AXIS BANK

One Solution For All Your

Financial Needs…….
GLIMPSE of Indian Banking Sector
•Total Assets: US $ 335 billion.
Size Total Assets
•Total Deposits: US $ 279 billion.

•Over 290 Scheduled banks: 7%

Number of
Banks •Public sector: 28 18%
•Private Sector: new 9, old 24
•Foreign banks: 31 Public Banks
•Over 190 Regional Rural Banks 75% Private Banks
Foreign Banks

Branch •Over 66,000 Branches:

Network •Public Sector: 46,000
•Private Sector: 6,500 according to ICRA
•Foreign Banks: 190
•RRB’s: 13,500
 Banking Structure of India
Reserve Bank of India

Commercial Co-operative Development

Banks Banks Banks

Public Private Foreign Urban State

Banks
RRB’s Agricult
Banks Banks Co-op. Co-op. EXIM
(28) (33) (190) (31) ural
(52) (16)

Industrial

SBI & Other

Associate Nationalized Old New
Banks Banks (24) (9)
(9) (19)
 Role of Banking Sector in India
• Encouraging savings.
• Mobilization of saving for investment.
• Channel of government monetary policy.
• Necessary for meeting the growing demand for liquidity.
• Capital formation.
• Financing to various sectors for development and
expansion.
 Axis Bank
• Axis Bank was the first of the new private • The Bank's Registered Office
banks to have begun operations in 1994 is at Ahmadabad and its
Central Office is located at
• The Bank was jointly promoted by the Mumbai.
Administrator of the specified
undertaking of: • 1095 branches.
• The Unit Trust Of India 100 core
• Life Insurance Corporation Of India • Over 4846 ATMs
• General Insurance Corporation Of India
• National Insurance Company Ltd • It is one of the largest ATM
• The New India Assurance Company Ltd
networks in the country.
• The Oriental Insurance Company Ltd s
• United India Insurance Company Ltd

At present AXIS BANK is the 3rd largest private sector bank in India.
 Product
People

Price

Physical
Evidence

7 Ps
Place

Process

Promotion
 Services @ Axis/Segmentation
Width
Personal Corporate NRI Priority
Banking

Accounts Accounts Accounts Accounts

Deposits Credit Deposits Deposits

Depth Loans Capital Market Remittances Loans

Cards Treasury Services Cards

Investments Cash Investments

management

Insurance Govt. Business Payments

Payments Remittances
 Other services
• E-broking
• Advisory functions
• Trusteeship services
• Overseas financing transactions
• Equity solutions
• Debt solutions
• IPO-Smart
• Mobile recharges
• Trading in currency futures
• D-mat a/c
• Selling gold bars 24 carats
• Capital market funding
 The Flower of Service @ Axis:
Categorizing Supplementary Services

Mutual Funds

D-mat a/c Consultation Services

ATM’s Core Home loan

E-banking Mobile & Internet

services
KEY:
Facilitating elements Advisory functions Deposits &
Enhancing elements Withdrawal of
Money
Three levels of service @ AXIS
Augmented
Good waiting rooms service

Timely Service Actual

service
Brand Banking
name Hours
Basic
Extensive
New schemes Banking ATM Network
Tailored for Service
Specific customers
Core
service
24 ATM

Mobile & Internet

Banking
Service Charges
Loans Rate of Interest HDFC

BPLR 14.75%
Applicable Rates Fixed Variable
(Monthly Rest rates% rates%
Basis)
Housing loan
•Floating (up to 8.75%
30 lakhs) 9.25%
(above Upto and
30 lakhs) 14% including Rs 30 11.25 9.50
•Fixed lacs
(irrespective of
the amount)
Personal Loan 14 – 21% Rs.30.01 lacs to 11.25 9.75
Rs.75 lacs

Car Loan 9.5 – 15%

Rs.75.01 lacs and
above 11.25 10.00
 Promotion
• Name changed from UTI Bank to Axis bank creating a
global modern bank image
• Tie up with dish tv
• Television Advertisement
• Print media
• Publicity
• Personal selling
• Tele marketing
Initiative for awareness/customer acquiring
 Marketing Triangle
Company
(Management)

Internal External
Marketing Marketing

Advertisements,
Motivating employees
Hoardings, Tie Ups
,Training on the services
provided Communication
& Connectivity,
Business process Customers
Employees Reengineering

Interactive Marketing
Service Encounter, Sales
Representatives
People (the assets @ Axis)

• 14000 employee base

• Professionally qualified staff
• Service oriented organization
• Relationship Management
• Rigorous Training
 People (the assets @ Axis)

1% 7%
8%
36% CA/ICWA/ICS/CFA
Below 30 years
25% Above 30 -40 years 34% MBA's
Engeenier/Technical
Above 40 - 50 years Banking Professionals
Above 50 years Other Graduates/ Post
66% Grad.

21%
2%

Average age of Human Resources @ Axis. Qualification of the Human Resources

 Physical Evidence
• Bank Branch
• Cheque book
• Bank brochure
• Statement of accounts
Web page • Logo ATM
• Atm

Office Interiors Credit Cards

Logo
AXIS BANK – SECTOR 35 BRANCH

• 4 cash counters
• 150 per counter footfall
• 20,000 accounts
• ¼ premium customers
Interaction Between Customer And Service
Provider(AXIS BANK)

Customer goes to the service provider (Visit Axis Bank)

Service provider goes to the customer(Personal Banker

Sales)

Interaction at arm’s length (ATM, Internet Banking,Mobile

Banking)
 Blueprint Form &
Seating Quality
evidence
Physical

Welcome Seating
Location Reception
Desk arr. & Cash Of paper
Arr. Cards etc.
Brochure counter
Customer

Arrives Interaction Receives

Security Completing
At Check
Inquiries With Formalities Wait Welcome
Bank Pb. Banker kit

Line of Interaction
Welcome
Contact
person

Watch Security Personal Personal

Desk
man Man Banker Banker
officer

• Transfer •A/C
Guides Explains Initial proceed
Invisible

Line of Visibility
process

cust. To Products Welcome

amt. •A/C NO.
Pb & kitsent
• Send •PIN
Banker investments
form generated
Process or moment of Truth
Customer enters branch (watchman)

Inquiry (welcome desk manager)

Interaction with the banker (personal banker)

Form fill (physical evidence)

Welcome drink served (empathy)

Waiting lounge (physical evidence)

 Positioning
Axis Bank has positioned itself as a bank which gives higher standard of
services through product innovation for the diverse need of individual &
corporate clients.

• Customer centric
• Service oriented
• Product innovation

There's a solution to everything

Competitors
Private Sector Banks Public Sector Banks

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 Comparative Analysis
Bank Branches ATM Cities Inception Overseas
Presence

Axis Bank 1095 4846 615 1994 4

HDFC 1725 4232 779 1994 8

SBI 13076 21000 1955 32

PNB 4668 3700 1895 5

BRANCH NETWORK AXIS BANK
AXIS
BANK
SECTOR
20 PKL

SECTOR SECTOR
8 17

SECTOR SECTOR
35 10 PKL
MOHALI
PH 7
Branch network
HDFC
SECTO BANK
R 8 PKL
SECTOR SECTO
11 PKL R 32
SECTOR SECTO
10 PKL R 35(2)
SECTO SECTO
R 15 R 46
SECTO SECTO
R 40 R 22
IND SECTO
AREA(BAN
K HOUSE)SECTO SECTOR 17(2)
R 38 R 37
 Perceptual Map
HIGH Service Quality

Axis Bank HDFC

Bank

LOW High
Branch + ATM Branch + ATM
Network Network

SBI

LOW Service Quality

 Facilities to Preferred customer
• No AQB charges

• Relationship Manager
• No waiting
• 3rd Party deposit charges
• No draft charges

• Special Discounts(xtra discounts eg on gold)

Factors Affecting Satisfaction of Axis
Customers
Customer
Satisfaction

Problem
Advisory
handling Trust
Status
value

Network
Workforce Comfort
Reliability
The Key Drivers of Service Quality, Customer Retention, and
Profits

Key Drivers Service Encounters

Service
People Encounter

Product Service
Knowledge Encounter
Service
Quality Behavioral Customer
Intentions Retention
Problem Service
Handling Encounter

Quick Service
Encounter Profits
Service
Drivers of Service Switching
Value Proposition

Pricing
• High Price
• Price Increases
• Unfair Pricing

Service
Delivery Service Switching Inconvenience
• Location/Hours
Recovery of
Service
Failure
Competition
• Found Better Service
Others

Involuntary Switching

• Customer Moved
 Gap 2 @ Axis
Customer-Driven
Service Designs and Standards
Customer

Customers Expect Wide Branch Network/

Nearest Branch Accessible

Company Perceptions of
Company
Consumer Expectations
 Gap 3 @ Axis

Service Quality
Customer

Product Knowledge Service if the

Concerned Employee is on leave

Company Perceptions of
Company
Consumer Expectations
●
Support of various
promoters. ●
Market
●
High level of services capitalization is
●
Knowledge of Indian very low.
market.

S W

T O

●
From various ●
Growing Indian banking
competitors.
sectors
●
Foreign banks ●
People are becoming
●
Govt. banks
more service oriented.
●
Future market trends.
Increasing Reach
4293
4500
4000 3595
3500
3000 2764
2341
2500
1891
2000 2005-06
2006-07
1500 1035 2007-08
835
1000 643 671 2008-09
405 515 450 561
500 258 332 2009-10

0
Centers Covered Branches + Extension ATM's
Counters
 Increasing Cliental & Profits
1200000 8950
1117734
9000
992286 8000
1000000 899594 6583
7000

6000
800000 5000 4381
2005-06
4000 2006-07
600000 3000 2515 2476 2007-08
492160
1815 1808 2008-09
393344 2000 1071 2009-10
400000 1000 485659

0
Net Profit Operating revenue
200000

0
Cliental
 SERVQUAL: RATER

●
Safe transaction ●
Employees of the AXIS Bank
are good as they are always
●
Quick service polite humble and helpful.

RELIABILITY EMPATHY

●
Air Conditioned Premises
●
Employees
●
Furniture
●
Computer Systems

TANGIBLITY

●
Prompt in resolving ●
AXIS Bank assures the customers
coming up to the bank that the
problems and giving
money they invest is secure;
information. ●
Guidance of the productions.
●
TAT-3 days ●
Secrecy

RESPONSIVENESS ASSURANCE
In Axis bank, you have:
No.of persons

1
2 2
Saving a/c
Current a/c
Availed any loan
Investment in 3rd party

18
Which were the all banks in your
consideration set when you planned Which bank did you finally prefer
for availing a loan.

NO.OF PERSONS NO.OF PERSONS

2 5
1
1
4
1 SBI
SBI HDFC
HDFC AXIS
AXIS ANY OTHER
ANY 12
OTHER
14
How do you rate axis bank
Did you find any drawbacks in
in compared to other axis bank
banks.

6 4

EXCELLENT
VERY GOOD YES
GOOD
AVERAGE NO
12
POOR
2
16
 Which are all other banks you Did you receive any benefits for
have account , other than axis being a loyal customer
bank

2 2
2
HDFC
SBI YE
S
4 PNB
14 ANY OTHER

18
 Recommendations
• Increase branch network in tricity
• Training to all employees on all product
knowledge
• Customers should be intimated through e-
mail/messages about the new schemes.
• Indicators directing the respective services or
sections
Measures being taken to be ahead of Competitors

• Fast processing of Loans

• Better Services within Less TAT
• Better System Both Internal and External
• Quality Of Products
Latest @ Axis
• Received approval from the RBI to set up a subsidiary in the
UK, as well as permission to upgrade its Shanghai
representative office into a branch.

• Axis Bank, the third-largest Indian private bank and Max

New York Life Insurance, one of India’s leading life
insurance companies have forged a 10 year strategic
relationship, a first of its kind in banc assurance.

• Launched its rural banking strategy in Gujarat with the

inauguration of its branch at Rajula in Amreli district on 22
November 2010
 Latest @ Axis
• Axis Bank, on 15 Dec 2010 has signed an MoU with IDEA
Cellular, whereby Idea will act as a Business Correspondent
of Axis Bank to provide the bank’s financial products and
services through its retail outlets.

• EzRemit, part of money transfer services provider BFC

Group Holdings, has signed a strategic agreement with
private lender Axis Bank to facilitate an instant money
transfer facility to receivers in India from across the globe.

• Authorized Bank for Chandigarh Housing Board Scheme.

Thank you !!