A Study On Comparative Analysis Of Banks Terms Of Service Quality Project

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A MAJOR RESEARCH PROJECT
ON
A Study On Comparative Analysis Of Banks Terms Of Service Quality
( SBI &ICICI)”
Submitted in partial fulfillment of the requirements for the award of the degree
Of
MASTER OF BUSINESS ADMINISTRATION (F.A)
BATCH 2018– 2020
Under the Guidance of Submitted By:
Dr. Deepa Joshi Kusum Pal
(Professor SVIM, Indore ) (MBA 4TH
SEMESTER)
Enrollment No.
DC 1504986
SHRI VAISHNAV INSTITUTE OF MANAGEMENT, INDORE

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SCHEME NO. 71, GUMASTA NAGAR, INDOR
CERTIFICATE
It is a hereby certified that the MRP/Internship report submitted in partial
fulfillment of MBA (FA) IV Semester Shri Vaishnav Institute of Management,
Indore by Kusum Pal, Roll NO. 80400390 has been completed under my
guidance and satisfactory.
Internal Examiner (GUIDE)
Dr. Deepa Joshi

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STUDENT’S DECLARATION
I hereby declare that the major research project report conducted on “A
Study On Comparative Analysis Of Banks Terms Of Service Quality
under the guidance of Dr. Deepa Joshi (Professor SVIM, Indore) submitted in
partial fulfillment of the requirements for the degree of Master of Business
Administration to DAVV University, Indore it is my original work and the same
has not been submitted for the award of any other degree/diploma/fellowship
or other similar titles or prizes.
Place: INDORE KUSUM PAL
MBA(IV SEM)
2018 - 2020

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ACKNOWLEDGEMENT
I often wondered why the project reports always began with acknowledgement.
Now, when I have undertaken project myself, did I realize that project report
involves not just the researcher but so many people that help in making the
research possible. Therefore, I take pleasure in beginning the most beautiful part
of the report.
I fall short of words to express my gratitude to my guide Asst. Prof Dr.Deepa
Joshi who despite their busy schedule were able to find some time to guide me
through trouble and solve my problems to the best of abilities. Without their
unfailing guidance, encouragement and patience this project would not have
been possible. It has been a learning experience under him/her I am thankful to
my faculty guide Asst. Prof Dr. Deepa Joshi who gave me detailed instructions
during my MRP.

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CONTENT
S.NO. CHAPTER PAGE.NO.
1. Introduction 7 - 33
2. LITERATURE REVIEW 34 - 40
3. OBJECTIVES OF THE STUDY 41 - 42
4. RATIONALE OF THE STUD 43 - 44
5. SCOPE OF THE STUDY 45 - 47
6. RESEARCH METHODOLOGY 48 - 50

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7. ANALYSIS AND INTERPRETATION OF
THE DATA
51 - 56
8. FINDINGS AND SUGGESTIONS. 57 - 59
9. LIMITATION OF THE STUDY 60 - 61
10. SIGNIFICANCE OF STUDY 62 - 63
11. CONCLUSION 64 - 66
12. SUGGESTIONS 67 - 69
13. REFERENCE 70 - 71
14. ANNEXUR 72 - 75

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CHAPTER – 1
Introduction

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STATE BANK OF INDIA

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Tagline
Bade Bank Ke bade Faayde
Our Logo
The chapter State Bank of India Introduction gives a brief introduction about State Bank of India
(SBI) With more than 14,000 branches in India, SBI is the largest and one of the premium banking
and financial services company in India by assets, deposits, profits, branches, customers, and

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employees. SBI has also established and secured its roots globally with 191 foreign offices spread
across 36 countries.
SBI is one of the Big Four banks of India, along with ICICI Bank, Bank of Baroda and Punjab
National Bank. As of 2016, SBI is ranked 232nd
on the Fortune Global 500 list of the world’s biggest
corporations, and stands as the proxy for the Indian Economy. SBI was ranked 152nd
in The Forbes
list of Global 2000 firms in May 2015. The Government of India owns 58.60% of SBI and thus is
the largest shareholder of SBI, a Fortune 500 company.
THE ORIGIN OF THE STATE BANK OF INDIA
SBI, the oldest commercial bank, traces its ancestry to the 19th
century (British India) when the
Bank of Calcutta was founded in 1806. In 1921, the Bank of Calcutta, merged with the banks of
Madras and Bombay to form the Imperial Bank of India. In 1955, when the Government of India
nationalized the Imperial Bank along with the RBI, the Imperial Bank acquired the name State Bank
of India. Since its beginning, SBI has been constantly endeavoring to provide utmost customer
satisfaction to the most ideal degree.
SBI offers excellent career opportunities and welcomes applications every year for different
positions all over India. SBI believes in providing superior performance to all its customers
and therefore takes the continuous initiative in hiring best and dynamic individuals aspiring
to excel. To employ the most prominent individuals, SBI conducts exams and interviews for
different roles. Once hired, SBI ensures the development and growth of all its employees by
providing personal guidance and motivation.
Following are the different career positions for which SBI Recruitment drive is conducted on
a yearly/necessity basis primarily in the months of April and September. Origins of The
establishment of the British Colonial Government in India brought with it calls for the
formation of a Western-style banking system. The creation of a national banking system
began at the beginning of the 19th century. The first component of what was later to become
the State Bank of India was created in 1806, in Calcutta, Called the Bank of Calcutta, it was
also the country's first joint stock company. Originally established to serve the city's interests,
the bank was granted a charter to serve all of Bengal in 1809, becoming the Bank of Bengal.
The introduction of Western-style banking instituted deposit savings accounts and, in some
cases, investment services. The Bank of Bengal also received the right to

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issue its own notes, which became legal currency within the Bengali region. This right
enabled the bank to establish a solid financial foundation, building an interest- free capital
base.
The spread of colonial influence also extended the scope of government and commercial
financial influence. Toward the middle of the century, the imperial government created two
more regional banks. The Bank of Bombay was created in 1840, and was soon joined by the
Bank of Madras in 1843. Together with the Bank of Bengal, they became known as the
"presidency" banks. All three banks were operated as joint stock companies, with the
imperial government holding a one-fifth share of each bank. The remaining shares were sold
to private subscribers and, typically, were claimed by the Western European trading firms.
These firms were represented on each bank's board of directors, which was presided over by
a nominee from the government.
Old Bank of Bengal
A major change in the conditions of operation of the Banks of Bengal, Bombay and
Madras occurred after 1860. With the passing of the Paper Currency Act of 1861, the
right of note issue of the presidency banks was abolished and the Government of
India assumed from 1 March 1862 the sole power of issuing paper currency within
British India. The task of management and circulation of the new currency notes was
conferred on the presidency banks and the Government undertook to transfer the
Treasury balances to the banks at places where the banks would open branches.
None of the three banks had till then any branches (except the sole attempt and that
too a short-lived one by the Bank of Bengal at Mirzapore in 1839) although the
charters had given them such authority. But as soon as the three presidency banks were
assured of the free use of Government Treasury Balances at places where they would open
branches, they embarked on branch expansion at a rapid pace. By 1876, the branches,
agencies and sub agencies of the three presidency banks covered most of the major parts and
many of the inland trade centres in India. While the Bank of Bengal had eighteen branches
including its head office, seasonal branches and sub agencies, the Banks of Bombay and
Madras had fifteen each. Bank of Madras Note Dated 1861 for Rs.10 The presidency Banks
Act, which came into operation on 1 May 1876, brought the three presidency banks under a
common statute with similar restrictions on business. The proprietary connection of the
Government was, however, terminated, though the banks continued to hold charge of the
public debt offices in the three presidency towns, and the custody of a part of the government

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balances. The Act also stipulated the creation of Reserve Treasuries at Calcutta, Bombay and
Madras into which sums above the specified minimum balances promised to the presidency
banks at only their head offices were to be lodged. The Government could lend to the
presidency banks from such Reserve Treasuries but the latter could look upon them more as a
favour than as a right.
Bank of Bengal H.O.
The establishment of the Bank of Bengal marked the advent of limited liability, joint-
stock banking in India. So was the associated innovation in banking, viz. the decision
to allow the Bank of Bengal to issue notes, which would be accepted for payment of
public revenues within a restricted geographical area. This right of note issue was
very valuable not only for the Bank of Bengal but also its two siblings, the Banks of
Bombay and Madras. It meant an accretion to the capital of the banks, a capital on
which the proprietors did not have to pay any interest. The concept of deposit
banking was also an innovation because the practice of accepting money for
safekeeping (and in some cases, even investment on behalf of the clients) by the
indigenous bankers had not spread as a general habit in most parts of India. But, for
a long time, and especially up to the time that the three presidency banks had a right
of note issue, bank notes and government balances made up the bulk of the
investible resources of the banks.
Bank of Madras
The decision of the Government to keep the surplus balances in Reserve Treasuries outside
the normal control of the presidency banks and the connected decision not to guarantee
minimum government balances at new places where branches were to be opened effectively
checked the growth of new branches after 1876. The pace of expansion witnessed in the
previous decade fell sharply although, in the case of the Bank of Madras, it continued on a
modest scale as the profits of that bank were mainly derived from trade dispersed among a
number of port towns and inland centers of the presidency India witnessed rapid
commercialization in the last quarter of the nineteenth century as its railway network
expanded to cover all the major regions of the country. New irrigation networks in Madras,
Punjab and Sind accelerated the process of conversion of subsistence crops into cash crops, a
portion of which found its way into the foreign markets. Tea and coffee plantations
transformed large areas of the eastern Terais, the hills of Assam and the Nilgiris into regions

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of estate agriculture par excellence. All these resulted in the expansion of India’s
international trade more than six-fold. The three presidency banks were both beneficiaries
and promoters of this commercialization process as they became involved in the financing of
practically every trading, manufacturing and mining activity in the sub-continent. While the
Banks of Bengal and Bombay were engaged in the financing of large modern manufacturing
industries, the Bank of Madras went into the financing of large modern manufacturing
industries; the Bank of Madras went into the financing of small-scale industries in a way
which had no parallel elsewhere. But the three banks were rigorously excluded from any
business involving foreign exchange. Not only was such business considered risky for these
banks, which held government deposits, it was also feared that these banks enjoying
government patronage would offer unfair competition to the exchange banks which had by
then arrived in India. This exclusion continued till the creation of the Reserve Bank of India
in 1935.
Bank of Bombay
The presidency Banks of Bengal, Bombay and Madras with their 70 branches were merged in
1921 to form the Imperial Bank of India. The triad had been transformed into a monolith and
a giant among Indian commercial banks had emerged. The new bank took on the triple role of
a commercial bank, a banker’s bank and a banker to the government.But this creation was
preceded by years of deliberations on the need for a ‘State Bank of India’. What eventually
emerged was a ‘half-way house’ combining the functions of a commercial bank and a quasi-
central bank.
The establishment of the Reserve Bank of India as the central bank of the country in 1935
ended the quasi-central banking role of the Imperial Bank. The latter ceased to be bankers to
the Government of India and instead became agent of the Reserve Bank Of India for the
transaction of government business at centers at which the central bank was not established.
But it continued to maintain currency chests and small coin depots and operate the remittance
facilities scheme for other banks and the public on terms stipulated by the Reserve Bank Of
India. It also acted as a bankers’ bank by holding their surplus cash and granting them
advances against authorized securities. The management of the bank clearing houses also
continued with it at many places where the Reserve Bank Of India did not have offices. The
bank was also the biggest tendered at the Treasury bill auctions conducted by the Reserve
Bank Of India on behalf of the Government.The establishment of the Reserve Bank Of India

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simultaneously saw important amendments being made to the constitution of the Imperial
Bank converting it into a
purely commercial bank. The earlier restrictions on its business were removed and
the bank was permitted to undertake foreign exchange business and executor and
trustee business for the first time.
PHASES
Phase I The General Bank of India was set up in the year 1786. Next came Bank of
Hindustan and Bengal Bank. The East India Company established Bank of Bengal (1809),
Bank of Bombay (1840) and Bank of Madras (1843) as independent units and called it
Presidency Banks. These three banks were amalgamated in 1920 and Imperial Bank of India
was established which started as private shareholders banks, mostly Europeans shareholders.
In 1865 Allahabad Bank was established and first time exclusively by Indians, Punjab
National Bank Ltd. was set up in 1894 with headquarters at Lahore. Between 1906 and 1913,
Bank of India, Central Bank of India, Bank of Baroda, Canara Bank, Indian Bank, and Bank
of Mysore were set up. Reserve Bank Of India came into existence in 1935.During the first
phase the growth was very slow and banks also experienced periodic failures between 1913
and 1948. There were approximately 1100 banks, mostly small. To streamline the functioning
and activities of commercial banks, the Government of India came up with The Banking
Companies Act, 1949 which was later changed to Banking Regulation Act 1949 as per
amending Act of 1965 (Act No. 23 of 1965). Reserve Bank of India was vested with
extensive powers for the supervision of banking in India as the Central Banking Authority.
Phase II is of nationalization of Indian Banking Sector Reform. First in 1969 of 14
Major Private Commercial Banks and than in 1980 was carried out with Seven more
Banks. This step brought 80% of the banking segment in India under Government
ownership.
Phase III This phase has introduced many more products and facilities in the
banking sector in its reform measures. In 1991, under the chairmanship of M
Narshimha, a committee was set up by his name which worked for the liberalization
of banking practices. The country is flooded with foreign banks and their ATM
stations. Efforts are being put to give a satisfactory service to customers. Phone
banking and net banking is introduced. The entire system became more convenient
and swift. Time is given more importance than money. The financial system of India

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has shown a great deal of resilience. It is sheltered from any crisis triggered by any
external macroeconomic shock as other East Asian Countries suffered.
DETAILS OF STATE BANK OF INDIA
Pursuant to the provisions of the State Bank of India Act (1955), the Reserve Bank
of India, which is India's central bank, acquired a controlling interest in the Imperial
Bank of India. On 30 April 1955, the Imperial Bank of India became the State Bank of
India. The Government of India recently acquired the Reserve Bank of India's stake
in State Bank of India so as to remove any conflict of interest because the Reserve
Bank Of India is the country's banking regulatory authority.
In 1959, the government passed the State Bank of India (Subsidiary Banks) Act,
enabling the State Bank of India to take over eight former state-associated banks as
its subsidiaries. On 13 September 2008, the State Bank of Saurashtra, one of its
associate banks, merged with the State Bank of India. In 1951, when the First Five
Year Plan was launched, the development of rural India was given the highest
priority. The commercial banks of the country including the Imperial Bank of India
had till then confined their operations to the urban sector and were not equipped to
respond to the emergent needs of economic regeneration of the rural areas.
Therefore, in order to serve the economy in general and the rural sector in particular,
the All India Rural Credit Survey Committee recommended the creation of a state-
partnered and state-sponsored bank by taking over the Imperial Bank of India, and
integrating with it, the former state-owned or state-associate banks. An act was
accordingly passed in Parliament in May 1955 and the State Bank of India was
constituted on 1st July 1955. More than a quarter of the resources of the Indian
banking system thus passed under the direct control of the State. Later, the State
Bank of India (Subsidiary Banks) Act was passed in 1959, enabling the State Bank
of India to take over eight former State-associated banks as its subsidiaries (later
named Associates).
The State Bank of India was thus born with a new sense of social purpose aided by
the 480 offices comprising branches, sub offices and three Local Head Offices
inherited from the Imperial Bank. The concept of banking as mere repositories of the
community’s savings and lenders to creditworthy parties was soon to give way to the
concept of purposeful banking subserving the growing and diversified financial needs

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of planned economic development. The State Bank of India was destined to act as
the pacesetter in this respect and lead the Indian banking system into the exciting
field of national development6.
PROFILE OF STATE BANK OF INDIA
The origin of the State Bank Of India goes back to the first decade of the nineteenth
century with the establishment of the Bank of Calcutta in Calcutta on 2nd June 1806.
Three years later the bank received its charter and was re-designed as the Bank of
Bengal (2nd January 1809). A unique institution, it was the first joint-stock bank of
British India sponsored by the Government of Bengal. The Bank of Bombay (15th
April 1840) and the Bank of Madras (1st July 1843) followed the Bank of Bengal.
These three banks remained at the apex of modern banking in India till their
amalgamation as the Imperial Bank of India on 27th January 1921.
Primarily Anglo-Indian creations, the three presidency banks came into existence
either as a result of the compulsions of imperial finance or by the felt needs of local
European commerce and were not imposed from outside in an arbitrary manner to
modernize India’s economy. Their evolution was, however, shaped by ideas
circulated from similar developments in Europe and England, and was influenced by
changes occurring in the structure of both the local trading environment and those in
the relations of the Indian economy to the economy of Europe and the Global
Economic Framework
The evolution of State Bank of India can be traced back to the first decade of the 19th century.
It began with the establishment of the Bank of Calcutta in Calcutta, on 2 June 1806. The bank
was redesigned as the Bank of Bengal, three years later, on 2 January 1809. It was the first ever
joint-stock bank of the British India, established under the sponsorship of the Government of
Bengal. Subsequently, the Bank of Bombay (established on 15 April 1840) and the Bank
of Madras (established on 1 July 1843) followed the Bank of Bengal. These three banks
dominated the modern banking scenario in India, until when they were amalgamated to form
the Imperial Bank of India, on 27 January 1921.
An important turning point in the history of State Bank of India is the launch of the first Five
Year Plan of independent India, in 1951. The Plan aimed at serving the Indian economy in
general and the rural sector of the country, in particular. Until the Plan, the commercial banks

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of the country, including the Imperial Bank of India, confined their services to the urban
sector. Moreover, they were not equipped to respond to the growing needs of the economic
revival taking shape in the rural areas of the country. Therefore, in order to serve the
economy as a whole and rural sector in particular, the All India Rural Credit Survey
Committee recommended the formation of a state-partnered and state-sponsored bank.
State Bank Of India played an extremely important role in developing India's rural
regions, providing the financing needed to modernize the country's agricultural
industry and develop new irrigation methods and cattle breeding techniques, and
backing the creation of dairy farming, as well as pork and poultry industries. The
bank also provided backing for the development of the country's infrastructure,
particularly on a local level, where it provided credit coverage and development
assistance to villages. The nationalization of the banking sector itself, is an event
that occurred in 1969 gave State Bank Of India a new prominence as the country's
leading bank. Even as it played a primary role in the Indian government's industrial and
agricultural
development policies, State Bank Of India continued to develop its commercial
banking operations. In 1972, for example, the bank began offering merchant banking
services. By the mid-1980s, the bank's merchant banking operations had grown
sufficiently to support the creation of a dedicated subsidiary, State Bank Of India
Capital Markets, in 1986. The following year, the company launched another
subsidiary, SBI Home Finance, in collaboration with the Housing Development
Finance Corporation. Then in the early 1990s, State Bank Of India added
subsidiaries SBI Factors and Commercial Services, and then launched institutional
investor services.
The All India Rural Credit Survey Committee proposed the takeover of the Imperial Bank of
India, and integrating with it, the former state-owned or state-
associate banks. Subsequently, an Act was passed in the Parliament of India in May 1955. As
a result, the State Bank of India (SBI) was established on 1 July 1955. This resulted in
making the State Bank of India more powerful, because as much as a quarter of the resources
of the Indian banking system were controlled directly by the State. Later on, the State Bank
of India (Subsidiary Banks) Act was passed in 1959. The Act enabled the State Bank of India
to make the eight former State-associated banks as its subsidiaries. The State Bank of India
emerged as a pacesetter, with its operations carried out by the 480 offices comprising
branches, sub offices and three Local Head Offices, inherited from the Imperial Bank. Instead

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of serving as mere repositories of the community's savings and lending to creditworthy
parties, the State Bank of India catered to the needs of the customers, by banking
purposefully. The bank served the heterogeneous financial needs of the planned economic
development.
Branches
The corporate center of SBI is located in Mumbai. In order to cater to different functions,
there are several other establishments in and outside Mumbai, apart from the corporate
center. The bank boasts of having as many as 14 local head offices and 57 Zonal Offices,
located at major cities throughout India. It is recorded that SBI has about 10000 branches,
well networked to cater to its customers throughout India.
ATM Services
SBI provides easy access to money to its customers through more than 8500 ATMs in India.
The Bank also facilitates the free transaction of money at the ATMs of State Bank Group,
which includes the ATMs of State Bank of India as well as the Associate Banks – State Bank
of Bikaner & Jaipur, State Bank of Hyderabad, State Bank of Indore, etc. You may also
transact money through SBI Commercial and International Bank Ltd by using the State Bank
ATM-cum-Debit (Cash Plus) card.
Subsidiaries
The State Bank Group includes a network of eight banking groups and several non-banking
Subsidiaries.Through the establishments, it offers various services including merchant
banking services, fund management, factoring services, primary dealership in government
securities, credit cards and insurance.
The eight banking groups are:
• State Bank of Bikaner and Jaipur (SBBJ)
• State Bank of Hyderabad (SBH)
• State Bank of India (SBI)
• State Bank of Indore (SBIR)

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• State Bank of Mysore (SBM)
• State Bank of Patiala (SBP)
• State Bank of Saurashtra (SBS)
• State Bank of Travancore (SBT)
Products and Services
Personal Banking
• SBI Term Deposits SBI Loan For Pensioners
• SBI Recurring Deposits Loan Against Mortgage Of Property
• SBI Housing Loan Loan Against Shares & Debentures
• SBI Car Loan Rent Plus Scheme
• SBI Educational Loan Medi-Plus Scheme
Other Services
• Agriculture/Rural Banking
• NRI Services
• ATM Services
• Demat Services
• Corporate Banking
• Internet Banking
• Mobile Banking
• International Banking
• Safe Deposit Locker
• RBIEFT
• E-Pay
• E-Rail
• SBI Vishwa Yatra Foreign Travel Card
• Broking Services
• Gift Cheques
TRANSFORMATION JOURNEY OF STATE BANK OF INDIA
The State Bank of India is the country’s oldest Bank and a premier in terms of

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balance sheet size, number of branches, market capitalization and profits. It is today
going through a momentous phase of Change and Transformation – the two hundred
year old Public sector behemoth is today stirring out of its Public Sector legacy and
moving with an agility to give the Private and Foreign Banks a run for their money.
The bank is entering into many new businesses with strategic tie ups – Pension
Funds, General Insurance, Custodial Services, Private Equity, Mobile Banking, Point
of Sale Merchant Acquisition, Advisory Services, structured products etc – each one
of these initiatives having a huge potential for growth.
The Bank is forging ahead with cutting edge technology and innovative new banking
models, to expand its Rural Banking base, looking at the vast untapped potential in
the hinterland and proposes to cover 100,000 villages in the next two years.
It is also focusing at the top end of the market, on whole sale banking capabilities to
provide India’s growing mid / large Corporate with a complete array of products and
services. It is consolidating its global treasury operations and entering into structured
products and derivative instruments. Today, the Bank is the largest provider of
infrastructure debt and the largest arranger of external commercial borrowings in the
country. It is the only Indian bank to feature in the Fortune 500 list The Bank is changing
outdated front and back end processes to modern customer friendly
processes to help improve the total customer experience. With about 8500 of its own
10000 branches and another 5100 branches of its Associate Banks already
networked, today it offers the largest banking network to the Indian customer. The
Bank is also in the process of providing complete payment solution to its clientele
with its over 8500 ATMs, and other electronic channels such as Internet banking,
debit cards, mobile banking, etc.
With four national level Apex Training Colleges and 54 learning Centres spread all
over the country the Bank is continuously engaged in skill enhancement of its
employees. Some of the training programmes are attended by bankers from banks in
other countries.
The State Bank Of India is also looking at opportunities to grow in size in India as
well as internationally. It presently has 82 foreign offices in 32 countries across the
globe. It has also 7 Subsidiaries in India – State Bank Of India Capital Markets,
SBICAP Securities, SBI DFHI, State Bank Of India Factors, State Bank Of India Life
and State Bank Of India Cards – forming a formidable group in the Indian Banking
scenario. It is in the process of raising capital for its growth and also consolidating its

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various holdings.
Throughout all these changes, the Bank is also attempting to change old mindsets,
attitudes and take all employees together on this exciting road to Transformation. In
a recently concluded mass internal communication programme termed ‘Parivartan’
the Bank rolled out over 3300 two day workshops across the country and covered
over 130,000 employees in a period of 100 days using about 400 Trainers, to drive
home the message of Change and inclusiveness. The workshops fired the
imagination of the employees with some other banks in India as well as other Public
Sector Organizations seeking to emulate the programme.
Industrial Credit and Investment Corporation of India Bank

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Tagline
Ham Hai Na
Khayal Apka

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Our logo
INTRODUCTION
ICICI Bank started as a wholly owned subsidiary of ICICI Limited, an Indian
financial institution, in 1994. Four years later, when the company offered ICICI
Bank's shares to the public, ICICI's shareholding was reduced to 46%. In the year
2000, ICICI Bank offered made an equity offering in the form of ADRs on the
New York Stock Exchange (NYSE), thereby becoming the first Indian company
and the first bank or financial institution from non-Japan Asia to be listed on the
NYSE. In the next year, it acquired the Bank of Madura Limited in an all-stock
amalgamation. Later in the year and the next fiscal year, the bank made secondary
market sales to institutional investors.
With a change in the corporate structure and the budding competition in the
Indian Banking industry, the management of both ICICI and ICICI Bank were of
the opinion that a merger between the two entities would prove to be an essential
step. It was in 2001 that the Boards of Directors of ICICI and ICICI Bank
sanctioned the amalgamation of ICICI and two of its wholly-owned retail finance
subsidiaries, ICICI Personal Financial Services Limited and ICICI Capital
Services Limited, with ICICI Bank. In the following year, the merger was
approved by its shareholders, the High Court of Gujarat at Ahmedabad as well as

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the High Court of Judicature at Mumbai and the Reserve Bank of India. ICICI Bank is India's
second-largest bank with total assets of ` 4,062.34 billion (US$
91 billion) at March 31, 2011 and profit after tax ` 51.51 billion (US$ 1,155 million) for the
year ended March 31, 2011. The Bank has a network of 2,752 branches and 9,225 ATMs in
India, and has a presence in 19 countries, including India. ICICI Bank offers a wide range of
banking products and financial services to corporate and retail customers through a variety of
delivery channels and through its specialized subsidiaries in the areas of investment banking,
life and non-life insurance, venture capital and asset management. The Bank currently has
subsidiaries in the United Kingdom, Russia and Canada, branches in United States,
Singapore, Bahrain, Hong Kong, Sri Lanka, Qatar and Dubai International Finance Centre
and representative offices in United Arab Emirates, China, South Africa, Bangladesh,
Thailand, Malaysia and Indonesia. The UK subsidiary has established branches in Belgium
and Germany. ICICI Bank's equity shares are listed in India on Bombay Stock Exchange and
the National Stock Exchange of India Limited and its American Depositary Receipts (ADRs)
are listed on the New York Stock Exchange (NYSE).
Present Scenario
ICICI Bank has its equity shares listed in India on Bombay Stock Exchange
and the National Stock Exchange of India Limited. Overseas, its American
Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE).
As of December 31, 2008, ICICI is India's second-largest bank, boasting an asset
value of Rs. 3,744.10 billion and profit after tax Rs. 30.14 billion, for the nine months, that
ended on December 31, 2008.
Branches & ATMs
ICICI Bank has a wide network both in Indian and abroad. In India alone,
the bank has 1,420 branches and about 4,644 ATMs. Talking about foreign
countries, ICICI Bank has made its presence felt in 18 countries - United States,
Singapore, Bahrain, Hong Kong, Sri Lanka, Qatar and Dubai International Finance
Centre and representative offices in United Arab Emirates, China, South Africa,
Bangladesh, Thailand, Malaysia and Indonesia. The Bank proudly holds its
subsidiaries in the United Kingdom, Russia and Canada out of which, the UK
subsidiary has established branches in Belgium and Germany.

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• months, that ended on December 31, 2008. ICICI Bank was the first private sector
bank in India to offer PPF account facility at
all bank branches.
• Among the first banks to introduce account portability and also the only bank to offer
portability on two additional channels - Internet Banking and Phone Banking.
• ICICI Bank launches first Electronic Toll Collection project on NH-1. A first of its
kind project initiated by the Ministry of Road, Transport & Highways, National
Highway Authority of India (NHAI) and ICICI Bank.
• ICICI Bank receives approval from RBI to set up an Infrastructure Debt Fund. It is
the
first debt fund to get government's go ahead.
• ICICI Bank launches its official Facebook Page. First bank in India to offer one-of-its
kind "Your Bank Account" App, which allows access to bank account information on
Facebook.
Vision
To be the leading provider of financial services in India and a major
global bank.
Mission
It will leverage the people, technology, speed and financial capital to:
1. Be the banker of first choice for the customers by delivering high
quality, world-class products and services.
2. Expand the frontiers of the business globally.
3. Play a proactive role in the full realization of India‟s potential.
4. Maintain a healthy financial profile and diversify the earnings across
businesses and geographies.
5. Maintain high standards of governance and ethics.
6. Contribute positively to the various countries and markets in which we
operate.

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HISTORY
ICICI Bank was originally promoted in 1994 by ICICI Limited, an u financial institution, and was its
wholly-owned subsidiary. ICICI's shareholding in ICICI Bank was reduced to 46% through a public
offering of shares in India in fiscal 1998, an equity offering in the form of ADRs listed on the NYSE in
fiscal 2000, ICICI Bank's acquisition of Bank of Madura Limited in an all-stock amalgamation in fiscal
2001, and secondary market sales by ICICI to institutional investors in fiscal 2001 and fiscal 2002. ICICI
was formed in 1955 at the initiative of the World Bank, the Government of India and representatives of
Indian industry. The principal objective was to create a development financial institution for providing
medium-term and long-term project financing to Indian businesses.
In the 1990s, ICICI transformed its business from a development financial institution offering only project
finance to a diversified financial services group offering a wide variety of products and services, both
directly and through a number of subsidiaries and affiliates like ICICI Bank. In 1999, ICICI become the
first Indian company and the first bank or financial institution from non-Japan Asia to be listed on the
NYSE.
After consideration of various corporate structuring alternatives in the context of the emerging
competitive scenario in the Indian banking industry, and the move towards universal banking, the
managements of ICICI and ICICI Bank formed the view that the merger of ICICI with ICICI Bank would
be the optimal strategic alternative for both entities, and would create the optimal legal structure for the
ICICI group's universal banking strategy. The merger would enhance value for ICICI shareholders
through the merged entity's access to low-cost deposits, greater opportunities for earning fee-based
income and the ability to participate in the payments system and provide transaction-banking services.
The merger would enhance value for ICICI Bank shareholders through a large capital base and scale
of operations, seamless access to ICICI's strong corporate relationships built up over five decades,
entry into new business segments, higher market share in various business segments, particularly fee-
based services, and access to the vast talent pool of ICICI and its subsidiaries.
In October 2001, the Boards of Directors of ICICI and ICICI Bank approved the merger of ICICI and two
of its wholly-owned retail finance subsidiaries, ICICI Personal Financial Services Limited and ICICI
Capital Services Limited, with ICICI Bank. The merger was approved by shareholders of ICICI and ICICI
Bank in January 2002, by the High Court of Gujarat at Ahmedabad in March 2002, and by the High
Court of Judicature at Mumbai and the Reserve Bank of India in April 2002. Consequent to the merger,
the ICICI group's financing and banking operations, both wholesale and retail, have been integrated in
a entity. In October 2001, the Boards of Directors of ICICI and ICICI Bank approved the
merger of ICICI and two of its wholly-owned retail finance subsidiaries, ICICI Personal

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Financial Services Limited and ICICI Capital Services Limited, with ICICI Bank. The merger
was approved by shareholders of ICICI and ICICI Bank in January 2002, by the High Court of
Gujarat at Ahmadabad in March 2002, and by the High Court of Judicature at Mumbai and
the Reserve Bank of India in April 2002. Consequent to the merger, the ICICI group's
financing and banking operations, both wholesale and retail, have been integrated in a
single entity. ICICI Bank has formulated a Code of Business Conduct and Ethics for its
directors and employees.
ICICI Bank (BSE: ICICI) (formerly Industrial Credit and Investment Corporation of India) is
India's largest private sector bank in market capitalization and second largest overall in
terms of assets. Bank has total assets of about USD 100 billion (at the end of March 2008), a
network of over 1,399 branches, 22 regional offices and 49 regional processing centers,
about 4,485 ATMs (at the end of September 2008), and 24 million customers (at the end of
July 2007).ICICI Bank offers a wide range of banking products and financial services to
corporate and retail customers through a variety of delivery channels and specialized
subsidiaries and affiliates in the areas of investment banking, life and non-life insurance,
venture capital and asset management. (These data are dynamic.) ICICI Bank is also the
largest issuer of credit cards in India. [1] ICICI Bank has got its equity shares listed on the
stock exchanges at Kolkata and Vadodara, Mumbai and the National Stock Exchange of India
Limited, and its ADRs on the New York Stock Exchange (NYSE).
PersonalBanking
✓ Deposits
✓ Loans
✓ Cards
✓ Investments
✓ Insurance
✓ DematServices
✓ Wealthmanagement
NRIBanking
✓ MoneyTransfer
✓ Bankaccounts
✓ Investments
✓ PropertySolutions

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✓ Insurance
✓ Loans
BusinessBanking
✓ Corporatenetbanking
✓ CashManagement
✓ Tradeservices
✓ FXonline
✓ SMEservices
✓ Onlinetaxes
✓ Custodialservices
Inordertofindoutthegapsinthestudiesitispertinenttoreviewthe
availableliteratureontherelatedaspectsofthepresentstudy.Thestudyisonthe
marketingofbankingservicesinIndia–Privatev/sPublicsectorisawidearea,
eachandeverysectorcanbestudiedinbrief.Thus,thereisapressingneedto
studythesignificanceofthisSectorwithaviewtofindingoutCustomer
satisfactioninbothsectorsandproblemsfacedbybothprivateaswellaspublicsectorbanksin
marketingtheirservices.
CompanyProfileofICICI
ICICI Bank is India's secondlarges t bank with total assets of Rs. 3,849.
70 billion(US$ 82 billion) at September 30, 2008 and profit after tax Rs. 17.42
billion for the half year ended September 30, 2008. The Bank has a network of about 1,40
0 branches and 4,530 ATMs inIndia and presence in 18 countries. ICICI Bank offers
a wide range of banking products andfinancial services to corporate and retail cu
stomers through a variety of delivery channels andthrough its specialized subsidiarie
and affiliates in the areas of investment banking, life and nonlife insurance, venture capital an
d asset management. The Bank currently has subsidiaries in theUnited Kingdom, Russia a
nd Canada, branches in United States, Singapore, Bahrain, HongKong, Sri Lanka
, Qatar and Dubai International Finance Centre and representative offices inUnite
d Arab Emirates, China, South Africa, Bangladesh, Thailand, Malaysia and Indonesia. Our U
K subsidiary has established branches in Belgium and Germany.ICICI Bank's equity shares ar
e listed in India on Bombay Stock Exchange and the National Stock Exchange of India Limit
ed and its American Depositary Receipts (ADRs) are listed on the NewYork Stock Exchange
(NYSE) This chapter explains the profile of ICICI Bank – its formation, expansion, and
merger with Bank of Madura. This chapter also gives us detail account of the all

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banking services offered by ICICI Bank. The result of questionnaire survey
conducted by the researcher about customer satisfaction from the customers ICICI
Bank has been analyzed in this chapter.
ICICI Bank is the largest private sector banks of India and the second largest bank in India
has asset base of Rupees. 167,700 Crores as on March 31, 2005. It has a network of 560
branches and extension counters and over 1,900 ATMs. It has created history by being the
first bank to be listed on the New York Stock Exchange. ICICI Bank initiated the electronic
revolution in banking sector in India when they introduced Internet banking. It has a
customer base of 5 million. ICICI Bank offers widest range of financial products and
services. ICICI Bank offers range of banking products and financial services to corporate and
retail customers through a variety of delivery channels and through its specialized
subsidiaries and affiliates in the areas of investment banking, life and non-life insurance,
venture capital, asset management and information technology.
ICICI Bank‟s equity shares are listed in Indian stock exchanges at Chennai, Delhi, Kolkata,
and Vadodara, Mumbai and the National Stock Exchange of India Limited and its American
Depository Receipts (ADRs) are listed on the New York Stock Exchange (NYSE). The
product range of ICICI Bank is also remarkable which includes home loans, car loans,
consumer finance, credit cards, debit cards, Echeques, private banking, Demat services, NRI
Services. It also has an impressive corporate banking consisting of project finance, structured
products, capital markets services, international banking, government enterprises, corporate
solution etc. and recently started concentrating on agribusiness.

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SBI & ICICI
Banks play an important and active role in the financial and economic development of a
country. An efficient banking system really influences the growth of a country in different
sectors of the economy. Practitioners in the banking industry face a large number of intricate
challenges in the global marketplace. It is essential for banks to better understand changing
customer needs and adopt the latest information technology system in order to compete more
effectively with global organizations[ CITATION Vad16 l 16393 ]. Banks are primarily
service organizations and their profitability and continued existence greatly depends upon
their capacity to widen and retain their customer’s base by rendering a multitude of services
in a manner that meets the expectations of the customers. Cut throat competition and highly
stressed profits have introduced the new marketing practices in the Indian banking sector and
has also brought the customer satisfaction to the centre of the focus. It has become very
essential for all the banks to retain their existing customer base as well as to enlarge the same.
As the numbers of banks are increasing; customers’ expectations of service quality is
growing. It has become necessary to measure the service quality of the bank so that the
service providers can assess their level of service quality and identify the quality gaps for
improvements[ CITATION Mam08 l 16393 ]
Comparison between ICICI Bank and SBI:
This chapter compares both the banks i.e. ICICI bank SBI on the basis of
customer satisfaction. The result of survey conducted to find out the comparison
of customer satisfaction of both the banks have been analyzed in this chapter. The
result of survey conducted to find out the comparison in terms of marketing of
banking services by both the banks also gave been analyzed in the chapter. The
chapter also explains how both the private sector banks are successfully marketing their
services to customers with innovative marketing. The difficulties faced by
these banks in customer satisfaction have also been discussed.

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Service Quality.
Quality is a concept which requires a concern both in products as well as services. Experts
have defined it as, “fitness for use” “conformance to requirements”, freedom from variations
etc. In fact, Quality is considered as the most important factor that influence on the buying
behaviour of the customer. In tangible goods like products, quality can be measured by its
durability and number of defects, usage of product; packaging, handling etc.Measuring the
quality in intangible is a different one. As services are intangible so they are very difficult to
measure[ CITATION GTh16 l 16393 ].Service Quality’ is a business administration term
used to describe achievement in service. It reflects both objective and subjective aspects of
service[ CITATION GTh16 l 16393 ]. Service quality is an important factor affecting
customer satisfaction[ CITATION Rah14 l 16393 ].Service quality is an approach to manage
the business processes in order to ensure the full satisfaction of the customer which helps to
increase the effectiveness of the firms. Now a days the customers is able to choose the bank
from a number of banks which is offering the wide range of services[ CITATION Pat13 l
16393 ].It is not always possible that the expected service and the perceived service may be
equal [ CITATION Rat14 l 16393 ] perceived quality of a given service is the result of an
evaluation process since consumers often make comparison between the services they expect
with perceptions of the services that they receive[ CITATION HMG17 l 16393 ]. Nowadays,
with the increased competition, service quality has become a popular area of academic
investigation and has been recognized as a key factor in keeping competitive advantage and
sustaining satisfying relationships with customers (Zeithmal et al...2000)[ CITATION
Ana11 l 16393 ].Customers generally have a tendency to compare the service they
'experience' with the service they 'expect'. If the experience does not match the expectation
there arises a gap [ CITATION Rat14 l 16393 ]. Service quality can thus be defined as the
difference between customer expectations of service and perceived service. If expectations
are greater than performance, then perceived quality is less than satisfactory and hence
customer dissatisfaction occurs[ CITATION Ana11 l 16393 ]. The service quality model or
the “GAP model” developed by the authors- Parasuranam, Zeithmal e.tal highlights the main
requirements for delivering high service quality. It identifies “gaps” that cause unsuccessful
delivery of service. An important advantage of the SERQUAL instrument is that it has
proven valid and reliable across a large number of service contexts.

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Definition of Service Quality
Lewis and Booms (1983) had suggested that service quality results from a comparison of
what customers expect from a service-provider with the provider’s actual performance.
According to them, “service quality is a measure of how well the service level delivered
matches customer expectations. Delivering quality service means conforming to customers
expectations on a consistent basis.
Five dimensions of service quality
1. Tangibility
It means the things which are physically observed by the customers in the bank branch
including large ATM network, personnel, physical facilities, materials and appearance etc.
2. Reliability
Reliability refers to the trust in company’s ability of performing service in a proper way, such
as acting according to promises and declarations..
3. Responsiveness
It refers to service provider’s willingness to help customers and provide prompt service. It
can be measured by the amount of time needed to deal with customers’ reported problems
and the response duration once the customer filed a service request.
4. Assurance
Assurance is related to the behaviour of employees, the employee should have ability to
inspire the trust and confidence. It includes safe transcation, employee should have
knowledge to answer the customer’s questions and consistently polite with customers.
Empathy
It refers to the caring, individualized attention the service provider gives to its customers.
Furthermore, customers in the bank may come from different social background and hence
the banker could emphasize personalized attention on customers and understand specific
needs of customers based on their requirements.
In the context of the comparative efforts at positioning of State bank of India and
ICICI bank in the market, this study attempts to assess the level of service quality perceptions
of banking sub-sector customers and map out the differences between the service quality
perceptions and expectations of customers of State bank of India and ICICI bank along with
the factors responsible for these differences.
When going through a book on Indian economy and banking progress the first matter

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comes in mind is the overall details about Indian economy. In the first chapter an
attempt has been made to focus on Indian economy in a nut shell.Here in chapter one
the theory about economy is given as per the following manner.
• The idea about Indian financial system in detail is explained in this sequence.
1. Indian Economy –An overview
2. Components of Indian economy
3. Pre and post liberalization overview
4. Various functions of finance system
5. Role of banking sector in Indian economy
6. Structure of Indian banking sector
7. Prominent banks in India
8. Inception details of SBI and banks
9. Awards won by both the banks.
• In the above details all the necessary information are given about the Indian financial
system including all the types of financial markets and components also. Then after
the details about banking sector with the prevailing structure is given .In the thesis the
prime locating factors are SBI and ICICI, in this chapter the inception details and later
on the whole details including services is given.
• These two banks are the biggest bank of India.SBI(The State Bank of India), the
country’s prestigious and prominent Bank and a premier one in terms of balance sheet
size, number of branches, market capitalization and profits is today going through a
momentous phase of Change and Transformation – the biggest old Public sector bank
is today stirring out of its Public Sector legacy and moving with an ability to give the
Private and Foreign Banks a run for their money. The bank is entering into many new
businesses with strategic tie ups – Pension Funds, General Insurance, Custodial
Services, Private Equity, Mobile Banking, Point of Sale Merchant Acquisition,
Advisory Services, structured products etc – each one of these initiatives having a
huge potential for growth.

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• The private sector giant and second largest leading bank in India, ICICI Bank was
originally promoted in 1994 by ICICI Limited, an Indian financial institution, and was
its wholly-owned subsidiary. In the 1990s, ICICI transformed its business from a
development financial institution offering only project finance to a diversified
financial services group offering a wide variety of products and services, both directly
and through a number of subsidiaries and affiliates like ICICI Bank. In 1999, ICICI
become the first Indian company and the first bank or financial institution from non-
Japan Asia to be listed on the NYSE. ICICI's shareholding in ICICI Bank was
reduced to 46% through a public offering of shares in India in fiscal 1998, an equity
offering in the form of ADRs listed on the NYSE in fiscal 2000, ICICI Bank's
acquisition of Bank of Madura Limited in an all-stock amalgamation in fiscal 2001,
and secondary market sales by ICICI to institutional investors in fiscal 2001 and fiscal
2002 .After considering the position and brand image of both these banks,in this study
an attempt has been made to know customers preferences of various services of both
these banks.In the study then a comparison is made to know the

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CHAPTER - 2
LITERATURE REVIEW

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Literature Review
In spite of Public sector banks enjoying the trust of the customers, which they have been
leveraging to stay in the race, Private sector banks seem to have satisfied its customers with
good services and they have been successful in retaining its customers by providing better
facilities than Public sector banks. But, still Private sector banks need to go a long way to
become customer's first preference. In an economy of innovative technologies and changing
markets, each and every service quality variable has become important. New financial
products and services have to be continuously introduced in order to stay competent. Success
mantra could be customer centric orientation, where the organization builds long term
strategic relationships with its customers and Private sector Banks have been successful in
achieving such relationship with customers however public sector banks have to improve in
this area.
There is no significant association between personal variables such as age, education, gender,
occupation, monthly income and choice of banks (Public and Private sector).There is no
significant difference between the types of banks (Public and Private sector) with respect to
service quality dimensions.
What is Quality?
Quality has been defined in various ways by quality gurus like Juran, Deming and.Josheph
Juran has defined quality as fitness for use. Deming believes quality has to satisfy the needs
of customer, both present and future. The essence of these definitions is the same. As
applicable to Banking, Quality may be defined as the ability to satisfy the customer's
requirements and needs to the fullest and to be able to replicate this on an on-going
basis.Quality is especially important in the banking sector because duplication of products
and services is relatively easy. Further, differentiation of products is difficult of hazy. Thus,

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quality becomes the only differentiator and the key to continuing success. With increasing
competition, banks that survive and succeed will be the one that provide quality service.
Research studies have repeatedly proved that customers are build a structure that aims at
providing Total Quality Service. As with the bank's financial goals, success can be achieved
only with proper analysis and suitable goals.
III. Customer Satisfaction
There is a great deal of discussion and disagreement in the literature about the distinction
between service quality and satisfaction. The service quality school view satisfaction as an
antecedent of service quality -
satisfaction with a number of individual transactions "decay" into an overall attitude towards
service quality. The satisfaction school holds the opposite view that assessments of service
quality lead to an overall attitude towards the service that they call satisfaction. There is
obviously a strong link between customer satisfaction and customer retention. Customer's
perception of Service and Quality of product will determine the success of the product or
service in the market which paves the way for customer satisfaction.

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Scree plot of sbi bank of Vijayawada

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Scree plots of icici bank of Vijayawada
If experience of the service greatly exceeds the expectations clients had of the service then
satisfaction will be high, and vice versa. In the service quality literature, perceptions of
service delivery are measured separately from customer expectations, and the gap between
the two provides a measure of service quality industry. There are various factors that actually
generate customer satisfaction. Service quality is one of them. This study has been designed
to examine the customer satisfaction with service quality in the selected public and private
sector banks from Indian banking sector.

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A number of studies have been conducted in India and abroad on various
aspects of banking especially retail banking. Some worthwhile studies relating to the
present topic are reviewed here.
Birla Institute of Scientific Research (1981) in its study makes a comparative assessment of
the performance of public sector banks and major private sector banks since nationalisation.
They find that the performance of public sector banks is not satisfactory in rural development
activities when compared to the private sector banks. Jain, Pinson and Malhotra (1987) in
their study “Customer loyalty as a construct in the marketing of bank services” feel that
customer loyalty is a very useful construct. Their contention is that the human aspect of
banking should be given utmost importance by the loyal segment for the marketing of bank
services. R Jayakumar (1993) in his study of “Performance of private sector banks in
Kerala” makes a comparative examination of performance of public sector banks and private
sector banks in Kerala. He finds that in Kerala private sector banks perform better than their
public sector counterparts. Delvin James (1995) makes a case study of the retail banking
services in UK using First Direct, a subsidiary of Midland Bank. He concludes that banks can
increase their market share through proper communication and prompt delivery of their
products.
Parasuraman et al (1985) derived ten dimensions that influence service quality from what
they suggested that quality evaluations are not made exclusively on the outcome of service.
Moreover they also involved evaluations of the service delivery process. The first dimension,
when evaluation happens after service performance, focuses on “what” service is delivered
and called outcome quality. The second dimension, process quality is when the evaluation
occurs while the service is being performed. In 1988 they presented a definition of service
quality which is “the degree of discrepancy between customers‟ normative expectations for
the service and their perceptions of the service performance” (Parasuraman et al, 1988).
Brandy and Cronin (2001) presented a three-factor model describing service quality, ambient
conditions, facility design and social factors. They define that service environment are
elements of the service delivery process and it seems best to include them as components of
the functional dimension. These are some of the dimensions that have been in focus, however
there is no general agreement on the content or nature of quality. (Parasuraman et al, 1985;
Grönroos, 2001).
Jarmo Lehtinen views service quality in terms of physical quality, corporate (image) quality .
Physical quality refers to the tangible aspects of the service. Corporate quality refer s to how
current and potential customers, as well as other publics, view (image) the service provider.

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Interactive quality concerns the interactive nature of the service and refers to a two-way flow
that occurs between service provider and the customer, or her/his representative, including
both animated and automated inter actions. (Lehtinen & Lehtinen, 1982). The servqual scale
is the principal instrument for assessing quality encountered in the services marketing
literature (Parasuraman, Zeithaml and Berry, 1988; 1991). This instrument has been widely
utilized by both managers (Parasuraman, Zeithaml and Berry, 1991) and academics (Babakus
and Boller, 1992; Carman, 1990) to assess customer perceptions of service quality for a
variety of services (e.g. banks, credit card companies,and repair and maintenance companies).
The results of the initial published applicationof the servqual instrument indicated five
dimensions of service quality which emerged across a variety of services. These dimensions
include tangibles, reliability, responsiveness, assurance and empathy (Zeithaml, Parasuraman
and Berry, 1990:176; Brensinger and Lambert, 1990; Crompton and MacKay, 1989).
Tangibles are the physical evidence of service, reliability involves i of performance and
dependability, responsiveness concerns the willingness or readiness of employees to provide
services, assurance corresponds to the knowledge and courtesy of employees and their ability
to inspire trust and confidence, and finally, empathypertains to the caring, individualized
attention that a firm provides it customers (Lassar, Manolis and Winsor,
2000:245-246).In its original form, servqual contains 22 pairs of Likert scale statements
structured around five service quality dimensions in order to measure service quality (Cronin
and Taylor, 1992). Each statement appears twice.
One measures customer expectations of a particular service industry. The other measures the
perceived level of service provided by an individual organization in that industry. The 22
pairs of statements are designed to fit into the five dimensions of service quality. A seven-
point scale ranging from “strongly agree” (7) to “strongly disagree” (1) accompanies each
statement. The “strongly agree” end of the scale is designed to correlate with high
expectations and high perceptions. Service quality occurs when expectations are met (or
exceeded) and a service gap materializes if expectations are not met. The gap score for each
statement is calculated as the perception score minus the expectation score. A positive gap
score shows that expectations have been met or exceeded and a negative score demonstrates
that expectations are not being met. Gap scores can be analyzed for each individual statement
and can be aggregated to give an overall gap score for each dimension (Parasuraman,
Zeithaml and Berry, 1988). In the banking industry, gap analysis has been accepted as a
critical tool to measure current levels of service quality (Lewis, 1991). There have been a
number of empirical studies dealing with service quality in the banking sector in the

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application of servqual (e.g. Kangis and Voukelatos 1997; Angur, Nataraajan and Jahera,
1999; Jun et al., 1999; Jabnoun and Al-Tamimi, 2002; Al-Tamimi and Al-Amiri, 2003;
Araslı, Katırcıoğlu and Mehtap-Smadi, 2005b; Lee and Hwan, 2005).
In this chapter attempt has been made to screen through the available literature
on the topic study and grasp the in-depth knowledge about the subject. The review
of literature is divided into two parts for the convenience of understanding.
Review of the literature related to banking in India
Review of Literature related to marketing of banking services.
For the purpose of review of literature books, magazines, newspaper etc
referred to by the researcher.

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CHAPTER - 3
OBJECTIVE OF The STUDY

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OBJECTIVES OF THE STUDY
• To analyse the service gap between the customer perceived and expected service
offered by the comparative banks.
• To identify the relationship between demographical factors and opinion towards the
expected service quality of the customers.
• To suggest SBI and ICICI banks for improving the performance and to retain their
customers.
• The study is about comparison between two banks services with reference to
consumer
• preferences, so the purpose is as follows.
• To find out customer relationship with banks.
• To know that how far customers are aware about various services provided by banks.
• To know customer satisfaction about various services and process in transactions.
• To know employees opinions about promoting services and customer dealings.
• To know CRM practises opined by employees.
• To know and compare overall satisfaction of customers regarding both bank services.
• To offer suitable suggestions based on the findings of the whole study.
To full fill the purpose separate questionnaire are made to understand opinions.Here
one questionnaire is for customers and another is created for bank employees.In
customers questionnaire various questions like factors to keep in mind while selecting
bank, bank employees’ attitude, time taken to provide service, extra
facilities,customers’ problem solutions and other necessary questions are included.In
employees questionnaire questions related to CRM practises, communication about

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new services,related to commitment, complaints,marketing of various services and
• other necessary details are also included
CHAPTER – 4
RATIONALE OF THE STUDY

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RATIONALE OF THE STUDY
Banks play important role in the development of trade, commerce and it has
vital role in the economic development of nation‟s economy. We can‟t think
modern society without banking system.
The banking services marketing is not very old concept, it is in the growth
phase of its life cycle. ICICI Bank and SBI are the two most dominant banks in
private sector and public sector respectively. Each one tries to eat away each
others shares through their technological up gradation and customer centric
policies.
The banking services provided by ICICI Bank and SBI are innovative.
These two banks have shown remarkable performance within a short period of
time with their innovative range of products, customer centric policies and use of
technology.
Therefore, an attempt will be made in this study to analyze the
various marketing techniques adopted by these two banks and how these
techniques has helped these banks to have such a large customer base. The
competition among the players in banking sector has increased the expectations of
customers who now want new products with faster delivery at cheaper and
affordable cost. These expectations are more with the new generation private
sector banks because they are the new entrants on the banking scene with better
technology, faster delivery, and customer centric policies

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CHAPTER – 5
SCOPE OF THE STUDY

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SCOPE OF THE STUDY
The topic of the current research relates to the critical analysis of marketing
of banking services in India after post liberalized period with special reference to
Private sector v/s Public sector Banks.
The geographical scope of the study will be restricted to the operations of
the banks in Mumbai. The geographical area of study is Mumbai city Mumbai city is
divided into 2 parts; Mumbai City district (The area from
Colaba to Mahim and Sion is called City area.) and Mumbai City
Suburban (The area from Mahim to Dahisar and from Sion to Mulund
comprises of suburbs of Mumbai)
The topical Scope focuses on the identification of the problems regarding
marketing of bank services and problems of customer‟s satisfaction and critical
analysis of bank services provided by public v/s private sector banks. The
functional scope is restrained to offering a set of meaningful suggestions aimed at
improving the customer satisfaction and effective marketing of bank services,
finding out the reasons for dissatisfaction of customers and provide them with the
solution.
The specific period for study selected by the researcher is from year 1999
to 2012 for Private sector and Public sector banks, as this is the most important
period for both the banks since both the private & public sector banks had
successful mergers to their credit in the year 2000 and year 2001 respectively. This
period has importance for both the banks because of merger and amalgamation as
well most important Sub-prime crisis has added the significant value to bank in

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terms of increased branch network, expanded geographic reach, enhanced
customer base, skilled manpower.
The period of the study in general is post liberalized period as this was the
time when India has been growing through a process of economic reform and
liberalization. During post liberalized period economy was opened up, more
liberalized financial policies were adopted. After 1990 we have seen a change in
the approach of the policy makers. This change in the outlook of the policy
makers have made it necessary for almost all the organization, whether
manufacturing or service oriented to change their policy decisions to make it
dynamic and innovative. In the first phase of reforms extending over 5 years from
1991 to 1996 bank‟s operational efficiency is sought to be toned up through a
series of reforms involving adoption of various norms aimed at making the banks
more transparent, realistic and internationally competitive. As a part of the reform
process greater competition has been introduced in the banking system by
permitting entry of private sector banks, and liberal licensing of more branches by
foreign banks. Non – bank intermediation has also increased over the same
period. But most important change that has overtaken the nation‟s banking
industry relates to the fact that the competitive forces are sought to be introduced
consciously in the financial services sector in general and banking industry in
particular through the policies of interest rate deregulation and more particularly
through a new liberal policy move to open doors wider to facilitate the entry of
foreign banks and new private sector banks.
The specific period for study selected by the researcher is from year 1998
year 2006 for ICICI Bank and SBI as this is the most important period for both the
banks since both the private & public sector banks had successful mergers to their
credit in the year 2000 and year 2001 respectively. This period has importance for
both the banks because merger and amalgamation added the significant value to
bank in terms of increased branch network, expanded geographic reach, enhanced
customer base, skilled manpower. The scope of the study covers the following
three important components, which are necessary for the success of any banking
sector.
Customers (customers of ICICI bank and SBI)
Marketing staff of banks (Marketing executives, Direct Sales Associates,
Sales Executives)

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Officials of both banks (the policy makers)
The opinion of the customers, marketing personnel and bank officials are
incorporated in the thesis at appropriate place
CHAPTER – 6
RESEARCH METHODOLOGY

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RESEARCH METHODOLOGY
➢ A broad definition of research is given by MartynShuttleworth - "In the broadest
sense of the word, the definition of research includes any gathering of data,
information and facts for the advancement of knowledge.Methodology is the
systematic, theoretical analysis of the methods applied to a field of study. It
comprises the theoretical analysis of the body of methods and principles
associated with a branch of knowledge. Typically, it encompasses concepts such
as paradigm, theoretical model, phases and quantitative or qualitative
techniques.So it is easy to derive that one of the most significant factor in a
research work is to determine research methodology.The purpose is to describe
the Title, Objectives, Hypothesis, Research Design, Sample Design, Sources and
Data Collection, Sampling Technique, Analysis and Interpretation of data and also
Limitations of the study. The title of the research is A Comparative study of SBI
and ICICI banking services with special reference.
The purpose is to describe the Title, Objectives, Hypothesis, Research Design, Sample
Design, Sources and Data Collection, Sampling Technique, Analysis and Interpretation of
data and also Limitations of the study. The title of the research is A Comparative study of
SBI and ICICI banking services with special reference to customers’ preferences of

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Gujarat state”
HYPOTHESIS OF THE STUDY
In the light of the above cited objective the researcher has set up the
following hypothesis, for the present study.
“ICICI Bank and SBI are provides innovative, dynamic and competitive
services in terms of customer satisfaction in comparison to each other.
However these banks are facing problems while marketing their services.”
Based on the views and factual opinion emerging from the questionnaires, this is
tested by application of test of significance (Z - test) in the thesis.
Research Design
In this thesis, a study of comparative analysis regarding SBI and ICICI banking
services with reference and view point of customers’ preferences has been conducted.
An attempt is made to give a an overview of customers opinions, suggestions and also
employees opinions to understand CRM practises of the banks., for comparative
analysis various comparative bar charts are prepared after collecting customers and
employees opinions through two different questionnaires respectively dully filled up by
customers and employees. Appropriate and suitable analysis is also made to justify this
topic; beliefs of customers, views regarding the services of the banks through
questionnaire and influence of Age-group on customers preferences about selection of a
bank and satisfaction from therein.
The design of the present research is explorative research. Selection of Banks: Out of 30
Private sector banks, two banks were selected for the purpose of the study. They are ICICI
bank and SBI. ICICI bank is selected for the study purpose because it is India‟s Universal
bank and it is India‟s second largest private sector bank providing nationwide network of
branches and 1650 plus ATM‟s. it has large customer base. It has also created history by
being the first Indian bank to be listed on the New York Stock Exchange. It also offers
widest range of products and services.

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Sampling Design
The study has been conducted on the basis of some selected branches of these banks.
State bank of India the largest bank is taken and here in the study two branches from
Ahmadabad are included. Some other branches are also considered in which one from
Surat, one from Bhavnagar, one from Vadodara is taken. In case of the another bank
ICICI two branches from Ahmedabad ,one from Surat ,one from Bhavnagar and one
from vadodara is taken into consideration .Apart from these as per the convenient
sampling, some other customers those who are associated with these banks from long
CHAPTER – 7

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ANALYSIS AND INTERPRETATION OF
THE DATA
ANALYSIS AND INTERPRETATION OF THE DATA
✓ As mentioned above that the data is mainly collected through questionnaire, the study
rely upon primary data. Two types of questionnaires are prepared.one for customers and
another for employees .The analysis of the customers questionnaire is as follows.
✓ In the respondent various categories is made, age group,gender, occupation,income
group. Regular customers of both the banks consisting some of the common
customers(20%) having account in both the banks.
✓ By asking a question about influencing factors to choose a bank,most of the
respondents are in favour of the factor staff attitude, and bank charges.
✓ Most of the basic services are used by the customers, mainly the answer is about
ATM services .Many customers of both the banks have used credit and debit card,many

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have demataccout and overdraft facility, but the noticeable matter is that in ICICI majority
of the customers have used more than three services from mentioned above as compare to
SBI.This reveals that in ICICI customers are more experienced to use the different
services.Many a times ICICI keeps more bank charges for any ordinary transaction as a
mediator or even in credit or debit card as compare to SBI. Some special services they
charge higher than SBI.The reason is easy to understand that ICICI is a private sector bank
unlike SBI.
✓ Many of the respondents are from service sectors and most of them are from the
income group of three lakhs and above.
✓ Most of the customers have savings account and many of them have also invested in
fixed deposits.
✓ Among all the routine services offered by SBI and ICICI, ATM and credit/debit card
is the most commonly widely used services
✓ A noticeable difference can be seen in SBI and ICICI customers responses, in cash
deposits ICICI customers are considerably more satisfied than SBI customers, same
scenario is in cheque deposits net banking that ICICI customers are more satisfied then SBI
customers
✓ In cash withdrawal also there is a vast difference in satisfaction level of SBI and
ICICI, here SBI customers are less satisfied because many a times they have to face hurdles
like delay in time, to stand in a long queue and to wait due to unofficial breaks taken by
employees/cashier.
✓ It is derived after analysing that most of the customers have rated facilities(sitting
facilities, safe drinking water, ATMs, passbook machine and others)and ambience as the
most essential parameter which should have in a bank.
✓ So far as staff behaviour is concerned, SBI customers are less satisfied and they have
suggested that many a times cashier/incharge employees are not so attentive to solve their
complaints or to provide satisfactory service.

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✓ For almost all the respondents’ location of bank and widespread network of bank is
also very important, in this point both the banks win customers preference.
✓ In the point of bank loan, most of SBI customers are not satisfied with time taken by
employees, as per their opinion they take more time for sanctioning the loan.Apart from
these, they charge more interest as compare to ICICI bank loan schemes, while ICICI being
a private sector leader offers more attractive schemes in loan for yo sectors a s
compare to SBI.
✓ Loan applying and sanctioning process is also complicated in SBI as compare to
ICICI, as per their opinions. However in housing loan criteria, SBI customers are more
satisfied then ICICI.
✓ After considering all the essential services the customers have opined the overall
satisfaction level also, SBI customers are satisfied mostly but ICICI customer are
appreciably satisfied with their bank. There is a considerable difference in their satisfaction
level.
✓ So it is derived that even though SBI is the leading bank in India as well
nationalized Most of the SBI people have not gone through any problem but some have filed
complaints While in ICICI less people have filed complains as compare to SBI.This is the
vital factor affecting customers’ preferences.
✓ The another important fact is that some of the complaints in SBI were not solved
through bank authority while in ICICI almost every complaint was solved through bank
authority, and this directly affects employees satisfaction and preferences.
✓ After considering employees questionnaire it was found that in ICICI many of the
employees Are of young age(18 to 35) as compare to SBI.
✓ There is a considerable education qualification wise difference in both the banks
employees, in ICICI more post graduates as well with professional degree are working
compare to SBI.

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✓ Both the banks develop banking product services after considering customers
suggestions but ICICI is more attentive in this matter.
✓ So far as experience of service is concerned its implied that in SBI more employees
have more than 10 years as well some have even more than 30 years of experience as
compare to ICICI
It is indeed necessary to disclose all necessary details to customers as and when it is
needed, by collecting customers’ opinions it is found that in ICICI almost all in formations
are given by many of their employees.
✓ CRM(customer relationship management )practises is very essential for any bank
whether its public sector or private sector ,by asking employees it is found that ICICI
employees are strongly agree more than SBI employees.
✓ To win trust and to satisfy customers technology up gradation is quite essential, as per
their opinion ICICI banking services are more technologically updated .SBI employees are
still not strongly agree to the point that their bank provides always technologically
supported services.
✓ Almost all ICICI employees respond quickly to customers as many of them are
strongly agree upon this point while in SBI less employees are agree upon this point.
✓ As per the opinions given by SBI employees their managing committee is committed
the best possible practises to customers but some of them are not agree with these, while in
ICICI majority of them are strongly agree that their managing committee offers best
possible practises to customers,this shows that ICICI has more innovative services and
schemes for customers choice.This factor also plays vital role on customers preferences.
✓ For every bank marketing is one of the very important task to sell and establish its
new and running products/services.By asking employees of SBI for the bank the big hurdle
for marketing is tough competition prevailing in banking sector.they also give good weight
age to lack of latest technology also.But by asking to ICICI employees it was found that

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majority of them have opines competition as the biggest threats to marketing its
services,here it is derived that being a private bank they are more competition oriented to
lead their position .
✓ SBI employees are agree to the fact that their bank is always committed to growth,but
some are neutral in this fact,in ICICI majority of them are very strongly agree that their
bank is always committed to growth ,this shows that ICICI bank is more sincere towards
their progress however many other factors affect the progress.
Bank employees have to deal with day to day transactions in their routine working
life. During this time they come across to many hurdles,complaints or processes to do the
complete transaction.By asking to SBI employees that the customers are fully satisfied or
what?many of them were agree but only few were strongly agree,even some were neutral
and some of them were disagree, surprisingly the employees with more than 10 years
experience were disagree.In ICICI majority of them were strongly agree, many of them
agree and surprisingly very few are disagree or neutral. Among them majority were with
less than 5 years experience.
✓ As both the banks have widespread network and so many transactions, many a times
in day to day life employees have to face complaints,in SBI the complaints ration is more
than the ICICI,and more frequently also the reason might be delay in transaction due to
employees or faulty ATM machines and many other reasons.
✓ On the basis of the above findings it is concluded that respondents of ICICI are more
satisfied overall as compare to customers of SBI.In majority opinions the reasons are better
employees attitude plays a great role.Apart from this, ICICI offers more technologically
advanced facilities/services.ICICI is also ahead of than SBI for various offers and different
attractive schemes for various sectors;however its other hidden charges are higher than the
SBI.Today customers are quite conscious and choosy about services and extra facilities and
ambience offered by the banks,it is easy to find that being a private sector bank ICICI offers
good facilities,sitting arrangements ,token system in a better manner and more working
timings with complete customers friendly and assisting environment,in this point ,many
customers are strongly satisfied with ICICI which ratio is lesser in SBI.
In a nutshell it can be said that As it is found that ICICI is the second largest bank in India
but due to certain reasons like courteous staff, working hours, extra facilities and ambience

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technologically supported innovative services,and CRM practises also.So in general it is
derived that ICICI wins consumer preferences as compare to SBI ,However in there is no
vast difference seen in customers preferences but the difference is quite noticeable to justify
this fact.

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CHAPTER – 8
FINDINGS AND SUGGESTIONS.
FINDINGS AND SUGGESTIONS.
The conclusion and especially findings in detail From this research is described and
elaborated in this chapter .Apart from this, some suitable suggestions are also
mentioned

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• 30% respondents to choose the SBI bank is because the bank is providingw
ide branch network to the customers.
• 24% respondents are saying the reason to choose the services of the SBI ba
nk is because they are good in effective customer service
• The income level of the respondents who are having an account in
SBI bank falling under the income level of Rs. 1 – 3 Lakhs Yearly
• age group of 18yrs – 25yrs respondents mostly is having an accountin SBI
bank.
• The both gender are equally having an account in SBI bank.
• Many of respondents to choose saving account in SBI bank.
• Most of respondents taking Home loan through SBI bank, because theysatis
fied with interest rate charged by SBI.
• 30% of respondents are choosing Unit linked insurance plan in SBI.
• Many of the respondents are not aware of the many services rendered byth
e SBI bank. The few are deposit of cash in ATM, request for cheq
ue book in ATM, end of the day balance in mobile, etc.
• Sum Of the respondents to choose the ICICI bank is because the bank ismo
re reliable to the customers.
• Many of the respondents are saying the reason to choose the services of th
e ICICI bank is because they are good in efficient customer service andeffi
cient complaint handling.
• The income level of the respondents who are having an account in ICICI b
ank falling under the income level of Rs. 3 – 5 Lakhs yearly
• The age group of 25yrs - 35yrs respondents mostly is having an accountin
ICICI bank.
• The male gender is mostly having an account in ICICI bank.
• Many of the respondents are not aware of the many services rendered byth
e ICICI bank. The few are deposit of cash in ATM, request for cheque boo
k in ATM, end of the day balance
This chapter summarizes the findings and conclusions of the study. It is

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categorized into two groups viz. Specific findings, Suggestions and conclusions.
The scope for future research is also stated

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CHAPTER – 9
Limitations Of The Study
Limitations Of The Study

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As the research is based on questionnaires here are some limitations..
1. Because of time and other constraints in this survey it would not be possible to
contact each and every branch of SBI and ICICI whose responses would have
provided a better insight regarding customers’ preferences regarding bank services.
2. Purpose of research is limited to study customers’ preferences and likingson
banking services of Gujarat state only.
3. Lack of customers’ and employees interest to fill up Questionnaire.
4. Customers past experience may also affect his present preference.
5. Selection of some of the cities of Gujarat state only.
6. Limited sample size
7. Difficulty to get details from some employees of both the banks.

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CHAPTER – 10
SIGNIFICANCE OF STUDY
SIGNIFICANCE OF STUDY
The proposed study provides the much needed information about the

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customer satisfaction, which is collected by the researcher by way of primary data
from the source itself i.e. the customers. The study will highlight the application of
marketing principles to the marketing of banking services. The study can be useful
to private sector banks as well as to public sector banks. Due to time constraint it
is not possible to cover over all public and private sector so it is prudent that one
example based on convenience will be taken for e.g. from Private sector-ICICI
bank will be taken and from Public sector-SBI may be taken as these two banks
are most dominant banks in their respective sector. The study will be useful more
specifically to ICICI Bank and SBI to understand the reasons for the
dissatisfaction among the customers and thus to take corrective steps in improving
their services further. This study will become a source of information for future
researchers to collect the data and information on the marketing of banks services,
and customer satisfaction. The study also gives clear-cut idea of the methodology
required to collect and analyze the data.
✓ Getting clear picture about comparative analysis of public and private sector banks
services and commitments.
✓ Identifying real image of the bank in terms of customers; satisfaction and preferences.
✓ For knowing customers expectations from the bank.
✓ For improving services and customer relationship management practises(CRM)
✓ For promoting Ethics and human values in the banks.
✓ Useful for the prospects customers who wants to invest in the banks.
✓ Useful to improve marketing practises of banking services.

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CHAPTER – 11
CONCLUSION

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CONCLUSION
The customers now days are not only exposed of what type of service is being pr
ovided by banks in India but in the world as a whole. They expect much
more than what isactually being provided. So the now coming days SBI and IC
ICI bank have to provideand cater to all the needs of the customers otherw
ise it is difficult to survive in thecompetition coming up.They not only expect the
safety of money but also best ways to invest that money whichneed to be fulfilled. SBI and I
CICI bank need to have a better outlook towards to actuallyw h a t c u s t o m e r s a r e r e q
u i r i n g . E n t r i e s o f t h e p r i v a t e s e c t o r b a n k s h a v e m a d e t h e competi
tion tougher. If a bank is not functioning properly it is being closed. S
o it isdifficult to face these types of conditions. Here a simple philosop
hy can work thatcustomers are God and we need to follow this to survive and serve bette
r.T h e S B I a n d I C I C I b a n k a r e p o i s e d f o r e x p l o s i v e g r o w t h . I n t h i
s , s c e n a r i o , i t i s imperative that banks adopt technology at an aggress
ive Pace, if they wish to remain c o m p e t i t i v e . M o n e y m a k e s a c a s e f
o r t h e s e b a n k s t o o u t s o u r c e t h e i r t e c h n o l o g y infrastructure requirement, t
hus enabling early adoption and increased efficiencies.In the prevailing scenario, a num
ber of banks have adopt a new development strategy of infrastructure outsourcin
g, to lower the cost of service channels. As a result, other bankstoo will need to
align their reinvented business models. The required changes at both the busines
s and technology levels are enormous. In a highlySo the hypothesis created in the
study is accepted.
1. Public Sector banks are facing stiff competition from private sector banks with
regard to customer satisfaction-Accepted, because most of the employees from SBI and
ICICI have opined competition as the biggest hurdle in marketing of the services.
2. There is a difference in level of satisfaction of SBI and ICICI customers.-Accepted
because in the questions answered by the customers,of both the banks, ICICI customers
are more satisfied as they have rated their bank providing very satisfactory services.
3. Employees of ICICI bank are more efficient in providing services to customers than
employees of SBI-Accepted.Because by asking questions like solving of complaints,
ICICI employees are able to solve it within less time period as compare to SBI

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employees. Apart from these, many other answers reveal that employees of ICICI put
more efforts for marketing of services as compare to SBI employees.
In a nutshell it can be said that ICICI is the second largest bank in India but due to
certain reasons like courteous staff, working hours, extra facilities and ambience
technologically supported innovative services, and CRM practises are better in terms of
customers preferences and satisfaction..So in general, this study derives that ICICI
wins consumer preferences as compare to SBI, However in there is no vast difference
seen in customers preferences but the difference is quite noticeable to justify this fact.

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CHAPTER – 12
SUGGESTIONS

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SUGGESTIONS
1. On the basis of the entire analysis of customers’ responses and employees responses
as well also by incorporating their suggestions, as a researcher some suggestion are as
follows from the entire evaluation of this study.
2. SBI as the leading bank in India,technologically updated also as compare to previous
years,But due to tough competition with other banks and especially private sector
giant ICICI ,SBI has to face a tough competition, so suggestion is that firstly it should
try to minimize its NPA(non performing assets) which is quit higher than the other
banks, then there can be a noticeable improvements in its performance.
3. Another suggestion is about the delay in transaction. By asking many customers it is
found that many of the senior employees from SBI takes more time than the required
during completion of the transaction,for e.g. cashier takes unofficial breaks, to stand
in a long queue to fill up pass book,many a times the employees attitude is also not so
courteous or supportive,they may not much attentive to the customers.
4. Many a times ICICI keeps more bank charges for any ordinary transaction as a
mediator or even in credit or debit card as compare to SBI. Their ATM charges are
also higher as compare to SBI ,Apart from these for some special services they charge
higher than SBI.The reason is easy to understand that ICICI is a private sector bank
unlike SBI So far as ATMS are concerned, many a times customers find difficulty due to
faulty ATMs,or when they are not properly in working conditions. If they lodge complaints
it is not easily solved so the suggestion is that being a leader of banking sector SBI
should give prompt solution of this very common problem faced by customers.
5. In net banking system on the basis of this study it was found that SBI customers are
not very satisfied,the reason might be difficulty in accessibility or system.They should
focus on more updated system and consumer friendly operations of net banking like

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ICICI.
6. Being public sector bank SBI provides necessary facilities and ambience but not
compatible to ICICI. This is one of the major factor which affects customers
preference to select a bank and also affect their satisfaction level.
7. A suggestion to SBI is that normally for loan sanctioning it takes more time as
compare to other banks and especially for housing loan .The applying and sanctioning
process is also not so hassle free. Apart from these SBI demands more documents as
compare to ICICI. So due to this many small entrepreneurs or business ventures
cannot take the advantage.
8. Every bank is required to use technologically updated service facilities now a days in
the tough competition in banking sector private bank are ahead in this so SBI is
suggested to use more techno friendly services for the customers.
9. A bank is always required to promote services or products newly launched ,here SBI
is suggested to promote it within the regular customers group personally also which is
already adopted strategy by its competitor ICICI.
10. A customer always expects prompt response for any question or confusion, ICICI
beingfrom private sector is particular and focused to give immediate possible
response to customer which is the matter of improvements to certain extent in SBI.
11. CRM (customer relationship management) practises are widely adopted in service
sectors, banking is one of the prominent part of service industry. By asking employees
of SBI it is found that many of them are not strongly agree with this so suggestion to
SBI is that they should more sincerely try to develop strong relations with customers
by various ways and means.
12. After all overall satisfaction of a customer is also very important to win their trust.
By asking to customers of both the banks it was found that SBI customers are less
satisfied and the reasons are employees time taken, some services still have to be
technologically updated,and prompt solution of the complaints, and better CRM
practises .If the bank focuses on all these mentioned points it can win customers

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preferences to great extent.
CHAPTER – 13
references

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Web references-
1. www.competitionmaster.com
2. www.sbi.co.in
3. www.icicibank.com
4. www.rbi.org.in
5. www.icicibank.com
6. www.ideas.repec.org
7.Santos J (2003). E-service quality: a model of virtual service quality dimensions. Managing
Service Quality, 13(3), 233-246.
8. Babakus, E. and Boller, G. W., 1992. “An Empirical Assessment of the Servqual Scale”.
Journal of Business Research
9.www.statebankofindia.com
10.www.knowledgestom.com

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“A Study On Comparative Analysis Of Banks Terms Of Service Quality ( SBI
&ICICI)”
QUESTIONNAIRE FOR “A Study On Comparative Analysis Of Banks Terms Of
Service Quality ( SBI &ICICI)”
A Study On Comparative Analysis Of Banks Terms Of Service Quality (SBI
& ICICI)
Dear Respondent
The present study is an endeavor, " A study on comparative analysis of banks terms of
service quality (SBI&ICICI)"
The Information provided by you shall be used for research purpose and kept confidential....
Thank You
Email Id *
Your Name *
Age *
o Below 25year
o 25-40 year
o above 40year
Qualification *
o Under graduation
o Graduation
o Post graduation

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o Professional qualification
Which bank account you have *
o SBI
o ICICI
o other
do you know online banking *
o Yes
o No
According to you who use online banking most *
o students
o Businessman
o Employees
o Other
which bank gives you the more flexibility in online banking *
o SBI
o ICICI
o Both of these
o other
which type of account do you hold in the bank *
o Saving account
o Current Account
o NRI Account
o other
What are the Interest rates provided by your bank on deposit *
o 3%-5%
o 5%
o 7%-9%
o Above 9%
Have you taken any loan from bank *
o Yes
o No

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If yes, then for what purpose *
o Housing loan
o personal loan
o Vehicle loan
o Education loan
o Other
Which services are used by you through an ATM *
o Cash withdrawn
o Cash deposit
o Bills payment
o A/C transfer
o Other
Is you bank Provide Insurance service? *
o Yes
o No
If yes, Then which type of Insurance plan they provided? *
o Protection plan
o Saving plan
o Pension plan
o other
Is your bank provides stock trading service? *
o Yes
o No
o Maybe
Thank you for spending your precious time in giving your responses....

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