“CUSTOMER SATISFACTION IN THIRD PARTY PRODUCTS OF J&K BANK”

Submitted by:NITAN NARANGR.No- 154 MBA09

For academic session(2009-2011)

MIETMODEL INSTITUTE OF ENGINEERING AND TECHNOLOGY

(AFFILIATED TO UNIVERSITY OF JAMMU)

CERTIFICATE

It is certify that Mr.NITAN NARANG studying in MBA-3rd sem, under

Model Institute Of Engineering and Technology had completed his

project report on the topic “customer satisfaction in third party products

of Jammu and Kashmir Bank”,F.S Department, Rail Head Complex,

Zonal Office Jammu under my guidance and supervision during the

academic year 2010-2011. To the best of my knowledge the work done

by the student is original and will be of valuable sources for the scholars

and organisation/banks the advance research work in the field under

reference.

Mrs.Susham Sharma

Zonal Coordinator

FS Department

DECLARATION

I hereby declare that the project report of the topic “CUSTOMER

SATISFACTION IN THIRD PARTY PRODUCTS OF J&K BANK” in

Jammu city completed and submitted under the guidance and

supervision of Mrs. SUSHAM SHARMA [FS Department] is my

original work.

The preparation of the project report is based on my personal findings,

several visits and interaction with the officials, employees, customers,

consultations with the eminent scholars. Further study was also assisted

by published and unpublished material and secondary sources.

Name of student:

NITAN NARANG

ACKNOWLEDGEMENTS

No Project work is carried in vacuum. Project work is never the work of

an individual. Many persons contributed to the development of my

project report. Everyone was with their ideas, suggestions &

contributions that really helped me in making an easy, clear , limited and

systematic project report.

First of all I express my regards to my family who are always there to

support and encourage me. They provided a congenial atmosphere for my

work. I could not have a accomplished all that was expected without that

special patience and understanding that only a family can give..

A heartfelt thank is also extended to the incharge marketing Mrs. Susham

Sharma and Mr. Rohit for their valuable guidance for the project which

help me in making this project work as a success.

Last but not least, I want to thank all those customers of J&K Bank Ltd.

who sincerely filled in the questionnaires.

NITAN NARANG

CONTENTS

1. Meaning of “Customer Satisfaction”

2. Introduction.

History of JK Bank

i. Govt. Ownership-an advantage

ii. Mission of the Bank

iii. Vision

iv. Company Profile

v. Features

3. Board of Directors

4. Third Party Products of J & k bank

i. Insurance Services

ii. Mutual Fund Services

iii. Point of Sale Service

iv. Card Services

5. Objectives of study

6. Scope of study

7. Methodology

8. Sample design

9. Analysis and Interpretation

10.Conclusion

11.Questionnaire

12.Bibliography

MEANING OF CUSTOMER SATISFACTION

“SATISFACTION is a person’s feelings of pleasure or disappointment

resulting from comparing a product’s perceived performance(or

outcome) in relation to his or her expectations”

As this definition makes clear, Satisfaction is a function of perceived

performance &expectations. If the performance falls short of

expectation, the customer is dissatisfied. If the performance matches the

expectation, the customer is highly satisfied or delighted.

Many companies are aiming for high satisfaction because customers who

are just satisfied still find it easy to switch when a better offer comes

along. Those who are highly satisfied are much less ready to switch.

High satisfaction or delight creates an emotional bond with the brand,

not just a rational preference.The result is high customer loyalty. Xerox’s

senior management believes that a very satisfied or delighted customer is

worth 10 times as much to the company as a satisfied customer. A very

satisfied customer is likely to stay with Xerox many more years & buy

more than a satisfied customer will.

How do buyers form their expectations? From past buying experience,

friends & associates’, advice, & marketers’ &competitors’ information

& promises. If marketers raise expectations too high, the buyer is likely

to be disappointed. For example,Holiday Inn ran a campaign a few years

ago called “No surprises”.Yet hotel guests still encountered a host of

problems & Holiday Inn had to withdraw the campaign. However, if the

company sets expectations too low, it won’t attract enough buyers

(although it will satisfy those who do buy).

Some of today’s most successful companies are raising expectation &

delivering performances to match these expectation. These companies

are aiming for TCS-total customer satisfaction. Xerox, for

example,guartees “total satisfaction” &will replace at its expense any

dissatisfied customer’s equipment within a period of 3 years after

purchase.

The key to generating high customer loyalty is to deliver high customer

value. Today various kinds of tools are used for tracking & measuring

customer satisfication. These are:

1. COMPLAINT SUGGESTION SYSTEMS

A customer-centered organization makes it easy for its customer to

deliver suggestion & complaints. Some companies provide forms to

customers to report likes & dislikes. Others establish hot with toll-free

number. Companies are also adding web pages & e-mail to facilitate

two-way communications. These information flows provide companies

with many good ideas &enable them to act quickly to resolve problems.

2.CUSTOMER SATISFACTION SURVEYS:

Studies show that although customers are, dissatisfied with one out of

every fours purchases, less than 5% of dissatisfied customer will

complain. Most customer will buy less or switch suppliers. Complaint

levels are thus not a good measure of customer satisfaction directly by

conducting periodic surveys. They send questionnaires or make

telephone calls to a random sample of recent customer. They also solicit

customer views on their competitors performances.

3. GHOST SHOPPING:

Companies can hire persons to pose potential customers to report on

strong & weak points experienced in buying the company’s &

competitors products and services. They can also test whether

company’s personnel can handle various situations well. A variant of

this is for managers to phone their own organization with questions and

complaints to see how the calls are handled.

DIFFERENT DEFINITIONS HAVE BEEN GIVEN FOR

CONSUMER BEHAVIOUR WHICH ARE:

1) It is “ the process whereby individual decide whether , what , when ,

where , how and from whom purchase goods and services.”

- Professor Walter C.G & Professor Paul G.W.

2) Consumer behaviour is “the behaviour that consumers display in

searching for , purchasing , using , evaluating and disposing off products

and services that they expect will satisfy their needs.”

- Schifftnan & Kanuk.

3) Consumer behaviour is defined as “all psychological, social &

physical behaviour of potential customers as they become aware of

evaluate purchase, consume & tell others about products & services.”

- Webster.

4) “The study of consumer behaviour in most part is the study of

consumer buying the actual conception.”

- Professor Alderson W.

So, it is necessary on the part of the company to understand consumer

behaviour for the survival of organization in present time. Consumer

should be the focus of marketing efforts.

HISTORY OF JAMMU AND KASHMIR BANK

The Jammu Kashmir bank limited was incorporated on 1st October,

1938 commenced from 4th July, 1939. The bank was first as a state

owned bank.

The new identity for J & K bank is a visual representation of the Banks

philosophy and strategy. The three coloured squares represent the regions

of Jammu, Kashmir & Ladakh. The interaction of the squares is a falcon

with outstretched wings- a symbol of empowerment. The synergy

between the three regions propels the banks towards new horizons

signifies growth and renewal. Blue conveys stability and unity. Red

represents energy and power; Green attributes integrity all assimilated in

the white counter-form.

According to the extended laws of the state, Jammu Kashmir bank

defined government and the provision of Indian company’s Act 1956 in

the year 1971, the Bank received the status of scheduled bank. It was

declared as “A” class bank by RBI in 1976.

The origin of Jammu and Kashmir Bank Limited, more commonly

referred to as J&K

Bank, can be traced back to the year 1938, when it was established as the

first state-owned bank in India. The bank was incorporated on 1st

October 1938 and it was in the following year (more precisely on 4th July

1939) that it commenced its business, in Kashmir (India). It was initially

set up as a semi-State Bank, with its capital being contributed by State as

well as the public under the control of State Government.

Jammu and Kashmir Bank had to face serious problems in 1947 i.e. at the

time of independence. With the partition of Pakistan, two out of the total

ten branches of the bank, namely the ones in Muzaffarabad and Mirpur,

fell to the other side of the line of control (now Pak Occupied Kashmir),

along with cash and other assets. At that point of time, in keeping with

the extended Central laws of the state, J&K Bank was categorized as a

Government Company, as per the provisions of Indian Companies Act

1956

It was in the year 1971 that Jammu and Kashmir Bank was granted the

status of a 'Scheduled Bank'. Five years later, it was declared as "A" Class

Bank, by the Reserve Bank of India (RBI). As the years passed on, the

bank started achieving more and more success. Today, it boasts of more

than 500 branches across the country. It was only recently that Jammu

and Kashmir Bank became a billion dollar company. Governed by the

Companies Act and Banking Regulation Act of India, it is regulated by

RBI and SEBI. It finds a listing on the National Stock Exchange (NSE)

and Bombay Stock Exchange (BSE) as well.

GOVERNMENT OWNERSHIP AN ADVANTAGE

J K Bank has a unique competitive advantage stemming from its

government ownership, access to low cost of funds, the bankers are also

building the good will of the bank. Thus helping the bank to move

forward.

MISSION OF THE BANK

Mission have been set to remain a financially strong, growth oriented and

profitable by bringing main focus towards providing convenient, reliable,

cost effective and personalized services to customers and globally

competitive and foray with the business of banking. The objectives of

banking provide ‘value maximization’ to all its share holders i.e. its

customers and employees.

VISION

The vision of the JK bank is to be financially sound, profitable and

technological bank committed to banking and maximization sustainable

value for its share holders, customers and employees.

COMPANY’S PROFILE

Incorporated in 1938 as a limited company.

Governed by the Companies Act and Banking Regulations Act of

India.

Regulated by Reserve Bank Of India RBI Security Exchange

Board Of IndiaSEBI.

Listed on the National Stock Exchange NSE and Bombay Stock

ExchangeBSE

53 Percent owned by the government of JK bank.

Rated “P1+” S & P CRISIL connoting highest degree of safety.

Four decades of uninterrupted profitability and dividends.

UNIQUE CHARACTERISTICS

Private sector bank despite government holding 53 percent of

equity.

Sole banker and lender of last resort to the government of J & k.

Plan and non plan funds, taxes and non tax revenues routed

through the bank.

Salaries of government official disbursed by the bank.

Only private sector bank designated as agent of RBI for Banking.

Carries out banking business of the central Government.

Collects Taxes pertaining to central board of direct taxes in J & k.

J&K Bank carries out banking business of the Central Government.

Inspite of a government equity holding of 53 per cent, Jammu &

Kashmir Bank (J&K Bank) is regarded as a private sector bank

Registered Office Corporate Headquarters

M A Road M A Road

Srinagar 190001 Srinagar 190001

Jammu & Kashmir Jammu & Kashmir

www.jkbank.ne t

HASEEB A DRABU Chairman & Executive

Haseeb A Drabu, Chairman & Chief Executive Officer of is a

professional economist, who has been on the board of the bank since 11th

July, 2003. Possessing a diverse wide ranging experience, he started his

professional career Perspective Planning Division of the economic

Advisory to the prime Minister. His final stint with policy making was

Tenth Finance Commission. Moving from government to, of business

journalism, he joined India’s premier finance Business standard, and rose

to become National Edit paper. Even as a regular commentator on

economic issues associated with various governmental policy making

notably, in 1997, he was appointed member of High Committee on

Economic Reforms for J & k to present, he continued to work as the

economic Advisor of Govt. of J & k, opposition he has held on January

2003. He is credited with having conceptualised ranging economic and

fiscal reforms of the state Govt. has been recently inducted by the

planning commission working group on resources for the eleventh Five-

year plan.

M.S. VERMA

Maya Shanker Verma, a career banker with 45 years experience, working

in the Indian financial sector has held some of the most and critical

positions in the country’s financial system as its regulatory regimes. In a

career spanning over four decades with the State Bank of India. India’s

commercial bank, Mr Verma’s experience has been multiwide ranging on

different facets of banking at national and international levels

encompassing commercial, development and investment banking as well

as asset management and capital operations. He was the Chairman of the

State Bank of India during April, 1997 to November, 1998. Mr Verma

has understanding of total financial systems and strutting and

management of such systems in developing countries. It was under the

chairmanship of Mr Verma recorded very strongly to become a leading

Private Sector Bank in India. Mr Verma acted as Honourable advisor to

the Reserve Bank of India in which time he under took several important

policy with the projects from Governor of the Reserve Bank of India.

G.P.GUPTA

G.P.Gupta, a post-Graduate in Commerce, having combination in both

academics and public sector, is also the Ex-Chairman Managing Director,

IDBI and served on several distributed positions such as Chairman,

SIDBI,

National Stocks Exchange of India Ltd; Member, Life Insurance

Corporation of India, Member, General Insurance Corporation of India.

The infrastructure Development Finance Company Ltd, Directs the

airlines Ltd., Director, Discount & Finance House of Indian Director,

Securities Trading Corporation of India Ltd

DR.NARENDRA JADHAVE

Dr.Narendra Jadhave is an eminent economist. More than 30 years of

distinguished service with Reserve Bank including as Principal Adviser

and Chief economist, played an important role in macro-economic policy

making. Dr. Jadhav will be bringing with himself a unique set of several

dimensions, which will add value and compliment the objectives of the

bank. A prolific writer, Dr. Jadhav has written books mainly on economic

and social issues and has prepared the research papers to his credit in

national and international repute. He has also served as Advisor to

Executive Director of India at the International Monetary Fund and

Senior Advisor to various governments; including Ethopia.More he was

involved in the reconstruction of Afghanistan economic Chief Economic

Counsellor.

B.B. VYAS (IAS)

B.B.VYAS(IAS) Officer alloted to J & K Cadre is a Govt. nominated

Director of our bank, having rich and varied experience in

Banking,Finance,Agriculture,Disaster Management and Divisional

Administration.Mr. Vyas has held distinguished positions in his career as

Govt. servant served in the central Govt. as Deputy Secretary in the Rural

Credit, in Department of Banking in Ministry of Finance has played an

active role in the recapitalisation of regional banks (RRBs) and

restructuring of Co-operative Credit frame work in the country. Mr. Vyas

has also served as Govt. Nominee Directors of UCO Bank was involved

in the formulation and implementation of Revival Plan, State Bank of

Bikaner and Jaipur (SBBI), Insurance and Credit Guarantee Corporation

(DICGC) etc. has also headed the personal office of union Finance

besides serving for three years in United Nations Development

Programme (UNDP), over seeing “livelihood-based” presently,

Mr.B.B.VYAS is working as Finance Secretary State Government of J &

k. He is also holding directors number of state-owned Corporation such

as Jammu & state Power Development Corporation Ltd., J & K

Development, Jammu & Kashmir Industries Cement J & K Handicrafts

Development Corporation, Handlooms Development Corporation, J & K

Projects Corporation etc.

ASHOK KUMAR MEHTA

Mr. Ashok Kumar Mehta is the Executive Director of Organisation. Mr.

Mehta has a long standing association with the bank, dated to 1972 and

has served bank’s hierarchy in various of capacities as part of Bank’s

Corporate Management Team in course of his career with the bank, Mr.

Mehta has also Chairman of Jammu Rural Bank-a rural bank sponsored

by J&K Bank. Mr. Mehta has been instrumental in setting of joint

insurance venture with Met Life International, USA played a key role in

forging ties with Bajaj Allianz Insurance Co. Ltd. for distribution of Non

Life and Life Insurance Products. He has pioneering work in initiating

and implementing the package under “Naye Subah” which incorporates

new organisational setup and procedures. His other areas of specialization

include Finance and Financial Services, Planning and development of

Accounts and Estates.

ABDUL MAJID MIR

Mr. Abdul Majid Mir, Executive Director of Bank, more than 36 years of

experience in banking. Mr. Abdul Majid had held various important and

senior positions in the Bank and its corporate Management Team. He has

special knowledge of practical experience in the fields of Finance, Credit,

Trade of Foreign Exchange, Treasury, Corporate and Retail Deposits and

Liability Management and Risk Management.

B.L.DOGRA

B.L.DOGRA is a Fellow Member of the institute Accountants of India

and is also Founder of M/S DOGRA as a practising firm of Chartered

Accountants. Presently is Director with our bank, Mr.Dogra has also

served on the Directors of Punjab National Bank and has also been the

organiser of J & k chapter of Northern India. Mr.Dogra has been

associated with social and sports associations of the state a rich and

varied experience in the field of Banking and which has facilitated

healthy rejuvenation in the Bank’s working.

THIRD PARTY PRODUCTS OF J&K BANK

MUTUAL FUNDS

INSURANCE

CREDIT CARDS

POINT OF SALE

MUTUAL FUNDS

Mutual Fund is an instrument of investing money. Nowadays, bank rates

have fallen down and are generally below the inflation rate. Therefore,

keeping large amounts of money in bank is not a wise option, as in real

terms the value of money decreases over a period of time.

One of the options is to invest the money in stock market. But a common

investor is not informed and competent enough to understand the

intricacies of stock market. This is where mutual funds come to the

rescue.

A mutual fund is a group of investors operating through a fund manager

to purchase a diverse portfolio of stocks or bonds. Mutual funds are

highly cost efficient and very easy to invest in. By pooling money

together in a mutual fund, investors can purchase stocks or bonds with

much lower trading costs than if they tried to do it on their own.

Also, one doesn't have to figure out which stocks or bonds to buy. But

the biggest advantage of mutual funds is diversification.

Diversification means spreading out money across many different types

of investments. When one investment is down another might be up.

Diversification of investment holdings reduces the risk tremendously.

On the basis of their structure and objective, mutual funds can be

classified into following major types:-

TYPES OF MUTUAL FUNDS:-

Closed-end funds ;

A closed-end mutual fund has a set number of shares issued to the public

through an initial public offering.

Open-end funds;

Open end funds are operated by a mutual fund house which raises money

from shareholders and invests in a group of assets

Large cap funds;

Large cap funds are those mutual funds, which seek capital appreciation

by investing primarily in stocks of large blue chip companies

Mid-cap funds;

Mid cap funds are those mutual funds, which invest in small / medium

sized companies. As there is no standard definition classifying

companies.

Equity funds;

Equity mutual funds are also known as stock mutual funds. Equity mutual

funds invest pooled amounts of money in the stocks of public companies.

Balanced funds;

Balanced fund is also known as hybrid fund. It is a type of mutual fund

that buys a combination of common stock, preferred stock, bonds, and

short-term bonds.

Growth funds;

Growth funds are those mutual funds that aim to achieve capital

appreciation by investing in growth stocks.

No load funds ;

Mutual funds can be classified into two types - Load mutual funds and

No-Load mutual funds.

Exchange traded funds;

Exchange Traded Funds (ETFs) represent a basket of securities that is

traded on an exchange, similar to a stock. Hence, unlike conventional

mutual funds

Value funds;

Value funds are those mutual funds that tend to focus on safety rather

than growth, and often choose investments providing dividends as well as

capital appreciation.

Money market funds;

A money market fund is a mutual fund that invests solely in money

market instruments. Money market instruments are forms of debt that

mature in less than one

year and are very liquid.

International mutual funds;

International mutual funds are those funds that invest in non-domestic

securities markets throughout the world.

Regional mutual funds;

Regional mutual fund is a mutual fund that confines itself to investments

in securities from a specified geographical area, usually, the fund's local

region.

Sector funds;

Sector mutual funds are those mutual that restrict their investments to a

particular segment or sector of the economy.

Index funds;

An index fund is a mutual fund or exchange-traded fund) that aims to

replicate the movements of an index of a specific financial market.

Fund of funds;

A fund of funds (FoF) is an investment fund that holds a portfolio of

other investment funds rather than investing directly in shares, bonds or

other securities.

Mutual Funds of J&K Bank;

J&K Bank has entered into tie-ups with reputed Asset Management

Companies for distribution of Mutual Fund products.

Mutual Fund industry is one of the fastest growing segments in

financial services in India. Over the years, banks in India have

emerged as the biggest distributors of financial products. This has

helped the J&K Bank to capture and retain their huge client base

and simultaneously adding a steady stream of fee based income.

Mutual Funds have become an attractive proposition for investors

in the current context and for J&K Bank it will be a good

investment option to have in our product portfolio. This shall be an

important step towards converting the bank branch into a financial

supermarket addressing all the financial needs of the customers

thus helping the bank retain the customers within its fold

Moreover the J&K Bank can augment its fee based income the

Bank aims to match to industry standards.

INSURANCE SERVICES:-

Insurance policies are a safeguard against the uncertainties of life.

Insurance is system by which the losses suffered by a few are spread over

many, exposed to similar risks. Insurance is a protection against financial

loss arising on the happening of an unexpected event. Insurance policy

helps in not only mitigating risks but also provides a financial cushion

against adverse financial burdens suffered.

INTRODUCTION

Insurance is a contract between two parties, the insurer or the insurance

company, and the insured, the person seeking the cover. Within this

contract, the insurer agrees to pay the insurer for financial losses arising

out of any unforeseen events or risk in return for a regular payment of

premium. Thus, these insurance plans are also called as a Risk Cover

Plans, which means to financially compensate for losses that occur

uncertainly through accident, illness, theft, natural disaster. As one can

not fight against these man-made and natural calamities, so at least be

prepared for them and their aftermath by taking insurance policies.

INSURANCE:- A KIND OF INVESTMENT

Insurance is an attractive option for investment but most people are not

aware of its advantages as an investment option.

Insurance also serves as an excellent tax saving mechanism. The

Government of India has offered tax incentives to life insurance products

in order to facilitate the flow of funds into productive assets.

INSURANCE REGULATORY & DEVELOPMENT

AUTHORITY (IRDA)

Insurance Regulatory & Development Authority is regulatory and

development authority under Government of India in order to protect the

interests of the policyholders and to regulate, promote and ensure orderly

growth of the insurance industry.

Types of Insurance

Insurance policies cover the risk of life as well as other assets and

valuables, such as, home, automobiles and jewellery. On the basis of the

risk they cover, insurance policies can be classified into two categories:

Life Insurance

General /non-life Insurance.

As the term suggests, Life Insurance covers the risk involved in a

person's life, while General Insurance provides financial protection

against unforeseen events, like accident, flood, earthquake, disease,

etc.

LIFE INSURANCE SERVICE OF J&K BANK;

In life insurance segment, the bank joined hands with MetLife

International (USA) and it culminated into the launch of MetLife India

Insurance Company Private Limited, which was incorporated in India

on April 11, 2001. MetLife India is a joint venture between MetLife

International Holdings Inc., the J&K Bank, M. Pallonji and Co. Private

Limited and other small private investors. MetLife India is headquartered

in Bangalore

It is remarkable that MetLife International, headquartered in New York,

is number one insurer in the United States based on over US$ 2 trillion of

life insurance in force and serves approximately 9 million individual

households in the U.S. as well as 87 of the Fortune 100 companies. It has

its affiliates, subsidiaries and representative offices in 15 countries.

The bank is also Corporate Agent of MetLife and is marketing its

products through its strong branch network.

NON-LIFE INSURANCEOF J&K BANK;

The Bank has entered into an alliance with Bajaj Allianz to distribute

their non-life products.

These products are available at all branches of the bank across India.

About METLIFE:-

With over 137 years of experience, the MetLife companies serve

millions of customers in the Americas and Asia with one goal in mind –

to build financial freedom for everyone. The MetLife companies are a

leader in group benefits that serve 88 of the top one hundred FORTUNE

500®* companies, and provide benefits to 37 million employees and

family members through its plans sponsors in the U.S. The MetLife

companies are also ranked #1 in group life and #1 in commercial dental

in the U.S. The MetLife companies are the number one life insurer in

the U.S. with approximately US $2.8 trillion of life insurance in force.

In India, MetLife was incorporated in 2001, and aims to differentiate

itself through customized need based selling, simple and innovative

products, and technology-backed service experience, to tread its path to

build financial freedom for everyone.

The equity holdings of the MetLife are divided as follows:-

MetLife: - 25%

J&K Bank: - 26%

M Pallonji Group: - 31%

Other strategic investors hold the remaining 18% equity; seven

shareholders in total

Product Details:-

No one can give you all the answers when it comes to dealing with life's

ups and downs. But insurance certainly equips one to deal with life

better. Following are the various products offered by MetLife to suit

specific needs of the consumers :

Accumulation

Whole Life Policy  

Met 100- Limited Pay Whole life Non - Participating

Met 100- Limited Pay Whole life Participating

Endowment Policy

MET Suvidha

Money Back Policy

Met Sukh Money Back Non Participating

Met Bhavishya

Multi Purpose

Met Smart Plus    

Met Smart Premier    

Met Smart Plus - Single Pay    

Met Smart Premier - Single Pay    

Protection

Met Suraksha - TROP

Met Suraksha - TA

Met-Mortgage Protector SP/Limited pay(MRTA)

Retirement

MET Pension - Participating Deferred Annuity

MET Advantage Plus

Add Ons

Accidental Death Benefit (ADB)

Term Rider

Waiver Of Premium

Critical Illness

CREDIT SERVICES

 Customer Information  |  Investor Relations  | Services

Global Access Card | Empowerment Credit Card |

Merchant Acquiring | User Guide

Global Access C

Empowerment Credit Charges

Customer Benefits

20-50 day Credit Free Period

Revolving Credit Facility on paying of minimum payment due in

the same billing period.

Hassle free credit facility at competitive rate of interest.

Cash Withdrawal Facility upto 20% of total credit limits.

Loyalty programme.

24 Hour Customer Assistance at JK Bank Helpdesk.

CREDIT CARDS;  

Types of Cards

Blue Empowerment Credit Card

Silver Empowerment Credit card

Gold Empowerment Credit Card

Acceptability

All Merchant Establishments like shops who honour MasterCard™

Credit Cards.

All ATM's which accept MasterCard™ Credit Cards

Eligibility

FOR EMPLOYED:-

BLUE CREDIT CARD; up to 1.5lac/annum

SILVER CREDIT CARD; 1.5 to 2.5lac/annum

GOLD CREDIT CARD; above 2.5lac/annum

FOR BUSINESS MEN:-

BLUE CREDIT CARD; up to 2.5lac/annum

SILVER CREDIT CARD; 2.5 to 3.5lac/annum

GOLD CREDIT CARD; above 3.5lac/annum

DOCUMENTATION

Income Proof

Address Proof

Identity Proof

CREDIT LIMITS

Blue Empowerment Credit Card- Upto Rs.25,000.00

Silver Empowerment Credit Card-Upto Rs.50,000.00

Gold Empowerment Credit Card-Upto Rs.1,00,000.00

RATE OF INTEREST

2% per month

LATE FEE

Rs.100

Cash Withdrawal Charges

2% per month from date of Withdrawal along with transactional

charges

TOP MERCHANT ACQUIRING

Features

All types of Visa & MasterCard based cards Accepted.

Can Extend American Express Card Acceptance.

Quick Merchant Payment.

Merchant Helpdesk and Onsite Support.

Competitive Commission Rates.

No hidden Charges.

Charges

On time Installation Charges.

Commision on per transaction basis.

Documentation

Form is to be downloaded from net.

EXPERIENCE:-

During my Summer Training Project under J&K Bank I was assigned a

job of marketing of Credit cards of J&K bank. I was given full fledged

training about the overview of the product. The training was provided by

our Project In charge Mr. Rohit. He taught us how to motivate the

people to purchase the product.

I was made to go in the market and sell the given product. My experience

was good as I got a chance to interact with people and to know about the

market conditions and challenges that the product and the Bank are

facing.

I participated actively and persuaded people to get the product. I found

that people are very much eager to know about the new product. Many

people got ready to invest in the scheme but many were those who were

not sure about the product and needed some assurance and some have

denied straightly.

So it was a good experience to get into the market and directly interact

with people and know about the market challenges that a person faces

during the marketing of any product.

POINT OF SALE SERVICE

INTRODUCTION

A POS service is now a days becoming a necessity. As people are making

so much of transactions that it is becoming hectic to carry a large amount

of money from place to place. But the POS has made the life easier as it

has made the world more globalized.It has introduced the idea of Plastic

Money in the Globilised world.

People swaps and make the clearance by the help of POS service. It’s also

a divine gift to the business men as they are able to get more money

transactions and in turn getting more money.

POINT OF SALE SYSTEMS BUYER'S GUIDE

1. Steps to follow to get the POS service

POS Systems introduction .

Need a POS system?

Hospitality POS vs. retail POS systems .

POS system basics .

Point of sale equipment .

POS hardware - other peripherals .

Point of Sale Software

POS Pricing & how to buy .

POS service and support .

Choosing a POS dealer .

POS buying tips .

Find a dealer .

2. PROBLEMS IF ANY

One should get an in-depth explanation of how your potential POS

system vendors handle support.J&K bank will diagnose problems over

the phone first many basic problems can be solved this way.J&K bank

have telephone support available 24 x 7, while others are available only

during business hours.

For problems that can not be solved over the phone, there are different

options for escalation. J&K bank usually have field service technicians

who can come to one’s location and make repairs. If they can not fix the

problem on site, they are able to provide loaner equipment that can keep

one’s business running. Usually one can get a guarantee that site repairs

will happen with 24 hours.

If the salesman does not have field technicians - they will set up direct

Internet access to your system, so they can dial in and make changes

remotely.

Also, J&K bank will send you a replacement component as soon as you

call in with a problem and then have you send the broken component to

them for repair.

If you have many terminals, this is probably fine - you will get your new

parts within a day or two. For smaller business with only a few terminals,

losing one for two days may not be an option.

CHOOSING A POS DEALER;

Because of the critical nature of a POS system, choosing a POS dealer is

a big decision - bigger in many ways than the actual hardware and

software choices. Price is an issue, but in many cases you get what you

pay for, so it is worth doing your research before committing to a POS

dealer. Here are some ways to make sure that your POS dealer is

dedicated to and capable of supporting your business through any

problems you might have.

Table of Contents

POS Systems introduction

Need a POS system?

Hospitality POS vs. retail POS systems .

POS system basics .

Point of sale equipment .

POS hardware - other peripherals .

Point of Sale Software

POS Pricing & how to buy .

POS service and support .

Choosing a POS dealer .

POS buying tips .

Find a dealer .

After AXIS bank its J&K bank who provide better POS service in J&K

state.

Thus people can opt for J&K Bank or AXIS bank for POS service.

SUPPORT

As discussed here, customer support is critical to the success of a POS

installation. Make sure you know exactly what your POS dealer provides

in terms of response times, replacement policies, and telephone support.

This is the single most important aspect of a POS purchasing decision.

But opting for J&K bank’s service can be a right decision to be taken for

POS service. As J&K bank is providing better facilities for the merchants

to enjoy.

INSTALLATION

Installation is done by the J&K bank it self. Marketing salesmen have to

motivate merchants to install the machine. After persuading them an

agreement is to be filled. If the merchant is not having a bank account in

the J&K bank then he has to fill an another form of current account and

then the whole documents are submitted in the main branch of the bank

and then the further procedure is done by the bank itself.

After 15 days of gap the POS machine is installed by the engineers at the

given place.

FACILITIES

Visiting POS dealers' facilities can be a great way to get a sense of their

operation. One should be able to check out their repair shop and get a

sense of how busy they are.. Depending on your support needs, proximity

may or may not be important to you - if you plan to rely on telephone

support and shipping components back for repair, it will not matter, but if

you expect field technicians to come to you, distance from the vendor can

be a factor.

The J&K bank is providing following services;

It’s providing free service for first 3 months.

Bank is charging 1.3% commission per swap.

It allows every card to be swaped through POS machine.

It charges 250 Rs per month after first 3 months if transaction is

not up to 45,000 Rs per month.

DEMONSTRATIONS

Nothing gives a better sense of how easy a system is to use than trying it

yourself. Some vendors do on-site demos, which gives you the added

advantage of being able to see how the hardware looks in your location.

Others will invite you to try the system in their office, which gives you

that facilities tour we discussed. Either way, an in-person demo is

strongly recommended if you are unfamiliar with POS systems.

But J&K bank is not providing such on-site or live demos. The bank is

providing some brochures, forms and agreements, they are to be filled

and agreement is made to enjoy the service. The Bank sends its marketing

people in the market and these people makes the merchant to understand

that actually what is POS service, how it will affect your business and

you will get the gains in your business e.t.c.

REFERENCES

Another familiar way to investigate POS dealers for your business is to

ask for references to other customers - make sure to ask for references

that are in business similar to yours. Of course, you will be referred to the

vendor's most satisfied customers, but you can still learn quite a bit from

them. Here are some sample questions to ask the references:

How has the POS system influenced your business that you do?

What do you wish you had done differently?

Have you needed any support or repairs? How did the vendor respond?

Do you know of any one else who uses this system? This can get you

additional references to speak to, some of whom might be more candid.

If you had to say one negative thing about the system/dealer, what would

it be?

Do not be afraid to ask for a reference that dislikes the dealer, as well.

Every business has dissatisfied customers from time to time, and you can

certainly learn from them.

RETURN POLICIES

J&K bank offer warranties that will enable you to get repairs or

replacements for any equipment failures, but returning equipment is more

difficult. J&K Bank may allow you to exchange individual pieces of

hardware for others, but some may not accept returns at all. Again, make

sure you understand these policies before you sign a contract.

POS BUYING TIPS

Point of Sale Systems Buyer's Guide

Make sure you think through all of your special discounts and

promotions before making a purchase. Those unusual programs can

be difficult to accommodate in some software, so make sure you do

the research.

MAINTAINANCE

As with any computer systems, backups are important. Talk to the bank

about creating automated backup schedules.

Do not use your POS computers for anything other than POS. Especially

resist the temptation to connect them to the Internet and use them for web

browsing or email.

Preventative maintenance can be important. Simply vacuuming out the

cases and lubing and cleaning printers can extend their lives considerably.

If you have a little bit of computer ability and think you might be able to

put a POS system together yourself… that is probably a very bad idea.

POS systems have to be much more robust than regular systems, and the

issues that can crop up are very specific to POS.

Most major POS software publishers provide some sort of demo on their

web sites – many even provide a full working version of the software

either as a download or on CD. Using the software on your own can help

you evaluate the ease of use and judge how stable and/or buggy the

software is.

So one should make sure that one has to inquire about the bank and its

POS service but J&K bank is providing most reliable services.

OBJECTIVES OF THE STUDY

To know what are third party products.

To review the third party products/services undertaken by the bank.

To be knowledged about the level of expectations of any customer

about any particular third party product.

To analyse what motivates people to buy third party products.

To analyse the dissatisfaction among people for any third party

product of J&K bank.

To analyse the marketing strategies of J&K bank.

To analyse the market challenges that bank is facing.

SCOPE OF THE STUDY:-

To improve the Third Party Product services of the bank.

To make the bank able to face the market challenges.

To know about their competitors.

To increase the customer satisfaction.

To increase the good will of the bank.

RESEARCH METHODOLOGY

Research Methodology is a science of studying how research is done

scientifically. It is way to systematically solve the research problem by

logically adopting various steps. Methodology helps to understand not

only the products but the process itself. It aims to describe and analyse

methods, through light on their limitations and procedures and resources,

clarify their presuppositions and potentialities to the twilight zone at the

‘frontiers of knowledge’.

Research is an art of scientific investigation. It is the systematic

investigation on order to find out facts and solution of a particular

problem. It is the “Search for Knowledge” By adopting proper method of

research we can easily find our Solution and can achieve our objectives

easily.

Research methodology is the systematic way to solve the research

problem. This research methodology has helped in assessing the finding

& result for this purpose a let of information was needed.

RESEARCH DESIGN

The mode of the research was the exploratory i.e goal oriented or target

oriented.

Sample Size 100

Collection of data

Primary data:

Pry. Data is collected through personal interviews, questionnaires,

telephonic conversations, by doing swot analysis.

A survey was conducted on the different categories of people to study the

level of awareness of products and schemes offered by the bank.

The main research instrument with the help of which survey was

undertaken was questionnaire. The questionnaire contains a set of open-

end questions through which information was collected.

A sample of 100 people was taken to conduct the survey. The people

belong to different occupations.

Occupation Percentage

Businessman 20%

Service class 45%

Professionals 35%

ANALYSIS AND INTERPRETATION:-

On conducting survey on Third Party Products of J&K Bank following

data was concluded

1. Are you aware of different credit cards offered by J&K Bank?

yes

no

Where

70% -- Aware

30% -- Unaware

Here we conclude that most of the people are aware of different credit

cards offered by the bank.

2. Which card you prefer?

Blue EmpowermentCard

Silver EmowermentCard

Gold EmpowermentCrad

Where

Blue Empowerment Card -- 60%

Silver Empowerment Card – 30%

Gold Empowerment Card – 10%

Here we conclude that preference of Credit Cards goes in this order:

Blue Empowerment Card>Silver Empowerment Card >Gold

Empowerment Card

3. Are you finding any difficulty while using credit cards?

Yes

No

Where

20% said YES

And 80% said NO

Here we conclude that most of the customers are not finding any

difficulty while using credit cards.

4. Does the company solves your problem or queries in time?

Yes

No

Where

75% are satisfied with the query handling &

25% are unsatisfied.

5. How would you rate the Interest Rates charged by J&K Bank

on credit cards?

High

Medium

Low

Competitive

Where ratings were like this:

High – 5%

Medium – 30%

Low – 15%

Competitive – 50%

Here we conclude that the rating goes in this way;

Competitive>Medium>Low>High

6. Are you satisfied with the bank’s delivery of statement of your

bills?

Yes

No

Where

70% -- Satisfied

30% -- Not Satisfied

7. How would you rate credit card services provided by J&K

Bank?

Excellent

Good

Average

Below Average

Where

Excellent --- 15%

Good --- 35%

Average --- 45%

Below Average --- 5%

Here we conclude that rating given by the people goes in the order:

Average>Good>Excellent>Below Average

8. Are you using MUTUAL FUNDS services provided by J&K

bank?

Yes

No

Where

60%---- Yes

40%---- No

9. Are you satisfied with the timely information of the Mutual

Funds that the bank provided?

Yes

No

Where

75% are Satisfied &

25% are Unsatisfied.

Here we conclude that majority people are satisfied with the information

provided by the bank about Mutual Funds.

10. Do you find any difficulty while the purchase of Mutual

Funds?

Yes

No

Where 5% said Yes

And 95% said No

Here we conclude that majority of the people find it easy to purchase

Mutual Funds.

11. Do you get easy and required information from the toll free

numbers financed by the Mutual Funds provider?

Yes

No

Where

65% said Yes

& 35% said No

12.Do you get the timely feedback for the money you have

invested in Mutual Funds?

Yes

No

Where

70%--- Yes

& 30%--- No

Here we conclude that information provision by the bank is good but still

there are chances for improvement.

13.Are you satisfied with the services of the J&K Bank in terms of

query handling of Mutual Funds?

Yes

No

Where

80% said Yes

& 20% said No

Here we conclude that most of the people were satisfied but still there

needs a proper query handling.

14.J&K Bank’s Insurance policy preferred by people?

Met Smart Plus

Met Smart Gold

Met Suvidha

Met Sukh

Met Smart Saver

Where

Met Smart Plus = 40%

Met Smart gold = 30%

Met Suvidha = 12%

Met Sukh = 10%

Met Smart Saver = 8%

Here we conclude that the preference of Insurance goes in the order:

Met Smart plus>Met Smart gold>Met Suvidha> Met Sukh>Met

Smart Saver.

15.Are you satisfied by the type of insurance product/packages

provided by J&K Bank?

Yes

No

Where

95% were Satisfied

& 5% were Unsatisfied

Here we conclude that majority of people were satisfied by Insurance

products of J&K Bank

16.How would you rate the services or assistance provided by

J&K bank as an agent?

Excellent

Good

Average

Below Average

Where

Excellent – 10%

Good – 56%

Average – 33%

Below Average – 1%

Here we conclude that the rating of J&K Bank as an Agent goes like this:

Good>Average>Excellent>Below Average.

17.Are you satisfied with growth generated by the policy that you

have?

Yes

No

Where

90% said Yes

& 10% said No

Here we conclude that majority of the policyholders were satisfied with

the growth of their policy.

SUGGESTIONS

Bank should have proper department or person who has

complete knowledge & information about mutual funds.

There should be improvement in the toll free numbers financed

by the mutual fund provider.

Bank need to create good & efficient customer care centre for

credit card holders.

Bank need to improve timely delivery of customer bills

They are focused on getting new business but they should also

focus on existing customer service.

CONCLUSION

Thus from the above inferences we get the following conclusion:-

Credit service is most preferable Third Party Product service of

J&K Bank that is enjoyed by the citizens of the state. But the other

services should also be stressed on so as to make them up to the

mark.

People had rate the card service as good that means that there is

more customer satisfaction for card service

Most people had rated interest rate charged on credit card by J&k

Bank as competitive.

Most of people are satisfied by the timely information of the

mutual funds that the bank provided.

Most of people are satisfied by the toll free nos but still there is

need of improvement in this service to increase more customer

satisfaction.

In case of Insurance service provided by the bank most of the

people have taken Met Smart plus plan and Met smart gold. So

there is neeed of improvement in other policies provided by the

bank by making various marketing strategies.

Most of people had rate the service provided by J&K bank as an

agent as good that means customer are satisfied by Insurance

service

CUSTOMER SATISFACTION IN THIRD PARTY

SERVICES OF J&K BANK

QUESTIONNAIRE

AGE: ____________________

PROFESSION: ____________________

QUALIFICTION: ________________________________

SEX: ____________________

INCOME (annually) _________________________________

1. Are u aware of the different credit card offered by J&K bank?

Yes Insura No

2. Which card will you prefer?

Blue empowerment card Silver empowerment card

Gold empowerment card

3. Are you finding any difficulty while using credit card, if yes give

any instance?

________________________________________________________

_________

________________________________________________________

_________

4. Does the company solve your problems or queries in time?

Yes No

5. How would you rate the interest rate charged by J&K Bank on

credit cards?

High Low

Medium Competitive

6. Are you satisfied with the Bank delivery of statement of ur bills?

Yes No

7. How would you rate credit card services provided by J&K Bank?

Excellent Good

Average Below average

Your Suggestion about credit card if any?

8. Are you using mutual fund services provided by J&K Bank?

Yes No

9. Are you satisfied with the timely information of the Mutual Funds

that the bank provided?

Yes No

10. Do you find any difficulty while the purchase of Mutual Funds?

Yes No

11. Do you get easy and required information in the toll-free nos

financed by the mutual fund provider?

Yes No

12. Do you get the timely feed back for the money you have invested

in mutual funds?

Yes No

13.Are you satisfied with the services of the J&K bank in terms of

query handling of Mutual Funds ?

Yes No

Your suggestion about Mutual Funds ?

______________________________________________________

_________

14.Have you taken any insurance policy from J&K bank, if yes

specify the name which policy you have taken?

___________________________________________________________

______

15. Are you satisfied by the type of insurance product/packages

provided?

16. How would you rate the services or assistance provided by J&K

bank as an agent?

Excellent Good

Average Below average

17. Are you satisfied with the growth generated by the policy that you

have?

Yes No

Your suggestion about MetLife ?

______________________________________________________

_________

BIBLOGRAPHY

www.jkbank.net

www.google.com

Marketing Management ---- By: Philip Kotler.

Research Methodology ---- By: Kothari