Study Of Customer Relationship Strategies Adopted By Pnb Marketing Essay

Maximizing customer value means cultivating long-term customer relationships. To maximize economies of scale, companies made standard goods in advance of orders and left it to individuals to fit into whatever was available. Companies are now moving away from wasteful mass marketing to more precious marketing designed to build strong customer relationship. Today’s economy is supported by information business. Information has the advantage of being easy to differentiate, customize, personalize, and dispatch over networks at incredible speed.

As companies have grown proficient at gathering information about individual customers and business partners (suppliers, distributor, retailers ), and as their factories are designed more flexibly, they have increased their ability to individualize market offerings, messages, and media. Mass Customized is the ability of a company to meet each customer’s requirements- to prepare on a mass basis individuality designed products, services, and communications. While Levi’s and land’s End were among the first clothing manufactures to introduce custom jeans, now there are many players in the mass-customization market.

When the companies are intent on developing stronger bonds with their customers- called customer relationship management. This is the process of managing detailed information about individual customer and carefully managing all customers “touch points” to maximize customer loyalty. A customer touch point is any occasion on which a customer encounters the brand and product-from actual experience to personal or mass communication to casual observation.

If the relations of company with the customers is good, then it enables companies to provide excellent real-time customer service through the effective use of individual account information. Based on what they know about each valued customer, companies can customize market offerings, services programs, messages, and media.

Customer relationship strategies adopted by PNB:

As we know customer relationship management enables companies to provide excellence real-time customer service through the effective use of individual account information.

PNB has been able to maintain its founding principles through more than 100 years of change and continue to bring the most efficient service possible to its customers without losing the friendliness and special attention they are used to receiving. A motto that is used repeatedly in all PNB branches is “know your customers”. According to Circle Head, PNB Lucknow, Mr. B.L. Gupta “Having the Right Offer For The Right Client, At The Right Time Via The Right Channel”.

It Was a Strategy adopted In the Business Model of the Banks and Clearly Focused to Value Generation.

That Technology Was The Nucleus Of CRM That Was Evolving Into A Commodity Piece Within CRM Strategies.

Relationship strategies:

CRM ( customer relationship management) solution deployed across all the branches of 11 identified circles. This enabled the marketing teams to effectively implement their strategy, making good use of higher visibility. The CRM helps the bank now to better retain existing customers by cross-selling and up-selling, to attract new customers by offering various value added products and services, and even convert loss making customers into profitable ones.

PNB also uses online trading services for customers. Now consumers can enjoy the convenience of investing in financial products from the comfort of their home / offices by using SMC Global’s website, also online trading link in provided on pnb bank’s website.

PNB also provide SFMS (structural financing messaging system) services. It is the modernized web enabled software for financial message communication. It facilitates centralized or distributed deployment, secured messaging and routing based on store and forward principles.

Online Assistance:-PNB provides its customers online assistance by providing i-banking, online complaints, providing then information about various products and services. These complaints and assistance are processed by customer care services.

CUSTOMER INFORMATION- In PNB the customer information collected from the customers shall not be used for cross selling of services or products by the Bank, their subsidiaries and affiliates. If the Bank proposes to use such information, it should be strictly with the consent of the accountholder.

SECRECY OF CUSTOMER’S ACCOUNTS- The Bank did not disclose details / particulars of the customer’s account to a third person or party without the expressed or implied consent from the customer. However, there are some exceptions, viz. disclosure of information under compulsion of law, where there is a duty to public to disclose and where interest of the Bank requires disclosure.

REDRESSAL OF COMPLAINTS AND GRIEVANCES- In case there is problem to the customers the bank use some strategies to make customer convenient. Depositors having any complaint / grievance with regard to services rendered by the Bank has a right to approach authority designated by the Bank for handling customer complaint / grievances. The details of the internal set up for redressal of complaints / grievances will be displayed in the branch premises. The branch officials shall provide all required information regarding procedure for lodging the complaint. In case the depositor does not get response from the Bank within 60 days from date of complaint or he is not satisfied with the response received from the Bank, he has a right to approach Banking Ombudsman appointed by the Reserve Bank of India. 

For the convenience of customers PNB provides bancassurance, through which if the customer wants insurance services with the banking they can avail in a single place. It is also for the convenience of the customers.

PNB also work for rural area’s people, through micro-finance. The employees of PNB go their and through personal talk with rural peoples they get to know about their financial and economical condition. And they offer them relevant banking services according to their budget.

Enabling over 55,000 employees in over 4,500 locations to serve customers and conduct regular banking duties in Punjab National Bank. Like other banks, PNB too had to adhere to risk compliance and have a 360 degree view of its customers and MIS.

PNB owe the success of their organization to their consultants. They lay equal emphasis on Consultant and client satisfaction and believe in the saying “Satisfied Consultants lead to Satisfied Clients”. With the personal growth of consultant in mind, roles and projects are changed at least once in every nine months.

PNB Advanced Development centre at Bangalore gives an advantage of 24X7 work culture to our global clients. The turnaround time can be fixed based on the client’s urgency.

Bank communicates users via email or other online/offline delivery devices only if the customer agrees to receive those communications. Customers, who believe that they are receiving our communications in error or no longer desire to receive them, should inform us and we will remove that customer’s name from our mailing lists. This is also the main strategy to keep in contact with customers.

Punjab National Bank also mainly focus on reducing customer defection, through the following steps:

Firstly they define and measure its retention rate.

Second, they distinguish the cause of customer attrition and identify those that can be managed better.

Third, they estimate how much profit it loses when it loses customers.

Fourth, they figure out how much it would cost to reduce the defection rate.

Forming strong customer bonds: PNB form strong customer bonds through the following steps:

Get cross-department participation in planning and managing the customer satisfaction and retention process.

Integrate the “voice of the customer” to capture their stated and unstated needs or requirements in all business decisions.

They create superior products, services, and experiences for the target market.

Make it easy to reach customer to appropriate company personnel and express their needs, perception, and complaints.

Run award programs recognizing outstanding employees.

PNB provide wide range of services to fulfil all needs of customers i.e. :

ƒ˜Savings Fund Account – PNB Prudent Sweep, Total Freedom Salary Account, PNB Vidyarthi SF Account, PNB Mitra SF Account

ƒ˜Current Account – PNB Smart Roamer, PNB Vaibhav, PNB Gaurav

ƒ˜Fixed Deposit Schemes – Mahabachat Schemes, Spectrum Fixed Deposit Scheme, Anupam Account, Multi Benefit Deposit Scheme

ƒ˜Credit Schemes – PNB Flexible Housing Loan, Car Finanace, Personal Loan

ƒ˜Social Banking – Krishi Card, PNB Farmers Welfare Trust, Mahila Udyam Nidhi Scheme

ƒ˜Corporate Banking – EXIM finance, Gold Card scheme for exporters

ƒ˜Business Sector – PNB Vikas Udhami, PNB Karigar credit card, PNB Kushal Udhami, PNB Pragati UdhamiMoreover, the Punjab National Bank of India also offers locker facilities, senior citizens schemes, PPF schemes and various E-services to their customers.

ATM facilities: PNB feels that ATMs offer many advantages over conventional branch-based banking like low cost per transaction and customer convenience. To encourage this, the bank has installed various ATMs, networked. A Base24 switch controls the ATMs. PNB has formed a consortium of seven banks and has principally agreed to share the ATM facilities amongst themselves.