Promotional Tools of FSIBL

Introduction

Rajib Biswas ID 101215( Marketing)IIUC

Introduction

1.1 Background of The Study

Banking sector of the world is contributed in the present global economy. To

establish a strong banking sector it is required to have good study in banking

operations. Today’s Economic policy is concerned to obtain the optimum economic

success in a country’s economy. Banking sector and banking activities are playing a

vital and important role to achieve that optimum goal of the economy. The successful

running of banking business depends upon effective banking operation. As a new

commercial bank FSIBL has a huge responsibility to ensure efficient and effective

banking operation all over the Bangladesh in a sound manner with other Banks as a

competitor.

Banking sector is indispensable part in a modern age and modern society. It

always plays a vital role to the economic development of a country. In modern age of

science and technology the banking sector all over the world has been undergoing a

lot of changes due to deregulation, technological innovation and globalization.

Basically bank take deposits from the customers against some interest/profit or loss

sharing/payments and lend the money to the borrowers with a different

interest/markup rate and time period. To ensure safety of the depositors fund there are

various types of credit facility. Also bank must hold adequate fund to meet the daily

needs of the clients.

During the last six years, many new banks have emerged to satisfy the needs

of the customers. They are continuously trying to attract people towards them by

offering new types of products and services to face competition and fresh challenges

thrown by their rival. Efforts are made to satisfy customers’ needs by providing

superior value than their competitors.


The First Security Islami Bank Ltd (FSIBL) is doing its business with a view

to serve the best to the customers and clients with its 53 (fifty three) branches all over

the country.

Objective of the study

The objective of the report is to know the practical situation about how a bank

promotional tools use in marketing their products & services and how it applied in

practically.

The specific objective are:

1. To know about the mechanism of promotional tools of first security Islami bank

ltd.

2. To know about the advertising, direct marketing, sales promotions, publicity &

public relation, personal selling of FSIBL.

3. To know about the customer viewpoint of product & promotional activities of

FSIBL.

4. To put forward some recommendation to improve promotional tools use in

FSIBL.

Methodology of the report

Research:

The systematic and objective identification, collection, analysis, dissemination, and

use of information for the purpose of improving decision making related to the

identification and solution of problems and opportunities in marketing.

Types of Research:

a) Exploratory Research

b) Experimental Research

c)Descriptive Research


Under types of Research my report is exploratory and descriptive, analytical and

causal in nature.

According to the instruction of prepare report sample design process are as follows.

Sample design:

The population:

Islami Banking sector and conventional banking Sector are considered as target

population in this report.

Sampling unit:

Two banks are selected as sampling unit these are first security Islami bank ltd.

Bangladesh commerce bank ltd.

Sample size:

In this report number of sample size are two.

Sampling method:

Two Banking sectors are representing two different cluster I have used cluster

sampling technique to select sampling unit.

The data that are being used in this report are collected from both primary and

secondary sources. Both sources have played equal role to show it in a positive way.

Some essential points of the sources are listed according to their relates components.

Primary Sources:

Personal observation & daily diary maintenances.

Face to face conversation

Personal interview

Oral and written information from the officers FSIBL

Secondary Sources:

Annual Reports

Audit Reports

Branch’s Monthly Report

Web Sites

Files

Services Rules


Circulars Published by FSIBL

Product and Service System

]

Qualitative Research Techniques have been used

Interviews with operation manager/second officer/ senior officers/ assistant officer.

Survey and observations method have been used

Personal interview in office

Personal observation in the form of unstructured within and outside of he

office.

Questionnaire design Approaches

1.4 Scope of the Study

This report will provide overall organizational view of FSIBL (First security

Islami Bank Ltd. ). I have worked different departments of the bank. I worked in

Account opening, Remittance, Accounts, Investment & Advance, and Foreign

Exchange. In each department, I have learned the procedure and polices relevant to

their work.

1.5 Limitation of the Study

As the Internship period only contains three months, and in this due time we need to

there information about our respective organization and make report based on

collected information, we face some limitation. That are mentioning below:

1. Bank is a busy organization with comparison to others. There are rushes of

people for about whole the day and the officers have to transact with them. So

it is very much tough for them to allocate time for an internee.

2. The duration of our internship program is only 3 months. The allocated time is

not sufficient for us to gather knowledge and to make the study a complete and

fruitful one.


3. The study was bounded only to FSIBL Anderkilla Branch, Chittagong.

4. The bank confidentially keeps the data.

5. Lack of depth of analytical banking knowledge.


Profile of FSIBL


2.1 Background of FSIBL :

Islamic banking is trying to develop the relationship between finance on

one hand and industry and commerce on the other. This new relationship

is the basis of the Islamic economic system being set up. Though Islamic

principles have yet to be put to the test in the competitive of international

finance, the two systems are similar in that they both strive for closer ties

between financial intermediation and economic asset creation. Islamic

banks could make a useful contribution to economic growth and

development particularly in a situation of recession, stagflation and low-

growth level because the core of their operation is oriented towards

productive investment.

Bangladesh is one of the largest Muslim countries in the world. The

people of this country are deeply committed to Islamic way of life as

enshrined in the Holy Qu?an and the Sunnah. Naturally, it remains a deep

cry in their hearts to fashion and design their economic lives in

accordance with the precepts of Islam. For this reason First Security

Islami Bank was converted into Islami Bank from conventional bank at l

January 2009. Now the functions and operation modes of FSIBL is based

on the principal of Islamic Shariah. It has unveiled a new horizon and

ushered in a new silver lining of hope towards materializing a long

cherished dream of the people of Bangladesh for doing their banking

transactions in line with what is prescribed by Islam. FSIBL has by now

earned the unique position of a leading private commercial bank in

Bangladesh.

First Security Islami Bank Limited formerly First security Bank Limited

was founded on 29th August 1999 under the companies Act 1994 with

the object of providing all kinds of commercial banking to the customer


and obtained the certificate of commencement of business from the

register of joint stock companies.

operation from 25th October 1999 effectively. At 29th August it was

given its Certificate of Incorporation from Bangladesh Bank. After that

on 28th1 October 2000 the bank started its banking activities in the

economy. And it started its Shariah based operation as Islami bank from

1st Janurary, 2009. At present, there are (67) branches in the country to

give banking services.


2.2. Vision and Mission of FSIBL:

FSIBL must have the mission as well as vision what should back every

efforts of the organization. As it is said, ‘Mission without vision is a

daydream and vision without mission is a nightmare.’

2.2.1 Vision:

To establish Islamic banking through the introduction of a welfare

oriented banking system and also ensure equity and justice in the field of

all economic activities, achieve balanced growth and equitable

development through diversified investment operations particularly in the

priority sectors and less developed areas of the country to encourage

socio-economic uplift and financial services to the low-income

community particularly in the rural areas and to be the most efficient

bank in terms of customer service, profitability and technology.

2.2.2. Mission

* To achieve superior financial performance, be considered a leading

Islamic bank by reputation and performance.

* To establish and maintain the modem banking techniques, to

ensure the soundness and development of the financial system

based on Islamic principles and to become the strong and efficient

organization with highly motivated professionals, working for the

benefit of people; based upon accountability, transparency and

integrity in order to ensure stability of financial system.

* To encourage savings in the form of direct investment.


* To encourage investment particularly in projects which are more

likely to lead to highly employment

* Cost reduction through integration of technology at all levels.

* To strive our customers best satisfaction & win their confidence. A

To manage & operate the bank in the most effective manner.

* To identify customers’ needs & monitor their perception towards

meeting those requirements.

* To review & updated policies, procedures & practices to enhance

the ability to extend better customer services.

* To train & develop all employees & provide them adequate

resources so that the customers’ needs reasonably addressed.

* To promote organizational efficiency by communicating company

plans policies & procedures openly to the employees in a timely

fashion.

* To ensure a congenial working environment.

* To diversify portfolio in both retail & wholesale markets.

2.3 Management of FSIBL :

The decision making process of FSBL is democratic and

decentralized. The upper level management hardly bothers about the

operational task of the bank.

The sponsor Directors of the bank are well-established

businessmen ad professionals of the country having business in and out

Bangladesh. A board of Directors is formed taking 19 members out of the

entrepreneurs and Mr. Saiful Alam (Masud) has elected as chairperson

unanimously.


Highly qualified and efficient professionals management the bank.

The managing Director of the bank is Mr. A.A.M Zakaria who has rich

experience about managing both the nationalized and private sector bank

as Chief Executive.

Most of the cases pending at Head office level solved with higher

priority for smooth functioning of bank operation and quick disposal of

the proposals. All the decision made at Head office level through

different committee. At branch level all the decision taken by the Branch

manager complying rules and regulation set by the Head office Branch

manage has the supreme authority to final disbursement of the facility to

the customer. All Investment facilities under branch delegation exercise

through Investment committee. Deputy Manager coordinates all the

functions of the branch as manager Operation.

2.4 Management Efficiency

FSIB is functioning :with a highly professional management team headed

by the Managing Director Mr. A. A. M. Zakaria. Among other senior

executives currently one DMD. One Principal (Training Center), one

SEVP, six EVP, eight SVP, twelve VP, ten FVP, fifteen SAVP, sixteen

AVP and eighteen FAVP are discharging their services in progression of

the banks business.

Managing Director

Mr. A. A. M. Zakaria, Managing Director of the bank is an eminent

banking personality hiving long 33 years of experience in banking

industry. After successful completion of his B.A. (Hons), M.A. in

Economics from Dhaka University, Mr. A. A. M. Zakaria has started his

banking career in 1977 as Senior Officer of Rupali Bank. Before the

current responsibility, Mr. A. A. M. Zakaria was the Deputy Managing

Director of Dutch-Bangla Bank Limited. In his multigreeted banking

service, Mr. A. A. M. Zakaria participated in many courses, training


program and workshops on banking at home and abroad. Mr. A. A. M.

Zakaria joined in FSIBL on 7th August 2005 as Managing Director.Top

management of the bank is supported by human resource strength of 930

executives and officers. For smooth functioning of the Bank, following

committees have been formed:

1. Management committee (MANCOM) comprises of senior

members of the management headed by Managing Director of the

bank. Head of HRD is the member secretary of the committee and

Head of IMRD, Head of IC&C including DMD are the member of

the committee. MANCOM meets on regular basis to discuss

relevant agenda.

1. Asset Liability Management Committee (ALCO) headed by the

Managing Director, is responsible for balance sheet risk

management. The committee participate in the monthly ALCO

meeting and review the liquidity position, review rate of interest on

deposit and lending, and review the ALCO papers on presentation

by treasury back office on the position of profit, deposit,

investment, cost analysis, maturity bucket of deposit & investment,

balance sheet, profit and loss account and many other issues

relating to banks business and assets-liability management. Five

relevant divisional heads including DMD are the members and VP

& Head of Treasury of the Bank is the member secretary of the

committee.

Human Resources Development

FSIB has a separate Human Resources Division (HRD) to manage the

employee policies and practices. As on FYE 2010, Total 932 executives

& officers of the bank have been working for smooth banking operations.

Bank follows a standardized human resources policy. HRD of the Bank

follow a transparent and free & fair system to ensure the standard

recruitment, training & development of human resources of the bank. The


bank has defined HR policies including recruitment, training &

development, promotion, leave, transfer and disciplinary action policy.

Usually internal recruitment procedures are considered to fill up the mid

and top management positions, while entry-level positions are filled with

regularly through competitive recruitment exams. They follow

transparent, well- defined and strict rules for appointment of officers and

staff in the Bank’s service.

Corporate Governance

Corporate governance is about how corporation is running its operations

to achieve its corporate objectives. Bangladesh Bank (BB) gives

emphasis on implementing corporate governance among the financial

institutions and to do that, BB emphasises implementation of the

guidelines issued by them for improving corporate governance in

banking. Good Corporate Governance practices enhance an entity’s

corporate image and market credibility, which attract

capital and increase its borrowing power. These can be reflected in the

quality of financial reporting and disclosures; strength of internal control

system and internal audit function induction of professionally competent,

independent non-executive Directors on corporate Board; formation of

Audit Committee; delegation of authority to executives and staff;

protection of corporate governance for strengthening organizational

strength. With a view to ensure effective participation and deep interest in

the affairs of the company and as per Articles of Association of the

Company and as per Bangladesh Bank Circular No. 16 dated March

24, 2003 the bank has set up the following 2 committees:

1. Executive committee

2. Audit Committee


Executive Committee:

FSIB has constituted 09 members executive committee of the board as

per Bangladesh Bank guidelines to ensure corporate governance in the

business of which managing director of the Bank is Ex-officio Member.

The executive committee of the board are responsible for developing

policy and strategy for smooth operations of business and business

development of the bank to ensure maximization of shareholders wealth’s

protecting other stakeholders interest in the company Mr. Alhaj Md.

Saiful Alam, Chairman of the board of Directors is the Chairman of the

present Executive Committee of the bank. He is very dynamic person and

leading the executive committee of the bank in a very manner.

Audit Committee:

FSIBL has formulated an audit committee can play an effective role in

formulating an efficient and secured banking system. The Audit

Committee has been formed comprising three members of the Board of

Directors. As per corporate governance guidelines the Chairman of the

Audit Committee should have sound knowledge and expertise in finance

& accounting or auditing. Late Mr. Hamidul Haq, who is also a Director

of the Bank, is Convener of the committee. He is associated in banking

field over long years.

Name of the CompanyChairmanVice ChairmanManaging DirectorCompany SecretaryLegal StatusDate of IncorporationDate of Commencement of BusinessDate of Permission from Bangladesh Bank22

First Security Islami Bank Ltd.Mohammad Saiful AlamAlhaj Mohammad Abdul MalequeA.A.M. ZakariaAbdul Hannan KhanPublic Limited Company29 August199929 August 1999Bank22 September 199925 October 199923, Dilkusha Commercial Area,


Date of Opening of First BranchRegistered OfficeLine of BusinessAuthorized CapitalPaid up CapitalDate of consent of IPOPhoneFaxE-mailWebsiteSWIFTAuditors

Dhaka- 1000, BangladeshBankingTk.4,600 MillionTk.2,300 Million04 June 20089560229 (Hunting),9550334,7171029-309565594 (Share Division)880-02-9561637bcsfsblbd.comwww. fsblbd .comFSEBBDDHSyful Shamsul Alam & Co.Chartered AccountantsCorporate OfficeParamount Heights65/2/1 Box Culvert road (Level-6)Purana Paltan, Dhaka- 1000, BangladeshPhone: 9555915, 9560332Email: syful(ä’intechworld.netThe Law CounselBarrister & AdvocatesCity Heart (7th Floor)Suit No. 8/8, 67, Naya Paltan, Dhaka-1000Phone: 9349647-8Fax: 9349866, 9567029

Tax Consultant

E-mail : [email protected]

K.M. Hasan FCAK.M. Hasan & Co.Chartered AccountantsDhaka OfficeHome Tower Apartment (8 th & 9 th Floor)87, New Eskaton Road, Dhaka - 1000Phone: 9351457,9351564Fax: 9345792-112


2.5 Branch Network

Branch Networks and Inter Division and Branch Coordination

At present, the bank has 77 branches of which 32 branches are in Dhaka

Division, 30 branches are in Chittagong Division, 06 branches are in

Sylhet Division, 03 branches are in Rajshahi Division, 04 branches are in

Khulna Division and 02 branches is in Barishal Division.

All the 68 branches are computerized under distributed server

environment. Another few branches are planning to open within

December 2011. FSIBL has already started their on-line, SMS and ATM

banking facilities for their clients.

2.6 Credit Rating of the Bank

Credit Rating Agency of Bangladesh (CRAB) has given BBB 3

(pronounced triple B three) rating in Long Term and “ST-4” rating in

Short Term to First Security Islami Bank Limited.

Commercial Banks rated ‘BBB’ have adequate capacity to meet their

financial commitments. However, adverse economic conditions or

changing circumstances are more likely to lead the Banks into a

weakened capacity to meet their financial commitments. BBB rated banks

are subject to moderate credit risk. Such banks are considered medium-

grade and as such may possess certain speculative characteristics. At the

same time, banks rated “ST-4” in short term are considered to have below

average capacity for timely repayment of obligations. Such capacity is

highly susceptible to adverse changes in business, economic, or financial

conditions than for obligations in higher categories.


2.7 Financial Highlights of First Security Islami Bank Limited :


2.8 Products of FSIBL


Products and services of FSIBL can be described in three dichotomies:

A. Deposit Schemes:

• Al-Wadiah Current Deposit.

• Mudarabah Special Notice Deposit (SND).

• Mudarabah Savings Deposit.

• Mudarabah Term Deposit

i. One month

ii. Two months

iii. Three months

iv. Six months

v. Twelve months

vi. Twenty four months

vii. Thirty Six months.

• Foreign Currency Deposit.

• Mudarabah Savings Scheme-

• Mudarabah Monthly Profit Schemes (MMPS)

• Mudarabah Monthly Savings Scheme (MMSS)

• More than double the deposit in 6.5 years.

• Consumer Finance Scheme.

B. Investment Schemes :

• Investment

Bai Murabaha (Defeerred Lump sum/Installment sale)

Bai Muajjal (Deferred Installment/Lump sum sale)

Musharaka (Joint Venture profit sharing)

Mudaraba (Trustee Profit Sharing)


• Bai Salam (Advanced Sale and Purchase)

• Hire-Purchase

• Direct Investment

• Post Import Investment

• Purchase and Negotiation of Export Bills

• Inland Bills Purchased

• Murabaha Import Bills

• Bai Muajjal Import Bills

• Pre shipment investment

• Quard-ul-Hasan (Benevolent Investment)

C. Others :

Letter of Guarantee

• Tender Guarantee

• Performance Guarantee

• Guarantee for sub contract

• Shipping Guarantee

• Advanced payment Guarantee

• Others

Letter of Credit (L/C)/ back to back L/C

Specialized Schemes

• Consumer Investment Scheme

• SME Investment Scheme

• Lease Investment Scheme

• Hire Purchase

• Earnest Money Investment Scheme

• Mortgage Investment

• Employees House Building Scheme


2.9 Services of FSIBL:

• Online Banking

• SMS Banking

• Lockers

• Utility Bills

• ATM Banking

2.10 Special Features of FSIBL :

1. Encashment of cheque within 45 seconds.

2. Attractive provisional profit rate.

3. Competitive L/C commission and other charges.

4. Emphasis on small loan disbursement.

5. Promoting saving tendency of mass people by introducing

attractive new saving scheme.

6. Expedite industrialization by providing long term loan through

lease finance.

7. Micro Credit facility for middle class people.

8. Step taken for elevation of poverty by opening branch in rural areas

and providing lock facility in income generating project of rural

middle class and others.

9. Reducing dependence on profit income by increasing fee based

income.

l0. Application of modern technology and producing quality services

for the customer.


New Products of FSIBL

Name of New products

Muadaraba student School banking savings A/C ( Ankur)

Mudaraba Education deposit scheme ( Alo)

Mudaraba marriage deposit scheme ( Bandhan)

Mudaraba health care deposit scheme ( Niramoy)

Mudaraba senior citizen savings A/C ( probeen)

Mudaraba pension deposit scheme (Aboshor)

Al –wadeeah current plus A/C (Morjada)

Al – wadeeah premium A/C (Shomman)


Chapter 03

Service Marketing mix


Service Marketing Mix

Product

Price

Place

Promotion

People

Process

Physical Evidence

Product Marketing

Product is the main element of the organization, FSIBL also giving their product

which are given below.

FSIBL trying to give best product to their clients.

FSIBL try to invent new product to compete

FSIBL try to develop their existing product

Price Marketing

Pricing are the important element for the organization. It must be appropriate

otherwise strategy can be flop.

In that contexts FSIBL

Interest rate is low .

Maximum profit rate.

Set price to compete their competitors

Place

How people can buy your product.

FSIBL are very much concern their placement. The process is given

below.

The banking product is the main element for the people so FSIBL are trying to

keep their placement to right the place.


Distribution channel is increasing which can help to sell product.

FSIBL is improving their networking system which can help their distribution

channel and help to reach the people.

Promotion marketing

FSIBL promotional activities are give below

During the internship period I found that, all the marketing of the FSIBL

product and services goes with mouth.

They also provide brochure.

Product details in website

Advertisement in billboard.

They involve lots of social responsibilities.

People Marketing

FSIBL naturally based service marketing where People are main

asset.

How FSIBL giving priorities people, discuss are given below.

FSIBL believe that an essential ingredient to any service provision is the use

of appropriate staff and people.

FSIBL is very much careful about Recruiting the right staff and training them

appropriately

FSIBL try to put the right person into right place.

Process marketing

Process marketing Refers to the systems used to assist the organization in

delivering the service.

The process that use FSIBL is given below :

They uses latest machines for quick cash delivery.

The process of giving debit card is very easy in FSIBL.they do complete task

very quickly. That’s why customer get card very easily within short time.

They believe An efficient service that replaces old debit cards will foster

consumer loyalty and confidence in the company.


Physical evidence

Physical Evidence is the element of the service mix which allows the

consumer again to make judgments on the organization.

FSIBL is uses service marketing mix . The physical evidence of

FSIBL is given below.

FSIBL give forces about good decorate environment that’s why decorate

FSIBL nicely

Security system is very strong. There are sufficient guards in the FSIBL.

Fully computerized.

The employee of the FSIBL are mandatory wear well dress up.

Cash section does use latest equip


Chapter 04Analyzing

Promotional

Tools Used By

FSIBL


Promotion and promotion mix

The term IMC can be defined as the coordination of various promotional elements

with other marketing activities that communicate with a firm’s customer.

American association of Advertising Agencies defines IMC as “concept of marketing

communication planning that recognizes the added value of comprehensive plan that

evaluates the strategic roles of verity of communication disciplines like general

advertising, direct response, sales promotion, public relation and combines these

discipline to provide clarity, consistency, and maximum communication impact.

Promotion is an element of marketing mix by which firms communicate with their

customers. It includes a number of communications tools known as the promotional

mix.

Promotion mix:

1) Advertising:

Advertising is any paid form of nonpersonal communication about and organization,

product or service, or idea by an identified sponsor.

The nonpersonal component means that advertising involves mass media (e.g.,Tv,

radio, magazines, newspapers, posters, leaflets, billboard, display signs, point of

purchase, sign and symbol as well as logos.) that can transmit a message to large

groups of individuals, of than at the same time.

2) Direct Marketing:

Direct marketing, in which organizations communicate directly with target customers

to generate a response and/or a transaction. It involves a variety of activities,

including database management, direct selling, telemarketing, and direct response ads

through direct mail, the Internet, and various broadcast and print media.


3) Sales promotions:

Marketing activities that provide extra value or incentives to the sales forces, the

distributors, or the ultimate consumer and can stimulate immediate sales.

Sales promotions is generally into generally into two categories.

i) Consumer oriented ii) trade oriented.

i) Consumer oriented:

Sales promotion is targeted to the ultimate user of a product or service and includes

couponing, sampling, premiums, rebates, contests, sweepstake, and various point of

purchase.

ii) Trade oriented:

Trade oriented sales promotions is targeted toward marketing intermediaries such as

wholesalers, distributors, and retailers, trade show, Fair.

4) Publicity and public Relation :

A varity of programs designed to promote and enhance a company’s image and its

brands a well is called publicity and public relation. Examples includes news story,

editorial, press release, seminars, charitable, donation, sponsorships, publication,

events etc.

5) Personal Selling:

Personal Selling a form of person to person communication in which a seller

attempts to assist and or persuade prospective buyers to purchase the company’s

product or service or to act on an idea. Examples includes sales presentation, sales

meeting, incentive programs, trade channel relationship campaign etc.


Promotional Strategy and overall marketing strategy :

Promotion mix used by FSIBL :

First security Islami bank are using different types of promotional mix where

advertising media are used by the bank is at the medium extent, Direct marketing

media are used by the bank very widely, Sales promotion media are used by the bank

very widely, publicity of the bank’s product and service are being held at the medium

extent, public relation activities are taken by the bank at widely level, personal selling

tools used by the bank to promote its product and services at the medium extent,

internet and mobile banking media is used by the bank very widely .


Product market Strategy

Distribution Strategy

Marketing Strategy

Pricing Strategy

Promotional Strategy

Advertising Direct marketing

Personal selling

Publicity and Public relation

Sales Promotion

FSIBL used advertising media in different way that are discussion below.

FSIBL using the print media for advertising purpose at medium level and by

this advertising they want to publish their various product to the client.

FSIBL publishing their familiarity in Electronic media at medium level.

Bill board is also highly used in FSIBL for advertisement purpose.

Leaflets is also highly used in FSIBL for advertisement purpose.

FSIBL also involve in Socio economic development in Bangladesh by doing

this activities.

They want to do some thing good for the nation. Actually it is one kind of

advertising by which a man can know the various financial activities of the

bank.

Direct marketing media used by the FSIBL:

To measure the nature of the direct marketing used by the FSIBL.

FSIBL use telemarketing system to know the information of their product to

the client.

FSIBL also direct selling their products to the customer by using leaflets, hand

bills, etc.

FSIBL use database management system in their daily banking activities.

FSIBL use direct mail to the customer mentioning the information of their

products.

FSIBL use sales promotion media:

To measure the nature of the sales promotion use by the FSIBL, area wise ration

scaling techniques have been use where at least the area including special facilities or

advantage for the corporate client, discount, profit rate, bonus/incentives,

visa/debit/credit card, training program etc as 100% sales promotion tools where

FSIBL are using only nine tools out of ten and that can be considered as 90% effort is

being given in the area of sales promotion.

Publicity:

I measure the nature of the publicity used by the FSIBL, area wise ratio scaling

techniques have been used where at least nine area including national debate, talk


show, conference, social development program, special award achievements,

activities or programs that benefited the people and increased the image of the nation ,

press release, articles published by the media etc as 100% publicity tools where

FSIBL are using only five tools out of nine and that can be considered as 60% effort

is being given in the area of publicity .

Public relation:

To measure the nature of the public relation used by the FSIBL .area wise ratio

scaling techniques have been used where at least twenty area including social

development activities as the part of CSR, celebration of success, publication of

annual reports, internet public relation, sponsorship of games etc as 100% pubic

relation tools where SJIBL have used only fifteen tools out of twenty that can be

considered as 70% effort is being given in the area of public relation.

Personal selling

To measure the nature of the personal selling used by the FSIBL, level wise ordinal

scaling techniques have been used where at least five scale has been used as five for

very widely , four for widely , three for medium extent etc as accordingly 100%, 80%,

60% level where FSIBL are using personal selling tools at the rate of 60% effort that

is being given in the area of personal selling.

SMS Banking:

FSIBL use SMS Banking for the best satisfaction of their clients. By this SMS

Banking system. A clients can easily get all kinds of information from FSIBL.

Internet Banking

Internet Banking is also popular in FSIBL. Every body can easily get all kind of

banking related activities from internet.

Others media

Point of purchase in store demonstration of the products.

Products placements in the TV talks show, news, religion/ educative/social

programs.

After marketing activities are conducted with the corporate client.

FSIBL are developing brand name, logo, symbol with meaningful,

memorable, likeable characteristics (as Aunkor, Niramoi, Alo, Bandhon etc).

which are facilitating their product’s awareness in the mass people.

Otherwise, FSIBL is trying to build brand image through strong pricing,

product strategy which are ultimately influencing in the area of product promotion


A survey questionnaire on Marketing of Bank Products:

Customer Satisfaction is a very broad issue that can’t be measured easily. For a

service oriented organization like bank, customer satisfaction is paramount as the

attraction of both existing and potential customers depends on it. Customers expect to

get what they pay for and competition is so intense in the banking industry that,

building a satisfactory product that lives up to the expectations of customer is

absolutely essential for all competitors. On the other hand, compromise with

satisfaction level of the customers is likely to lead the customer to switch to other

banks. For the survey of customers satisfaction regarding products and services, a

sample size of 25 customers were interviewed.

Most considering facts of selecting FSIBL

Category No. of Respondents Percentage of respondents

Service quality 3 12%

Profit Rate 8 32%

Reputation 0 0%

Location 14 56%

Technology 0 0%

Total 25 100%

In the study it has been revealed that 12% of the clients’ selecting FSIBL because of

service quality, 32% because of interest rate, no one consider reputation of the bank,

56% choose it for its location and technology is not selected by any one.


.

Competitive Profit and Charges :

Category No. of Respondents Percentage of

respondents

Yes 4 16%

No 14 56%

Acceptable 7 28%

Total 25 100%

In the study it has been revealed that 16% of the clients selecting FSIBL because they

think that interest rate is good, 56% say No, and remaining 28% admitted the rates

and charges as accepted

Explanation of Product features :



respondents

Yes 6 24%

Could be better 11 44%

No 8 32%

Total 25 100%

From the study it has been revealed that 24% people praised that Executives are well

knowledgeable about the products and products features are well explained to them,

and 44% clients think that Executives is acceptable but it could be better, and 32%

people complained that Executives are not providing accurate information

Including of new Products:



respondents

Yes 24 96%

No 1 4%

Total 25 100%

In the study it has been revealed that, 96% people think that FSIBL should introduce

new products and 4% clients say No.

Keeping Confidentiality



respondents

Yes 12 48%

Could be better 13 52%

No 0 0%

Total 25 100%

Form the analysis it is revealed that 48% accepted that executives attitude as careful

and conscious, 52% commented that is acceptable but could be better.

Handling Complain :



respondents

Yes 5 20%

No 20 80%

Total 25 100%

From the study it has revealed that by the Executives maximum 80% people are

highly dissatisfied about process of handing complains, and the remaining 20%

commented the process is acceptable.

Improving Promotional activities:



respondents

Yes 25 100%

No 0 0%

Total 25 100%

It has been revealed that 100% clients means that all people think Bank should

improve promotional activities.


Suggestion on promotional activities :


respondents

Direct marketing 16 64%

Evening Banking 9 36%

Public relation 0 0%

Personal selling 0 0%

Total 25 100%

From the study it has been revealed that 64% people select Evening Banking as a

promotional tool for the bank, 12% choose Public relation, 4% choose Personal

selling, and 20% choose Direct marketing.


Opinion on Service quality :


respondents

Good 1 4%

Acceptable 14 56%

Bad 10 40%

Total 25 100%

In the study we see that 4% people say that banks service quality is good, 56% people

say acceptable, and 40% people are not satisfied.

Most Preferred things from Customer’s view point :



respondents

Because of faster service 0% 4%

Skilled Executives 8 32%

Interdepartmental efficiency 6 24%

Reasonable interest rate 11 44%

Total 25 100%

Why you have chosen trade services provided by FSIBL? During the time of

answering the question 44% people identified reasonable Interest rate, 32% point on

their skill Executives, 24% identified their Interdepartmental efficiency, and no one

select Faster service.


FSIBL Analysis section


2.11 SWOT Analysis of FSIBL :

Every organization is composed of some internal strengths and

weaknesses and also has some external opportunities and threats. The

following will briefly introduce about the FSIB’s strengths and

weaknesses, and external opportunities and threats as I have explored in

the past one month.

Strengths :

Superior quality.

Satisfactory Business growth.

Financial Strength.

Efficient Management.

Online Banking System.

Attractive Deposit Schemes.

Excellent working environment.

Located at important commercial area.

Doing Business with well-known corporate group and proprietors.

Attractive Provisional profit rate.

24 hours ATM service.

Weaknesses :

Limited workforce.

Short times’ banking experience of the bank.

Absence of long term Investment.

Small Market share in the banking Business.

Average operational performance.

Moderate Asset quality.

Limited delegation of power.


Low paid —up capital.

Opportunities:

Government of Bangladesh has rendered its full support to the

banking sector for a sound financial stunt of the country, as it is

becoming one of the vital sources of employment in the country

now. Such government concern will facilitate and support the long-

term vision for FSIBL.

Can increase the clients through ATM Banking.

Bank can improve its marketing and promotional activities.

Private Banks has become more reliable to the people than Public

Banks.

Increasing awareness of Islamic banking.

Can introduce new products.

Can increase the branches.

Can increase the Investment scheme.

Can Increase the Corporate Clients.

Have opportunities to increase market share.

By doing social welfare activities it can create a good impact on

public mind.

Provide assistance to the small business organization.

Can Invest in SME and Agro base industry Investment.


Threats :

There are many competitors in the market.

Govt. pressures to reduce provisional profit rate.

Govt. pressure for increasing SLR.

Banking technologies are changed.

Offering higher deposit rate by other Conventional Private Banks.

Malpractice banking by other banks.

Existence of huge branch of different banks.

Govt. imposes tax & VAT on profit.

Govt. restriction on certain types of banking


Chapter-06

Ending part


Findings

There are some matters that I have found during the internship period

which can be treated as problems of FSIBL.

o Most of the time transaction problem occurred by the mid-level

officials due the incompetence management system. They are some

decision need to be taken pace frequently but management shows

no adequate concern about the matter. As a result mid-level

officials face problems during answering the clients.

o There are some officers who draw salaries at the end of the month

with / having a little contribution toward the organization. On the

other hand there are officers who work hard for the best interest of

the organization but they does not apprised according to their

contribution. Also the payment scale is consecutively lower than

other banks. Also have a little change for the fresh graduate

students.

o Lack of creative human resource is another problem of FSIBL.

FSIBL does not pursue an aggressive marketing policy. It does not

expose itself to the public and like other banks. FSIBL does not

have any digital signboard and banner in the city area. As a result,

people are not aware of the existence of FSIBL.

o As other banks have much more branches in all over the country

than FSIBL. So the business clients are mostly attracted by the

other banks like Prime Banks, Eastern Bank, Islamic Bank

Bangladesh, Dutch Bangla Bank Limited and others. It may create

a major problem for the existence of the Bank.

o The human resource department is relatively small than other

banks. The HRD is only confined in the Head Office and does not

have any role in the branch Banking System.


o Some of the employees are not committed to Islami Banking

System. Their Islami Banking knowledge is very poor and

difference between Islami Banking System & Conventional

Banking System is not clear to them.

• Recommendation

Needs to extent the branch network through the country and new

branches in the other town and remote areas.

Adequate measure needs to be takes to reduce the system failure.

Working environment should be enriched.

Proper training and technology should be used to reduce the risk at

the root level.

The bank needs to make reflective management team who can

make effective decision quickly.

Improvement in the customer service is needed.

Incorporate more financial product for the clients.

Take proper marketing and product promotion policy to let the

general people know about this bank and its services.

Website of FSII3L is not rich enough to know about different

things in detail. So the website need to be enriched and need to

update time to time.

Behaviors with the clients made by the employees sometimes are

not enough to satisfy the clients and hencç the bank should increase

customer satisfaction level with the smiling face and other facility.

Bank should recruit those who are committed to Islami Banking

System. Bank also should conduct proper training about Islami

Banking System.


Conclusion

From the learning period and experience point of view I can say that I

have really enjoyed the Internship period at First Security Islami Bank

Ltd. (FSIBL). From the 1st dayl was sure that this program period will

help me a lot to learn about the banking system and wilt improve the

possibility of my career in the present job market. Though during this

short period of time is not enough to go through all the section of banking

and gather adequate knowledge. But the fundamental information will

help me in my future career.

Information and Analysis is not sufficient because it is difficult to

measure and express perfectly with in this short period of time. But it is a

great opportunity for me to get use to the operation environment of

Commercial Banking system and organizational working policy and

management system. I have tried to give my best effort to incorporate the

report with necessary and relevant information which I have gathered

during this time period.

This report basically describes objectives of the study, methodology of

the study, scope of the study, limitation of the study, Foreign exchange

performance, product analysis, customer satisfaction analysis.

There are several limitations to use the Financial Statement information

directly. But by the end of the report, I wish FSII3L should always try to

improve their service level in every term.


References :

The available sources that helped me to prepare this report this source are

mentioning below :

“Islami Banking : principle & practice”-MD Mubarak Hossain.

“Service Marketing”- Zithaml, Bitner, Dwayne.

www.fsiblbd.com

www.islamibank.com

www.eximbankbd.com

Previous year’s internship report.

Various types of materials of FSIBL.

Appendix


http://www.eximbankbd.com/

http://www.islamibank.com/

http://www.fsiblbd.com/

Questionnaire

Customer Profile

This survey is being conducted among customers of FSIBL Your honest opinions are

valuable.

Every information of this survey will be kept strictly confidential. Please circle the

numbers you think are most appropriate and return the form.

Your opinions and comments are important to us.

Name:

Occupation:

Telephone Number:

Address :

1) Why have you chosen the services provided by FSIBL Which of the following

aspects you will consider most ?

o Service quality

o Profit rate

o Product

o Location

o Technology

2) Do you think that the profit rates and charges are competitive than other banks ?

o Yes

o No

o Acceptable


3) Do you feel that the product feature is explained to you properly ?

o Yes

o Could be better

o No

4) Io you think that more new product should be introduced?

o Yes

o No

5) Do you think that FSIBL Keep its confidentiality?

o Yes

o Could be better

o No

6) Do you think that your complain(s) are handled properly?

o Yes

o No

7) Do you think that FSIBL should improve their promotional activities?

o Yes

o No

8) If yes which one you will suggest?

o Direct Marketing

o Evening Banking

o Public relations

o Personal selling

9) Remark your opinion on service quality of FSIBL ?

o Good

o Acceptable

o Bad

10) According to your opinion why FSIBL is much appreciable than any other banks?

o Because of faster service

o Skilled Executives

o Interdepartmental efficiency

o Reasonable Interest rate


Promotional Tools of FSIBL

Documents

Transcript of Promotional Tools of FSIBL