EFFECTIVENESS OF SOCIAL MEDIA MARKETING ON

INDIAN PRIVATE SECTOR BANKS

SYNOPSIS

IN

PARTIAL FULFILLMENT OF
MASTER OF COMMERCE

Under The Supervision Of Submitted By:

PROF. SHALINI DUBEY SATISH TIWARI

DEPAERTMENT OF 1805707
APPLIED BUSINESS ECONOMICS

FACULTY OF COMMERCE
DAYALBAGH EDUCATIONAL INSTITUTE OF AGRA
(DEEMED UNIVERSITY)
 INTRODUCTION
The study will examine whether social media has a significant predictive relationship with
financial performance in Indian commercial banks. In an increasingly competitive market,
technology can enable banks to act more efficiently respond more effectively to market trends
and create a competitive advantage.

Social media:
A new age customer is digital; digital has changed the way they communicate today. It won’t be
surprising, if we define humans as social ‘media’ animal. More so, smartphones are
empowering this digital human race with capabilities beyond imagination. Smartphones are not
only growing by popularity, but also in their features, apps, performance capacity and with
capabilities. A smartphone has become a companion that co-exists.

Social, Digital and Mobile in India

• Out of 1,369M total population in India, 886M are active mobile users (70% penetration of
mobile in India)
• Out of 243M active internet users (19%), 185M are active mobile internet users (15%)
• Out of 106M active social media users (8%), 92M are active mobile social media users (7%)

A bank must have an effective strategy to adapt social media in his operations. When a bank
offers social media, they shift and become customer-centric organization, which is exceedingly
beneficial to a bank, which is predominantly client based industry.

What do Banks Fear to be there?

A survey amongst the 47 program participants, and though there has been a widespread sense
of excitement about social media within the participants coming from financial sector, it is also
known that there are some banks who have embraced social media and are making their mark
globally, while there are others who still need to gather confidence to understand and explore
social media.

According to a Survey on banks in May 2014

• Out of 20 Private Sector Banks in India, only 12 are present on Social Media
• Only 2 Private Sector Bank’s provide Social Media Banking
 REVIEW OF LITERATURE

S.No Author Year Topic Objective Findings

.
1. Dr. R 2019 Effectiveness of To study the 1. More number of
Venkatesh social media influence of socialcustomers are using
marketing: a Facebook. Many
media marketing
case study of customers accepted
ICICI bank on consumer
that social media
behavior.
show much impact in
their life.
2.) Respondents
opined that services
of social media
marketing through
social networking
sites are better than
the bank visits.
2. R.M. 2018 “The Impact of To know the The research found
Mahboub Social Media impact of social that Facebook usage
Usage on media usage like- has a positive impact
Performance of Facebook on bank’s on financial
the Banking performance. performance of the
Sector in Middle banks in Middle East
East and North Region in terms of
Africa Countries” profitability and
growth
SMU has helped
banks in Middle East
countries to rise their
profitability, market
themselves, pass
information to their
customers, improve
their growth, and
affect environmental
sustainability
3. Taskiran 2014 "The role of To examine the The analysis indicates
and Bolatl social media usage of Social several significant
strategies in Networking Sites differences in the
competitive particularly profile of banks that
banking Facebook have Facebook pages
operations " by ING bank in and banks that do not.
 USA . On an average,
Facebook user banks
are more profitable,
rely less on traditional
source of financing i.e.
deposits, have higher
asset quality in terms
of lower NPA ratio,
higher proportion of
their income from
non-traditional
activities and higher
expensed for fixed
assets than Non-
Facebook banks.
Hence, Facebook
banks performed well
than non-Facebook
banks.
4. Danaita et 2014 ” usage of social To check the trend The study revealed
al media in Mexican of social media though the banks
banks” banking and it’s have started using
awareness in social media for
selected Mexican attracting customers
bank’s. but still there existed
a large scope for its
adoption and full
utilization. The survey
of 40 managers
among 20 banks
revealed two main
factors in adopting
social media in banks
i.e. age and
experience of
managers in social
media area.
5. Murray 2014 “Usefulness of To classify financial The results of a
Twitter in bank- institutions Twitter content analysis of
customer activity according the Tweets between
communication” to relational intent: financial service
to either acquire, providers and their
engage or retain customers found that
 customers. Twitter is mainly used
for customer
engagement, but it
can be optimally
deployed in relation
to customer
acquisition and
retention.
6. M. Stelzner 2013 “Evolution of To study how Social media offers
Bank Marketing banks, utilize social next generation of
In India” media for marketing, which is
marketing their more personalized
products and and direct, answering
services. the customer needs.
Almost 43% adults are
interested to avail
bank services and
products through
social platforms.
7. Senadheera 2012 "Use of social What social media
media in functionalities are The study revealed
Australian banks" effective when the that there was a
public and larger homogenous
Australian banks group of
communicate. organizations, with
online retailing
becoming more
popular, these
companies may
require novel
technologies to
connect and
communicate with
their existing
8. Sabharwal 2012 “Indian banks: To find out The results found that
and Swarup presence and whether the the new private sector
interactivity level selected Indian banks and leading
on social media" scheduled banks public sector
have presence on banks are having
the social presence on more
networking media than one Social
or not. Networking Media.
The new private
 sector banks are the
only ones to
continuously interact
with the users on
social networking
media and keep them
updated with all the
news as well as
announcements and
all the public sector
banks are clearly
lagging behind in this
area.

Research Gap:
After conducting a review of researches done by various professionals a gap have been
identified. The researcher had studied the aspects of social media marketing. But a very few
researchers had studied the effectiveness of social media marketing on Indian private sector
bank, hence the researcher select this topic.

Need Of Study:
Social media usage is increasing more to satisfy the social wants of net users. At the same time
it is also accumulated the opportunities for banks to plug their merchandise and services in an
exceedingly personalized manner. Banks around world are responding to social media trend by
evolving into social banks, which ought to have transparency and to manner interaction
through social media to meet and exceed client expectations. The topic is adopted to
determine the perception of customers and employees of Indian private banks towards social
media marketing.

Objectives Of The Study

• To analyze the social media’s impact in Indian private sector banks.

• To analyze the perception of customers and employees on social media marketing practices
utilized by banks.

Research Method and Scope

Research Scope:
The scope of research will be limited to Indian private sector banks e.g. HDFC, AXIS and ICICI
banks.

Research Method:
The present study is descriptive which will help to evaluate the perception of customers on
social media marketing of selected Indian private sector banks.

Area Of Study: Agra city.

Sample Size:
The sample size will consist of 100 respondents including customers and employees of HDFC,
AXIS and ICICI bank.

Data Collection

Primary Data:
the primary data will be collected through the survey of customers and employees through
questionnaire which relates to the social media marketing to find out the perception of
employees and customers of selected Indian private banks about the information and services
they receive through the social sites will included.

Secondary Data:
the secondary data will collected through social media sites and websites of selected banks and
published articles, magazines, related projects etc.

Statistical tools:
Appropriate statistical tool will be used for analysis and interpretation of this study.

Proposed chapter plan of the study

 References

Research papers:

 R.M. Mahboub 2018 “The Impact of Social Media Usage on Performance of the
Banking Sector in Middle East and North Africa Countries”
 Taskiran and Bolat 2014 "The role of social media strategies in competitive
banking operations "
 Danaita et al 2014 ” usage of social media in Mexican banks”

 Murray 2014 “Usefulness of Twitter in bank-customer communication”

 Senadheera 2012 "Use of social media in Australian banks"

 Sabharwal and Swarup 2012 “Indian banks: presence and interactivity level on
social media"

 Jordi paniagua 2012 “Business performance and social media: love or hate.”

 Nyambu 2011 “Social Media marketing on performance of telecommunication

organization in Kenya.”
 BIBLIOGRAPHY
 www.researchgate.net.

 www.businessindex.sprinklr.com

 www.campaignindia.com

 www.economic discussion.com