SVKM‘S NMIMS INDORE CAMPUS

BBA VI Semester

Customer and Relationship Management

SBI Project Report

Submitted to: Vippa Dhingra

Submitted by: Anurag Gupta
Kratika Ahuja
Sarah Goghabori
Shlok Mathur
INTRODUCTION
The State Bank of India (SBI), a Fortune 500 business, is an Indian
multinational banking and financial services statutory organisation with its
headquarters in Mumbai. SBI has a strong history and legacy dating back over
200 years, making it the most trusted bank among Indians.
SBI, India's largest bank, serves over 45 crore customers through a vast network
of over 22,000 branches, 62617 ATMs/ADWMs, and 71,968 BC outlets, all
with an unwavering focus on innovation and customer centricity, which stems
from the Bank's core values of Service, Transparency, Ethics, Politeness, and
Sustainability.
SBI General Insurance, SBI Life Insurance, SBI Mutual Fund, SBI Card, and
other subsidiaries have successfully diversified the Bank's business. It has a
global presence, with 229 offices in 31 different countries, and operates across
time zones.
Banks are thought to be playing a crucial part in the current period of economic
revolutions such as demonetisation and digitization. It is critical for banks to
maintain a positive reputation with their clients in order to survive in this
competitive market. Only good CRM (Customer Relationship Management)
strategies can ensure the sustainability of service organisations. CRM is made
up of a variety of characteristics that can be investigated to learn more about
how customers perceive the level of service provided by these businesses.
Banks are another example of a company that thrives solely on its relationship
with its clients. As a result, it's critical to figure out whether banks are
implementing good CRM practises and whether customers are satisfied with
them.
The banks' performance and to ensure consumer satisfaction Customer
relationship management. Management is planning operations around a single
customer to achieve success. By establishing a one-of-a-kind experience at each
point of service, you can stand out. Indeed, with the usage of CRM as a strategy
of increasing competition in the retail banking sector has increased gaining a
competitive advantage.
CRM PRACTISES IN INDIAN CONTEXT
Technical advancements have had a significant impact on the banking business
during the previous few decades. Banks have been deploying branch operations
for almost 200 years. Things have been drastically changing since the 1980s
emergence of a slew of new technology and applications This revolution had an
impact on a variety of organisations; the one of them is the banking industry. In
this technological revolution, technology-based remote access distribution
methods are becoming increasingly popular, as well as payment mechanisms,
have surfaced. Cashier tellers were replaced by ATMs, and telephones were
supplanted by call centres.The bank branch has been replaced by the internet,
the mail has been replaced by credit cards, and electronic cash has replaced
traditional cash. Face-to-face transactions will be replaced by transactions on
interactive television. Banks have been moving in the right direction in recent
years toward a marketing-oriented approach and the use of relationship banking
concepts The driving forces behind the adoption of marketing principles. It is
undeniable that India has undergone a massive transformation and paradigm
shift toward consumer emphasis over the last five decades. In the supply of
services to customers, the banking business in India comprises five sides. In
Indian banking, CRM has grown into service, satisfaction, happy approach,
delighting, and keeping client relationships.

Benefits of CRM:
 Improved Customer Retention
 Effective marketing efforts
 Boosted Sales
 Increased productivity

Customer Lifecycle Management

Customer lifecycle management is the process of recording the stages of the
customer lifetime, assigning metrics to each stage, and determining success
using those data. The purpose is to track the company's performance in relation
to the customer lifecycle through time.
Customer Retention
To retain customers, SBI reduce churn, and drive growth, SBI provides an
effective, meaningful, and effortless experience. Therefore, to improve
customer retention in banking, SBI must focus on becoming more
customer-centric and delivering experiences that wow, delight, and
inspire loyalty.
Customer retention strategies used by SBI:
 Personalize newsletter campaigns and customer communications to
increase personalization.
 Customer satisfaction surveys are a great way to get valuable feedback.
 Financial Wellness Programs that can help SBI demonstrate thought
leadership.
Customer Acquisition
SBI has a very diverse network of customers in the Indian banking system that
can be categorized by gender, age, household size and community as seen in the
graph below:
The State Bank of India's (SBI) marketing strategy examines the brand using the
marketing mix framework, which includes the four Ps (Product, Price, Place,
Promotion). Product innovation, pricing strategy, promotion planning, and so on
are all examples of marketing strategies. These business techniques, which are
based on the marketing mix of State Bank of India (SBI), aid the brand's success
and determine how .

The marketing strategy of State Bank of India (SBI) assists the brand/company
in positioning itself competitively in the market and achieving its business goals
and objectives.
Product:
Personal banking, rural banking, corporate banking, and international banking
are only few of the services provided by the State Bank of India. Kisan Credit
Card, Farm Mechanization Loan, Poultry Loan, Gold Loan, Fisheries Loan,
Dairy Loan, Microcredit, Pradhan Mantri JanDhan Yojana, Direct Benefit
Transport are some of the services offered by Rural & Agricultural Banking.
Deposits such as Savings account, CC account, Salary account, Fixed deposit,
and Recurring deposit are available through SBI Personal Banking. Gold loans,
vehicle loans, school loans, personal loans, home loans, and other SBI loans are
offered. Corporate account groups, mid-corporate account groups, project
finance, and other services are provided by SBI. Wholesale banking, retail
banking, global trade service, correspondent banking, and treasury management
are all part of SBI's international banking. Aadhaar seeding and ATM services
are among the other options available.
Price:
The pricing strategy of the State Bank of India is based on competition, RBI
standards, and consumer demand. SBI follows the Reserve Bank of India's
requirements for providing services. Because the banking industry has grown
extremely competitive, SBI prices its services competitively. Government
policies have a significant impact on the bank's service prices. Because loans
are very hazardous, pricing is also determined by the overall amount of assets
and liabilities.
Place:
In India, SBI has approximately 18 thousand branches. Because it is a public
sector bank with a mission to serve all of India, the majority of its branches are
in rural areas. SBI has around 190 branches in 36 countries throughout the
world. Mobile banking and Internet banking are also available through SBI. It
also has a large network of ATMs and cash deposit stations. State Bank of
Hyderabad, State Bank of Patiala, State Bank of Mysore, State Bank of
Travancore, State Bank of Bikaner & Jaipur, Bhartiya Mahila Bank, and others
are among its partner banks.
Promotion:
The State Bank of India (SBI) advertises itself in a variety of ways, including
print and audiovisual media such as radios, hoardings, newspaper adverts,
television commercials, and movies. Given its presence across India, its tagline,
'The Banker to Every Indian,' seems to be perfectly relevant. SBI uses
commercials to effectively communicate its policies. It has just begun to adapt
to the new approach and create advertising that reflect this. As a result, it has
used well-known personalities to reinforce the concepts of trust and SBI in the
minds of clients. Because of its expanded visibility, it has been promoted
indirectly by being affordable and present in practically every town, village, and
city.

Customer Loyalty
Customer service is a critical component that customers are likely to consider
while using banking services, and it has an impact on SBI's brand equity. As
part of their branding strategy, SBI must pay special attention to developing a
good brand name, customer satisfaction, service quality, and brand loyalty in
order to expand their brand. As a result, all four factors, namely brand name,
service quality, customer satisfaction, and brand loyalty, would have a
significant impact on their brand popularity. SBI users remember seeing ads in
e-mail newsletters more than the average onliner
Customer Loyalty Schemes
SBI Rewardz Loyalty Program is a way of adding value to the banking
experience of our Clients.

An Enterprise-Wide Loyalty Program, SBI Rewardz awards Reward Points to

SBI Clients for their everyday transactions across multiple Banking Channels.

Accumulate SBI Rewardz points from a wide range of transactions which can
be redeemed across a large array of Products and Services such as Online & in-
store shopping, Travel Booking, Mobile/DTH recharge, Gifts, Personal Care,
Entertainment, etc To know more click here (State Bank Rewardz Home Page)

 Visa Signature Debit Card that offers discounts* on Entertainment,

Dining, Wellness, Travel, Hotels & Shopping apart from Airport Lounge
Access* and access to Enterprise Wide Loyalty Program - SBI Rewardz.
This Card is complimentary for SBI Wealth Clients
 o  Latest List and Validity available at VISA website

 SBI CARD (Elite) brings you a Priority Pass membership, exclusive

benefits across various Luxury Hotels Worldwide, Concierge Services
and much more!
Card issuance is subject to eligibility criteria and issued by SBI Cards &
Payment Services Pvt. Ltd.

CRM At SBI
Customers are recognised for being correct all of the time, and they may easily
switch banks if they have a bad experience. Furthermore, private banks have
been found to be able to attract clients as a result of their constant efforts to
improve their services and relationships with customers in order to stay afloat in
a difficult market. In the case of public sector banks like SBI, this component
appears to be absent. In light of this situation, a study was done to determine the
level of satisfaction with SBI's services among its clients. The study gives in-
depth insight into the issues that customers are now facing, as well as
recommendations that may help to solve these issues.
SBI divide its customers into following categories:
 P- Segment (personnel banking)
 Agricultural Segment
 Corporate/govt Segment
 Sme
For different segments sbi provides different products and also separate meeting
for the different segment are called and their needs are asked for. Apart from the
traditional channels SBI has alternate channels to serve its customers like
 Self Service Kiosk
 Green channel counter
 Green Remit cards/ Insta deposit cards
 Availability of 24x7 service
 Quicker and Convenient Transactions
 Decongestion of branches
  Cheaper Transaction costs
 ATM cum Debit Card/ Sme Debit Card
 Mobile Banking
 Internet Banking
 Cash Deposit Machine
 Contact centre
 Paperless/ Environment Friendly to a great extent
SBI uses a 90-10 rule for reacting to their customers demands and queries better
i.e,
 10% of Life is made up of what happens to you
 90% of Life is decided by how you react
CRM, according to SBI consists of the following approaches:-
 Obtaining client information that is individualised.
 What does the relationship mean to you?
 Customers can choose from a variety of options.
 Converting a potential customer into a paying customer.
Secondary Data
Do you feel that employees understand customers’ needs appropriately?

Do you believe that employees are willing to help for any query or issue?
Do you trust the information provided by the employees to their
customers?

Can you rely on the Employees of the Bank for getting timely services?
Findings
According to data gathered by SBI staff in order to better understand customers'
demands, 33% of consumers agree that their needs are met. Employees at the
bank are aware of the situation, whereas Sixty-six percent of clients have a bad
opinion. This demonstrates that the bank must put in a lot of effort in this area.
If clients believe their wants aren't being met, Employees at the company have a
good understanding of the situation bank, then it will have a negative impact on
the economy SBI has a good reputation
It was discovered through the use of a questionnaire that only 30% of clients
agree that they are obtain one-on-one assistance in resolving any issues problem
62 percent of clients, on the other hand, I absolutely disagree with ever
receiving personal information attention in order to obtain a resolution

Conclusion
Based on the analysis, it is obvious that the working group is in charge of
practically all concerns.The performance of SBI and other nationalised banks is
comparable, however there are some differences. However, SBI is a public
sector bank that takes great care in implementing CRM, fine-tuning CRM, and
finally deploying CRM on the right track Other nationalised banks, on the other
hand, were not on level with SBI in most areas, such as database administration,
replying to clients in a timely manner, and provisioning services as required by
customers. In particular, when it comes to marketing, customer retention is a
major difficulty, and provisioning the facilities is a must catering to the
demands as soon as possible, and adapting to the changing needs employee
recruitment, database creation CRM's impact on customer approach and
customer awareness Customer relationships have an impact on the bank CRM
and public image, CRM and data updates, and so on. Customer relationship
management (CRM) and customer satisfaction, among other things
Nationalized is thought to be a good thing. In terms of retaining existing core
clients, on the other hand, improving customer loyalty, technological
infrastructure provisioning, CRM location, CRM existence, and approaches
CRM coverage by e-Marketing, customer relationship, CRM objectives, and
CRM implementation customer delight, customer retention, CRM benefits to
the organisation, loyalty, and customer confidence are all examples of customer
delight.SBI was determined to be quite satisfactory and in good shape.

Suggestions:

Improved Customer Understanding: According to the report, employees

should pay greater attention to their customers' needs. Customers' satisfaction
would increase as a result of this.

Individualized Attention: This aspect would greatly enhance the bank's image.
Customers with significant problems expect to be treated individually so that
their concerns can be resolved quickly and effectively. In order to modify its
clients' perceptions, the bank should begin focusing on this aspect of CRM.

Employees' Willingness to Help Customers: Based on the findings,

employees should adjust their attitude toward assisting customers.. Customers
have been identified as a source of revenue.It's not uncommon to have to dash
from one counter to the next. In order to reach the right individual, you must
first go to the bank. Such People are dissatisfied due to a variety of factors.
customers. As a result, the bank should put this in place. A suggestion for
getting rid of bad sentiments customers who could be detrimental to SBI.
All employees are kept up to date on new services customers: During the
data collection process, it was discovered that customers who do not have
access to mobile banking or the internet banking does not get timely
information on the situation the bank is launching new services. As a result,
they continue to be unaware of the advantages that their bank provides making
an offer to them As a result, it is recommended that the bank come up with a
new technique of informing those customers who do not make use of these
services.

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