Branding in Priority Banking

8/14/2019 Branding in Priority Banking

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Branding in Priority Banking

Presentation by :- Gautam Buchha (AFTERSCHOOOL)


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Flow of the Presentation-

1. Introduction to Branding with Marketing perspective.

2. Branding with respect to Consumer and Corporate banking.

3. Brand Value Chain and case study concerning the impact of branding on banks.

4. Branding approach and methods for priority banking programs.

5. Application of branding in priority banking programs and SPSS Analysis.

6. A look at some of the international banks like HSBC and BOA. Further

emphasizing the need and importance of branding in banking industry.


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BRANDING What Is It ?


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Its a name, term design or symbol

it differentiates from others


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EXAMPLES


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WHY BRANDING

To build product recognition, motivate buyers

and concrete customer loyalty

Quality

Consistency

Confirm your credibility

To connect with your target prospectsemotionally and capitalize on brand exposure


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Brand Equity


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BRAND NAMES CHARACTERISTIC

Memorable

Meaningful

Likable

Transferable

and

adaptable

Protectable


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Generic product: characterized by plain label, withno advertising and no brand name Rice, Kerosene

Similar to Generic drugs in pharmaceutical industry

GenericGenericProductsProducts

CorporateCorporateBrandsBrands

PrivatePrivateBrandsBrands

CaptiveCaptive

BrandsBrands

FamilyFamily

BrandsBrands

IndividualIndividual

BrandsBrands

TypesTypes

OfOfBrandsBrands


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Corporate/company brand: Corporatebranding is the practice of using acompany's name as a product brandname.


CorporatCorporate Brandse Brands


CaptiveCaptive

BrandsBrands

FamilyFamily

BrandsBrands


BrandsBrands

TypesTypes

ofof

BrandBrand

ss


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Private brands: brand name placed on products

marketed by wholesalers and retailers.

Food Bazaar has adopted labels like Wow

Premium sanitary napkins, insecticide spray Quit,

Tasty Treat Kasundi , & Maniars Khakra .




CaptiveCaptive

BrandsBrands

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TypesTypes

ofof

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ss

Private brands are popular with retailers because they usually carry higher gross

margins and thus are more profitable for the seller than manufacturer brands.


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Captive brands: national brands that are sold

exclusively by a retail chain Form of private branding




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BrandsBrands

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TypesTypes

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ss

NIIThas collaborated with

ICSI
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Family brand:A brand that is used on two or moreindividual brands.

It is also referred to as Umbrella Brand e.g.

Electrolux




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Individual brand: Unique brand name thatidentifies a specific offering within a firms product

line and that is not grouped under a family brand.

House of Brands or Multi-brand strategy:- Different

brand names under one company. e.g. P & G

Tide, Dash, Salvo etc.




CaptiveCaptive

BrandsBrands

Family BrandFamily Brand

IndividuaIndividua

l Brandl Brand

TypesTypes

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BRANDING and BANKS ?

BRANDING andPrivate Banking ?


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WHY BRANDING ?

How does your organization differentiate itself ?


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I

Provide Attention

THE Projected

BRAND IMAGE


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Priority Banking Brand Value Chain

Program

Multiplier

Marketing

Program

Investment

Preferred

Customer

Mindset

ShareholderValueVALUE

STAGES

- Product

-Communications

-Advertising-Promotion

- Awareness

- Associations

- Attitudes- Attachment

- Activity

- Price premiums

- Price elasticities

- Market share

- Cost structure

- Profitability

- Stock price

- Price/Earnings ratio

- Market capitalization

Priority

consumer

Multiplier

MULTIPLIERS

- Clarity- Relevance

- Distinctiveness

- Consistency

- Channel support

- Consumer size & profile- Competitive reactions

- Market dynamics- Growth potential- Brand contribution

Market

Multiplier

Performanc

ein prioritybankingmarket


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A strong brand distinguishes itself by being:

Meaningful: A strong brand is relevant and compelling. Some brands create desire; others

meet existing demand, the customers you care about have to care about brand delivery.

Differentiating: Gives the business a distinct advantage over competitors. The difference

must make a differencetarget customers should perceive the difference as important.

Believable: A strong brand doesnt stretch too far or overpromise. These days people are

savvy and skeptical.

Transcendent: Conveys value beyond a specific offering. A strong brand adds value to a

great product when it has one, and still gives people a reason to buy when they do not need

it.

Consistent: A strong brand is expressed and delivered consistently across all touch points

not just in advertising and marketing communications.


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The internal perspective on brand strength includes whether

the brand is:

Sustainable: Enables the business to compete now and in future. It should be anenduring proposition that drives continuous improvement and innovation.

Adding business value: Should be able to show, measure and manage the causalrelationship between brand expenditures and increased revenue. brand spend image equity customer preference customer purchase revenue increase.

Clearly articulated: A strong brand is clearly defined and described to allstakeholders. Alignment in brand execution begins with common understanding.

Operationalized: A strong brand must be more than a vision a company expressesit must be what it does and what it delivers. Operationalizing the brand involvesthe deliberate and systematic management of the business around the brand.


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Four core branding disciplines


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Brand Strategy

Purpose is two-fold: to understand key aspects of a company's business, its marketplace, its customers and

other key audiences, and then to use these insights to define an appropriate brand strategy.

Brand Identity

Provides the highly distinctive outward expressions of the company's values, personality and promise itsidentity system consisting of elements such as the name, logo and tagline.

Brand Management-three key functions

Planning coordinated launch and delivery of brand messages, both internally and externally, integrating

with business and marketing plans to optimize impact and cost-effectiveness-planning

Actively cultivating brand understanding, providing employees with brand training, assets and tools so

they can consistently deliver "on-brand" communications, personal interactions and products.

Setting up a system and tools for monitoring and assessing the brand's health, resulting insights used not

only to maintain brand alignment, but also to evolve the brand strategy, identity, and experience.

Brand Experience

To enable companies to design a range of experiences that customers will find meaningful, memorable, and

associate explicitly with the brand. Doing this is the surest path to building brand trust, loyalty and advocacy.


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Related elements


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Objectives:

1. Establishing a holistic, yet scalable approach

for building product brands

2. Providing a foundational set of concepts andterminology for branding activities

3. Encompassing long-term brand management

in addition to specific development projects


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Brand Consideration- Three components are: the key drivers of choice, perceived

differentiation, and price sensitivity. Each of these three components influences brand

choice by impacting customer value..

Traditional models that focus only on customer satisfaction are misguided. Focus on Competitive forces, Most models suggest satisfied buyers will remain loyal.

Wrong assumptions: Ignoring roles of variety seeking behavior, environmental or

competitive forces.


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HDFC Bank-Priority Banking Programs

Rated as the Best Private Bank in the Super Affluent Category in India.

HDFC Bank World MasterCard Credit Card targeting high end , with a credit limit of Rs 3 lakhs

upwards, will be made available by invitation only.

The Visa Signature Card from HDFC is one of the most exclusive cards in the country, and comes

with a wide range of exclusive features like Signature Golf and Signature Access.

HDFC Bank Easy Shop Imperia Debit Card

It offers you wide range of benefits like enhanced limits, cash back and much more.

Exclusive Imperia PhoneBanking Service

The Imperia Phone Banking service gives the customer the freedom to do almost anything over the

phone - balance enquiry, loan-related queries and bill payment.

Enhanced Banking Convenience

Combined Monthly Statements for your savings, current and fixed deposit accounts

Payable At Par Imperia Cheque Book

Free Self/ Third party cash deposit at non home branches

Sweep-In Facility on your savings accounts


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Standard Chartered

'Cirque Selecte' is a series of unique lifestyle events, open to the privileged Priority banking customer,

which cater to your preferences in sports, music, dining, literature and entertainment.

At 'Money Talks', a series of seminars on financial and investment-related subjects, the customers aregiven a platform for interacting with eminent personalities from the world of finance.

NariIn January, 2009, an exclusive preview of paintings by Wasim Kapoor were showcased, based onthe theme psyche of the woman, with a backdrop of a fashion show featuring some of countrys topdesigners and fusion performances.

Exclusive Gala Dinner & Special SCB Presentation- The agenda for these events included talks by apanel of 3 specialists, which included the Regional Economist, who gave an update of the currenteconomic climate, the Treasury Specialist educated on opportunities in the currency market and lastly, aSME expert gave presentation on Financing Business Opportunities in Indonesia and Singapore.

e$aver AccountWould enable customers to manage money anytime, anywhere, and watch their savings grow faster

with competitive interest rates.

Marathon Savings AccountLets the customers enjoy an interest rate as attractive as that of time deposits while enjoying the

transaction convenience and the flexibility to withdraw money anytime.


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Survey

We Conducted the Survey Regarding the

Importance of Brand in the Priority Banking

Methodology

The Questionnaire was prepared and got it filled by

the 30 premier customer

Target Customers : Premium Clients The results were compiled and analyzed

Dependent Variable : Brand Equity


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Dependent Variable : Brand Equity

Independent Variable:

Brand Equity

Overdraft facilities

Mezzanine Finance

Sweep in facility(withdrawal of money from FD

without breaking it anytime)Membership Cards

Customized services

Dedicated RM

High Point Of sales limitsNon- banking services(e.g. managing tours)

If you know about HDFC, to what extent doyou know about its financial services?


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Inspiration for branding in banking


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Brand

Premium pricePremium price

Better investment

performance

Better investment

performanceAttract better talentAttract better talent

Decrease acquisition

cost

Decrease acquisition

cost

Differentiation and

competitive advantage

Differentiation and

competitive advantage

Simplify client choiceSimplify client choice

BRAND MANAGEMENT IN FINANCIAL


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Do the messages yourclients receive reflect

your brand?

Do you know whatyou want your brand

to stand for?

Do the messages youremployees receivereflect your brand?

To what degree arethe interactions withyour clients guided by

brand?

BRAND MANAGEMENT IN FINANCIALSERVICES

Is brand incorporatedin organizationaldecision-making?


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The client / advisor relationship, oftenthe key to the industry, is hard to

control

BrandBrand

managemenmanagemen

t challengest challenges

in financialin financial

servicesservices

Brand management is a relativelynew concept for the industry

Brand relevance is difficult tomaintain with so many client types

Industry trends have made brandpositioning more complex

The similarity of product offerings

makes differentiation more difficult

The significant changes required maychallenge the management of

traditional financialservices companies.


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Bank of America

RebrandingStrategies

HSBC The Worlds Local Bank


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HSBC- The World s Local Bank


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Thank [email protected]

Branding in Priority Banking

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