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The Indian banking system consists of 12 public sector banks, 22 private sector banks, 44 foreign banks, 56 regional rural banks, 1,485 urban cooperative banks and 96,000 rural cooperative banks in addition to cooperative credit institutions, Says Hirav Shah, Business Strategist.
Transformation
Celebrated Business Strategist, Adviser & Consultant, Hirav Shah Opines
In 2021 a radical change has taken place and that is; the Indian Banking Customer of 2021, is remarkably different from her counterpart of just a decade ago. A striking socio-economic transformation of India over the recent years is today characterized by the near ubiquity of smartphones; one in three Indians owns one; nationwide availability of cheap 4G connectivity and an ever-growing adoption of e-commerce and other digital transactions.
Banks too have seen the dramatic shift in transactions from the physical channels – branches and ATMs – to digital, enabled by NEFT and IMPS first and increasingly UPI of late. Also, the emergence of new banks such as small finance banks, micro-finance institutes, rural banks and post office savings banks are redefining a very niche user base with tailored products and trusted relationships. Financial institutions are primarily focusing on people and convenience banking.
Pandemic Effect
The ongoing pandemic has further ensured that a whole new segment of customers have had their first taste of all-digital banking, allowing them to even open a new account remotely from their smartphone. This continuous interplay of customers and technology with both transforming each other is simultaneously creating new challenges and opening new opportunities for the incumbent banks.
Importance Of Marketing
Here, Celebrated Business Strategist & Astro-Guru, Hirav Shah shares his invaluable insights as to why marketing in the banking sector is essential !
a.Product Awareness
Banking products are always tough to understand by common people .There are a lot of schemes ,rules & regulations & disclaimers & warnings.
Hence, Banking products need to be explained well & awareness needs to be created around it, as-to how the scheme will help the end consumer .
b. Pros & Cons
Every Banking product comes with its pros & cons, which needs a two way communication between the bank & consumer. Pros & Cons of each scheme has to be explained via Below the Line Marketing Activity. Its very very vital.
c. Competition
For the same scheme, there are many Bank brands & best way to make your brand preferred by consumers is to market strategically & effectively.
The more efficient, dynamic & effective, the marketing strategy, more is the probability for the bank to reach the right audience as well as get preferred by the consumer.
d. Brand Building
The challenge is creating a brand that shows separation from the competition. Brand isn’t the logo, signage, and building design — it includes those things, but brand is the essence of the business.
Why Ask
To define competitive advantage and develop a true vision, consulting an expert and taking his opinion is vital.
- Classically, a vision or vision statement is a snapshot into the future. It should include aspirations of what type of company you want to be.
- At the essence of strategy is identifying how a company can deliver unique value to its customers. In many sectors of the economy, companies are stuck in a sea of sameness. A well-thought-out business strategy should consider how a company can create space from competition in its service offering, pricing model, delivery system and more.
Now its evident that- To stand out & shine, following an expert’s “advice and path of action” is imperative, indeed.
Needless to say, the road to success & fortune is just a few clicks away !!
