
Most preferred stock broker in India by CNBC (Awaaz Consumer vote awards 2005) 8 July, 2005 Best financial website award Chip disnet web award 2001

REPORT

DATA ANALYSIS
Sample Size: 100
Division of people based on Sex

Female 12%

Male 88%

INTERPRETATION I took sample size 100. Among 100 people 88% are male and 12% are female.

Division of people based on Occupation

45 40 35 30 25 20 15 10 5 0
Emloyed Selfem ployed

No. ofpeople

Business

Professional

Housew ife

Others

Occupation
INTERPRETATION Among 100 people Employed Self employed Business Professional House wife Others 19 10 45 17 04 05

Division of people based on Age Group

50 45 40 35 30 25 20 15 10 5 0 18-35 35-50 Age Group Above 50

INTERPRETATION Among 100 people different numbers of people belonging from different age group, which is given below;

Age Group(years) 18 35 35 50 Above 50

No.of People

No. of people 48 34 18

Awareness level about Stock Market

No 33%

Yes 67%

INTERPRETATION Among of 100 people 67 people are aware about stock market and 33 people are not awared.

Awareness about stock market through different means.

No. of people

30 25 20 15 10 5 0
Investor Television Friend Newspaper Others

sources of awareness
INTERPRETATION

Among 100 people 67 people are aware about stock market by different means, which are as, Means of awareness Investor Television Friend Newspaper Others Reasons for unawareness No. of people No. of people 28 15 07 09 08

12 10 8 6 4 2 0
Never Heard of Stock Market Heard but no Interest Heard but no Knowlwdge Others

Reasons of unawareness
INTERPRETATION Among 100 people 33 people all are not aware about stock market by different means, which are as;
Means of unawareness No. of people

Never heard Heard but no interest Heard but no knowledge Others

07 08 12 06

Investment level in the stock market

26 Yes No 41

INTERPRETATION Among 100 people 67 people are interested in stock market. Among 67 people 41 people are invested in stock market and 26 people are not invested in stock market.

Type of different investment in the stock market No. of people

18 16 14 12 10 8 6 4 2 0

Equity Trading

Mutual Fund

Debenture

Others

Sources of investment
INTERPRETATION Among 100 people 41 people all are invested in the stock market in different means, which are as; Means of investment Equity trading Mutual Fund Debenture Others Experience of investment in the stock market No. of people No. of people 18 14 04 05

18 16 14 12 10 8 6 4 2 0

<1Year

1 - 3 Years

3 - 5 Years

More than 5 Years

Experience of investment (in years)

INTERPRETATION Among 100 people 41 people are invested in the stock market but all of them have investing for a different period of time, which is as;
Time (in years) No. of people

01 13 35 >5 Selection of company for investment No. of people

06 07 17 11

12 10 8 6 4 2 0 4

11

8 7 6 5

Companies
INTERPRETATION Among 41 people different numbers of people invested in different stock broking companies. All of them are described below; Company Name Sharekhan India Infoline Karvy ICICI direct.com Kotak Securities Other local companies Market share of companies No. of people 04 07 11 05 06 08

ot he r

Ko ta k

Se cu lo ri t ca ie s lc om pa ni es

Sh ar ek ha In n di ai nf ol in e

IC IC I

di re ct .c

Ka rv y

om

sharekhan 20% 10% 17% 15% indiainfoline karvy ICICI direct.com Kotak Securities 12% 26% Other local companies

INTERPRETATION The above pie chart shows that the market share gained by the different companies in the area NiralaNagar and Daliganj Lucknow as given below. Company Name Sharekhan India Infoline Karvy ICICI direct.com Kotak Securities Other local companies Market Share (%) 10 17 26 12 15 20

Reasons for selection of these companies

No. of people
14 12 10 8 6 4 2 0

Pu bl ic it y

Se rv ic e

R at e

G ro w

reasons of selection of companies

INTERPRETATION Among100 people 41 people are invested in stock market. Among them 7 people due to mouth publicity, 11 people due to better service, 4 people due to growth rate, 13 people due to less brokerage and 6 people due to other reasons selected all the above companies.

Way of selection of these companies No. of people

Le ss

O th er

ou th

et t

B ro ke ra ge

er

Re as on

th

10 9 8 7 6 5 4 3 2 1 0 3 5 7 7 9

10

ad th ve ro rt is ug em h re en pr t es en ta tiv e re fe re nc ow e n re se ar ch ra nd om ly

Way of selection Companies

INTERPRETATION Among 41 people 3 people through advertisement, 7 people through representative, 9 people through references, 7 people through own research, 5 people through randomly and 10 people through other reasons has selected these above companies.

ot he rs

Satisfaction level for the companies satisfaction level

Poor Fair Good Very Good Excellent 0 5 10 15

No. of people
Among 41 people the number of people who are at different satisfactory level are different this is described below. Satisfaction Level Excellent Very Good Good Fair No. of people 12 13 09 04

Poor 03 People having monthly transaction in shares (in Rs.) No. of people

12 10 8 6 4 2 0

11

Series1

INTERPRETATION Among 41 people different no. of people belonging from different range of monthly transaction. Range of monthly transaction (in Rs.) 1000 5000 5000 10,000 10,000 25,000 25,000 50,000 50,000 1, 00,000 1, 00, 000 5, 00, 000 No. of people 11 09 07 06 04 02

> 5, 00,000 02 People distribution on the basis of monthly brokerage paid by him. No. of people

10 00 -5 50 00 00 -1 0 10 0 ,0 00 ,0 0 -2 0 25 5 ,0 00 ,00 50 -5 0 ,0 0, 00 00 1, -1 0 00 ,0 ,0 0, 00 00 -5 0 ,0 0, 00 > 0 5, 00 ,0 00

Monthly transaction range (in Rs.)

10 8 6 4 2 0 10 100 6

9 7

8 5 6
Series1

100 500

500 1000

1000 - 2500 - > 5000 2500 5000

Monthly brokerage (in Rs.)

INTERPRETATION Among 41 people 6 people are paying brokerage 10 100Rs. 9 people are paying brokerage 100 500Rs. 7 people are paying brokerage 500 1000Rs. 8 people are paying 1000 2500Rs 5 people are paying 2500 -5000Rs. And 0nly 6 people are paying > 5000Rs. On monthly basis.

CONCLUSION

After analyzing the data according to my sample survey (sample size 100) I found out that among 100 people 67 % are aware about stock market and 33% are not aware about this market. Only 41% people are interested to invest in the stock market and rest 26 % are not interested to invest due to different reasons such as; financial problem, unsafe market etc. Among 41% people only 10% are the client of sharekhan and they trade in shares with the help of it.

REFERENCE
BOOKS NAME
Marketing Management Marketing Management Marketing Research

AUTHORS NAME
ICFAI National College Text Book Philip Kotler Donald S. Tull Deli. Hawinks