State Bank of India has more than 18 crore customers who bank with over 15,000 branches. Given its vast size and presence in 32 countries, the business data of the bank was spread over several domestic and international source systems like core banking (domestic and international), trade finance, treasury (domestic and international), ATMs, Internet banking, mobile banking, payment systems, etc. Each system in turn had huge number of customer accounts and very high transaction volumes. In order to resolve this issue and integrate the data from diverse sources into timely and reliable actionable information, the bank undertook the SBI Data Warehouse Project.
The objective of the bank was two-fold — it wanted to offer timely information to the top management and decision makers so that they can analyze it and take appropriate decisions, and it wanted to perform data mining or analytics over such huge data sets available. Thus, the bank deployed BI and advanced analytical tools like IBM Cognos, UNICA Campaign Management, SPSS Modeler, Intelligent Miner and Open Pages on the IBM platform.
The project has enabled the bank to use predictive analytics for several business areas, including credit risk management, operational risk management, and ATM operations and strategy. Bank branches and controllers also have access to single view of data integrated from the different sources. These insights are being utilized by different business units for reviewing performance of various products across categories, locations, branches and customer profiles. This in turn is helping the bank to adopt a more focused approach towards targeting specific customer segments and locations for product promotions/campaigns and launch of customized products and services.
The bank is also able to provide important BI dashboards on smartphones and iPads, which enables top executives to review performances of various activities and take real-time decisions, even while travelling. As a part of the project, the bank has integrated the Lead Management System with its existing CRM system UNICA, where customer interactions are recorded, traced and tagged. This helps the bank in designing more efficient target campaigns, marketing new products and services and converting the prospect into a valuable customer. Apart from this, significant shift from branch transactions to alternate channel transactions as a result of effective marketing and campaigning activities, has resulted in considerable cost reduction for the bank.
By using CRM analytics for targeted campaigns, the bank is able to convert more leads, resulting in substantial increase in revenues. Based on the insights from Debit Cards – POS transactions analytics, the bank can take decisions for improving market share by formulating strategies for promoting cards more effectively to prospective customers, devising effective loyalty reward points for customer retention, and formulating region-specific reward programs and merchant tie-ups. Also, ATM analytics has enabled the bank to better position its ATMs across the country, which has helped the bank to attract more customers, resulting in the increase in the bank’s earnings and reduction in operating cost.
With the use of efficient BI reporting and analytics, SBI has launched various sorts of online banking, mobile banking and ATM services, which has enabled it to acquire new customers. It also has effective grievance redressal and complaints resolution mechanism in place for its existing customers across business lines. Apart from this, it can perform trend analysis to observe customer attrition and churn and devise strategies accordingly.
Highlights
The objective of the bank was two-fold — it wanted to offer timely information to the top management and decision makers so that they can analyze it and take appropriate decisions, and it wanted to perform data mining or analytics over such huge data sets available. Thus, the bank deployed BI and advanced analytical tools like IBM Cognos, UNICA Campaign Management, SPSS Modeler, Intelligent Miner and Open Pages on the IBM platform.
The project has enabled the bank to use predictive analytics for several business areas, including credit risk management, operational risk management, and ATM operations and strategy. Bank branches and controllers also have access to single view of data integrated from the different sources. These insights are being utilized by different business units for reviewing performance of various products across categories, locations, branches and customer profiles. This in turn is helping the bank to adopt a more focused approach towards targeting specific customer segments and locations for product promotions/campaigns and launch of customized products and services.
The bank is also able to provide important BI dashboards on smartphones and iPads, which enables top executives to review performances of various activities and take real-time decisions, even while travelling. As a part of the project, the bank has integrated the Lead Management System with its existing CRM system UNICA, where customer interactions are recorded, traced and tagged. This helps the bank in designing more efficient target campaigns, marketing new products and services and converting the prospect into a valuable customer. Apart from this, significant shift from branch transactions to alternate channel transactions as a result of effective marketing and campaigning activities, has resulted in considerable cost reduction for the bank.
By using CRM analytics for targeted campaigns, the bank is able to convert more leads, resulting in substantial increase in revenues. Based on the insights from Debit Cards – POS transactions analytics, the bank can take decisions for improving market share by formulating strategies for promoting cards more effectively to prospective customers, devising effective loyalty reward points for customer retention, and formulating region-specific reward programs and merchant tie-ups. Also, ATM analytics has enabled the bank to better position its ATMs across the country, which has helped the bank to attract more customers, resulting in the increase in the bank’s earnings and reduction in operating cost.
With the use of efficient BI reporting and analytics, SBI has launched various sorts of online banking, mobile banking and ATM services, which has enabled it to acquire new customers. It also has effective grievance redressal and complaints resolution mechanism in place for its existing customers across business lines. Apart from this, it can perform trend analysis to observe customer attrition and churn and devise strategies accordingly.
Highlights
- The bank has been able to generate 78,759 leads (9.56 percent growth over the last year) and convert 9,374 leads (39.87 percent growth over the last year).
- It generated revenue worth Rs 375.64 crore, with nearly 27 percent growth from 2011.
- It reached out to 3.78 crore customers through 163 campaigns.
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