COMPARITIVE STUDY

OF PRODUCT &
SERVICES OF HDFC
BANK AND ITS
COMPETITORS AND ITS
IMPACT ON
CUSTOMER
SATISFACTION

pg. 1
 DECLARATION

I hereby declare that the project entitled “COMPARITIVE STUDY

OF PRODUCT& SERVICES OF HDFC BANK AND ITS COMPETITORS
AND ITS IMPACT ON CUSTOMER SATISFACTION”, is my original
work prepared after the completion of 4 weeks internship
program at HDFC Bank ,Muzaffarpur, Bihar, India.

I also confirm that, the report is only prepared for my academic

requirement, not for any other purpose. It might not be used
with the interest of opposite party of the corporation.

JAYESH SHUBHAM
ID- 1197
Bachelor of Business Administration (BBA)
CIMAGE PROFESSIONAL COLLEGE
Affiliated with Aryabhatta Knowledge University (AKU)

pg. 2
 ACKNOWLEDGEMENT

I am using this opportunity to express my gratitude to everyone

who supported me throughout the course of this project. I am
thankful for their aspiring guidance, invaluably constructive
criticism and friendly advice during the project work.

I would like to thank my project external guide, Mr. GAUTAM

JHA from HDFC, who provided me with the facilities being
required during the internship program.

I express my thanks to my group member, Ms. SONAKSHI

KUMARI, for her support and guidance during the project work.

At last, I express my gratitude to all the people who shared

their truthful and illuminating views on a number of issues
related to the project.

pg. 3
pg. 4
CHAPTER

1
pg. 5
 Introduction to Banking

Banks play an important role in the economic development of a

country. In the modern era, it acts as the backbone of a nation’s
economy.

It’s a financial institution that accepts deposits and channels

those deposits into lending either directly or through capital
markets.

History of Indian banking: An Overview

In India, the banking system is as old as Vedic Period. The book

of Manu contains reference regarding deposits advances,
pledge policy of loan, and rate of interest. From the beginning
of 20th century banking has been so developed in fact, has
come to be called LIFE BLOOD of trade and commerce.

pg. 6
The origin of Indian banking industry may be traced to the
establishments of Bank of Hindostan in 1770. The growth of
banking industry in India may be studied in terms of two broad
phases: Pre-independence and Post-independence.

Pre-Independence Era:

At the end of late 18th century, there were hardly any banks in
India in the modern sense of term ‘banks’.
At the beginning of the 20th century, there were very small
banks operated by Indians and most of them were owned and
operated by particular community. The banking in India was
controlled and dominated by the presidency banks, namely,
The bank of Bombay, The bank of Bengal and the bank of
Madras- which later on merged to form the Imperial bank of
India.

The beginning of the 20th century saw the introduction of Joint

Stock banks. The presidency banks were merged together to
form the Imperial bank of India, which was subsequently
renamed the State Bank of India. India’s central bank, The
Reserve Bank of India, also began operation in this phase.

pg. 7
Post-Independence Era:

With the dawn of Independence changes of vast magnitude

have taken place in India. At the time of Independence in 1947,
the banking system in India was fairly well developed. However
soon after independence, the view that the banks from colonial
heritage were biased in favor of working capital loans for trade
and large firms and against extending credit to small scale
enterprises, agriculture and commoners, gained prominence.
As a result, the policy of social control over banks was
announced. Its aim was to cause changes in the management
and distribution of credit by commercial banks.

Nationalization
In July 1969, the government nationalized all 14 banks whose
deposits were greater than Rs. 500 million. These banks
contained 85% of banks deposits in the country.
In 1980, 6 more banks were nationalized with the purpose of
giving the government more control of credit delivery.

pg. 8
Liberalization
In the early 1990’s, the government of India embarked on a
policy of liberalization, licensing a small number of private
banks. This move, along with the rapid growth in the economy
of India, revitalized the banking sector in India, which has seen
rapid growth with strong contribution from all the three sectors
of banks, namely, government banks, private banks and foreign
banks.

Banks in India: Categorization

❶ Central bank:

(Reserve Bank of India)

Established: 1 April 1935

Governor: Urjit Patel
Currency: Indian Rupee

pg. 9
Reserves: US$ 363.00 billion

The Reserve bank of India is India’s central banking institution,

which control the monetary policy of the Indian rupee hence,
acts as the apex bank for the all the other Indian banks.

❷ Commercial banks:

Commercial banks form a significant part of the country’s

Financial Institution system. These are the profit seeking
institutions which accept deposits from general public and
advance money to individuals like household, entrepreneurs,
businessmen, etc. with the prime objective of earning profits in
terms of interest, commission, etc. The operations of all these
banks are regulated by the Reserve bank of India, the supreme
financial authority in India.

Public-sector banks

Public sector banks, generally known as PSB’s, are banks

where the majority stake is held by the government of
India.
pg. 10
There are 27 public sector banks in India out of which 19
are nationalized banks and 6 are SBI and its associate
bank, and at last there is the IDBI bank, which is
categorized as other public sector banks.

State bank and its associates:

 State Bank of India

 State Bank of Bikaner and Jaipur
 State Bank of Hyderabad
 State Bank of Mysore
 State Bank of Patiala
 State Bank of Travancore

Nationalized banks:

 Allahabad Bank
 Andhra Bank
 Bank of India
 Bank of Baroda
 Bank of Maharashtra
 Canara Bank
pg. 11
  Central Bank of India
 Corporation Bank
 Dena Bank
 Indian Bank
 Indian Overseas Bank
 Oriental Bank of Commerce
 Punjab and Sind Bank
 Punjab National Bank
 Syndicate Bank
 UCO Bank
 Union Bank of India
 United Bank of India
 Vijaya Bank

Other public sector banks

 IDBI

Private- sector banks

The private sector banks in India represent the part of the

Indian banking sector in which greater part of state or
equity are held by the private shareholders, not by the
government.
pg. 12
(Indian)

 Axis Bank
 Bandhan Bank
 Catholic Syrian Bank
 City Union Bank
 Dhanlaxmi Bank
 DCB Bank
 Federal Bank
 HDFC Bank
 ICICI Bank
 IDFC Bank
 Karnataka Bank
 IndusInd Bank
 Jammu and Kashmir Bank
 Karur Vysya Bank
 Kotak Mahindra Bank
 Lakshmi Vilas Bank
 Nainital Bank
 RBL Bank
 South Indian Bank

pg. 13
  YES Bank
 Tamilnad Mercantile Bank
 Capital Small Finance Bank
 Coastal Local Area Bank
 Krishna Bhima Samruddhi Local Area Bank
 Subhadra Local Area Bank

(Foreign)

 Abu Dhabi Commercial Bank Ltd.

 American Express Banking Corp.
 Arab Bangladesh Bank Ltd.
 Australia and New Zealand Banking Group Ltd.
 Antwerp Diamond Bank
 Bank Internasional Indonesia
 Bank of America
 Bank of Bahrain and Kuwait
 Bank of Ceylon
 Bank of Nova Scotia
 Bank of Tokyo Mitsubishi-UFJ Ltd.
 Barclays Bank

pg. 14
 BNP Paribas
 Citibank N.A.
 Credit Agricole Corporate & Investment Bank
 Chinatrust Commercial Bank
 Credit Suisse A.G.
 Commonwealth Bank of Australia
 DBS Bank Ltd.
 Deutsche Bank
 First Rand Bank Ltd.
 Hong kong and Shanghai Banking Corporation
Ltd.
 Industrial & Commercial Bank of China
 J.P. Morgan Chase Bank N.A.
 JSC VTB Bank
 Krung Thai Bank Plc
 Mizuho Bank Ltd.
 Mashreqbank
 National Australia Bank
 Oman International Bank SAOG
 Rabobank International
 Shinhan Bank
 Societe Generale
pg. 15
  Sonali Bank
 Standard Chartered Bank
 SBM Bank (Mauritius) Ltd
 Sberbank
 Sumitomo Mitsui Banking Corporation
 Royal Bank of Scotland N.V.
 UBS AG
 United Overseas Bank Ltd.
 Westpac Banking Corporation
 Woori Bank

 Regional Rural Banks

These are local level banking organizations operating in

different states of India with a view to serve primarily the
rural areas of India and providing them basic banking
facilities and financial services. However, RRB’s operations
may include urban areas too but the area of operations is
limited to the area as notified by Government of India
covering one or more districts in the state.

pg. 16
 RRB’s are recognized by the law and they have legal
significance. The Regional Rural Banks Act, 1976 Act No. of
1976 (9 February 1976.) reads

“For the incorporation, regulation and winding up of

Regional Rural Banks with a view to develop the rural
economy by providing, for the purpose of development of
agriculture, trade, commerce, industry and other
productive activities in the rural areas, credit and other
facilities, particularly to the small and marginal farmers,
agricultural laborers, artisans and small entrepreneurs,
and for matters connected therewith and incidental
thereto”.

❸ Co-operative Banks

These are small sized units which operated both in urban and
non urban centers. They finance small borrowers in industrial
and trade sectors besides professional and salary classes.

pg. 17
Regulated by The Reserve Bank of India, they are governed by
The Banking Regulation Act 1949; and; Co-operative Societies
Act, 1965.

Types:

 Primary Co-operative Credit Society

It is an association of borrowers and non-borrowers

residing in a particular locality. The funds of the society are
derived from the share capital and deposits of members,
and loan from central co-operative banks. The borrowing
power of the members as well as of the society is fixed.
The loans are given to members for purchase of cattle,
fodder, fertilizers, pesticides, etc.

 Central Co-operative Banks

These are federations of primary credit societies in a

district and are of two types- those having membership of
primary societies only and those having a membership of
societies and individuals. The funds of the bank consist of
share capital, deposits, loans and overdrafts from state co-
operative banks and joint stocks. These banks provide
pg. 18
 finance to member societies within the limits of the
borrowing capacity of the societies. They also conduct all
the business of a joint stock bank.

 State Co-operative Banks

The State co-operative bank is a federation of central co-

operative bank and acts as a watchdog of the co-operative
banking structure in the state. Its funds are obtained from
share capital, deposits, loans and overdrafts from the
Reserve Bank OF India. The state co-operative banks lend
money to central co-operative banks and primary societies
and not directly to the farmers.

 Land development Banks

The Land development banks are organized in 3 tiers

namely; state level, central level, and primary level; and
they meet the long term credit requirements of the
farmers for developmental purpose. The state land
development banks oversee, the primary land
development banks situated in the districts and tehsil
areas in the state. They are governed both by the State
government and Reserve Bank of India. Recently the
supervision of land development banks has been assumed

pg. 19
 by the National Bank for Agriculture and Rural
Development (NABARD). The sources of funds of these
banks are the debentures subscribed by both, central and
state government. These banks do not accept deposits
from the general public.

 Urban Co-operative Banks

The term Urban Co-operative Banks (UCBs), though not

formally defined, refers to primary co-operative banks
located in urban and semi-urban areas. These banks, till
1996, were allowed to lend money only for non-
agricultural purposes. This distinction does not hold today.
These banks were traditionally centered on communities,
localities, work place groups. They essentially lend to small
borrowers and businesses. Today, their scope of
operations has widened considerably.

pg. 20
❹ Financial Institutions (Development banks)

Development bank may be defined as a financial institution

concerned with providing all types of financial assistance
(medium as well as long term) to business units; in the form of
loans underwriting, investment and guarantee operations; and
promotional activities- economic development in general, and
industrial, agricultural, or such other development, in
particular.

In short, these are multipurpose financial institution with a

broad development outlook.

Name of some major development banks of India:

 National Bank for Agriculture and Rural Development

(NABARD)

 Export-Import Bank of India (EXIM Bank)

 National Housing Bank (NHB)

pg. 21
  Small Industries Development Bank of India (SIDBI)

 Industrial Investment Bank of India (IIBI)

 North Eastern Development Finance Corporation (NEDFi)

# Scheduled and Non-Scheduled Banks in India:

A Scheduled bank in India refers to a bank which is listed in the

2nd Schedule of Reserve Bank of India Act, 1934.
A scheduled bank is eligible for loans from RBI at bank rate.
They are also given membership to clearing houses.
Similarly, a bank which is not listed in the 2nd Schedule of
Reserve Bank of India Act, 1934; is called as Non-scheduled
bank.

pg. 22
Role of Banking in Indian economy:

The Government of India, after independence, had to focus on

many areas among which one of the important tasks was
economic development of the country.

Bank plays a dynamic role in contributing to the economic

development of the country. Some of the contributions of
banks to the economy of the country are enlisted below:

Facilitating Monetary Policy: The fiscal and monetary policy of a

country has greater impact on its economic development, and a
well-developed banking system is pre-requisite for successful
implementation of the monetary policy.

Promoting Capital formation: Banks are the reservoirs of capital

providing loans to the individual and business. Pooling of
financial resources and formation of capital is encouraged by
banks through deposits and other activities. This capital is
utilized by entrepreneurs and thus it contributes for the
development of a country’s economy.

pg. 23
Monetization: The coining of currency or printing of banknotes
is done by the central bank. In other words, banks are
manufacturers of money which is important for the economy.

Influencing Economic activity: Banks influence the rate of

interest in the money market through its supply of funds. It can
influence a monetary policy with low-interest rates which will
tend to stimulate economic activity.

pg. 24
CHAPTER

2
pg. 25
COMPANY’S PROFILE

HDFC
Founded: August, 1994
Headquarters: Mumbai, Maharashtra, India.

Products:
 Investment banking
 Investment management
 Wealth management
 Private banking
 Corporate banking
 Private equity
 Finance and Insurance
 Consumer banking
 Mortgages
 Credit cards

pg. 26
Key person: Aditya Puri (MD)
Number of employees: 104,154 (As of 30th June 2019)

The Housing Development Finance Corporation Limited was

first to receive an ‘in principle’ approval from the Reserve Bank
of India (RBI) to set up a bank in private sector, as part of RBI’s
liberalization of Indian Banking Industry. The bank was
incorporated in August 1994 in the name of HDFC Bank ltd,
with its registered office in Mumbai, Maharashtra.

HDFC is India’s premier finance company and enjoys an

impeccable track record in India as well as in International
market. Since its inception, the corporation has maintained a
consistence and healthy growth in its operations to remain the
market leader in mortgages. Its outstanding loan portfolio
covers well over a million dwelling units.

With its experience in financial markets, a strong market

reputation, large shareholder base and unique consumer
franchise, HDFC was ideally positioned to promote a bank in
the Indian environment.

pg. 27
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 which are:

 Operational excellence
 Customer focus
 Product leadership
 People

SWOT Analysis

Strength:
 HDFC is the second largest private banking sector in India.

 HDFC bank is located in 1174 cities in India and has more

than 800 locations to serve customers through Telephone
banking.

 The bank ATM card is compatible with all domestic and

international Visa/Master card, Visa Electron/ Maestro,
Plus/ Cirus and American Express which makes it one of

pg. 28
 the most preferred card for shopping and online
transactions.

 HDFC bank has the high degree of customers satisfaction

when compared to other private banks.

Weakness:

 HDFC bank lacks presence in rural areas

 High fluctuation in share prices which creates uncertainty

for the investors.

 More focus on high end clients.

Opportunities:

 The companies in large and SME are growing at very fast

pace. HDFC has good reputation in terms of maintaining
corporate salary accounts.

pg. 29
  Great scope for acquisition and strategic alliances due to
strong financial position.

Threats:

 HDFC’s NPA (NON-performing assets) value increased from

0.18% to 0.20% .Though it is a slight variation, it’s not a
good sign for financial health of bank.

 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.

AWARDS AND RECOGNITIONS:

 Best Performing Branch in Microfinance among Private

sector bank by NABARD.

 KPGM study of India’s Best Banks:

pg. 30
 Bank of the year;
Best Digital Banking Initiative Award.

 AIMA Managing India Awards 2015:

Business leader of the Year- Aditya Puri

 FinanceAsia poll on Asia’s Best Companies 2015:

Best managed public company-India

 J.P. Morgan Quality Recognition Award:

Best in class straight through processing rates.

# COMPETITORS:
State Bank of India
Axis bank

pg. 31
 STATE BANK OF INDIA

Founded: 2 June 1806 as Bank of Calcutta,

27 January 1921, Imperial Bank of India,
1 July 1955, State Bank of India
Headquarters: Mumbai, Maharashtra, India.

Products:
 Consumer banking
 Corporate banking
 Finance and Insurance
 Investment banking
 Mortgage loans
 Private banking
 Private equity
 Savings
 Securities
 Asset management
 Wealth management
pg. 32
  Credit cards

Key person: Arundhati Bhattacharya (Chairperson)

Number of employees: 293,459 (2016)

State Bank of India is an Indian multinational, public sector

banking and financial services company. It is a government
owned corporation.

As of 2014-15, it had assets of Rs. 20.480 trillion (US$ 300

billion) and more than 14,000 branches, including 191 foreign
offices spread across 36 countries, making it the largest banking
and financial services company in India by assets. The company
is ranked 232nd on the Fortune Global 500 list of the world’s
biggest corporation in 2016.

pg. 33
 AXIS BANK

Founded: 1993 (as UTI Bank)

Headquarters: Mumbai, Maharashtra, India

Products:
 Consumer banking
 Corporate banking
 Finance and Insurance
 Investment banking
 Mortgage loans
 Private banking
 Private equity
 Wealth management
 Credit cards
Key person:
 Shikha Sharma (MD & CEO);
 Sanjiv Misra (Chairman)

Number of employees: 42,420

pg. 34
Axis bank is the third largest private sector bank in India. Its
stakeholders include prominent national and international
entities.

As of 12 August 2016, the bank has a network of 3120 branches

and extension counters, and, 12922 ATMs, thus making it the
largest ATM network provider in India.

The bank also has eight international offices with branches at

Singapore, Hong Kong, Dubai, Shanghai, Colombo and
representative offices at Dubai and Abu Dhabi, which focus on
corporate lending, trade finance, syndication, investment
banking and liability businesses, it also has a wholly owned
subsidiary in UK named as Axis Bank UK Ltd. The total assets of
the overseas branches were US$ 7.86 billion.

pg. 35
CHAPTER

3
pg. 36
Objectives:

The study has undertaken with the regard to the

following objectives:
 To compare the products and service of banks on the
basis of customers’ expectation.

 To find the perception of customers’ regarding the

service quality of the banks.

 To know customers’ preference towards various

banks and analyzing the most preferred facilities
provided by these banks.

Scope of study:

The study covers respondents of only non-staff

members of the banks. The customers belong to
various professions, places, of both genders, with
varied income group, varied age group and such
pg. 37
 other varied groups. The sample was collected from
Muzaffarpur city.

Literature Review:

 Denise K. Conroy in his study titled ‘Customer

satisfaction measures in the public sector: what do
they tell us?’ attempts to devise customer
satisfaction measures, according to him there are
number of factors which can affect the
interpretation of results- the nature of the
customers, service provision, service quality and, for
the public sector, the extent to which consumer
sovereignty exists. Resources may be better directed
towards setting and maintaining high levels of
standard of service. This study addresses the
difficulties and highlights the complex nature of a
customer or service beneficiary, who can be, at the
same time a tax payer, voter, recipient of financial
benefits, with expectations of the public sector and

pg. 38
 its delivery agent, yet cannot choose another
provider.

 Rengasamy Elango and Vijaya Kumar Gudep in their

study titled ‘A Comparative study on the Service
Quality and Customer Satisfaction among Private,
Public and Foreign Banks’, focuses on the service
quality and customer satisfaction among the private,
public, and foreign banks in India. An analysis is
carried out to examine the level of awareness among
customers and to identify the best sector which
provides qualitative customer service. This become
relevant in the context of recommendation of
various committees constituted by the Government
of India and the RBI, from time to time, to suggest
measures to improve customer service systems of
the public sector commercial banks of India.

 Jayaraman Munusamy, Shankar Chelliah AND

HorWaiMun titled in their study ‘Service Quality
Delivery and its impact on Customer Satisfaction in
pg. 39
 the Banking Sector in Malaysia, October 2010’
focuses on the measurement of the customer
satisfaction through delivery of service quality in
banking sector in Malaysia. The study highlighted the
parameters in banking industry for improvement in
delivery of service quality. It also gives snapshots of
some appropriate methods that has been used for
the measurement of customer satisfaction.

Research Design:

Present study enquired and brought forward the result

concerning the set objectives specified before which
relates to description of the state of affairs as a result it
clearly states that it was Descriptive Study, which
included fact finding enquiries of different kinds.

pg. 40
Sources of data:

The study relies on both, primary as well as secondary

data. The sources of secondary data are drawn from sites
of banks to which respondents are customers. Various
journal articles have also been referenced for
understanding the background of the study.

Sampling Design:

Sample size: 75(non-staff members) of HDFC bank,

State bank of India and Axis bank in which 25
samples were taken from each bank.

Sampling method: Convenience sampling technique.

Research Instrument: Questionnaire

pg. 41
Assumptions:

 The responses provided (by the respondents) are

independent in nature.

 The respondents answered all the questions honestly.

 The researcher was not biased during the survey.

Limitations:

 The study is limited to the study of expectations and

perceptions of customers having an account in private or
public banks.

 The perception and expectation of customers are limited

to the time period of the study.

 The study is limited to only one region, i.e. Muzaffarpur.

pg. 42
CHAPTER

4
pg. 43
 RESPONDENT PROFILE

Name of the bank Frequency

HDFC 25

SBI 25

AXIS 25

Total 75

pg. 44
 FINDINGS & COMPARITIVE
ANALYSIS

Age group of customers

Particulars Below 25 25-35 35-50 Above 50

HDFC 5 12 6 2
SBI 4 7 8 6
Frequency
AXIS 3 10 8 4
Total 75

pg. 45
 HDFC
14

12

10

HDFC
6

0
below 25 25-35 35-50 above 50

SBI
10

SBI
4

0
below 25 25-35 35-50 above 50

pg. 46
 AXIS
12

10

6
AXIS

0
below 25 25-35 35-50 above 50

pg. 47
 Age group
HDFC SBI AXIS

12

10

8 8

6 6

5 5

below 25 25-35 35-50 above 50

pg. 48
 Gender Distribution

Particulars Male Female

HDFC 17 8
SBI 14 11
Frequency
AXIS 18 7
Total 75

HDFC

Male
Female

pg. 49
SBI

Male
Female

AXIS

Male
Female

pg. 50
 Gender Distribution
HDFC SBI AXIS

18
17

14

11

8
7

Male Female

pg. 51
 Occupation

Particulars Profession Service Business Student Homemaker Retired

HDFC 3 7 9 1 3 2
SBI 5 9 4 2 1 4
Frequency
AXIS 5 3 10 4 2 1
TOTAL 75

HDFC
10

HDFC
4

0
Profession Service Business Student Homemaker Retired

pg. 52
 SBI
10

SBI
4

0
Profession Service Business Student Homemaker Retired

AXIS
12

10

6
AXIS

0
Profession Service Business Student Homemaker Retired

pg. 53
 Occupation
HDFC SBI AXIS

10

9 9

5 5

4 4 4

3 3 3

2 2 2

1 1 1

Profession Service Business Student Homemaker Retired

pg. 54
 Income

Particulars Nil less 150000- 300000- 500000- Above

than 300000 500000 1000000 1000000
150000
HDFC 1 1 4 6 5 8
SBI 3 5 7 5 2 3
Frequency
AXIS 1 2 4 3 9 6
TOTAL 75

HDFC
10

4
HDFC

pg. 55
 SBI
8

SBI
2

AXIS
10

4
AXIS
2

pg. 56
 Income
HDFC SBI AXIS

6 6

5 5 5

4 4

3 3 3

2 2

1 1 1

pg. 57
 Time period

Particulars Less than 1 1-3 yrs. 3-5 yrs. More than

yr. 5 yrs.

HDFC 9 5 8 3
SBI 3 4 8 10
Frequency
AXIS 2 8 10 5
Total 75

HDFC
10

HDFC
4

0
less than 1 yr. 1-3 yrs. 3-5 yrs. more than 5 yrs.

pg. 58
 SBI
12

10

6
SBI

0
less than 1 yr. 1-3 yrs. 3-5 yrs. more than 5 yrs.

AXIS
12

10

6
AXIS

0
less than 1 yr. 1-3 yrs. 3-5 yrs. more than 5 yrs.

pg. 59
 Time Period
HDFC SBI AXIS

10 10

8 8 8

5 5

3 3

less than 1 yr. 1-3 yrs. 3-5 yrs. more than 5 yrs.

pg. 60
 Type of account

Particulars Savings Current Fixed/Recurring NRI

Account Account Deposit Account
HDFC 9 9 6 1
SBI 10 6 8 1
Frequency
AXIS 6 10 7 2
Total 75

HDFC
10

HDFC
4

0
Savings Account Current Account FD/RD NRI Account

pg. 61
 SBI
12

10

6
SBI

0
Savings Account Current Account FD/RD NRI Account

AXIS
12

10

6
AXIS

0
Savings Account Current Account FD/RD NRI Account

pg. 62
 Type of Account
HDFC SBI AXIS

10 10

9 9

6 6 6

1 1

Savings Account Current Account FD/RD NRI Account

pg. 63
 Reason for being associated

Particulars Brand Wide- Great Friends/family Close to Other

name spread service having a your reasons
network traditional Locality
account
HDFC 8 2 8 4 1 2
SBI 9 3 2 8 2 1
Frequency
AXIS 7 2 7 3 5 1
TOTAL 75

HDFC
10

4 HDFC

0
Brand name Wide-spread Great Service Friends/family Close to your Other reasons
network having a locality
traditional
account

pg. 64
 SBI
10

4 SBI

0
Brand name Wide-spread Great Service Friends/family Close to your Other reasons
network having a locality
traditional
account

pg. 65
 AXIS
8

AXIS

0
Brand name Wide-spread Great Service Friends/family Close to your Other reasons
network having a locality
traditional
account

pg. 66
 Reason for being associated
HDFC SBI AXIS

8 8 8

7 7

3 3

2 2 2 2 2

1 1 1

Brand name Wide-spread Great Service Friends/family Close to your Other reasons
network having a locality
traditional
account

pg. 67
 Traditional vs. Virtual Banking

Particulars Traditional banking Virtual banking

HDFC 12 13
SBI 7 18
Frequency
AXIS 9 16
Total 75

HDFC
20

18

16

14

12

10
HDFC
8

0
Traditional banking Virtual banking

pg. 68
 SBI

14

12

10

8
SBI
6

0
Traditional banking Virtual banking

pg. 69
 AXIS

14

12

10

8
AXIS
6

0
Traditional banking Virtual banking

pg. 70
 Traditional Banking vs. Virtual Banking
HDFC SBI AXIS

18

16

13
12

Traditional Banking Virtual Banking

pg. 71
 Customer Loyalty

Particulars Yes Maybe No

HDFC 18 6 1
SBI 15 7 3
Frequency
AXIS 13 10 2
Total 75

HDFC
20
18
16
14
12
10
HDFC
8
6
4
2
0
YES MAYBE NO

pg. 72
 SBI
16

14

12

10

8
SBI
6

0
YES MAYBE NO

AXIS
14

12

10

AXIS
6

0
YES MAYBE NO

pg. 73
 Customer Loyalty
HDFC SBI AXIS

18

15

13

10

7
6

3
2
1

YES MAYBE NO

pg. 74
 Customer Satisfaction level

Particulars Satisfied Needs Not Satisfied

Improvement
HDFC 15 8 2
SBI 10 11 4
Frequency
AXIS 13 9 3
Total 75

HDFC
16

14

12

10

8
HDFC
6

0
Satisfied Needs Improvement Not satisfied

pg. 75
 SBI
12

10

6
SBI

0
Satisfied Needs Improvement Not satisfied

AXIS
14

12

10

AXIS
6

0
Satisfied Needs Improvement Not satisfied

pg. 76
 Customer Satisfaction Level
HDFC SBI AXIS

15

13

11
10
9
8

4
3
2

Satisfied Needs Improvement Not satisfied

pg. 77
 Service Quality ratings

HDFC

SERVICE QUALITY

Reliability Empathy Responsiveness Assurance Tangibility

RATING
FREQUENCY Excellent 7 7 9 7 6
Good 7 6 10 8 8
Satisfactory 5 7 4 6 6
Average 4 4 1 2 2
Below average 2 1 1 2 3

HDFC
Excellent Good Satisfactory Average Below average

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

Reliability Empathy Responsiveness Assurance Tangiblity

pg. 78
 SBI

SERVICE QUALITY

RATING Reliability Empathy Responsiveness Assurance Tangibility

FREQUENCY Excellent 5 3 5 8 11
Good 7 3 5 7 8
Satisfactory 9 8 9 7 4
Average 2 4 3 2 1
Below average 2 7 3 1 1

SBI
Excellent Good Satisfactory Average Below average

11

9 9
8 8 8
7 7 7 7

5 5 5
4 4
3 3 3 3
2 2 2 2
1 1

Reliability Empathy Responsiveness Assurance Tangiblity

pg. 79
 AXIS

SERVICE QUALITY

RATING Reliability Empathy Responsiveness Assurance Tangibility

FREQUENCY Excellent 5 8 8 5 7
Good 8 6 9 8 7
Satisfactory 4 6 4 9 6
Average 5 3 1 2 3
Below average 2 2 3 1 2

AXIS
Excellent Good Satisfactory Average Below average

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

Reliability Empathy Responsiveness Assurance Tangiblity

pg. 80
 Comparison of Service Quality

SERVICE QUALITY
Name of the bank

GRADE
POINTS Reliability Empathy Responsiveness Assurance Tangibility

HDFC
70.40 71.20 80.00 72.80 69.60
SBI
68.80 52.80 64.80 75.20 81.60
AXIS
64.80 72.00 74.40 71.20 71.20

pg. 81
 Service Quality Comparision
HDFC SBI AXIS

81.6
80

74.4 75.2
72 72.8
70.4 71.2 71.2 71.2
68.8 69.6
64.8 64.8

52.8

Reliability Empathy Responsiveness Assurance Tangiblity

pg. 82
Calculation of Grade Point:

Credit points:
Each rating carries a numerical value (between 5 to 1 ) where;
5-Excellent,
4-Good,
3-Satisfactory,
2-Average,
1-Below average.

It’s the Credit Point.

Frequency:

It represents the number of people who has/have

provided rating for a particular Service Quality.

pg. 83
Formula:

𝑛
∑
GP = 𝑖=1( 𝑓 i× ci/MM)× 100

where,
n=5,
GP is Grade Point
fi is corresponding frequency of a particular rating for a specific
Service Quality.
ci is corresponding credit point given for a specific rating.
MM is Maximum Marks, here its 125 i.e. (25×5)

pg. 84
CHAPTER

5
pg. 85
SUGGESTIONS

 The expectation of the customers is on the increase,

especially those customers who belong to young
generation. Hence banks have to revise their traditional
practices and adapt themselves to satisfy the need of the
young customers.

 More focus on high net worth individuals, and business

classes led to the ignorance of other customer segments. A
conscious effort is required to work on all the segments
and make it profitable.

 Lack of professionalism may hamper the image of the

whole organization that’s why it is very essential that
employees should approach the customers in a proper
manner.

pg. 86
CONCLUSION

It was found in the research that high customer satisfaction is

found when the service quality meets or exceeds the consumer
expectations.

Banking sector today has a compelling demand for

improvement and to survive the substantial competition in
today’s scenario the service provided to the customers have to
be the best.

With the rapid change in technology, banks have to adapt and

update their tools and techniques to provide better services to
the customer to gain an upper hand in the competition.

pg. 87
CHAPTER

6
pg. 88
APPENDIX

QUESTIONNAIRE
COMPARITIVE STUDY OF PRODUCT & SERVICES OF HDFC BANK
AND ITS COMPETITORS AND ITS IMPACT ON CUSTOMER
SATISFACTION

1. Name

2. Age

o Less than 25 yrs.

o 25-35 yrs.
o 35-50 yrs.
o Above 50 yrs.

3. Gender

o Male
o Female
4. Occupation

o Profession
o Service
pg. 89
 o Business
o Student
o Household/Homemaker
o Retired

5. Income

o Nil
o Less than 1,50,000
o 1,50,000-3,00,000
o 3,00,000-5,00,000
o 5,00,000-10,00,000
o Above 10,00,000

6. Which bank you are associated with?

o HDFC
o SBI
o AXIS
o ICICI

7. You are associated with the bank for

o Less than 1 yr.

o 1-3 yrs.
o 3-5 yrs.
o More than 5 yrs.
pg. 90
8. Which type of account you have?

o Savings Account
o Current Account
o Fixed/Recurring Deposit
o NRI Account

9. You are associated with this bank because of

o Brand name of the bank.

o Its wide spread network
o Great services by the bank.
o Friends/family has a traditional account in the bank.
o Close to your locality.
o Any other please specify

10. Which one of the following do you prefer the most?

o Traditional banking
o Virtual banking

11. Give rating to the service quality enlisted below

where 5-excellent, 4-good, 3-satisfactory, 2-average, 1-below average

o Reliability (Information reliability, Consistency, Error free services, etc.)

pg. 91
 o Empathy (Understanding needs, Willing to help, Sincere concern, etc.)
o Responsiveness (Quick response, Customer support, Less waiting time, etc.)
o Assurance (Feeling of security, Trustworthy, Knowledgeable employees, etc.)
o Tangibility (Centrally located, ATM services, Provision of appropriate material, etc.)

12. Would you like to be associated with the bank in future also?

o Yes
o Maybe
o No

13. Are you satisfied with the service facilities provided by your bank?

o I am satisfied.
o Needs improvement
o Not satisfied.

 Suggestions

If any

pg. 92
 BIBLIOGRAPHY

WEBSITES
www.rbi.org.in
www.hdfcbank.com
www.sbi.co.in
www.axisbank.com
www.wikipedia.org
www.yourarticlelibrary.com
www.gktoday.in

BOOKS
Research Methodology by CR Kothari

NEWSPAPER
Economic Times

pg. 93
pg. 94