SYNOPSIS

TITLE OF THE PROJECT

A Comparative study of customer services in ICICI and SBI

INTRODUCTION
The recent trends show that most banks are shifting from a “product-centric model” to a
“customer-centric model” as customer satisfaction has become one of the major determinants of
business growth. In this context, prioritization of preferences and close monitoring of customer
satisfaction have become essential for banks. Keeping these in mind, an attempt will be made in
this study to analyze the factors that are essential in influencing the investment decision of the
customers of the public sector banks. For this purpose, Factor Analysis, which is the most
appropriate multivariate technique, has been used to identify the groups of determinants. Factor
analysis identifies common dimensions of factors from the observed variables that link together
the seemingly unrelated variables and provides insight into the underlying structure of the data.
Secondly, this study also suggests some measures to formulate marketing strategies to lure
customers towards banks. The study will be basically tries to identify the customers are satisfied
with their services among ICICI bank and SBI bank and know about the Customer preferences
among ICICI and SBI bank.

OBJECTIVE
1. To study whether the customers are satisfied with their services among ICICI bank and
SBI bank
2. To know about the Customer preferences among ICICI and SBI bank
3. To give Suggestions to improve the services
4. To study the profile of the respondents of ICICI and SBI banks
5. To study the image of ICICI and SBI among the customers

PROBLEM STATEMENT
The banking industry lack many other financial service industries is facing a rapidly changing
market, new technologies, economic uncertainties, fierce competition, and specially more
demanding customer’s: and the changing climate has presented an unprecedented set of
challenges. Customer service is one integral part of any facet of banking and it defines future of
any banking organization. In banking sector, the whole range of activity and generation of
income swivels around the customer. From a very comfortable and peaceful environment, now
the Indian banking sector is characterized by stiff competition for the customer satisfaction and
profit war between different banking groups i.e. ( Private Bank vs. Nationalized Bank ). This
paper tries to analyze the comparative analysis of customer service among these two categories
of banks – Public and Private sector banks using the list of service attributes based on
SERVQUAL methods.

Literature Review
The banking sector in India has made remarkable progress since the economic reforms in 1991.
New private sector banks have brought the necessary competition into the industry and
spearheaded the changes towards higher utilization of technology, improved customer service
and innovative products. Customers are now becoming increasingly conscious of their rights and
are demanding more than ever before. The recent trends show that most banks are shifting from a

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“product-centric model” to a “customer-centric model” as customer satisfaction has become one
of the major determinants of business growth. In this context, prioritization of preferences and
close monitoring of customer satisfaction have become essential for banks. Keeping these in
mind, an attempt has been made in this study to analyze the factors that are essential in
influencing the investment decision of the customers of the public sector banks. For this purpose,
Factor Analysis, which is the most appropriate multivariate technique, has been used to identify
the groups of determinants. Factor analysis identifies common dimensions of factors from the
observed variables that link together the seemingly unrelated variables and provides insight into
the underlying structure of the data. Secondly, this study also suggests some measures to
formulate marketing strategies to lure customers towards banks.

METHODOLOGY TO BE USED

1. Sampling design:

Target population: The target population in this research refers to the bank customers who are
having an account in SBI bank and ICICI bank due to the convenience in collecting the data.
The respondents can be any gender, any income level, any occupation and any education level.

Sampling unit: The sampling units are customers of ICICI bank and SBI bank.

Sampling method: For this research I use non-probability sampling. Zikmund (1997) stated that
in non-probability sampling, the probability of any particular member of the population being
chosen is unknown. The element in the population does not have any probability attached to their
being chosen as sample subjects.
Snow ball sampling will be applied in this research. Snow ball sampling is used to collect the
data from the customers. Snow ball sampling refers to the procedure that involves the selection
of additional respondents based on referrals of initial respondents.

Sample size: Ghauri (2002) stated that sample size depend on the desired precision from the
estimate. Precision is the size of the estimating interval when the problem is one of estimating a
population parameter. This research selects 60 respondents as the sample size due to limited of
time by asking them that they are having an account in SBI bank and ICICI bank due to the
convenience in collecting the data. The respondents can be any gender, any income level, any
occupation and any education level.

Sampling plan: I will collect the data from the ATMs and also by visiting the bank.

2. Pilot Study
A pilot study can refer to many types of experiments, but generally the goal of study is to
replicate the full scale experiment, but only on a smaller scale. A pilot is often used to test the
design of the full-scale experiment. The design can then be adjusted in time. This can turn out to
be valuable: should anything be missing in the pilot, it can be added to the experiment and
chances are that the full-scale (and more expensive) experiment will not have to be re-done.

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Validity: The ability of a scale or a measuring instrument to measure what it is intended to
measure can be termed as the validity of the measurement. Validity can be measured through
several methods like face validity, content validity, criterion – related validity and construct
validity. For this comparative study the researcher will be taken the face validity.

Face validity: Face validity refers to the collective agreement of the experts and researchers on
the validity of the measurement scale. The researcher will give the questionnaire to the experts in
banking field.

Reliability: In reliability the researcher has adopted the alpha method. The reliability for the SBI
bank ATM service is .630.It shows that the question regarding to SBI ATM service is reliable.
And for the internet banking service is .767. And for the mobile banking service is .896. And for
the core banking system is .902. If the reliability result is .6 or above .6 the data is reliable. And
for this study the data is reliable because all the services are above .6.

3. Research methodology:

Sources of data:
 The data is basically primary in nature
 It will be obtained from the customers

Data Collection Method: It will be basically structured questioning, that is personal interview
with the aid of printed questionnaires.

Data Analysis: Appropriate statistical analysis will be adopted. The data will be tabulated and
analyzed.

Limitations of the Study:

 The study will be limited to a particular branch of SBI and ICICI bank.
 Since the time is less I will take a sample of 100 people and it will not reveal the whole
population of a country
 The time constraint may be one of the major problems
 The lack of information sources for the analysis part

REFERENCES

BOOKS:
 Kothari C.R. (1990) Research Methodology: Method and Techniques; Wishva Prakashan,
New Delhi.
 Bodie.Z, Kane.A & Mracus. J : Essentials of Investments.
 Prof. E Gordon & Dr. K. Natrajan “Banking Theory Law and Practice”.
 “Indian financial System & Commercial Banking” by Khan Masood Ahmed
 “Banking in India” by P.N.Varshney

MAGAZINS:
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  Business World
 Business Today
 The Smart Manager

WEBSITES:
 www.centurionbop.co
 www.statebankofindia.com
 www.icicibank.com
 www.rbi.org.in
 www.iba.org.in
 www.knowledgestom.com