Project Report

(Project Semester 27 June - 10 August 2019)

“BANKING BEHAVIOUR ANALYSIS OF HIGH NET WORTH

CUSTOMERS”
Submitted in partial fulfillment of the requirement for the award of degree of
Master of Business Administration
Submitted by
BHARTI
Student ID : 18MBAN001

Under the Guidance of

Faculty Internship Guide: Mr. Manish Sharma Industry Guide: Mr Manoj Arawatia
Designation: Assistant Professor Designation: Bank Manager

Faculty of Management
JECRC UNIVERSITY
(27 June – 10 August , 2019)

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 DECLARATION

I hereby declare that the project work entitled “BANKING BEHAVIOUR ANALYSIS OF
HIGH NET WORTH CUSTOMERS OF THE CATCHMENT” is an authentic record of my
own work carried out at “HANUMANGARH TOWN” Rajasthan as requirements of ‘Summer
Training Internship’ project semester for the award of degree of MBA., JECRC University,
under the guidance of “Mr. Manoj Kumar Arrawatia” Bank Manager of HDFC Bank and “
Mr. Manish Sharma” Assistant professor of JECRC University during 27th June to 10th
August 2019.

Signature of student
Name of Student: Bharti
Student ID: 18MBAN001

Date: ___________________

Certified that the above statement made by the student is correct to the best of our knowledge

Name & Designation Name& Designation

Faculty Internship Guide Industry Guide
Signature

Seal of the company

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 ACKNOWLEDGEMENT

I take this opportunity to express my deep sense of gratitude to all those who have contributed in
making my report a success. Every project is a blend of efforts and learning on the part of
students and knowledge and experience of the experts in their respective fields.

I would like to express my sincere gratitude and thanks to Mr. Manoj Arrawatia “Bank Manager
of HDFC Bank” for his support and knowledge during my training.

This study is one of the valuable, continuous and systematic guidance of Mr. Manish Sharma,
faculty Assistant Professor his support and constant help has made this study possible. I am
grateful for his invaluable support.

I am gratified for providing this knowledgeable opportunity to explore the corporate world
practically, for their supervision, motivating, encouraging, guiding and supporting at every step
and sparing their valuable time for me.

I express my profound sense of gratitude and indebtedness towards them for providing every
information, assigning various task, guidance, appreciating and correcting us thought our project
period.

Last but not the least; I would like to express gratitude to all the friends and who helped me
throughout the period and gave me proper response and co-operating in our various activities
with their patience.

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 EXECUTIVE SUMMARY

HDFC Bank Ltd. was established by Mr. Aditya Puri and Mr. Deepak Parekh which is now
the second largest bank in India and is expanding its customer base every day. The bank offers a
variety of products and service for three different customer segments. The financial performance
of the bank is also on a better side in spite of prevailing market conditions.

The report also includes my experience of working as an intern with HDFC bank along with
observations, issues, suggestions and learning. The last part of the report talks about behavior of
consumers with regards to investment decisions. It discusses factors affecting investment
decision, degree of involvement and the process of pitching an investment product to a customer.

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 TABLE OF CONTENT

Sr. no. Contents Page No.

1 Title Page 1
2 Certificate 2
3 Declaration 3
4 Acknowledgement 4
5 Executive Summary 5

6 Introduction 7
6.1 About the Topic
6.2 History of Banking
6.3 Indian Banking System
6.4 Profile of HDFC Bank
6.5 Mission Vission & Core Values
6.6 About the High Net Worth
6.7 Products of HDFC Bank
6.8 Payment Services Offered By HDFC Bank
6.9 SWOT Analysis
6.10 Mckinsy’s 7s Framework of HDFC Bank

6.11 Porter’s Five Forces Model of HDFC Bank

7 Research & Methodology

7.1 Research Design
7.2 Research Tools

8 Analysis & Interpretation

8.1 Analysis Of Banking Behaviour of High Net Worth Customers and
Finding There of

9 Findings & Recommendation

10 Conclusion
11 Refrences & Bibliography
12 Appendices
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 ABOUT THE TOPIC

Meaning and definition:

A bank is a financial institution that accepts deposits from public and creates credit. principal
types of banking in modern industrial world is commercial banking & central banking.

Banking can be defined as the business activity of accepting and safeguarding money owned by
other individuals and then lending out this money in order to earn profit.

A banker of a bank is a person ,a firm ,or a company engaged in the business of landing and
accepting money.

CONCLUSION OF BANK:

➢ Accept deposits of money from public.

➢ Pays interest on money deposited with it.

➢ Lend or invest money.

➢ Repays amount on demand.

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ORIGIN OF THE WORD “BANK”

After commerce and arts had revived in Italy, the business of banking was resumed. The world
“Bank” is commonly regarded as derived from the Italian word banco, a bench- the Jews in
Lombardy having benches in the market place for exchange of money and bills.

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 HISTORY OF BANKING

Banking is nearly as old as civilization. The history of banking could be said to have started with
the appearance of money. The first record of minted metal coins was in Mesopotamia in about
2500B.C. the first European banknotes, which was handwritten appeared in1661, in Sweden.
Cheque and printed paper money appeared in the 1700’s and 1800’s, with many banks created to
deal with increasing trade.

The history of banking in each country runs in lines with the development of trade and industry,
and with the level of political confidence and stability. The ancient Romans developed an
advanced banking system to serve their vast trade network, which extended throughout Europe,
Asia and Africa.

Modern banking began in Venice. The word bank comes from the Italian word “ban co”,
meaning bench, because moneylenders worked on benches in market places. The bank of Venice
was established in 1171 to help the government raise finance for a war.

At the same time, in England merchant started to ask goldsmiths to hold gold and silver in their
safes in return for a fee. Receipts given to the Merchant were sometimes used to buy or sell, with
the metal itself staying under lock and key. The goldsmith realized that they could lend out some
of the gold and silver that they had and charge interest, as not all of the merchants would ask for
the gold and silver back at the same time.

Eventually, instead of charging the merchants, the goldsmiths paid them to deposit their gold
and silver. The bank of England was formed in 1694 to borrow money from the public for the
government to finance the war of Augsburg against France. By 1709, goldsmith were using bank
of England notes of their own receipts. New technology transformed the banking industry in the
1900’s round the world, banks merged into larger and fewer groups and expanded into other
country.

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BANKING STRUCTURE IN INDIA:

In today’s dynamic world banks are inevitable for the development of a country. Banks play a
pivotal role in enhancing each and every sector. They have helped bring a draw of development
on the world’s horizon and developing country like India is no exception.

Banks fulfills the role of a financial intermediary. This means that it acts as a vehicle for moving
finance from those who have surplus money to (however temporarily) those who have deficit. In
everyday branch terms the banks channel funds from depositors whose accounts are in credit to
borrowers who are in debit.

Without the intermediary of the banks both their depositors and their borrowers would have to
contact each other directly. This can and does happen of course. This is what has lead to the very
foundation of financial institution like banks.

Before few decades there existed some influential people who used to land money. But a
substantially high rate of interest was charged which made borrowing of money out of the reach
of the majority of the people so there arose a need for a financial intermediate.

The Bank have developed their roles to such an extent that a direct contact between the
depositors and borrowers in now known as disintermediation.

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Banking industry has always revolved around the traditional function of taking
deposits, money transfer and making advances. Those three are closely related to
each other, the objective being to lend money, which is the profitable activity of the
three. Taking deposits generates funds for lending and money transfer services are
necessary for the attention of deposits. The Bank have introduced progressively
more sophisticated versions of these services and have diversified introduction in
numerable areas of activity not directly relating to this traditional trinity.

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 INDIAN BANKING SYSTEM

Reserve Bank of India

Schedule banks Non-Schedule Banks

Central co-op Commercial Banks

State co-op Commercial Banks
Banks Banks and Primary
Cr. Societies

Indian Foreign

Public Sector Private Sector Banks HDFC

Banks

ICICI
etc.

State Bank of India Other Nationalized Banks Regional Rural

and its Subsidiaries Banks

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 MAJOR PLAYERS IN INDIA

1. STATE BANK OF INDIA LTD

2. PUNJAB NATIONAL BANK LTD

3. BANK OF BARODA LTD

4. HDFC BANK LTD

5. AXIS BANK LTD

6. ICICI BANK LTD

7. FEDERAL BANK LTD

8. ING VYSYA BANK LTD

9. IDBI BANK LTD

10.INDUSIND BANK LTD

11.YES BANK LTD

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 HDFC BANK

A.1. PROFILE OF THE ORGANIZATION

The Housing Development Finance Corporation Limited (HDFC) was amongst the first to
receive an 'in principle' approval from the Reserve Bank of India (RBI) to set up a bank in the
private sector, as part of RBI's liberalization of the Indian Banking Industry in 1994. The bank
was incorporated in August 1994 in the name of 'HDFC Bank Limited', with its registered office
in Mumbai, India. HDFC Bank commenced operations as a Scheduled Commercial Bank in
January 1995. In 1994 HDFC Bank was incorporated, with its registered office in Mumbai,
India. Its first corporate office and a full service branch at Sandoz House, Worli were
inaugurated by the then Union Finance Minister, Manmohan Singh.

HDFC is India's premier housing finance company and enjoys an impeccable track record in
India as well as in international markets. Since its inception in 1977, the Corporation has
maintained a consistent and healthy growth in its operations to remain the market leader in
mortgages. Its outstanding loan portfolio covers well over a million dwelling units. HDFC has
developed significant expertise in retail mortgage loans to different market segments and also
has a large corporate client base for its housing related credit facilities. With its experience in the
financial markets, strong market reputation, large shareholder base and unique consumer
franchise, HDFC was ideally positioned to promote a bank in the Indian environment.

As of March 31, 2019, the Bank's distribution network was at 5,103 branches across 2,748 cities.
The bank also installed 4.30 Lacs POS terminals and issued 235.7 Lacs debit cards and 85.4 Lacs
credit cards in FY 2017.

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PRODUCTS AND SERVICES:
HDFC Bank provides a number of products and services including wholesale banking, retail
banking, treasury, auto loans, two wheeler loans, personal loans, loans against property,
consumer durable loan, lifestyle loan and credit cards. Along with this various digital products
are Payzapp and SmartBUY.

MERGERS AND ACQUISITION:

HDFC Bank merged with Times Bank in February 2000. This was the first
merger of two private banks in the New Generation private sector banks category.
In 2008, Centurion Bank was acquired by HDFC Bank.

HDFC Bank's Parivartan (Corporate Social Responsibility)

HDFC Bank has spent Rs 443.8 crore towards CSR in (2018-19) making it the third largest CSR
spender in India.

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 TECHNOLOGY USED IN HDFC BANK

In the era of Globalisation , each and every sector face the stiff competition from their rivals and
world also converted into the flat from the globe. After the policy of liberalisation and RBI
Initiatives to take the step for the private sector banks , more and more changes are taking the
part into it. That are create competition between the private sector banks and public sector bank.
Private sector bank today used the latest technology for the different transactions of day to day
banking life. As we know that the Information Technology plays the vital role in each and every
industry and gives the optimum return from the limited resources.

Banks are service industry and today it gives the innovative technology application to Bnaking
Industries. HDFC Bank are the leader in the industries and today IT and HDFC Combined
together they reach the sky. New Technology change the mind of the customers and changed the
queue concept from the history banking transactions. Today different channels are available for
banking transactions. This type of technology gives the freedom to the retail customers.

Centralised Processing Units  Derieved Economies of Scale

Electronic Straight through  Reduced Transaction Cost
HDFC
Processing Bank is the
Data Warehousing, CRM  Improve Cost Efficiency, Cross very
Sell consistent
Innovative Technology  Provide New or Superior player in
Application Product the new
private sector banks. To withstand the competition from public sector banks, Private Sector
Banks came up with the Innovative Products and Superior Services

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BUSINESS ELEMENTS

HDFC Bank deals with three key business elements:

Wholesale Banking
Retail Banking
Treasury.

It has entered the banking consortia of over 5o corporate for providing working capital finance,
trade services, corporate finance, and merchant banking. It is also providing sophisticated
product structures in areas of foreign exchange and derivatives, money markets and debt trading
and equity research.

Wholesale Banking Services

 Wholesale banking refers to banking services between merchant banks and other
financial institutions. This type of banking deals with larger clients, such as large
corporations and other banks, whereas retail banking focuses more on the individual or
small business. Wholesale banking services include currency conversion, working capital
financing, large trade transactions, and other types of services.

Retail Banking Services

 Retail banking, also known as consumer banking, is the typical mass-market banking in
which individual customers use local branches of larger commercial banks. Services
offered include savings and checking accounts, mortgages, personal loans, debit/credit
cards and certificates of deposit (CDs). In retail banking, the focus is on the individual
consumer.

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KEY TAKEWAYS:

Services offered include savings and checking accounts, mortgages, personal loans,
debit/credit cards and certificates of deposit (CDs).

 The focus is on the customer.

 Retail banking aims to be the one-stop shop for as many financial services as possible on
behalf of individual retail clients.

Treasury Service

Treasury service is a function of an investment bank which provides transaction, investment,

and information services for chief financial officers or treasurers. Treasury services concentrates
and invests client money, and provides trade finance and logistics solutions as well as
safeguards, values, clears and services securities and portfolios for investors and broker-dealers.
Treasury Services is a transaction intensive and system intensive business. This is a source of
risk free fees income for the banks. The Treasury business is responsible for managing the
returns and market risk on this investment portfolio.

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 MISSION, VISION AND CORE VALUES

 VISION STATEMENT OF HDFC BANK

The HDFC Bank is committed to maintain the highest level of ethical standards, professional
integrity and regulatory compliance. HDFC Bank’s business philosophy is based on four core
values such as:-

1. Operational excellence.
2. Customer Focus.
3. Product leadership.
4. People.
The objective of the HDFC Bank is to provide its target market customers a full range of
financial products and banking services, giving the customer a one-step window for all his/her
requirements. The HDFC Bank plus and the investment advisory services programs have been
designed keeping in mind needs of customers who seeks distinct financial solutions, information
and advice on various investment avenues.

 MISSION STATEMENT OF HDFC BANK

I. World Class Indian Bank

II. Benchmarking against international standards.
III. To build sound customer franchises across distinct businesses
IV. Best practices in terms of product offerings, technology, service levels, risk management
and audit & compliance

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  CORE VALUES OF HDFC BANK

Increase the market share in India’s expanding banking and financial services industry by
following a disciplined growth strategy focusing on quality and not on quantity and delivering
high quality customer service.

Leverage the technology platform and open scalable systems to deliver more products to more
customers and to control operating costs.

Maintain the current high standards for asset quality through disciplined credit risk
management.

Develop innovative products and services that attract the targeted customers and address
inefficiencies in the Indian financial sector.

Continue to develop products and services that reduce the cost of funds. Focus on high
earnings growth with low volatility.

 BUSINESS STRATEGY OF HDFC BANK

I. Increasing market share in India’s expanding banking

II. Delivering high quality customer service

III. Maintaining current high standards for asset quality through disciplined credit risk
management

IV. Develop innovative products and services that attract targeted customers and address
inefficiencies in the Indian financial sector.

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 ABOUT THE TOPIC

(INTRODUCTION)

Who Are High Net Worth Individuals or HNIs?

HNIs or high net worth individuals is a class of individuals who are distinguished from other
retail segment based on their net wealth, assets and investible surplus. While there is no standard
put forth for the classification, the definition of HNIs varies with the geographical area as well as
financial markets and institutions.

Generally in the Indian context, individuals with over Rs. 2 crore investible surplus are
considered to be HNIs while those with investible wealth in the range of Rs. 25 lac - Rs. 2 crore
are deemed as Emerging HNIs.

There is yet another superlative category in the segment known as Ultra high-net worth
individuals. For the purpose of determining the ultra high-net worth individual status, the study
encompassed only individuals with a net worth amounting to $30 million or more.

Broadly speaking, HNIs should manage their wealth portfolio by assessing and working on
following parameters that include investments, capital protection, tax planning, credit and
inheritance planning.There maybe so many ways in which HNIs are categorized and defined,
there is no single bracket that you could put them under. The only reason why HNIs have been
defined or categorized. But the basic reason is to show their financial standing. The simple
understanding that we have is that these investorsAregenerally perceived to be richer than others.

It is simple, they flush with funds.

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Difference between HNIs and UHNIs?

Apart from HNIs, there is another category called Ultra High Networth Individuals. These are
defined as people who have more than $30 million as investible surplus. Remember, that there is
no standard definition as such. Each association or institution can come out with his own
definition of HNIs and UHNIs. In India, there are not many individuals who fall in the category
of HNIs. According to rough estimates, there could be as many as 1700 individuals who are ultra
highnetworth individuals. Here again.

How are HNIs defined for investing in IPOs?

If you are applying for a IPO in an Indian company, generally, if you apply for amounts in
excess of Rs 2 lakhs, you fall under the HNI category. On the other hand, if you apply for
amounts under Rs 2 lakhs, you are considered as a retail.

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What is customer satisfaction?
Customer satisfaction refers to how satisfied customers are with the products or
services they receive from a particular agency. The level of satisfaction is determined
not only by the quality and type of customer experience but also by the customer’s
expectations. A customer may be defined as someone who

• has a direct relationship with, or is directly affected by your agency and

• Receives or relies on one or more of your agency’s services or products

Customers in human services are commonly referred t o as service users,

consumers or clients. They can be individuals or groups. An organization with a strong
customer service culture places the customer at the centre of service design,
planning and service delivery. Customer centric organizations will:

Determine the customer’s expectations when they plan listen to the customer as they
design.

Focus on the delivery of customer service activities value customer feedback whenthey
measure performance.

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LOAN DEPOSIT INVESTMENT
PRODUCT PRODUCT AND
INSURANCE
 Auto loan  Saving Account  Mutual Funds
 Loan against  Fixed Deposit  Bonds
Security Account  Knowledge Centre
 Loan against  Current Account  Insurance
Property  Demat Account  General and Health
 Personal loan  Safe Deposit Insurance
 Credit Card Lockers  Equity and
 2-Wheeler loan Derivatives
 Working Capital  Mudra Gold Loan
Finance
 Education Loan
 Gold Loan
 Health Care Finance

CARDS PAYMENT ACCESS TO

SERVICES BANK

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 PRODUCT DEPARTMENT

PRODUCT OF HDFC BANK:

HDFC bank provide very large range of financial product to the customer for their better
financial transaction. The product of HDFC bank are:

Savings Account
Whether you are a student, homemaker, business owner, salaried employee or a senior citizen, an
HDFC Bank Savings Account is just what you need to manage your money more
efficiently.From regular savings accounts to premium accounts with personalised services,
HDFC Bank offers customers different types of savings accounts to cater to every customer’s
unique and diverse needs.Get 24x7 access to your savings bank account through our unique
digital platforms – NetBanking, MobileBanking& a network of branches and ATMs.

HDFC Bank offers a wide variety of savings account under its product portfolio and they are as
follows:

Regular Savings Account

HDFC Bank offers a range of benefits on regular savings accounts. For instance, customers get
access to a wide network of branches and ATMs. Other benefits on our regular savings accounts
include easy bill payment options, free transactions alerts via mobile and email and free monthly
statements.HDFC Bank provide customised benefits on regular savings accounts, such as
personalisedcheque books and the option to choose a debit card to match your lifestyle needs.

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 Saving Max Account
HDFC Bank offers several benefits on savings max accounts. Enjoy access to the account via
phone, mobile or laptop and get free lifetime debit cards. AMB of 25000 has to be
maintained.Get additional benefits on your savings max account with our free personal
accidental death cover and 1% cashback on transactions. We also offer special loan schemes,
discounts on forex and gift card, and preferential pricing on new online trading accounts as
special benefits on savings max accounts.

Women’s Saving Account

HDFC Bank offers a range of features on women’s savings account. These include the
EasyShop women’s debit card with cashback offers, along with higher daily shopping.Among
the accessibility features of our women’s savings account, our customers enjoy instant
transaction alerts, easy bill payment options and multiple modes of banking. Besides these, our
account holders can avail exclusive benefits on women’s savings accounts, such as preferential
pricing on new online trading accounts and insurance cover.

Kids Advantage Account

HDFC Banks offers several benefits to kid’s advantage account holders, such as access to wide
network of bank branches and ATMs and multiple ways to bank. Parents can use avail the
benefits of kid’s advantage account with NetBanking access to their child’s account and
automatic monthly transfer to their child’s account via standing instructions. . Our account
holders enjoy special benefits on kid’s advantage account such as free education insurance cover
and international debit card for children

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 Senior Citizen Account
Enjoy numerous benefits on senior citizens accounts. Access a wide network of bank branches
and ATMs, and choose to bank online or on phone.Get additional benefits on senior citizens
accounts, such as accident hospitalisation reimbursement cover and international debit card. . In
addition to these, HDFC Bank offers special benefits on senior citizens accounts, such as
preferential rates on fixed deposits and free travellers’ cheques.

Basic Savings Bank Deposit Account(BSBDA)

HDFC Bank offers a range of features on BSBDA (Basic Savings Bank Deposit Small Account).
These include access to our wide network of branches, and various ways to bank. The additional
features of BSBDA include zero balance and a free Rupay card.Besides these, customers can
avail other features of BSBDA, such as bill payment options. HDFC Bank also offers special
features on BSBDA, such as the option of an international debit card and safe deposit locker.

Government/ Institutional Savings Account

HDFC Bank offers several benefits on institutional savings account, including the option to have
a zero balance account. We offer collection benefits on institutional savings account to manage
donations, fees and invoice dues. Your organization can also enjoy the payments benefits on our
institutional savings account with free unlimited demand drafts and simplified payments to
employees and vendors. Customers can make the most of our easy operation benefits on
institutional savings accounts, thanks to business debit cards and free account statements.

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  The common insurance features for all the saving accounts are:
 Accidental hospitalization covers of Rs. 50,000 per annum. This is a reimbursement
cover for the first applicant.
 Daily cash allowance once a year at Rs. 5oo per day, for a maximum of 15 days per year,
for each day of hospitalization due to an accident.
 Your claim will be processed only if you have used your HDFC Bank Debit Card at a
merchant establishment at least once in the 6 months prior to the date of hospitalization.
 Death Cover by Air / Road / Rail - Sum Insured of Rs. 5 lac on your Rewards Debit Card
(Debit Card should be active at retail or on-line stores at least once every 3o days to keep
the free Personal Death Insurance cover on their Debit Card active)
 Additional International Air Coverage of flat Rs.25 Lakhs on purchase of air ticket using
your Debit Card
 Fire & Burglary for the items purchased under Debit Card (upto 9o days) - Sum assured
Rs. 2oo,ooo
 Loss of checked baggage - Sum assured Rs. 2,oo,oo

Salary Account
HDFC Bank provides for the facility of opening a salary account for the salaried persons i.e. it
helps in keeping the employees happy by extending to them the benefits of modern, customized
banking services through HDFC Bank salary accounts. The different types of salary accounts
are:

Premium Salary Account

Enjoy a ‘Zero balance Account’. HDFC Bank offers a range of benefits on premium salary
accounts. Enjoy hassle-free banking with our easy access benefits on premium salary accounts-
use your account on the go and receive instant transaction alerts. Additional benefits on
premium salary accounts include preferential pricing on loans and free safe personal accidental
death cover.

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 Regular Salary Accounts
 The financial benefits on regular salary accounts include preferential pricing on loans and free
personal accidental death cover. In addition, HDFC Bank offers free demands drafts and
higher spending limits as special benefits on regular salary accounts. It also offers:
 Free Rupay Premium Debit Card with Higher Debit Card Limits
 Daily Domestic ATM withdrawal limits: Rs. 25,000
 Daily Domestic Shopping limits: Rs. 2.75 lakhs.

BSBDA Salary Account (Basic Saving Bank Deposit Account)

HDFC Bank offers a range of features on BSBDA (Basic Savings Bank Deposit Small
Account). These include access to our wide network of branches, and various ways to bank. The
additional features of BSBDA include zero balance and a free Rupay card. Besides these,
customers can avail other features of BSBDA, such as bill payment options, statements and
alerts.

Current Accounts
The different profiles of current accounts offered to the general public by HDFC Bank are:

ULTIMA Current Account

Access a wide range of banking features with the Ultima Current Account. Other features of
Ultima Current Account include speedy clearing of cheques, along with free cash deposits and
withdrawals. Additionally, E-Net facility with Ultima Current Account assist companies in
disbursement of salaries and bulk cheque printing.

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 Supreme Current Account
Large traders can enjoy advanced branch, internet and mobile banking features on Supreme
Current Accounts at HDFC Bank. Access a host of customer-friendly payment features on
Supreme Current Account, such as free fund transfers to HDFC Bank accounts, and 2oo free
cheque leaves every month. Transact hassle-free with our cash management features on Supreme
Current Account including free cash withdrawals at home branch and free deposits within
specified limits. Use the account alert features of Supreme Current Account to keep track of
transactions. In addition, get the benefits of most features of Supreme Current Account through
online, phone and mobile banking.

Apex Current Account

Enjoy free and fast cash and payment solutions for your business with HDFC Bank’s multiple
features and benefits on Apex Current Accounts. Benefit from our fast clearing features on Apex
Current Accounts, especially for outstation cheques. Get access to several free features on Apex
Current Accounts, such as NEFT and RTGS payments, up to 1ooo free cheque leaves and
unlimited demand drafts. The special features of Apex Current Accounts include instant
transaction alerts, easy salary disbursal and banking via SMS.

EZEE Current Account

Enjoy affordable business banking across India with multiple banking features on EZEE Current
account. Benefit from the special rural features of Ezee Current Accounts, such as lower
quarterly average balance for semi-urban and rural accounts. The customer-friendly features of
Ezee Current Account include doorstep banking and free cash withdrawals at home branch. In
addition, receive a host of easy banking features on Ezee Current Account, such as instant
transaction alerts and on-the-go banking options.

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 Max Current Account
Manage cash easily and efficiently with numerous features of Max Current Account at HDFC
Bank and its excellent financial services which creates customer value. Use our trade finance
features of Max Current Account to route import and export transactions, and get competitive
rates. Enjoy speedy clearing features on Max Current Account for quicker realization of cheques.
Benefit from the instant alert features on Max Current Account, as well as access to our wide
network of branches. The free features on Max Current Account include unlimited demand
drafts, RTGS and NEFT transactions as well as up to 5oo cheque leaves every month.

 There are several other current accounts offered by HDFC Bank in India.
They are:
Plus Current Account
Current Account for Hospitals and Nurses
Trade Current Account
Current Account for Professionals
Premium Current Account
Merchant Advantage Plus Current Account
Regular Current Account
Merchant Advantage Current Account
Flexi Current Account
Institutional Current Account
Smart Up Solutions for Start-Ups
Ascent Current Account
RFC Domestic Current Account
Exchange Earners Foreign Currency (EEFC) Account
E-Commerce Current Account
Saksham Current Account
Agri current account

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Deposits
 Dream Deposit
 Regular Fixed Deposit
 Recurring Deposit
 5 Year Tax Saving Fixed Deposit
 Overdrafts Against Fixed Deposits
 Sweep-In Facility
 Safety Deposit Lockers

Rural Accounts
 BSBDA Farmers
 Kisan Club Savings Account
 Pension Accounts

Loans
 Personal Loans
 Car Loans
 Business Loans
 Loan for Professionals
 Home Loans
 Two Wheeler Loan
 Gold Loan
 Loan Against Property
 Education Loan
 Rural Loans
 SmartDraft – overdraft Loans Against Property
 SmartDraft – overdraft Loans Against Salary
 Loans Against Assets
 Consumer Durable Loans
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Cards
 Credit Cards
 Debit Cards
 Pre- Paid Cards
 Forex Cards
 Credit Card Rewards Card
 Card for Loan on Credit Cards

DMAT Account
 DMAT Account
 2 in 1 Account (DMAT + Trading Account)
 3 in 1 Account ( Savings + DMAT + Trading Account)

Investments
 National Pension Systems
 Atal Pension Yojna
 InvestTrack
 Investment Products
 Investment Advisory Group Reports
 Public Provident Funds
 SukanyaSamridhhi Account
 PradhanMantri Mudra Yojna

32
Insurance
 Life Insurance
 Health and Accident Insurance
 Motor Insurance
 Travel Insurance
 Home Insurance
 Two Wheeler Insurance
 Student Travel Insurance
 Cyber Safety Insurance

Forex
 Travel Solutions
 Remittance Products
 Other Forex Services
 Forex Cards
 Forex Help

Private Banking
 Direct Equity
 Mutual Funds
 Fixed Income Products
 Insurance
 Alternate Funds
 Structured Products
 Estate Planning

33
PREMIER BANKING UNDER HDFC BANK

IMPERIA BANKING

CLASSIC BANKING

PREFERRED BANKING

PRIME BANKING

34
(A) CLASSIC BANKING
The HDFC Bank ClassicProgramme is a whole new world of banking benefits exclusively for
you. As a Classic Customer you and your family are entitled to a host of benefits, including a
wide range of preferentially priced products and specialised investment solutions. You will also
have a Dedicated Personal Banker (PB) who will take care of all your financial needs.

You need a minimum Average Quarterly Balance (AQB) of just Rs. 1 Lakhs in your Savings
Bank Account (this can be maintained across Savings Bank Accounts held by you and your
immediate family (i.e. spouse/ parents/ children).
OR
You need a minimum Average Monthly Balance (AMB) of just Rs. 5 Lakhs in a combination of
Savings Bank Accounts and Term Deposits. This can be maintained across Savings Accounts
held by you and your immediate family (i.e. spouse/ parents/ children).

35
FEATURES AND BENEFITS OF CLASSIC BANKING:

1. Dedicated Personal Banker

As a Classic customer we believe that you need that extra special attention, and so we assign you
to your very own Personal Banker. Your Personal Banker is an experienced and professionally
trained individual who first understands your financial requirements and accordingly tailors
recommendations while making banking a pleasurable and convenient experience for you.

2.Relationship Pricing on a variety of products

3.Family Benefits
To add to your delight, the features & benefits that you enjoy as a Classic customer, can be
extended to the members of your family as well. Just speak to your Personal Banker for adding
the accounts of your immediate family members to your family group.

4.Exclusive Privileges

 Credit Cards
Access one of the most premium range of HDFC Bank Credit Cards which include
features such as accelerated reward points, multiple payment channels, fuel surcharge
waivers and more.
 Classic Easy Shop Platinum Debit Card
Enjoy the exclusive Classic embossed Platinum Chip Debit Card at nil annual charge with
enhanced features.

36
 Combined Monthly SmartStatement:
You will receive a combined SmartStatement by email every month. Your monthly
statement will provide you with transaction details of all your Savings accounts, Current
accounts, and Fixed Deposits for which you are the principal account holder.
 Classic Speak e-Newsletter:
Get product offers and investment insights with the monthly e-newsletter 'Classic Speak'
exclusively for Classic Customers.
 Comprehensive range of Loan products to suit your borrowing needs
Your Personal Banker can also help you access a wide range of loans2 to suit your
borrowing needs including Auto Loan, Personal Loan, Home Loan, Loan Against
Securities, Gold Loan and more.
 Experience Digital Convenience
 Digital convenience with NetBanking (200+ transactions), MobileBanking
(120+ transactions) and more
 Great discounts and CashBack with PayZapp Mobile App, a complete
payment solution which gives you the Power to Pay in One Click
 Compare and get the lowest prices when you shop or book travel on
SmartBuy, an online portal
 Banking Convenience: HDFC Bank Branch Network and HDFC Bank ATM Network

37
 (B)PREFERRED BANKING

 It refers to that banking where it has:

 Dedicated Relationship Manager

 Comprehensive Business banking solutions
 Relationship Pricing across products
 Exclusive lifestyle privileges with a wide range of premium credit cards

FEATURES AND BENEFITS OF PREFERRED BANKING

1.Dedicated Relationship Manager

At HDFC bank it is our endeavour to nurture a truly personal relationship with you. Your
Relationship Manager will cater to all your banking and financial services needs. So, whether
you need an urgent Personal Loan or a Forex card for your international travel, you can trust
your Relationship Manager to get the job done.
2.Relationship Pricing on a variety of products & services

3.Exclusive Lifestyle Privileges

 HDFC Bank Premium Credit Card1

Access one of the most premium range of HDFC Bank Credit Cards which include
features such as accelerated reward points, multiple payment channels, fuel surcharge
waivers and more.
 HDFC Bank Preferred Platinum Chip Debit Card:
Enjoy the exclusive preferred embossed Platinum Chip Debit Card at nil annual charge
with enhanced features.

38
  Preferred Speak:
Get product offers and investment insights with the exclusive monthly e-newsletter for
Preferred Customers.

 Combined Monthly SmartStatement:

You will receive a combined SmartStatement by email every month. Your monthly
statement will provide you with transaction details of all your Savings accounts, Current
accounts, and Fixed Deposits for which you are the principal account holder.
 Comprehensive Banking Solutions for your Business
As a bank we provide a wide range of Business solutions like Loan Against Property ,
Loan Against Rent Receivables, Working Capital, Cash Management Services, E – net,
Trade Services, Merchant Point of Sale ( POS : Point of Sale ) Terminals, Internet
Payment Gateway and Corporate Salary Accounts.
 Wide range of Loan products to suit your personal needs
Your Relationship Manager can also help you access a wide range of loans2 to suit your
borrowing needs including Auto Loan, Personal Loan, Home Loan, Loan Against
Securities, Gold Loan and more.
 Family Benefits
To add to your delight, the features & benefits that you enjoy as a preferred customer, can
be extended to the members of your family as well. Just speak to your Relationship
Manager for adding the accounts of your family members to your family group
 Experience Banking & Digital Convenience:
 HDFC Bank Branch Network and HDFC Bank ATM Network
 Digital convenience with NetBanking (200+ transactions), MobileBanking (120+
transactions) and more
 Great discounts and CashBack with PayZapp Mobile App, a complete payment solution
which gives you the Power to Pay in One Click
 Compare and get the lowest prices when you shop or book travel on SmartBuy, an online
portal
 Banking Convenience: HDFC Bank Branch Network and HDFC Bank ATM Network
39
 (C)IMPERIA BANKING

 It refers to that banking where it has:

 Dedicated Imperia Client Relationship Manager

 Exclusive Imperia Phonebanking service
 Relationship Pricing
 Exclusive Lifestyle Benefits

(D)PRIME BANKING
 It refers to that banking where it has:
 A dedicated Prime Banker
 Family Banking
 Preferential rates on loans
 Relationship Pricing on variety of other products

40
  PAYMENT SERVICES OFFERED BY HDFC BANK

 HDFC Bank's payment services, person can bid goodbye to queues and paper work. Bank’s
range of payment options make it easy for pay for a variety of utilities and services.

1. PayZapp

HDFC Bank PayZapp, a complete payment solution, giving you the power to pay in just
OneClick.With PayZapp, you can shop on your mobile at partner apps, buy movie tickets,
groceries, compare and book flight tickets and hotels, shop online and get great discounts at
SmartBuy, send money to anyone in your contact list or to your bank account, pay bills and
recharge your mobile, DTH and data card and many more.You can link your Debit and
Credit Card, of any Bank, to PayZapp and enjoy the most convenient and secure way of
payment.

2. SMARTHUB
SmartHub is a comprehensive and integrated payment solution for merchants to now
collect paymentsthrough multiple payment modes. Payment modes include Debit Cards,
Credit Cards, Multiple Bank
NetBanking, IMPS, NEFT, RTGS, Cash, Cheques and Demand Draft. Through the
SmartHub platform, merchants can now have a one view of monies collected through all
modes of payment in one view.

3. SAMSUNG PAY
The simple and secure way to pay.It works almost everywhere you can swipe or tap your
HDFC Bank Debit / Credit Card. So, you enjoy all the convenience you need, on your
Samsung Galaxy device.

41
 4. BILLPAY
Use convenience at its best to pay:

 Telephone Bills
 Electricity Bills
 Mobile Bills
 Insurance Premiums
 Mutual Fund Premiums

 BENEFITS:
o No more queues
o No more cheques
o No more late payments
o No more payments to agents
o No more lost bills
o Payments can be made right up to the due date.
o Check your bill amount before you make any payments to ensure that you pay the
exact amount you want to.

5. START DOING
HDFC Bank provides a wide portfolio of Car Loans, Bike Loans and Personal Loans.

6. VERIFIED BY VISA

Do you want to be worry free for your online purchases. Now you can shop securely online with
your existing Visa Debit/Credit card.

7. NET SAFE

Now shop online without revealing your HDFC Bank Credit Card numbe. What more, you can
now use your HDFC Bank Debit Card also for online purchases.

42
 8. MERCHANT SERVICES

Accept all Visa, MasterCard, credit and Debit cards at your outlets through state of the art POS
Machines or through your website and experience hassle free payment acceptance.

9. PREPAID MOBILE REFILL

If you are an HDFC Bank Account holder, you can now recharge your Prepaid Mobile Phone
with this service.

10. INSTA PAY

Pay your bills, make donations and subscribe to magazines without going through the hassles of
any registration.

11. DIRECT PAY

Shop or Pay bills online without cash or card. Debit your account directly with our Direct Pay
service!

43
  SWOT ANALYSIS OF HDFC BANK

STRENGTH
 HDFC Bank is the Second largest Private Banking sector in India.
 Approx 3400 branches and 11250 ATMs across country.
 Adaptation of latest technology for bank software’s and net banking facilities.
 HDFC has good financial advisors in terms of guiding customers towards right
investments.
 Right Strategy for the Right Products.
 Superior Customer Service VsCompetitor’s.
 Great Brand Image.
 Products have acquired Accreditations.
 High Degree of Customer Satisfaction.
 Good Place to Work.
 Lower Response Time with Efficient and Effective Service.
 The attrition rate in HDFC is low and it is one of the best places to work in private
banking sector.
 Workforce aiming at making a Long term career in the field.

44
 WEAKNESS
 Some gaps in range for certain sectors.
 Customer Service Staff needs Training.
 Processes and Systems,etc.
 Management cover Insufficient.
 Sectorial growth is constrained by low employment levels and competition for staff.
 The Bank focuses mostly on High- End Customers.
 Not all the verticals of the banks performing successfully.
 Some of the bank’s product categories lack in performance and doesn’t have reach in the
market.
 HDFC cannot enjoy first mover advantage in rural areas. Rural people are hard core loyal
in terms of banking services.

OPPORTUNITIES
 HDFC bank has better asset quality parameters over government banks, hence the profit
growth is likely to increase.
 The companies in large and SME are growing at very fast pace. HDFC has good
reputation in terms of maintaining corporate salary accounts.
 HDFC bank has improved it’s bad debts and the recovery of bad debts are high when
compared to government banks.
 HDFC has very good opportunities in abroad.
 Greater scope for acquisitions and strategic alliances due to strong financial position.
 Could seek better customer deals.
 New Specialists Applications.
 An applied Research Centre to create opportunities for developing techniques to provide
value-added services.

45
THREATS

 Legislation could impact.

 Great Risk Involved.
 Very High Competition Prevailing in the Industry.
 Vulnerable to reactive attack by major Competitors.
 Lack of Infrastructure in rural areas could constrain Investment.
 High Volume / Low Cost Market isintensely Competitive.
 The non banking financial companies and new age banks are increasing in India.
 The government banks are trying to modernize to compete with private banks.
 RBI has opened up to 74% for foreign banks to invest in Indian market.
 Major Competition threats from banks like ICICI , AXIS , SBI, etc.
 Increasing number of NBFCs and new age banks.

46
 MCKINSY’S 7S FRAMEWORK OF HDFC BANK

 About McKinsey’s Model

McKinsey gave a 7S Strategic Framework for the analysis of any firm or company or
institution. These 7S’s helps to critically analyze the strategic performance of the firm in its
operating sector. These are:

 Structure
 Systems
 Style
 Staff
 Skills
 Strategy
 Shared Values

These 7 aspects explain why and how a firm can progress in its daily operations and how it can
flourish its competitors by strengthening its inner walls of its departments. Let us study each of
them separately in context of HDFC Bank.

47
Application of McKinsey’s Model in HDFC Bank

1. STRUCTURE

HDFC Bank is a purely Line type of an organizational structure. Here the Top-Down approach is
followed and the decision making is centralized in the hands of top management people only pan
– India. Adoption of changes and orders thereby flow very smoothly and can be addressed by the
audience in a prescribed format. As we have seen the diverse profile of the products offered by
the bank, it is very clear that it is not just the products but also the services which matters and for
that reason, HDFC Bank needs a serious attention to the clarity of all the roles and guidelines to
all the staffs, which is duly ensured her.

2. SYSTEMS

The system followed by the employees of HDFC Bank was purely systematical and streamlined
in a prescribed fashion.

Orders used to flow TOP-DOWN and the suggestions used to follow a BOTTOM-UP approach.

A clear monitoring of the performance was done to keep in mind in case the suggestion comes
from the bottom level of the pyramid so that those suggestions if found feasible can be
implemented wherever needed.

3. STYLE

The working style and work monitoring style was very intimidating. All the employees had to
report their work done offline and online. For offline, a register was maintained with the names
of all the employees and their daily productivity. CRM Next was the name of the online software
in which the account of the banker was made and they had to keep a track of the activities they
have done and also update it on the software.

48
 4. STAFF

All the staff members at HDFC Banks were made to attend the different raining programs or
group bonding exercises whereby they were made to interact with each other rand bond together
as they had to work together and work bonding is more important than anything in an
organization. The staff members were asked to relate to each other’s problems and in case any
problems exist, solve them at their levels howsoever possible.

5. SKILLS

As discussed in the points above, the skill set maintenance in an employee is very important, so
the management made sure that every details of the training aspect is covered by providing for
training slots by industry experts every month or in every two months. Also, if any new changes
were to be done, like automation of lockers, there used to be step by step mail guide was floated
to the employees handling the lockers so that in case any discrepancy was unnoticed in the
offline process, it can be easily tracked. Also, tracking of the account number inked with the
lockers is possible. So, these skills were incorporated in the staffs.

6. STRATEGY

The strategy was clear. They wanted to be the premium bank. But when they had a good product
backup team to develop a product, they started to venture into being the premium bank. With the
implementation of Demonetization, they have decided to be the onlypeople’s bank. In 2o17,
when they read their reports, it was quite clear that the popularity has reached to every corner of
the country and hence, now the aim of the bank is to be the only banker. They have a wide
variety of products and they have added it to their list that if other banks also collaborate with
them to sell their products, it will be an addition to the HDFC’s backbone.

49
 7. SHARED VALUES

Transparency, innovation and freedom to employees are the main pillars of HDFC Bank. In its
aim to be a leader in banking World and Insurance Sector as well as promoting Innovation to be
the only banker, it gives space for personal and professional development and also encourages its
employees to think out of the box in serving their clients, not just for appreciation and ratings,
but for selfless intellectual growth also.

50
 PORTER’S FIVE FORCES MODEL FOR HDFC BANK

In his revolutionary article - "Five Forces that Shape Strategy", Michael Porter observed five
forces that have significant impact on a firm's profitability in its industry. These five forces
analysis today in business world is also known as -Porter Five Forces Analysis. The Porter Five
Forces are -

 Threat of New Entrants

 Bargaining Power of Suppliers
 Bargaining Power of Buyers
 Threat from Substitute Products
 Rivalry among the existing players.

PORTER’S FIVE FORCE MODEL

Porter Five Forces is a holistic strategy framework that took strategic decision away from just
analyzing the present competition. Porter Five Forces focuses on - how HDFC Bank Limited can
build a sustainable competitive advantage in Foreign Regional Banks industry. Managers at
HDFC Bank Limited can not only use Porter Five Forces to develop a strategic position with in
Foreign Regional Banks industry but also can explore profitable opportunities in whole
Financialsector.

1. Threats of New Entrants

New entrants in Foreign Regional Banks brings innovation, new ways of doing things and put
pressure on HDFC Bank Limited through lower pricing strategy, reducing costs, and providing
new value propositions to the customers. HDFC Bank Limited has to manage all these
challenges and build effective barriers to safeguard its competitive edge.

51
How HDFC Bank Limited can tackle the Threats of New Entrants ?

 By innovating new products and services. New products not only brings new customers
to the fold but also give old customer a reason to buy HDFC Bank Limited‘s products.
 By building economies of scale so that it can lower the fixed cost per unit.
 Building capacities and spending money on research an development. New entrants are
less likely to enter a dynamic industry where the established players such as HDFC Bank
Limited keep defining the standards regularly.
 It significantly reduces the window of extraordinary profits for the new firms thus
discourage new players in the industry.

2. Bargaining Power of Suppliers

All most all the companies in the Foreign Regional Banks industry buy their raw material from
numerous suppliers. Suppliers in dominant position can decrease the margins. HDFC Bank
Limited can earn in the market. Powerful suppliers in Financial sector use their negotiating
power to extract higher prices from the firms in Foreign Regional Banks field. The overall
impact of higher supplier bargaining power is that it lowers the overall profitability of Foreign
Regional Banks.

How HDFC Bank Limited can tackle Bargaining Power of the Suppliers ?

 By building efficient supply chain with multiple suppliers.

 By experimenting with product designs using different materials so that if the prices
go up of one raw material then company can shift to another.
 Developing dedicated suppliers whose business depends upon the firm. one of the
lessons HDFC Bank Limited can learn from Wal-Mart and Nike is how these
companies developed third party manufacturers whose business solely depends on
them thus creating a scenario where these third party manufacturers have
significantly less bargaining power compare to Wal-Mart and Nike.

52
 3. Bargaining Power of Buyers

Buyers are often a demanding lot. They want to buy the best offerings available by paying the
minimum price as possible. This put pressure on HDFC Bank Limited profitability in the long
run. The smaller and more powerful the customer base is of HDFC Bank Limited the higher the
bargaining power of the customers and higher their ability to seek increasing discounts and
offers.

How HDFC Bank Limited can tackle the Bargaining Power of Buyers?

 By building a large base of customers. This will be helpful in two ways. It will
reduce the bargaining power of the buyers plus it will provide an opportunity to the
firm to streamline its sales and production process.
 By rapidly innovating new products. Customers often seek discounts and offerings
on established products so if HDFC Bank Limited keeps on coming up with new
products then it can limit the bargaining power of buyers.
 New products will also reduce the defection of existing customers of HDFC Bank
Limited to its competitors.

4. Threats of Substitute Products or Services

When a new product or service meets a similar customer needs in different ways, industry
profitability suffers. For example services like Drop box and Google Drive are substitute to
storage hardware drives. The threat of a substitute product or service is high if it offers a
value proposition that is uniquely different from present offerings of the industry.

 How HDFC Bank Limited can tackle the Treat of Substitute Products / Services?
 By being service oriented rather than just product oriented.
 By understanding the core need of the customer rather than what the customer is buying.
 By increasing the switching cost for the customers.

53
 5. Rivalry among the Existing Competitors

If the rivalry among the existing players in an industry is intense then it will drive down prices
and decrease the overall profitability of the industry. HDFC Bank Limited operates in a very
competitive Foreign Regional Banks industry. This competition does take toll on the overall long
term profitability of the organization.

 How HDFC Bank Limited can tackle Intense Rivalry among the Existing Competitors?
 By building a sustainable differentiation.
 By building scale so that it can compete better.
 Collaborating with competitors to increase the market size rather than just competing for
small market.

 Implications of Porter Five Forces on HDFC Bank Limited

By analyzing all the five competitive forces HDFC Bank Limited strategists can gain a complete
picture of what impacts the profitability of the organization in Foreign Regional Banks industry?
They can identify game changing trends early on and can swiftly respond to exploit the emerging
opportunity. By understanding the Porter Five Forces in great detail HDFC Bank Limited’s
managers can shape those forces in their favor.

54
 OBJECTIVES OF THE STUDY

 To know the customer satisfaction level and their perception regarding

HDFCBank.
 To know the customer awareness regarding the Bank’s products.

 To know the level of interest of customer regarding the different schemes of

bank.

 To know the preference of customer regarding the extra services.

 To know the problems of customer regarding bank.

55
 RESEARCH AND METHODOLOGY

The report contains the organizational study done @HDFC bank. The report title is “BANKING
BEHAVIOUR ANALYSIS OF HNI CUSTOMERS OF THE CATCHMENT”. The report gives
an overview of the banking sector and company profile and awareness of customers about
different types of product and services provided by HDFC bank. HDFC Bank provide many
services which includes Savings a/c, Current a/c, Deposits, Insurance, SIP (Systematic
Investment Planning) , D-mat ac etc., and purpose of this study is to understand customers
awareness and preference toward these services.

BACKGROUND OF THE STUDY

This study is undertaken @ HDFC branch based on ‘HANUMANGARH’district where we
approach few customers and ask them few questions to understand their perception for HDFC
banking facility. We try to understand that how well they are aware of banking services and how
much they prefer use HDFC bank for banking.

PROBLEM STATEMENT
To measure the status of customers perception based on satisfaction level, product awareness,
preference and usage rate of banking service of HDFC bank in the mind of customer.

RESEARCH OBJECTIVE
Purpose of the study is to find out customers satisfaction, awareness and preference for HDFC
bank product. Research objectives are:-

 Customers sentiments on the various services provided by bank.

 To measure the awareness level of people regarding banking services offered by bank.
 To evaluate overall satisfaction level of customers regarding services and products
offered by the bank.

56
INTRODUCTION TO STUDY

Research methodology is a process used to collect information and data for the purpose of
making business decisions. The methodology may include publication research, interviews,
surveys and other research techniques, and could include both present and historical information.

RESEARCH DESIGN
A research design is a systematic approach that a researcher uses to conduct a scientific study. It
is the overall synchronization of identified components and data resulting in a plausible outcome.
To conclusively come up with an authentic and accurate result, the research design should follow
a strategic methodology, in line with the type of research chosen. In this report I have used
descriptive research technique. Descriptive research is used to describe characteristics of a
population or phenomenon being studied. This research includes survey and fact-finding
inquiries of different kind.

SOURCES OF DATA
Primary data is the data which is collected through personal contact.
 Through questionnaire- The questionnaire is written set of questions.
 Through personal contact- in personal interaction ask question in face-to-face contact to
other person
Secondary data is the data which are available in the form of fact and figures. The source of
secondary data are:
Websites
Magazines
Articles

57
POPULATION
My sample size for this project is 35 respondents.

SAMPLING METHOD
For this project I have used convenient sampling method.

Convenience sampling (also known as availability sampling) is a specific type of nonprobability

sampling method that relies on data collection from population members who are conveniently
available to participate in study.

SAMPLING FRAME
Here I have used pie and graph as frame to interpret data.

58
ANALYSIS OF BANKING BEHAVIOUR OF HIGH NET WORTH
CUSTOMERS AND FINDINGS THEREOF

Result of market research :

A market research of 35 people at random was conducted to understand the satisfaction level of
the consumer. The survey was conducted with the help of some 35 questionnaires distributed.
Following are the descriptive statistics that was inferred from the market survey.
(See Appendix Questionnaires)

CHARACTERSTICS OF POPULATION
Every population either small or large has some unique characteristics of its own and there are
various factors that affect the population and make it behave in a certain manner. There might be
variations within the group however, their behavior if compared to that of any other population
group will very substantially or at least to certain extent. The sample size of the population
selected for the market survey is of 35. The questionnaire used for the market survey is included
in the appendix of the project report. The following is the list of charts prepared to analyze the
sample population.

1.AGE SEGMENTATION
AGE RESPONDENTS
25-35 Years 10
35-45 Years 8
45-50 Years 5
50-60 Years 7
60 and Above 5
Total 35

59
INTERPRETATION
The sample population was divided in to five different age groups to better understand their
behavior. The survey result show that majority of the high net worth customers were taken by the
age group of 25-35.

2.SAMPLE POPULATION SEGREGATED AS PER THEIR ANNUAL INCOME

Income Respondent Percentage

< 5 lakhs 11 31%

5- 10 lakhs 10 28%

10-15 lakhs 9 26%

> 15 lakhs 5 15%

Total 35 100%

INTERPRETATION

Second Classification of respondent is based on the basis of their annual income . This
classification is done to know that mostly which income level people have more demand for
account. On the basis of high net worth customers annual earnings of 31% i.e. less than 5 lakh
and the smallest percentage is 15% is greater than 15 lakhs.

60
3. SAMPLE POPULATION SEGREGATED AS PER THEIR OCCUPATION.

Occupation Respondent Percentage

Trader 27 77%

Manufacturer 2 6%

Private Employees 2 6%

Government Employees 4 11 %

Total 35 100%

INTERPRETATION
The third important consideration which helps to identify Occupation of the respondent the
occupation comprises of Government Employees, private employees, Trader and Manufacturer.

4.WHICH TYPE OF FACILITY YOU ARE AVAILING FROM BANK?

SERVICES RESPONSE
Saving Account 20
Current Account 24
Fixed Deposits 10
Working Capital 13
Recurring Deposit 0
Cash Credit/ Overdraft 2
PPF 3
Any Other 2
Total Bank Account 74
Total Questionnaires 35

61
INTERPRETATION
The Fourth important consideration which helps to identify Bank account of the respondent
.From above table it is clear that:
20 respondents are saving account holder
Major respondents are current account holder i.e. 24
10 respondents have Fixed deposits from their respective bank
20 respondesnts are other account holders

5.WHERE DO YOU INVEST FOR TAX REBATE UNDER SEC 80CC?

BANKS RESPONDENTS
Punjab National Bank 2
Union Bank 1
HDFC 1
Bank Of Baroda 1
Oriental Bank of Commerce 1
Indian Bank 2
Total tax rebate respondents under sec 8
80CC
Total Respondents 35

INTERPRETATION
The fifth important consideration which helps to identify that how many customers are taking
tax rebate under sec 80CC are 8 respondents from different banks.

62
6.ARE YOU AVAILING ONE BANKING SERVICES FROM THE BANK?

SERVICES RESPONDENTS
Yes 22
No 13
Total 35

INTERPRETATION
63% Respondents are availing one banking services.
37% Respondents are not availing one banking services.

7.WHERE YOU HAVE INVESTED YOUR MONEY THE MOST?

SOURCES RESPONDENTS
Mutual Funds 1
Insurance 3
Equity 1
Bank Fixed Deposit 3
Property 27
Total 35

INTERPRETATION
From the above data, we found that most of the people invest their money in property i.e. 77%
and rest 33% in other sources.

63
8.ARE YOU AWARE OF ANY OTHER SERVICES PROVIDED BY THE BANK?

OTHER SERVICES RESPONDENTS

Internet Banking 4
Mobile Banking 9
Locker Banking 7
ATM Services 11
Demat Services 1
Third Party Transfer 1
All of the Above 2
Total 35

INTERPRETATION
31% Respondents are availing ATM services
37% Respondents are availing internet and mobile banking.
Rest of the 32% are availing other services

64
 FINDINGS AND RECOMMENDATIONS

Majority of customer are satisfy with HDFC bank service and prefers to use HDFC bank
Majority of customers are aware of services provided by HDFC bank Majority of
customers fined banking facility of HDFC bank satisfactory Majority of customers are
willing to recommended HDFC bank to their friends Respondents says that they are
facing issues regarding time and facility while few has some issue with employee
behavior The perception of customer regarding the bank is satisfactory because majority
of the customer are satisfy with the bank and they also recommend the product of the
bank The more prefers extra service is Net banking and less prefers service are bill
payment, ATM and mobile banking Majority of customer are satisfy with dealing of
employees Main factor that attracts customers towards banks are services of bank.

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 CONCLUSION

At the end I would like to conclude that the Indian banking market is growing at an astonishing
rate. HDFC bank has distribution network of 4,715 branches and 12,260 ATMs across 2,657
cities in India. the majority of customers are prefers HDFC bank but bank should target rest of
customer who are not satisfied. customers are aware about bank services but bank should try to
create more awareness among people.

More stress should given on the advertisement and promotion activities The bank should make
more effort in improving good relationship with customer The bank should enhance their service
according to customer The bank should make its procedure less time consuming The bank
should make effort to aware the customer about all their extra services

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 BIBLIOGRAPHY

www.en.wikipedia.org

www.bankbazaar.com

www.hdfcbank.com

www.wikihow.com

www.scholar.google.co.in

www.campusoxide.com

www.blog.edusson.com

www.marketing91.com

www.quora.com

www.moneyconnexion.com

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 REFERENCES

BOOKS REFFERED:

: Philip Kotler (Eight Edition), “ Marketing Management

: T.N Chhabra , Human Resource Management

: Newspapers & Hdfc magazines

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 APPENDIX
(QUESTIONNAIRE)
PART-I :PERSONAL INFORMATION

1.Name

2.Address (Official /Residential)

3.Kindly provide your Contact Number(s) and your email ID:

4.Age:
Lessthan20 years 25 – 35 years 35 - 45 years
45 -55 years 55 -60 years 60 years& above

5.Qualification:

Under Graduation Graduation Post Graduation

Professional Qualification Any Other__________

6.Occupation:
Business Trader__________ Service Any Other
Manufacturer_______
Government ________
Service provider______
Private _________
Housewife

7. Family Income (in Rs.per month):

Less
Rs 5 than
Lakhs5 lakhs
and below Rs 5 Lakhs - 10 Lakhs Rs 10 Lakhs- 15 Lakhs

Rs 15 Lakhs - 20 Lakhs Rs 20 Lakhs and above

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 PART-II
1.Which type of bank account do you have? (You can select more than one option, if
applicable)
Savings Account Current Account Fixed Deposit Account
Recurring Deposit Account Cash Credit/ Overdraft

2.In which of the following banks, do you own a bank account ?(You can select more than one
option, if applicable)
State Bank of India& its Associates Punjab National Bank
ICICI Bank HDFC Bank
3.In case you have an account in more than one bank , then kindly select ONEBANK out of the
Following banks.

State Bank of India & its Associates Punjab National Bank

ICICI Bank HDFC Bank

4.Where do you invest for tax rebate under sec 80CC?

State Bank of India ICICI Bank

Punjab National Bank HDFC bank
Any Other______________________________
5.Are you availing complete ONE banking services from your bank or not ?

YES NO
6.Where you have invested your money the most ?

Mutual fund Insurance Equity Fixed Deposit Business

7.Do you have any insurance policy ? If yes then state from the following.

General Insurance Health Insurance Life Insurance Anyother_________

__________________
8.Which of the following services offered by the bank ,are you using?(You
_____can select more than
One option,if applicable)
Internet Banking ATMService
MobileBanking DematServices ThirdPartyTransfer
LockerFacility All theAbove
Anyother,Pls specify___________________________________________

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