1. Potential Market&Expansion :-Model based on per-capita GDP growth shows that
over the next five years nominal private sector credit is expected to expand by 12%
p.a. on average in the emerging markets. In terms of credit stocks, Russia, India and
Taiwan will join the group of China, Brazil and South Korea, with private credit
outstanding exceeding USD 1 tr by 2015. However, these numbers are purely
indicative as they do not account for possible structural breaks such as changes to the
regulatory environment, potential credit crises or funding constraints. We now turn to
a more long-term perspective and aim to gauge the growth potential of the credit
markets beyond cyclical considerations. Economic theory suggests that the degree of
financial intermediation should over time adjust to equilibrium levels determined by
economic fundamentals like GDP per capita, nominal lending rates, inflation, interest
rate margins, house prices and public debt levels (to account for crowding-out effects).
Additional possible determinants are the legal and regulatory environment of an
economy, the quality of infrastructure and the degree of liberalisation of the financial
sector. When plotting current levels of GDP per capita against private credit-to-GDP
ratios, we find that the relationship between economic development and financial
intermediation holds for our country. Using IMF GDP per-capita forecasts we then
generate estimates of private credit stocks in 2015. Our forecasts show that credit in
EMs will expand by 12% per year on average, with above-average growth in Russia,
Korea, Argentina, China, Indonesia, Nigeria, India, the Czech Republic, Romania,
Taiwan and Saudi Arabia. In 2010 China, Brazil and South Korea were the only EMs
with private credit outstanding over one trillion USD; if our projections are correct,
Russia, India and Taiwan will join this group by 2015. The top ten banking markets
by size are expected to remain the same in 2015. There are several caveats attached to
our forecasts. First, they do not account for possible structural breaks such as changes
to the regulatory environment or potential credit crises. Second, there are limitations
concerning causality since here we are deriving credit growth from GDP growth.
Research focusing on the relationship between financial development and economic
growth also find the opposite causal relationship. Finally, due to constraints to credit
growth, such as the weak funding base in many Eastern European countries, our
forecasts might prove optimistic in some cases like Russia, Kazakhstan and Romania.
Growth Opportunity :-In many credit to households only accounted for a small
portion of total credit outstanding one or two decades ago. Over the last decade this
has changed dramatically in several countries. Driven by rising per-capita income, the
emergence of a middle class, institutional improvements (i.e. the setting up of credit
bureaus) and a deliberate strategy to target the retail market, consumer lending
expanded rapidly, both in absolute terms and relative to corporate lending. Currently,
most EM banking sectors have reached a stage where consumer credits, mortgage

2. loans and credit cards are the dominating business areas in retail lending. Increasingly,
however, mutual fund investments and old-age provisioning are gaining in importance
as well. Beside this Icici bank have a lot of opportunity in rural market special in tier
1, tier 2 and even tier 3 cities to cover the market, since people in these citys are still
dependent on old era of banking and Hence, this area of market is still very huge and
opportunity can be grab up with the modern era banks like icici bank.
Comments :-By going through the potential market expansion & growth opportunity
we can clearly point out that there is still huge potential and opportunity in the market
for icici bank. Icici bank is one of the most innovative bank in India, the services
which they provide like Mon-Sat 8 am to 8 pm is quite remarkable and beside this
they always come up with innovative banking and technologyin terms of banking is
concern.The technology like Electronic branches which are currently 25 all over india,
but slowing expanding and the Tab banking service where you can open your bank
account simply using internet, the E-Locker where you can safely keep your important
document in their server and bring up supreme service like Help-on-Tab where its
branch staff to pre-process customers' transactions while the customers are waiting to
get serviced in the branch. It will create a 'Self-Service' ecosystem that will reduce the
servicing time for customers. The tablet will be enabled with in-built Wi-Fi
connectivity, which will make it mobile and easy to operate, are one of the most
innovative banking solutions which icici bank come up with. Such innovative services
are actually differentiate the banks from other. The bank have huge opportunity in
rural market special in tier 1, tier 2 and even tier 3 cities to cover the market, since
people in these citys are still dependent on old era of banking.
Past Strategy :Introduced concept of branding in the Indian banking industry
Process, People and Physical evidence – brought to life by ICICI
Product Innovation
Introduction of DSA’s and DST’s
Unleashed the power of the internet
First bank to focus on retail banking as a driver for growth
Comprehensive data centre availability & data protection solutions
Target marketing and customer acquisition
Share of wallet
Channel strategy and management
Relationship management and databasemarketing
Product development & innovation
Credit approval

3. Basis for segmentation
Occupation
Different products for different occupationalsegment identified•
Income
Minimum balance serves as a income segmentbarrier•
Geographical
Concentrated on Tier 1 & Tier 2 Cities trying toextend reach•
Age
Different products like student account
Targeting
DifferentiatedMarketingStrategy
1) Tailors itsmarketingcampaigns tomeet the needs of its targetprospects
2) Createsdifferentiatedproduct offeringfor differentsegment
3) Use of technologyin trackingcustomer segment
Positioning
 Core proposition –‘Hum hainna’– trust,credibility, total financial
solution provider(brought about through its cross selling effort)•
 Modernization –process and physical evidence– technology as the backbone
and accelerator
Need identification
a) Adapting international practices to the local context
b) Information system warehouse
c) Product development department – continuously studies market and analyses
competitive landscape
Product differentiation
 Variants in various basic products like savings bank accounts to suit different
customer base and customer needs.
Product augmentation
 Redefinition of the banking products with extrabenefits and features added to
the products
Pricing
 Penetrative pricing aimed at achieving large market share
 Philosophy of profit through volume
 Effort to drive out competition
 Price leader in retail banking product
 Aggressive pricing facilitated through low cost of fund acquisition
Distribution Strategy
 Cross selling of products as a major area of focus

4.  Creation of concept of DSA (Direct Selling Agent)
 Creation of concept of DST (Direct Selling Team)
 Effort on the part of the bank to reach the customerrather than waiting for the
customer
 Use of internet, mobile, ATM’s and othertechnological device to reach and
serve thecustomers
Product Promotion
 Aimed at generating sales
 Communicates product features and benefits
 Mainly through print media
 Point of purchase promotion tools for different products to reach the relevant
customer segment
Outdoor Activities
Need to be seen…everywhere!!’
 Events at corporate campus
 Promotional material at channel partner outlets
 Billboards
 Signboards
 Kiosks in residential and commercial complexes
Other Initiatives
 In-film promotions –Baghban
 Co-Branding Initiatives :a) Alliance with Amway India forlaunch of the international creditcard. The card
will enable Amwaydistributors to purchase Amwayproducts and earn and
redeemreward points
b) Indian Railways Catering And Tourism Development Corporation,in
conjunction with ICICI Bank,announced the launch of mobilepayments and
ticketing system,offering IRCTC customers to bookrailway tickets via SMS
and makepayments through their ICICI Bankaccounts
 Cross brand associations - acquiring data bases of high net worth clientele of
lifestyle products : Tie-up with ‘Woven Hues’
 Young Stars Account – Promotion through tie-up with Cartoon Network, and
in-series promotion through Tom & Jerry
 Seminars in partnership with media channels
Innovative Idea :-