CRM in Banking – A case study

of ICICI Bank

Name of the Students Roll No

Dr. Kaushal Giri 18-M-416
Mr. Abhi Vora 18-M-535
Mr. Leander Furtado 18-M-413
Mr. Navneet Shetty 18-M-521
Ms. Akansha Nahar 18-M-437
Mr. Karan Remedios 18-M-508
Mr. Shivansh Kariwal 18-M-426
Outline of talk
• Introduction
• Sales force.com
• ICICI Bank Introduction
• Retail Strategy
• Implementation
• Benefits
• CRM Business cycle
• CRM @ ICICI Bank
• Conclusion
Introduction
What is CRM

• Customer relationship management (CRM) is an approach to manage a

company's interaction with current and potential customers.
• It is a processes that help to form better relationships with customers
• to improve customer satisfaction
• to provide the highest level of customer service.

• Overall, the methodologies and tools that help businesses manage

customer relationships in an organized way.
CRM Example
Customer Supplier

Phone

Mobile

Mail

E-Mail

Web
Are Customers Really that Important

• A recent study on the cellular phone industry showed that for every 1 %
of customers lost, the company looses an average of $500,000.

• A typical $1 billion business could add $40 million in profit by enhancing

CRM capabilities by 10%

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How Successful is CRM Though?

• Failure to meet expected ROI from CRM is 40-50 percent.

• Study showed that 45% of CIOs failed to meet their objectives
on ROI.
• 80% of companies that have introduced CRM systems have not
measured their effectiveness.

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Do companies know what CRM is?

• 51% of respondents, whose companies have formal CRM programs, say CRM
means using IT tools that achieve incremental business improvements.
• 65% define CRM as moving from product centric to customer centric.
• 41% define CRM as making integrated customer-contact personal.

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THE CRM BUSINESS CYCLE
COMPONENTS OF CRM CYCLE
• Understand and Differentiate.
• Develop and Customise.
• Interact and Deliver.
• Acquire and Retain.
CRM Strategies

Key drivers of customer loyalty:-

1. Positive staff attitude
2. Honesty integrity and reliability
3. Proactive Advice
4. Consistent delivery of superiority quality service
5. After sale service
6. A effective complaints resolution policy
IMPLEMENTING CRM
There are five interrelated areas:
• Business Focus.
• Organizational Structure.
• Business Metrics.
• Marketing Focus.
• Technology.
Benefits of CRM
1. Customer’s usage pattern
2. New product development
3. Central data management
Benefits of effective CRM

 Reduced costs, because the right things are being done (ie., effective and
efficient operation)
 Increased customer satisfaction, because they are getting exactly what they
want
 Ensuring that the focus of the organization is external
 Growth in numbers of customers
 Maximisation of opportunities (eg., increased services, referrals, etc.)
 Increased access to a source of market and competitor information
 long term profitability and sustainability
Types of CRM
• Strategic
• Operational
• Analytical
• Collaborative
• Customer Data Platform
5 Dominant CRM Business Models
(Basic Transactor)
• BASIC TRANSACTORS
- limited recognition of individual, customers or preferences
- Emphasize a quality service or product, not a lifetime customer
experience
- Use mass marketing technique
5 Dominant CRM Business Models
(Basic Connectors)
• BASIC CONNECTORS
-limited recongnition of individual customers or preferences
-provides undifferentiated service levels to all customers
-technology and infrastructure in place is departmental and
focused on efficiency
5 Dominant CRM Business Models
(Pleasant Transactors)
PLEASANT TRANSACTORS
-Recognize needs and preferences of individual customers
-Emphasize customer satisfaction
-Lack infrastructure to provide consistent delivery across
enterprise
5 Dominant CRM Business Models
(Customer Satisfiers)

• CUSTOMER SATISFIERS
-Satisfy customers to ensure continued revenue streams
-Limited focus on individual customer profitability or lifetime value
across enterprise
-some real-time recognition of customer status across touch points
5 Dominant CRM Business Models
(Relationship Optimizers)

• RELATIONSHIP OPTIMIZERS
- Vary treatment of each customer, based on lifetime value,
across the enterprise
-capture complete history of customer actively across channels
and products
-collaborate with customers on product design and delivery
 Sales force.com

• The worldwide leader in the rapidly expanding market for online customer
relationship management (CRM).
• It was founded in 1999 by former Oracle executive Marc Benioff, who pioneered the
concept of using a simple Web site to deliver enterprise applications.
• Based in San Francisco, the company delivers integrated and scalable enterprise
applications for companies of all sizes.
• Has a client list of more than 1,00,000 companies worldwide, including: Daiwa
Securities, USA Today, AutoDesk, Dow Jones Newswires, Siemens PT&D, Textron
Fastening Systems, Time Warner Cable, The Weather Channel, Kikkoman, Le
Meridien Hotels and Ericsson Microelectronics.
Services

• Salesforce
• Lightning Platform
• Community Cloud
• Work.com
• AppExchange
• myTrailhead
• Blockchain platform
Banking Sector
Banking Sector

• The word " Bank" is derived from the Latin word " Banca“.
• During pre-independence, there were many bank failures.
• After Independence, the government passed the Banking Regulations Act,
1949 for regulating the business of banks to provide protection to
depositors.
• Vital tool for economic development and progress.
About ICICI

• India's largest private sector bank and second largest overall in

terms of assets.
• Total assets of INR 9.3 lakh cr (US$130 billion), 2019
• Profit after tax ₹1,141 crore (US$ 165 million), 2019
• Listed on BSE & NSE
• ICICI Bank offers a wide range of banking products and financial
services to corporate and retail customers.
ICICI- RETAIL STRATEGY

• ICICI’s retail strategy was centered around intensive

deployment of technology for improving process efficiencies.
• The bank looked towards allowing the customers use multiple
electronic channels including internet, ATMs, call centers,
contact centers, desktops, kiosks, mobiles and other hand held
devices for conducting financial transactions.
Why CRM – The Changing Environment
1. Increased Competition
2. Growth of Product
3. Diminishing Margins
CRM- THE ICICI EXPERIENCE

• CRM at ICICI involves increased communication between the virtual

universal bank and its customers.
• The underlying idea is to enhance every instance of contact with the
customer.
• ICICI believes that a true customer-centric relationship can only be
accomplished by considering the unique perspectives of every single
customer of the organization.
CRM ROAD MAP OF ICICI
• CRM is viewed as a discipline as well as a set of discrete software technologies,
which will focus on automating and improving the business processes associated
with managing customer relationships in the areas of sales, marketing, customer
service and support.
• The organizations aims to achieve the end goal of one-to-one marketing.
• The CRM Software applications will facilitate the coordination of multiple
business functions.
• Coordinate multiple channels of communication with the customer to carry out
customer management more efficiently.
ICICI use three steps to build customer
relationship
• Determine mutually satisfying goals between organization and
customers.
• Establish and maintain customer relationship.
• Produce positive feelings in the organization and the customers.
Use of CRM in ICICI Banking

1. Targeting Customers
2. Sales reference Material
3. Consistent interface with customers
Steps minimizing the work regarding
adoption of CRM strategy-:

• Identification of proper CRM initiatives

• Implementing adequate technologies in order to assist CRM initiative
• Setting standards (targets) for each initiative and each person involved
in that circle
• Evaluating actual performance with the standard or benchmark
• Taking corrective actions to improve deviations
 Steps followed in implementing CRM
1. Identify CRM initiatives with reference to the attained
(such as increased no. of customers.)
2. Setting measurable targets for each initiative in terms of
growth in profits , no. of customers
3. Evaluating and choosing the appropriate CRM package
that will help the company achieve its CRM goal ( A
comparison of pay-offs against investment could be
carried out during the evaluation exercise.)
ICICI Bank’s CRM initiative

1. Mobile ATMs
2. Bulk Deposits
3. ATMs for the visually challenged
4. Other services through ATMs
- Prepaid mobile recharge
- Buying and renewing internet packs
- Mutual Fund transaction
- Bill Payments
5. Mobile phone as virtual Wallet
• Customer touch points.
• Customer feedback and actions on these feedbacks.
• Telephonic awareness regarding new services.
• Latest ads.
• Warm wishes to customers on different festivals.
Conclusion

• Customer Relationship Management is concerned

• attracting,
• maintaining
• enhancing customer relationship.

• CRM enables the marketer to estimate the customer’s sentiments and buying
intentions so that the customer can be provided with products and services
before they starts demanding.

• Customers are the backbone of any kind of business activities, maintaining

relationship with them yield better result.