marketing financial product & services

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Marketing of

Financial

Products Credits: 4

Lecture -1 Parveen Sharma

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MoFP for

TKW’s

2 MoFP for

TKW’s

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Syllabus

Marketing of Financial Products

Market Segmentation & Consumer Behavior

Marketing Communication

Distribution & Pricing

Sales Force Management

Evaluation Written Examination: 70 Marks

Project Work: 20 Marks

Internal Assessment: 10 Marks

3 MoFP for

TKW’s

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Study References

“Marketing Financial Services” by Hooman Estelami

“The Financial Services Marketing Handbook” by Evelen Ehrlich and Duke Fanelli

“Developing New Financial Products” by Gary H Raddon

“Bank Marketing” By SM Jha, Himalaya Publication

“Managing and Marketing of Financial Services”, Taxmann Publication

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The marketing concept holds that the key to achieving organizational

goals consists in determining the needs and wants of target markets and

delivering the desires satisfaction more effectively and efficiently than

competitors.(by John B Mckitterick)

Organizational goals

Need & wants

Satisfaction

Effectively and efficiently than competitors

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The Concept of Marketing

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The Gamut of Financial Services

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Financial services are any service or product of a financial nature that

is traded in financial markets. We can also say services related to

financial instruments are financial services.

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Marketing & Financial Products

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Banks/FI’s no longer remain in their tradition service and have become

very dynamic with the rapidly changing macro environment.

Why is this happening?

Customer expectations & increasing focus on Customer Satisfaction

Globalization

Competition & Shrinking profit margins

Technological Advancements

FI’s are becoming ‘One Stop Financial Service Centre’.

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Changing landscape of Financial Products &

Services

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Changing landscape of Financial Products &

Services

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Justification for MoFP

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Understanding the customers

Satisfying the customers

Excelling competition

Formulating & Innovating the Mixes

Social orientation

Just Selling is not Marketing

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TKW’s

Physical Goods Services

1. Tangible Intangible

2. Homogeneous Heterogeneous

3. Product and distribution separated

from consumption

Production, distribution and consumption

re simultaneous process

4. A thing An activity

5. Core value produced in factory Core value produced in buyer-seller

interaction

6. Customers do not participate in the

production process

Customers participate in production

7. Can be kept in stock Cannot be kept in stock

8. Transfer of ownership No transfer of ownership

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N

Marketing Goods vs Service

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11

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Marketing Objective

General Objectives

Increasing Market Share

Maximizing Profitability

Expanding Business

Formation of Marketing Strategy

Operational Objective

Branch Efficiency

Increasing Awareness

Customer Relation & Services

S

Marketing & Financial Products

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N

Understanding MoFP from FI’s

Communications

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Marketing & Financial Products

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It is now clear that…

Financial institutions(FI’s) does proper planning & formulate proper

strategy before moving ahead with their marketing plans to stay ahead in

the competitive business environment.

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14 MoFP for

TKW’s

Marketing Objective

General Objectives

Increasing Market Share

Maximizing Profitability

Expanding Business

Formation of Marketing Strategy

Operational Objective

Branch Efficiency

Increasing Awareness

Customer Relation & Services

Marketing & Financial Products

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TKW’s

N

N

? ueries Q

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Contact me @ +91-9050050288

or

Email to parveen_72@yahoo.in

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Term for the Lecture

16 MoFP for

TKW’s

CORE Banking: Centralized Online Real-time Electronic banking

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Thank

You MoFP for

TKW’s

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