About the bank

HDFC Bank Ltd. is a major Indian financial services company based in

Mumbai, incorporated in August 1994, after the Reserve Bank of
India allowed establishing private sector banks.
The Bank was promoted by the Housing Development Finance
Corporation, a premier housing finance company (set up in 1977) of India.
HDFC Bank is headquartered in Mumbai. The Bank has an network of
3251 branches spread in 2022 cities across India.
All branches are linked on an online real-time basis. Customers in over 500
locations are also serviced through Telephone Banking. The Bank has a
presence in all major industrial and commercial centres across the country.
The Bank also has more than 11,000 networked ATMs across these cities.
Moreover, HDFC Bank's ATM network can be accessed by all domestic
and international Visa/MasterCard, Visa Electron/Maestro, Plus/Cirrus and
American Express Credit/Charge cardholders.

SWOT Analysis
Strengths
Second largest private bank in India in terms of assets and
largest in terms of market capitalization.
Operations in more than 2000 cities with all branches connected
online on real-time basis and serving customers by Phone
Banking.
HDFC cards most preferred for online and shopping transactions
and compatible with all domestic and international services such
as Visa, Master Card etc.
High degree of customer satisfaction when compared to other
private banks.
Attrition rate low and one of the best places to work in private
banking sector.
Lots of awards and recognitions with Best Bank award from
Dun & Bradstreet, NDTV Profit, Asia Money 2013, The
National Quality Excellence Awards etc.
Good financial advisors in terms of guiding customers towards
right investments.
Weakness

 Focuses mostly on high end clients.

Lacks in aggressive marketing strategies like ICICI.
Lack of awareness of its products in the market specifically the features
that are distinct.
Share prices of HDFC are often fluctuating causing uncertainty for the
investors.
Opportunities
Better asset quality parameters over government banks, hence the profit
growth is likely to increase. Legacy of being the first Indian Bank in
private sector.
Companies in large and SME are growing at very fast pace. Good
reputation in terms of maintaining corporate salary accounts.
Improvements in bad debts portfolio and the recovery of bad debts high
when compared to other banks.
Greater scope for acquisitions and strategic alliances due to strong
financial position
Good opportunities for expansion in abroad.
Threats
Increase of non banking financial companies and new age banks in India.
Not able to expand market share by a significant margin as ICICI imposing
major threat.

PEST Analysis
Political Factors
Government regulations: Banks as a financial body are always
restricted with policies and rules.
RBI closely governs the banks and other financial institutions and
budgets made by government affects the banking activities and
also its business.
Governments support to PSU banks impacts performance of
private players.
RBI allowing foreign banks to invest upto 74% into Indian market.
Budgetary measures of the government such as FDI limit, FII
investment increase etc.
Loan waivers for agricultural sector.
Economic Factors
Changes in monetary policy affect the workings of the bank.
Decision of monetary policy affect the interest rate at which bank
lend money.
Increase in interest rates several times by RBI to curb inflation in
the last year.

Social Factors

Rapidly changing lifestyle of Indian consumers with increase in

buying power.
Expansion in rural markets. Concept of banking has begun to sink
in the minds of rural population and is impacting the lives of rural
population.
Illiteracy in India is still the major problem, therefore illiterate
segment cant read and understand the banking requirements and
operations.
Increasing population causes continuing needs of banks to open
more branches as per demography for uniform spatial
distribution.
Technological Factors
Wide network of ATMs to promote anytime, anywhere banking
facility.
Automated voice recorders to answer simple queries and
increasing self service counters in banks.
Improved net banking and mobile banking facilities has helped
customers to save time and money.
Credit card facility to promote cashless society and easy

Porters Five Forces Analysis

Availability of
Substitutes:
HIGH
Supplier
Power: LOW

Competitiv
e Rivalry:
HIGH

Buyer Power:
HIGH

Threat of new
Entrants: LOW
Power of buyers is high because services of banks are homogeneous to
a large extent and customers can get all the information very easily. So
switching costs are low.
Supplier bargaining power is low because banks have to meet
numerous regulation criteria of RBI.
Competitive Rivalry in this sector very high because of large number of
private, public and foreign banks.
Threat of new entrants is low because of high entry barriers due to
stringent regulations of banks.
Availability of substitutes are high due to large number of banks, NBFCs
etc. So banks going for adding more products to their portfolio such as

Competitive Analysis
Particulars
No of Branches
No of Employees
ATMs
International
Presence
Total Assets
Revenue
Operating Income
Profit
Market Capital
CASA Ratio
Net Non
Performing Assets
Capital Adequacy
Ratio
Provision
Coverage Ratio

Significant M&A

HDFC Bank
3,251
69,065
11,177

ICICI Bank
3,539
81,254
11,162

Axis Bank
2,402
42,420
12,922

5 Countries
US$ 66.7 billion
US$ 6.5 billion
US$ 1.87 billion
US$ 1.1 billion
US$ 26.9 billion
48.40%

19 Countries
US$ 98.99 billion
US$ 13.52 billion
US$ 2.12 billion
US$ 1.6 billion
US$ 14.6 billion
43.50%

7 Countries
US$ 57 billion
US$ 5.7 billion
US$ 1.6 billion
US$ 0.87 billion
US$ 7.2 billion
42%

0.20%

0.62%

0.25%

16.50%

18.52%

13.66%

82.40%
2000: Times Bank
(owned by Bennett,
Coleman & Co.)
2008: Centurion
Bank of Punjab
We understand your

80.40%
2001: Bank of
Madurai
2010: Bank of
Madurai

80.91%

2011: Enam
Securities Private
Ltd
Badhti ka Naam

Value Proposition Healthy Growth, Low

Risk
Wide product range
Growing economy/
Nationwide
Banking Industry,
Gaining Market
Share
Healthy balance
sheet and revenue
growth
Disciplined margin
and capital
management with
a focus on
ROA/ROE

network, with
expanding semiurban and rural
footprint

and multiple
customer segments

Leading players
across multiple
products

Branch Sales
Process, Data
Mining and CRM,
geared for cross sell

Strong risk
management, focus
on asset quality

Leveraging organic
and inorganic
growth
opportunities

Proven ability to
generate shareholder

Understanding Portfolio Management

Professional asset management of various securities (shares, bonds and other
securities) and other assets (e.g., real estate) in order to meet specified
investment goals for the benefit of the investors.
Provision of investment management services includes elements of financial
statement analysis, asset selection, stock selection, plan implementation and ongoing monitoring of investments. Coming under the remit of financial services
many of the world's largest companies are at least in part investment managers
and employ millions of staff.
Major tasks involved with Portfolio Management are as follows:
(a) Taking decisions about investment mix and policy
(b) Matching investments to objectives
(c) Asset allocation for individuals and institution
(d) Balancing risk against performance
The main objectives of portfolio management in finance are as follows:
(a) Security of Principal Investment: Keeps principal intact, contributes
towards its growth and
minimizes of risk.
(b) Consistency of Returns: Ensures to provide the stability of returns by
reinvesting the same earned
returns in profitable and good portfolios.
(c) Capital Growth: Comprise of investments that appreciate in value, in order
to safeguard the
investor from any erosion in purchasing power due to inflation and other
economic factors.
(d) Marketability: Ensures the flexibility to the investment portfolio. A portfolio
consists of such

Private Banking Advisory Services of

HDFC Bank
Portfolio analysis and financial planning: The bank analyses
customers existing portfolio allocation and recommend changes in line with
current opportunities, his profile and cash flows, risk appetite and financial
requirements. A comprehensive investment plan is drawn out to meet his
long and short- term financial goals across multiple asset categories.
Portfolio review and tracking: Customers portfolio is tracked on an
ongoing basis to monitor the portfolio returns, cash flows and asset
allocation. Bank continually advices him on appropriate rebalancing of his
portfolio on the basis of performance of each asset category and analysis of
future expectations. All portfolios are approved by the banks research desk
on an ongoing basis.
Advice across asset categories: The bank offers research-based advice
across asset categories like mutual funds, equity and its derivatives,
insurance and more. Also, a holistic view of customers portfolio across all
asset categories helps the bank to advice him better and offer him a
consolidated wealth statement.
Dedicated investment advisor: A trained personal advisor is assigned to
the customer as a one-point contact, guiding him and attending to all his
investment related needs. The advisor on an ongoing basis helps him
restructure and monitor his portfolio based on research desk's

Premium Banking Offerings

Imperia

Eligibility

Preferred
Minimum Average Monthly
Minimum Average Monthly
Balance of Rs.15 Lakhs across
Balance of Rs.30 Lakhs across
Savings, Current and Fixed
Savings, Current and Fixed
Deposits accounts.
Deposits accounts
OR
OR
Average Quarterly Balance of
Average Quarterly Balance of
Rs. 2 Lakhs in Savings
Rs.10 Lakhs in Savings
account.
account.
OR
OR
Average Quarterly Balance of
Average Quarterly Balance of
Rs. 5 Lakhs in Current
Rs.15 Lakhs in Current account
account.

Classic

A minimum Average Quarterly

Balance of Rs.1 Lakh in a
Savings Bank account.
OR
A minimum Average Monthly
Balance of Rs. 5 Lakhs in a
combination of Savings Bank
accounts and Term Deposits.

Dedicated Personal Banker

who first understands client's
Dedicated Imperia Client
Dedicated Relationship
financial requirements and
Relationship Manager
Manager effectively take care
Personalize
accordingly makes
effectively take care of client's of client's financial needs and
d Attention
recommendations such as
financial needs and giving
giving expert investment
expert advise on financial
expert investment advice
advice
investments or a loan at
attractive rates etc.
1) Preferential pricing across 1) Preferential pricing across
1) Preferential pricing across
products such as loans,
products such as loans,
products such as loans,
preferential Forex rates,
preferential Forex rates,
preferential Forex rates, Demat
Demat transaction cost and
Demat transaction cost and
transaction cost and Locker.
Locker.
Locker.
2) Waiver across several
Customized
2) Waiver across several
2) Waiver across several
services.
Products
services.
services.
3) No extra charges on using
3) No extra charges on using 3) No extra charges on using
other banks ATM all over the

Imperia

Preferred

1) Distribution of Financial
Products to service the
investment needs of customers
of the branch. Products available
are Equity Mutual Funds, Debt
Customised Mutual Funds etc.
Investment 2) Private Banking Services
NA
Advisory
customized and comprehensive
Services
investment advice across diverse
asset categories and attending to
investment related needs such as
Direct Equity advisory,
Derivatives of equities, Portfolio
management services, etc.
Investment solutions include tax
Wide range of Business solutions
efficient investment avenues,
like Loan Against Property , Loan
buying and selling of shares,
Against Rent Receivables ,
convenient tax payment options
Working Capital , Cash
Banking
and Business banking Solutions
Management Services , E net ,
Solutions
such as Working Capital
Trade Services , Merchant Point of
Overdrafts, Trade Finance,
SaleTerminals , Internet Payment
Commercial Vehicle Loans, Loan
Gateway and Corporate Salary
Against Property or Forex
Accounts.
Services.
1) HDFC Bank Premium Credit
1) Premium Credit Cards from
Card: Exclusive benefits that
HDFC Bank: Exclusive benefits
including accelerated reward
include accelerated reward
points, multiple payment
points, multiple payment
channels, fuel surcharge waivers channels, fuel surcharge
and more.
waivers and much more.
2) HDFC Bank Imperia Platinum
2) Preferred EasyShop Platinum
Exclusive
Chip Debit Card: Withdrawal limit Debit Card: Limit of Rs.
Privileges
1,00,000 at ATMs and Rs.
of Rs. 1Lac at ATMs and Rs.1.25

Classic

NA

NA

1) Credit Cards: HDFC Bank

Credit Cards that offers you
exclusive and preferential
benefits.
2) Classic Easy Shop Platinum
Debit Card: Limit of Rs. 1,00,000
at ATMs and Rs. 1,25,000 at
merchant establishments per
day.

Retail Banking Services

The objective of the Retail Bank is to provide its target market customers
a full range of financial products and banking services, giving the customer
a one-stop window for all their banking requirements.
The products are backed by world-class service and delivered to
customers through the growing branch network, as well as through
alternative delivery channels like ATMs, Phone Banking, Net Banking and
Mobile Banking.
HDFC Bank was the first bank in India to launch an International Debit
Card in association with VISA (VISA Electron) and issues the MasterCard
Maestro debit card as well.
The Bank launched its credit card business in late 2001.
Types of Savings Accounts
Regular
Salary
Savings Max
Women
Kids Advantage
Senior Citizens
Kisan Club Savings Account
Farmers No Frills
Family Savings

Types of Current Accounts

Ultima
Supreme
Premium
Regular
Apex
EZEE
Max
Agri
Plus
Trade
Current Account for Professionals
Flexi
Types of Fixed Deposits
Regular
Fixed Deposit
Super Saver
Sweep-In
5 Year Tax Saving Fixed Deposit

Types Of Loans
Personal loans
Smart draft
Home loans
Vehicle loans
Gold loans
Educational loans
Loans against securities
Loans against property
Health care finance
Retail agri-loans
Warehouse receipt loans
Cards

1) Credit Cards
Besides arming the customer with unmatched spending power, the
Credit Cards are designed to meet your unique needs. Even the online
credit cards serviceNet safe. The types of Credit cards available are
Premium Credit Cards, Commercial Cards, Titanium Card, Other
Cards, Gold Credit Cards.

2) Debit Cards
HDFC Bank Debit Cards give the customer complete and instant access to
the money in his accounts without the risk or hassle of carrying cash. The
types of Debit Cards are Classic Cards, Premium Cards, Specialised

3) Prepaid Cards
Besides offering convenience, the Prepaid Cards have been tailored to
answer the travel and gifting needs of customers. The types available
are:Forex Plus Card
Food Plus Card
Money Plus Card
Prepaid Travel Card
Prepaid Gift Card
Investment Services

Wealth Advisory Services

This exclusive service comes with an array of unmatched benefits.

Mutual Funds
Investment through the Mutual Fund route to meet varied investment
objectives.

Tax Planning
HDFC Bank offers a number of advantageous tax saving investment
options.

Insurance
Life insurance is designed to offer financial protection for the customer
and his family during the times of uncertainties.

HDFC MONEY BACK PLAN

HDFC SAVINGS ASSURANCE PLAN

Unit Linked Plans

HDFC Pension Supreme
HDFC Young Star Supreme Suvidha
HDFC Wealth Builder
Forex and Trade Services
HDFC Bank has a range ofproducts and servicesthat the customer can
choose from to transact smoothly, efficiently and in a timely manner.
Travellers Cheques
Foreign Currency Cash
Forex Plus card
Cheque Deposits
Trade Services