Youth Saving Account

Syed Yasir Raza {GL}Adnan Ahmed MemonAbdul Salam ShaikhAmeet KumarAdnan FarooqMir Asif Raza

Back Ground

• The Standard Chartered Group was formed in 1969 through a merger of two banks

• The Standard Bank of British South Africa founded in 1863,

• the Chartered Bank of India, Australia and China, founded in 1853.

• This friendly merger allowed both banks to capitalise on the expansion of trade caused by the increased movement of goods from Europe to the East and Africa.

Bank’s Introduction

• Standard Chartered Wholesale Banking builds on over 150 years of banking experience in Asia, Africa and the Middle East

• Our excellent local knowledge of attractive growing markets around the world consistently places us in the top three providers for our clients’ wholesale banking needs

• Known as ‘The banker’s bank’• Pakistan – acquisition of 95.37% of Union Bank

(USD487m)

• Our strategy:

We aspire to be the world's best international bank, leading the way in Asia, Africa and the

Middle East.• Who We Are:• We are leading international banking group

committed to build a sustainable business over Long-Term.

• Our Business:• We provide a wide range of products and

services for personal and business Customer across 70 Markets.

• OUR BRAND AND VALUES• By doing things the right way, we can support

our customers and clients while having a positive impact on the wider economy

Current Marketing Situation

• Market Trends• As currently SCB only

Offering Business A/Cs, Term Deposits, BBA A/C , Insurance

• We are offering Current and saving account for the age group of 16 to 28.

• Product will be offer to both Priority and Mass Customers

Market Description

Competitive Review

• So far no bank is offering such product for youth segment

• Only Focuses on Child savings, Old Age Benefits and Business Transaction Accounts

Product Review

• Product will be offer to both Priority and Mass Customers

• Banking Facilities includes:• Debit Card• Free First Cheque Book• Balance Transfer Facility• Online Banking• eStatements• Sms Banking

Product Benefit

• Alliances and Special Saving rates for youth

• Personalized ID card for customers by which they can avail the discounts on different Alliances

Alliance partners for Youth Saving Account

1. Arena

2. Pie In The Sky

3. Liberty Books

4. Nike

5. Metlife Alico

6. Café Down Town

7. Scentsation

Need & Corresponding Benefits of Standard Chartered Consumer Banking:

Target Segment Customer Needs Corresponding Features

Business Man > Business Transactions >Easy Banking Services.

> Banking Instruments >Personalize RM services to cater Individual business need.

>Online Transfer >All Banking instruments are free for business A/cs.

>Internet Banking > Also for Priority Banking Segment.

>Compatible Rat

• Individual >Remittance >For Priority Customers invert remittance is for free and for general its is

also free but for transferring money will make them change.

>Online Banking >Internet Banking/Transfer is for free.

.>Internet Banking > ATM/Debit card first free issuance.

>Cheque Book first 25 leave is for free

Youth ______ > Account Maintenance >Category wise it depends.

>Attractive Offers > Online Banking is free.

>Online Banking >Cash Back Facility.

>Alliances > Discounts on Alliances for priority & general customers.

>Banking for the Future > Insurance Covered Account.

Marketing Strategy

• Youth saving account’s marketing strategy is based on a positioning by product differentiation.

• Our primary consumer target is profiled collage’ university students an the youth who are initial level of job or may running their business which build the self-esteem in them and association with banking for them is more valuable an more like a fun thing.

• This segment can be describe demographically by age (16-30) and education status

Positioning

• As Standard Chartered already position their brand “here For Good” youth saving account under the umbrella of SCB.

• Awe is using product differention for youth saving account.

• We are position it as the most convenient, fun loving and earned banking norms for the new users with lots of new experiences in banking as the age group we target is 16-30,

• consumers in this age group wants new things to try with adventure.

Marketing Mix

• Product

Youth Saving Account

• Price:

Minimum Balance Requirement for opening Youth Saving Account

• Place:

It will be available at all branches of SCB in Karachi, Islamabad, Lahore, Quetta & Multan initially.

• Promotions:

Promotions include following benefits and alliances which will be

BENEFITS FOR Youth Saving ACCOUNT

• First Free Cheque Book •  Free Bank Statement• Free Insurance Cover•  Personalized Picture ID card for the Youth which will

give him/her access to exciting events & amazing offers at the alliance outlets

• Exclusive discount / offers at the selected alliance outlets in area of entertainment, apparel, book stores etc.

Marketing Communication Strategy

• For marketing we will start activations through ATLs & BTLs in which we design billboards, kiosk, TV commercials etc,

• We will start BTL activities in universities, colleges, malls and also focus on direct sales.

Marketing Research

• We have conducted survey through word of mouth and one-on-one discussion to the youth of different Universities and market places at SZABIST, KU University, IQRA University, and also at different Colleges of Karachi city.

• After survey and market test we identify the specific features and benefits that target market actually wanted in Youth Saving Account.

• Also we measure the customers attitude towards other competing Banks and their products.

• Finally having seen customers needs and market test we design our product that will meet the customer’s needs and satisfaction.

SWOT Analysis• Strengths:1. Leading Multinational

Bank

2. Proper Channel of Branch Distribution

3. First one to introduce this product

4. Big Market share as compare to other foreign banks

• Weakness:1. Low Profit Margins

• Opportunity:

1. First one to introduce this product

2. Pakistan is a Youth Population Country

• Threats:

1. Poverty

2. Low Income of newly employed youth

3. Competitors

Objectives & Issues

• First Year Objective:• During the SCB’s youth saving

account’s initial year on the market we are aiming for a 5 to 10 percent share of the urban market.

• We are not defining the sales growth objective because this segment is bit shaky in terms of saving and investing money.

• Second Year Objective:• Our second year objective are to

achieve 10 to 15 percent share based on sales of youth saving account and to design promotion activities in such a way youth will attract as by this initiative other banks will all launch the youth related account

• Issues:• In relation to the product

launch, our major issue is to establish a well- regarded brand name liked to a meaning full positioning.

• We must invest heavily in marketing to create a memorable and distinctive brand image projecting innovation and customer value.

• We also must measure awareness and response so we can adjust on marketing efforts as necessary.

We have set aggressive but achievable objectives for the first and second year of market entry.

Action Program

• The Youth Saving account will be introduced in January 2013,

• we as Standard Chartered Bank have certain action programs that we will be implementing in first 3 months of the next year to achieve our stated objectives.

• We will be taking following actions in the different months of the introductory year,

Budget & Control• Budgets: • Total first year revenue for the Youth Saving Account 10000000 is

projected by having 2000 account holders at a minimum amount is 5000.• Control:• We plan to have tight control measure to closely monitor quality and

customer satisfaction.• As a result it will enable us to react quickly in correcting any problems

that may occur, it will also make us proactive for occurring any problem in future so that we will have contingency plan to overcome the unfavorable situation.

• We will also have good accountability and control tools by which we can come to know about upcoming new trends, changes, technology and competition.

Thank you