Segmental value proposition in banking
Student name: Mr Ashwat Kumar
Guide: Prof. Manipadma Datta
Year of completion: 2018
Host Organisation: Yes Bank
Supervisor (Host Organisation): Mr Swaminathan Iyer
Abstract: Liabilities And Product Management (LPM) department of YES Bank has identified twelve Focus segments to expand its business into, viz. Logistics, Media and Entertainment, Hospitality, Food & Beverages, Task, Reality, IT/ITES, Gems & Jewelry, Professional Services, Tour & Travels. The study was carried out on the basis of the available secondary data and the existing customer database of the Bank. Thorough analysis of the information gathered, helped in identification of the products and their respective solutions which fit best for the mentioned focus segments. The products and their solutions have the scope of being tailored as per the requirement of the segments.
The segmentation of existing customer base was done considering the parameters of products already being used and Average Monthly Balance (AMB) in their bank accounts. In addition to this, a regional segmentation was also carried out to gauge the geographies generating maximum business. An analysis of different Hooks was also done to identify the Hooks generating most business for the Bank. Additionally, the Complaints Data was also scrutinized to understand the pain point of the customers, in order to help the bank work towards not only improving its existing services, but also develop new services catering to the needs of these customers.
Moreover, secondary data was studied to understand the functioning of the segments, for instance – the sources from where revenue is generated, the expenses of the identified stakeholders in the focused segment, the specialised services that other banks are providing to these segments, and how these segments responded to these services.
