Evaluating Marketing Strategy of Jamuna Bank Limited

Evaluating Marketing Strategy of Jamuna Bank Limited

The major objective of this report is to analysis Evaluating Marketing Strategy of Jamuna Bank Limited. General objectives of this reports are to evaluate marketing strategy of JBL, and how they formulate their marketing strategy? Here also explain the efficiency level of its present marketing strategies are working and to recommend some better strategies and suggest it for their policy implication. Finally this report make swot analysis about Marketing Strategy of Jamuna Bank Limited.



Capital formation is deemed as a significant variable for economic development. An efficient and well-organized financial system contributes to the much-desired economic development through capital formation. Commercial banks constitute the most important function in the whole network of the financial system for mobilization of savings, intermediation between savers and investors and allocation of credit to productive sectors and thus play a dynamic role in the economic development of a nation. Banks offer necessary finance to set up and run the industries and provide finance to agriculture and other sector of the economy.

Throughout the last few years Bangladesh has been experiencing a rapid and significant change in the banking sector. Not only in our country, all over the world the dimension of banking has been changing rapidly mainly due to the technological innovation, globalization and deregulation. This change all over the world has significantly affected the banking industry of our country, the result of which is the change in this sector in our country. Now the condition is such that banks must compete in the market place both with local institutions as well as foreign ones. For this reason, I choose the Banking sector for successful completion of my internship program.

It is a nice opportunity for the graduates to have a taste of the real business world before starting their career. Internship, in the modern business world, helps students to demonstrate skills and competence from their supervised experience and, in addition, enables them to demonstrate maturity and acceptable professional, personal and interpersonal behavior. As the classroom discussion alone cannot make a student perfect in handling the real business situation, therefore it is an opportunity for the students to get accustomed with the real life situation through this program.


Objectives of the study

The main Objectives of the report are listed below:

  • To evaluate marketing strategy of JBL, and how they formulate their marketing strategy?
  • To examine the efficiency level of its present marketing strategies are working.
  • To recommend some better strategies and suggest it for their policy implication.


Hypothetical Research Question:

Q1: What is the current position of Jamuna Bank Limited Motijheel Branch in the market?

Q2: What percentages of the customers are fully satisfied to the service of JBL Motijheel Branch?

Q3: What about their feelings about its service quality?

Q4: What reason or what uniqueness are influenced consumers for choosing the JBL Motijheel Branch?

Q5: How the customer’s describe the quality of service of this bank?



To examine these kinds of questions I use Frequency Distribution, Factor analysis and Descriptive analysis. Frequency Distribution is a mathematical distribution whose objective is to obtain a count of the number of responses associated with different values of one variable and to express these counts in percentage terms.

In this situation our hypothesis is, “Jamuna Bank Limited Motijheel Branch can fulfill its customer’s demand to give proper service quality or not?”

And “Customer are fully satisfied with it or not?”


Global Economy: an Overview

Global economic growth in the year under review has been seen surpassing projections though there were some factors anticipated to hinder growth. As a matter of fact, world economy forged ahead modestly blessed by favorable financial market and flexible but appropriate macroeconomic policies pursued by most of the economies. Real GDP recorded 6.70 percent growth in FY 2006 compared to 6.00 percent in the preceding year. US GDP growth accelerated at a marginal point in the year under review as compared to that of the preceding year caused by softening of consumer demand and fluctuation of oil price. The Global Economic growth experienced decline in the year 2000 and 2001. In the beginning of the year 2002 the world economy showed the sign of recovery. The world economic growth stood at 2.8% in 2002 compared to 2.5% of 2001 and 4.7% in 2000. In the 3rd quarter of 2002 the growth of key indicators of world economy became stagnant. Some big corporations of the USA & Europe went for liquidation at the same time. Threat of possible war in Iraq caused a rise in oil price, which collapsed the confidence of consumers and business society. The growth in the industrialized nations further declined in 2002.

Domestic economy

A credible record of sustained growth within a stable macro-economic framework has been established by Bangladesh. Her achievements in macro economic management and social developments have been laudable as compared to those in many Asian countries. Bangladesh is now a role model for socio-economic development including disaster management. The performance of her microfinance sector has been able to surpass many records in financial arena. The outstanding performance of Grameen Microfinance was acclaimed hugely by the world in recognition of which Prof. Dr. Muhammad Yunus and his Grameen Bank earned the most prestigious Nobel Prize in peace in 2006. Foreign direct investment is getting momentum with increased inflows in recent years. Total FDI inflows were US$ 845 million, a record increase in 2005.

In the recent past, Bangladesh has been growing at steady rate with her economy. Despite rise in oil price and the end of quota restriction overall economic activities of the country rebounded during FY 2005-06. GDP growth was estimated to rise by 6.7 percent in FY 2005-06 as against 5.9 percent in FY 2004-05. Per capita income stood at US $456 in FY 2005-06 which was Tk.441 in FY 2004-05. The proportion of domestic resource to the country’s ADP has been estimated to rise by 2.5% in FY 2005-06 over 2004-05. In the revised budget revenue income of the Government was estimated to be Tk. 44,868 crore during FY 2005-06 as against Tk. 39200 crore in the previous year showing an increase of Tk. 5,668 crore (14.46%). The revenue expenditure was estimated at Tk. 34,805 crore in FY 2005-06 being 4.44% higher than that of the previous year.

Finance adviser AB Mirza Azizul Islam has proposed a budget of Tk. 99,962 crore, with Tk. 30,580 crore deficits in the FY 2010-11. And this deficit budget translate into an 86% increase in bank borrowing, which runs the risks of drying out credit for the private sector which the adviser expects to increase to 22.6%. The budget of 2008-09 is 26% bigger than that of 2007-08 FY budget. The Government has pushed up revenue target to Tk 69,382 crore, which is 21 percent higher than the target in the original budget of FY 2010-11. For ADP in FY 2008-09, the Government has allocated Tk. 25,600 crore against Tk.26, 500 crore in FY 2010-11.

A brief description about Bangladesh Bank

Bangladesh Bank, the central bank of the country, was established as a body corporate vide the Bangladesh Bank Order, 1972 (P.O. No. 127 of 1972) with effect from 16th December, 1971. The general superintendence and direction of affairs and business of the Bank are entrusted to a nine member Board of Directors which consists of the Governor as chairman, a Deputy Governor, three senior government officials and four persons having experience and proven capacity in the fields of banking, trade, commerce, industry or agriculture – all nominated by the government. The board, which is the highest policy making body, meets at least six times a year and at least once every quarter under the chairmanship of the Governor. The Governor, appointed by the government as the chief executive officer, directs and controls all the affairs of the Bank on behalf of the Board.


a) To regulate the issue of the currency and the keeping of reserves;
b) To manage the monetary and credit system of Bangladesh with a view to stabilizing domestic monetary value;
c) To preserve the par value of the Bangladesh Taka;
d) To promote and maintain a high level of production, employment and real income in Bangladesh; and to foster growth and development of the country’s productive resources for the national interest


The Bangladesh Bank (BB), through ensuring the quality of services and the competence of its staff, shall operate as a modern, dynamic, effective, and forward-looking central bank to manage the country’s monetary and financial system with a view to stabilizing the internal and external value of Bangladesh Taka conducive to rapid growth and development of the economy.


To uphold the vision and in pursuant with the Bangladesh Bank Order of 1972, Bangladesh Bank’s mission is to promote and maintain macroeconomic and price stability through:

To fulfill its mission, BB would undertake activities related to developing the national financial system and management of monetary, foreign exchange, and credit policies. The Bangladesh Bank’s core mission strategies cover both monetary policy and financial sector developments.

Monetary Policy

The aim is to achieve the twin goals of containing inflation and promoting sustained and stable economic growth; provide policy advice to the Government on deficit financing and public debt management; manage the balance of payments and foreign exchange reserves; provide payment services and ensure the stability of the financial system; conduct treasury and government securities related operations; and efficiently perform other international financial activities.

Financial Sector Developments

Critical activities cover the development of the financial systems; provide effective prudential supervision; ensure information access, market intelligence, and contingency planning to avoid systematic risks; assist banking and financial entities to become efficient and competitive; discover new modalities for delivering agricultural and industrial term credit; enhance the access of small and medium enterprises to investment funds; further develop the market in public and private debt and risk capital; and promote measures for inclusion of people hitherto bypassed in formal financial systems.

In addition, the Bangladesh Bank will continuously adopt necessary measures for taking a proactive stance in decision making; compiling relevant statistics and conducting high quality and timely economic research to review the country’s financial and economic conditions to support decision making; ensuring efficient and professional management of BB’s human and financial resources; and establishing BB’s distinct identity based on its values and strategic roles.


Business Performance

JBL has registered a steady growth in all spheres of its operations and expects to attain better results in the days ahead.

Target Market for Loans and Advances

  • Agro processing industry
  • Textile spinning, Dyeing/printing
  • Export oriented Garments, Sweater
  • Foods & Allied
  • Paper & products
  • Engineering steel mills
  • Chemical, Pharmaceuticals etc
  • Telecommunication
  • Computer Software and information technology
  • Manufacturing of artificial flowers
  • Electronics
  • Infrastructures
  • Oil & gas
  • Jewelry and diamond cutting and polishing
  • Liquefied Petroleum Gas (LPG)
  • Compressed Natural Gas (CNG)
  • Tiles
  • Ceramics
  • Small and Medium Enterprises (SME)

Product or service offer by bank

  • Retail Banking
  • Deposit taking including special schemes viz. MSS, MBS, DBDS, TBDS etc.
  • Remittance and collection
  • Import and Export handling and financing
  • Corporate Banking
  • Loan syndication
  • Project Finance
  • Investment Banking
  • Consumer Credit
  • Lease Finance
  • Hire Purchase
  • 24 Hours Banking Q-cash ATM
  • Personal loan for women

 Three Themes for Growth

  • Introducing Card Network and electronic banking.
  • Expanding personalized services
  • Building strong presence in the market with reputation.

R&D: Investing into the Future

Excellence in banking operation depends largely on a well equipped and efficient Research and Development Division. Such activities require the investment of substantial resources and a set of qualified personnel with multidisciplinary background. Although it is not possible at this stage to undertake R&D activities similar to those of the banks in the developed countries, Jamuna Bank’ has established a core Research and Planning Division comprising skilled persons from the very inception of the Bank.

Human Recourses:

They sincerely believe investment in human recourses ultimately pays high divided and also recognize the intellectual capital is the most important asset for the Bank. The Bank offers competitive comprehensive package to the employees. They  recognize  the importance of the developing  a well trained professional staff whose skill and dynamic X-ray vision and deep commitment will steer the Bank through the turbulence of globalize  business scenario to growth and prosperity.

The bank also recognizes the importance of employee participation in standardization and general well-being of the company. They believe that their success depends on our employees who are working together in the interest of our customers. They follow the under-mentioned policies for the development of our human resource.

  • The Bank committed to nurturing the employee relationship by continuous development of innovative reward and incentive programs that focus on long and short term operational and strategic goals.
  • Emphasis is given to teamwork, training and philosophy of internal promotion to enhance the empowerment of employees
  • For free exchange of positive ideas within the workplace a policy is adopted for open, honest and two –way communication.
  • For maintaining their human resources they reward them with performance bonus, overseas trip, promotions, and increments reasonably.

Besides developing the human resources professionally, with the view of this Jamuna Bank has established a library where all sorts of books including professional books are available so that the officers and executives can sharpen and update their knowledge.

Information technology

Use of technology for providing prompt services to customers is inevitable for a service industry like bank. They have a strong conviction of applying information technology in their operation for ensuring prompt but accurate service to their customer. All of their branches are connected with on-line. They have established 45 ATMs. They have already introduced direct debit card, credit card in limited range, tele banking. All these, they believe “would take your bank to a newer height in auto-banking services.”

Training Division

The Bank has set up Training Institute for providing training facilities to its executives/officers and this training institute was established in September, 2006. The Training Institute has already conducted a number of foundations and specialized training courses. A number of officers were sent to Bangladesh Institute of Bank Management (BIBM) and other training institutes at home and abroad for specialized training on various aspects of banking.

Social responsibility

In the backdrop of profound financial success the benign Board of Directors and prudent management considered the formation of Jamuna Bank Foundation through which some social welfare activities can be rendered to the society. For the last few years, they are consistently expanding their social welfare activities. They have distributed relief to the various disaster-affected areas of the country. They have contributed Tk.1.00 million to Muktijoddha Jadughar, Tk.1.00 million to Atish Dipanker University etc. The bank also distributed 27,000 new blankets among the distressed peoples. They have started scholarship programme to the meritorious but financially weak students in various parts of the country.

Correspondent Relationship

Jamuna Bank Limited has established correspondent    relationship with leading International Banks in 117 countries through 152 correspondents to cover all important financial    centers of the Globe. It endeavors to increase its network of Correspondent  Relationship  with prime International Banks and Financial Institutions in order to help satisfy  the expanded needs of its customer  globally Efforts are being made of established drawing arrangements with the overseas exchange house to bring home-bound remittance into the country through the Banking channel.

Automation and Customer Service

Banking is an industry has to cope with rapid change. Innovative and Application to technology to meet the needs to our customers are becoming more vital than ever before. From day one, Jamuna Bank Limited has been offering automated banking services to its customers through use of cutting edge technology. It is so being done to extended quick services with accuracy. They shall constantly try adapted their selves to every change and competition.

Jamuna Bank Limited got membership of the society for worldwide inter bank Financial Telecommunication (SWIFT) and going to provide the valued customers’ prompt & accurate trade related activities.

The Bank has signed an agreement with ITCL with view to introduced Q-cash ATM 24 hours banking services with provision for Debit/ Credit Card, Utility bill payment at Merchant location etc. From the month of July 2008, they have already started their VISA card for the customer. The Bank is contemplating to introduce online Banking facilities to its valued customers to facilities Branch to Branch transaction, withdrawals and remittances of fund through the Branch network.

Internal Control and Audit System

With a view to reviewing and evaluating internal control system the bank has an Internal Control & Compliance Division managed by experienced and efficient personnel. There are three departments under the Division namely

  • Audit and Inspection Department
  • Compliance Department &
  • Monitoring Department

Appointment of Auditors

M/s. G. Kibria & Company, ‘A’ graded firm of Chartered Accountants as identified by Bangladesh bank was appointed as external auditor for the Bank in the 5th Annual General Meeting for the third consecutive year.

Corporate Banking

When the bank do business with big parties such as, who have

  1. Blue chips in the  market
  2. High turnovers
  3. Excellent Profit
  4. Long Reputation in the market
  5. Goodwill
  6. Who are under  legal bindings by the  country law

Online Banking

The main features of JBL online Banking are as follows:

  • Centralized Database
  • Platform Independent
  • Real time any branch banking
  • Internet banking interface
  • ATM interface
  • Corporate MIS facility

Hours banking Q-Cash ATM

Q-cash is a self-service automated network that services all your banking needs – The JBL Q-cash card is more than just an ATM card.

It can be used as a combination of debit and credit card. More importantly JBL Q-cash card contains a microchip that allows it to store money as well as transaction and account information within transforming the way you do your banking. To Q-cash network offer all your banking requirements without ever setting foot in a bank. It’s more than just an ATM service for quick cash withdrawals or account inquiries.

With the unique point of sale (POS) terminals situated in shops, restaurants and other service centers around the city, any one can use their JBL Q-cash card with the JBL Q-cash card they will be able to access banking services and account information at all times from any of 50 ATM and numbers POs (Point Of Sale) terminals around the city, revolutionizing your everyday banking transaction. JBL Q-cash card provides. JBL Q-cash card provides round the clock banking. ATM operates 24 hours to offer.

Cash withdrawals from any Q-cash logo marked ATM Card can store account information within and record transactions offline. ATM and POS services can be accessed without the need for online authorization from your bank.

Prevention of Money Laundering

In line with the provisions of Money Laundering Prevention Act 2002 and Bangladesh Bank instruction and guidance Jamuna Bank Limited has strengthen Anti Money, Laundering activities. Besides creating awareness among the valued customer, the Bank also conducted a number of Training Programs for its officials. A good number of officials of the Bank participated in training programs/workshops.


They expect to continue their endeavor for a strong asset base and automated banking in the years ahead. Through their personalized services to the valued clients and integrated approach the Bank aims to maintain a strong presence in the banking sector of Bangladesh. They also plan to focus on customers’ satisfaction as the highest priority and on managing the core assets and cost controls to maximize the shareholders’ value, In this competitive market environment Jamuna Bank Limited is confident to make increased gains in revenue, income .+, and return on capital.

Future Thrust

(a) Full duplex on-line banking

(b) SMS Banking

(c) Merchant Banking

(d) Enhancing In-house Training Facilities

(e) By modernizing the Training Institute

(f) Innovation and introduction of new liability/asset products

(g) Credit card

(h) Internet Banking

(i) Opening new branches

(j) Disaster Recovery Site (DRS)

(k) Expansion of business network at home and abroad


Competitors of the JBL are others commercial banks, it can be private or public and financial institutions such as insurance companies, lease companies etc. Main branch of JBL is situated in Dilkusha Commercial Area, Dhaka that place is the main commercial place in Bangladesh and maximum financial institutions are situated in this area. So the main branch of JBL always does face lots of competition in its business.

Threat & new entries

New entries in the financial market always threat for banks and it is more threat for JBL. Because when any new financial company such as bank, insurance company, leasing company introduced in the financial market then it creates more competition with the existing companies and then JBL has to face competition with these new companies.


SWOT Analysis:

SWOT analysis is the detailed study of an organization’s exposure and potential in perspective of its strength, weakness, opportunity and threat. This facilitates the organization to make their existing line of performance and also foresee the future to improve their performance in comparison to their competitors. As though this tool, an organization can also study its current position, it can also be considered as an important tool for making changes in the strategic management of the organization.


  • Experienced top management
  • Satisfactory capital base
  • Low infection in loan exposure
  • Prospective IT infrastructure


  • Limited market share
  • Exposure to large loan
  • Excessive dependency on term deposits
  • Weak fund management
  • High cost of fund
  • Islamic Branch funds are not ring fenced


  • Regulatory environment favoring private sector
  • Credit card
  • Small and medium enterprises


  • Daily basis interest on deposit offered by HSBC.
  • Increased competition in the market for quality assets
  • Supply gap of foreign currency
  • Overall liquidity crisis in money market



Jamuna Bank Limited Motijheel Branch

Jamuna Bank Motijheel Branch has started its operation on 7th December 2006 as 24th Branch of JBL. The branch is located at 2 DIT Avenue (Extension), Motijheel C/A Dhaka-1000. Office floor is spacious that can accommodate good number of customers comfortably.

The branch has efficient human resources that can meet up customer’s needs. Order wise work load is distributed properly. Besides, interpersonal relationship is remarkable. Most noted strength is customer service. Prompt, cordial and enthusiastic service satisfies almost all customers. Flexible banking hour attracts more clients doing banking transactions with the branch. In some cases, customers coming outside the banking hour can honor cheque and others without delay.

Under the charge of Vice president and Manager Mr. Khorshed Ahmed Nayeem the branch has been performing very well. Under his efficient handling, the branch has already been able to introduce itself as one of the best performer among other branches of JBL.

Jamuna Bank Limited Motijheel Branch is a new branch because it started its operation from 7th December 2006. So its age is one and half year. In this short time, the performance of this bank is cooperatively good. It is not an Authorized Dealer Branch because it is operating from a short span of time. But this branch can open L/C and can do import export business. Jamuna Bank Foreign Exchange Branch works as AD Branch for JBL Motijheel Branch.

Performance of Motijheel Branch at a glance as on June 2011

(Tk. In Thousand)

Sl No.Name of the itemsPerformance June 2010Performance June 2011
i. Core Deposit630087.00394337.00
ii. Bank Deposit
iii. Bills Payable4744.002413.00
01.Total Deposit (i+ii+iii)634831.00396750.00
02.Loans & Advances207896.0040590.00
03.Total Import54340.003611.00
04.No. of Import L/C3202
05.Total Export97429.0030300.00
06.No. of Export Document Handled18455
07.Total Remittance(Local)37647
08.Total Remittance (Foreign)10969
09.Total Guarantee Issued7408732

 Table: Performance of JBL Motijheel Branch



Marketing concept

Marketing is the performance of business activities that direct the flow of goods and services from producer to consumer or user.

Marketing is the process by which companies create value for customers and build strong customer’s relationships in order to capture value from customers in return.

Marketing management wants to design strategies that will build profitable relationships with target consumers. But what Philosophy should guide these marketing strategies? What weight should be given to the interests of customers, the organization, and society? very often this interest conflict.

There are five alternative concepts under which organizations design and carry out their marketing strategic:

The production concept:

The idea that consumers will favor products those are available and highly affordable.

The product concept:

The idea that consumers will favor products that offer the most in quality,   performance, and features and the organization should therefore devote its energy to making continuous product improvements.

The selling concept:

The idea that consumers will not buy enough of the firm’s products unless it undertakes a large-scale selling and promotion effort.

Marketing concept:

The marketing management philosophy that holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfaction better than competitors do.

The societal marketing concept:

A principle of enlightened marketing that holds that a company should make good marketing decisions by considering consumers wants, the company’s requirements, consumer’s long runs interests.


Understand the marketplace and customer needs and wants

Customer Needs, Wants and Demands:

Needs: States of felt Deprivation.

Wants: The form human needs take as shaped by culture and individual personality.

Demands: Human wants that are backed by buying power.


Marketing Offers- product, services, and experiences:

Consumers’ needs and wants are fulfilled though a marketing offer- some combination of product, services, information, or experiences offered to a market to satisfy a need or want. Marketing offer are not limited to physical products. They also include services, activities or benefits offered for sale that are essentially intangible and do not result in the ownership of anything.

Customer value and satisfaction:

Consumer usually faces a broad array of products and services that might satisfy a given need. How do they choose among these many marketing offers? Customer form expectations about the value and satisfaction that various marketing offers will deliver and buy accordingly. Satisfied customers buy again and tell others about their good experiences. Dissatisfied customers often switch to competitors and disparage the product to other.

Exchange and Relationships:

Marketing occurs when people decide to satisfy needs and wants through exchange e relationships. Exchange is the act of obtaining a desired object from someone by offering something in return. In the broadest sense the market tries to bring about a response to some marketing offer. The response may be more than simply buying or trading product or services.


Definition of Marketing Mix

The set of controllable tactical marketing tools-product, price, place & promotion-that the firm blends to produce the response it wants in the target market.

Elements in the Marketing Mix


Product means the goods and services combination the company offers to the target market.

It includes quality, design, features, branding, packaging, warranties, guaranties, product life cycle etc of the product offered by a firm.


Price is the amount of money customers have to pay to obtain the products.


Promotion includes all the activities the firm undertakes to communicate and promote its products to the target market to buy.


Place includes company activities that make the product available to target consumers.

It includes the decision of:

  • What shipping method,
  • How and where to store the product until it is sold,
  • What intermediaries to use,
  • What sales outlets to be used in specific locations throughout the country.

Marketing segmentation

Dividing a market into distinct groups with distinct needs, characteristics, or behavior who might require separate products or marketing mixes.

Geographic segmentation:

Calls for dividing the market into different geographical units such as:

  • Country Neighborhood.
  • City or Metro Size.

Demographic segmentation:

It divides the market into groups based on variables such as:

  • Family size.
  • Family life cycle.

Psycho graphic segmentation:

Psycho graphic segmentation divides buyers into different groups based on

Lifestyle (Activities, Interests & Opinions)

Social class, and

Personality characteristics.

Behavioral segmentation:

Behavioral segmentation  divides buyers into groups based on their knowledge, attitudes, uses or responses to a product. The variables are:

  • Occasions
  • Benefits sought
  • User Status
  • Usage Rates
  • Loyalty Status
  • Readiness Stage
  • Attitude Toward the Product/Service


Requirements for Effective Segmentation:

  • Measurable: The Size, purchasing power, and profiles of the segments can be measured.
  • Accessible: The market segments can be effectively reached and served.
  • Substantial: The market segments should be large and profitable enough to serve.
  • Differentiable: The segments should be conceptually distinguishable and respond differently to different marketing mix elements and programs.
  • Actionable: Effective programs can be designed for attracting and serving the segments.


Definition of service

Service can be defined as any activity or benefit that one party can offer to another that is essentially intangible and does not result in ownership of anything.  Its production may or may not be tied to a physical product. A company’s offerings often include some services. (Lovelock Christopher, 2004).

In other words, services are deeds, processes, and performances”. (Zeithaml and Bitner, 2003).

Categories of Service Mix

A company’s offerings often include some services. The service component can be a minor or major part of the total offering. Categories of offerings are:

Pure tangible good:

The offering consists primarily of a tangible good such as soap, toothpaste etc,

Tangible good with accompanying services:

The offering consists of a tangible good accompanied by one or more services, such as car, computer etc,


The offering consists of equal parts of goods and services, such as restaurants.

Major service with accompanying minor goods and services:

The offering consists of a major service along with additional services or supporting goods, such as airline services.

Pure service:

The offering consists primarily of a service such as psychotherapy, baby- sitting etc.


Characteristics of service

There are some basic differences exist between services and goods. Services posses the following Characteristics that make services difference from those of goods:

  1. Intangibility: Services cannot be seen, tasted, felt, heard or smelled before they are bought. Consumers look for service quality signals. Example: Airline services.
  2. Inseparability: Services can’t be separated from their providers whether the providers are people or machine. If a service employee provides the service, then the employee is a part of the service, such as doctor services.
  3. Variability: The quality of services depends on who provides them as well as when, where and how they are provided. Employees and other factors result in variability. Example: Hotel services.
  4. Perishability: Services can’t be stored for later sales or use. Several strategies can produce a better match between demand and supply in a service business. Example: Seats of a theater hall for a particular movie.


Building Customer Relationships

The first three steps in the marketing process- understanding the marketplace and customer needs, designing a customer driven marketing strategy, and constructing marketing programs- all lead up to the fourth and most important step: Building profitable customer relationships.

Customer relationships management (CRM)

The overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction is the customer relationships management.


Customer value and satisfaction:

Customer value:

Attracting and retaining customers can be a difficult task. Customer often faces a confusing array of products and services from which to choose. A customer buys from the firm that offers the highest customer perceived value- the customer evaluation of the difference between all the benefits and all the costs of a marketing offer relative to those of competing offers.

Customer satisfaction:

Customer satisfaction depends on the products/services perceived performance relative to buyer’s expectations. If the products/services performance falls short of expectations, the customer is dissatisfied. If the performance matches expectations, the customer is satisfied. If performance exceeds expectations, the customer is highly satisfied or delighted.

Customer Relationship Levels and Tools:

  • Basic Relationships.
  • Full partnerships.
  • Frequency marketing program.
  • Club marketing Programs.
  • Structural ties.
  • Financial bonds.
  • Social bonds.

The Changing nature of customer relationships:

  • Relating with more carefully selected customers.
    • Selective relationship Management.
    • “Fire” Unprofitable customer.
  • Relating for the long term.
  • Attracting new customer is costlier than retaining.
  • Relating directly.

Service-quality Model

The instrument used in this study was adapted from SERVQUAL (Parasuraman, Zeithaml and Berry, 1988). This model highlights the main requirements for delivering high service quality. The SERVQUAL instrument has many advantages (Buttle, 1994):

  • It is accepted as a standard for assessing different dimensions of service quality.
  • It has been shown to be valid for a number of service situations.
  • It has been demonstrated to be reliable, meaning that difference readers interpret the questions similarly.
  • The instrument is parsimonious in that it has a limited number of items. This means that customers and employees can fill it out quickly.
  • It has a standardized analysis procedure to interpret the results.

Few studies have used SERVQUAL to measure IT service quality (KIM 1990: Pitt, Watson and Kavan 1995; Shaw, Delone and Niedman 2002). These studies have confirmed that SERVQUAL can be used with confidence in IT environment.

The SERVQUAL is based on the concept of a “service quality gap” that exits between the customers expected level of services (from the previous experience and word-of-mouth communication) and their perception of actual level of service delivery. And the model also identifies five gaps that cause unsuccessful delivery.



To conduct the assigned research report we use frequency distribution to analyze the data. With frequency distribution data we also include a chart to better understanding the frequency distribution result at a glance.

In analysis of variance, multiple regression and discriminant analysis, one variable considered as the dependent variable and the others as independent variables. However, no such distinction is made in factor & descriptive analysis. Rather both analyses are an independent technique in that an entire set of interdependent relations examined. So we also use those techniques.

The research is for finding the current position of Jamuna Bank Limited in the mind of the consumer and the satisfaction level for it. We also try to discover the consumer expectation toward the Bank as we want to develop the product to exact fit it to the consumer expectation.

In order to interpret the result of descriptive analysis we will take the value of highest standard deviation as most effective factor.

In order to summarize the information contained in the original variables, a smaller number of factors should be extracted. There are several procedures suggested for determining the number of factors. This are-


Analyze Survey Question

From this chart we can examine that from 50 respondents, 35 respondents have Savings Account, 17 respondents have Current Account, 12 respondents have STD account, 23 respondents have Fixed Deposit, 18 respondents have special deposit scheme, 20 respondents have loan general Account, 7 respondents have SME account, 14 respondents have Foreign Currency account, and 15 respondents have overdraft.

A prior determination:

As prior determination we determine that maximum consumers have Savings Account.

Determination based on Eigenvalues:

By the analysis of eigenvalues we see that in the statistical output only saving account has a value above 1.0 which is 7.100. So it is the extracted variables.

Determination based on scree plot:

In the scree plot analysis we can see that only Savings Account is accepted as having accepted value of eigenvalues.

Determination based on percentage of variance:

The factors with more than 60% variance is accepted as extracted variable, here the variable is Savings Account which is 78.893%


Analyze Survey Question

From this chart we can examine that from 50 respondents, 60% Respondents say that among of the features, they like JBL for the Reliability of the employee of JBL that means the employees are accurate and consistent.

A prior determination:

As prior determination we determine that maximum consumers say that employee of JBL are reliable.

Determination based on Eigenvalues:

By the analysis of eigenvalues we see that in the statistical output only reliability has a value above 1.0 which is 6.815. So it is the extracted variables.

Determination based on scree plot:

In the scree plot analysis we can see that only reliability is accepted as having accepted value of eigenvalues.

Determination based on percentage of variance:

The factors with more than 60% variance is accepted as extracted variable, here the variable is Savings Account which is 75.724%

 From the above discussion, now I can say that, the performance of JBL is better. It is a new bank, only running with 8 years. I only analysis with the customer of JBL Motijheel Branch, and this branch is almost a new Branch, it is running with one and half year. I think it has many reliable customers, and it can achieve no. 1 position in the market quickly if it maintains its customer effectively and follow some marketing strategy. Motijheel branch is a new Branch and I take a small sample size for my survey, so I don’t go towards a thorough analysis. I simply just do frequency distribution and factor analysis. From this analysis, I see that JBL has a better future and it can achieve target market easily. I wish a very best of luck to Jamuna Bank Limited.


Developing the position of Jamuna Bank Limited in the Market:

Positioning is how your target market defines you in relation to your competitors.

A good position is:

  1. What makes you unique
  2. This is considered a benefit by your target market

Both of these conditions are necessary for a good positioning.  Positioning is important because company is competing with all the noise out there competing for their potential fans attention.  If they can stand out with a unique benefit, they have a chance at getting their attention.

It is important to understand about product from the customers’ point of view relative to the competition. Jamuna Bank Limited has a good position in the market. It is not the market leader and it is not a matured Bank. I try to develop its positioning into various ways for competing with their competitors more strongly.


Positioning Strategies

I try to follow some positioning strategies for developing its positioning. Seven positioning strategies are given below:

  • Product Attributes: What are the specific products attributes?
  • Benefits: What are the benefits to the customers?
  • Usage Occasions: When / how can the product be used?
  • Users: Identify a class of users.
  • Against a Competitor: Positioned directly against a competitor.
  • Away from a Competitor: Positioned away from competitor.
  • Product Classes: Compared to different classes of products.

To implement the strategy for the JBL I plan something different for it. I like to develop the product in a way that it can better serve the targeted consumer and best fit with their expectation. So I plan for brand proliferation, media fragmentation, creating sense of community, establish new marketing strategy and develop a new advertising.

Brand proliferation:

Brand proliferation is the line and brand extension of new products or brands. JBL can make brand proliferation by adding new product for the customer, and by changing their existing products strategy and can improve service quality for existing product.

I try to extend JBL products in to various segments. I try to segment as Product-variety Marketing or Differentiated Marketing that means target several market segments and design separate offers for each. They can proliferate their product to add new special deposit scheme as

  1. JBL “Hajj Savings Scheme”
  2. JBL Home Savings Scheme
  3. JBL Non-Resident Credit Scheme
  4. JBL Consumers Loan
  5. JBL Car Loan
  6. JBL Apartment Loan
  7. JBL Doctor’s Loan and so on.
  8. JBL SMS Banking Service

Media Fragmentation:

Media fragmentation is the arrangement of traditional and no-traditional media for advertising.

  • There is no specific advertisement for Jamuna Bank Limited in Television or Radio. We will give advertisement about JBL.
  • Give advertisement in billboard, neon-sign, and transit vehicles ad.
  • Press release for new offer and web design.
  • Ad in car parking place, in front of public toilet.
  • Advertisement on Highway passenger canopy.
  • Sponsor the ticket of Bashundhara Cineplex by giving advertisement.
  • Sponsor a puppet show in “Boishakhi Mela”.
  • Sponsor twenty-twenty match.
  • A famous actress will use Jamuna Bank Limited for transaction or savings their money in a movie of Humayun Ahmed.
  • We will give a special opportunity for the couple in Valentines Day. There will some special valentines package in Shoppers world, K-Kraft. With opening one account every person get a special gift from us. This special package form will be ticket of a valentine’s concert or there will be 10% off in the bill of “VOOT” restaurant.

Those consumers who are participate in the special program of our product and select some specific retail store from which consumer purchase our product, there we will maintain a customer database. From the database we will collect the loyal consumer of our product.

We will invite our loyal consumer to join a specific club. We will take suggestion from them to improve the product and the service. We will discuss about our ingredient which we use for the product, new idea for social welfare.

We can arrange a special program in area basis where the loyal consumer of that area will come and spend some time with a few well-known celebrities.

We can open a different chat room for the internet user from the Bank user.

By arranging a voting program for loyal customer we can select a Brand ambassador for the Jamuna Bank Limited.


Place, or distribution channel, is the method for making the product available to the consumer.  We try to use many ways to distribute our product.

  • One of the simplest methods for segmenting markets by their geographic location. People who are living in one region of the country have consuming and purchasing habits that differ from those who live other regions. For example, the usages of woolen sweaters and jackets are higher in north India, due to extreme cold during the winter months compared to consumers in south India.
  • Even in local markets, geographic segmentation is important. A bank branch in the western part of the city may attract account holders form that part of town to the bank. However, the bank branch manager may find it difficult to attract customers from the eastern part of the due to the location inconvenience. When marketers analyze geographic data, they study sales by region, by state, city size, specific locations and the kind of retail outlets where sales are made. We try to maintain a pull strategy not a push strategy. We try to make our product more attractive and more useful because we want consumers willingly buy or order our product.

Web is wonderful for promote a product.  We can easily and cheaply set up a web page with our information, sample files, show dates, and how to order our product.

In Person

To use personal selling we can easily promote our product.

In Home

By taking telephone orders we can also promote our product.


Promotion is the specific mix of advertising, personal selling, sales promotion, design a webpage only for the tissue and public relations a company uses to pursue its advertising and marketing objectives.



I think bank should increase the benefit interest of the scheme for the customer. And can decrease loan and advances interest. They should decrease the service charge for their valued customer. If they practice market penetration strategy for price where price will low and quality will remain high then it is better for them.



There is a certain boundary to cover this study. To achieve the objective of the study, i.e. through knowledge about the organizational function specially Activities of Jamuna Bank Ltd. It was not possible due to shortage of time to cover each and every activity performed by the bank.

Like any other articles and theories, this study is not free from limitations. I have tried my level best to overcome these limitations through extensive study, hard and sincere devotion to the assigned duty. The major limitations are:

  • I complete my internship in a small and new branch, Motijheel branch. So I don’t get the proper information which I need.
  • The bank personnel and officials were very busy with their occupational activities. Hence it was little bit difficult for them to help within their high schedule.
  • Time is an important issue in report writing. As I have been given a specific dead Line for submission, observation and learning all the banking operation within three month and also to prepare the report all along which is really tough.
  • Large-scale research was not possible due to access constraints.
  • Centralized area. Since our research has done in only one division, so we can not ensure 100% accuracy of our research.
  • Our data have collected based on a specific questionnaire. But a specific questionnaire can not measure the respondent’s satisfaction with 100% accuracy.
  • Respondent’s unwillingness is making my report very difficult to complete it.

In spite of all these limitations I have tried to put the best effort as far as possible.



In JBL Motijheel Branch I have seen these types of improvement and problem.

  • Total profit and deposit increase of JBL Motijheel Branch than before.
  • Total advances also increase that means company’s asset has been increased.
  • Due to absence of legal framework of JBL, the bank is facing problems in its transactions to handle its value added customer.
  • Lack of computer literacy of its employees.
  • Inner side of the branch is very much congested; there is no enough space to stand the customers freely.
  • Employee-customer relationship is not so good. I am completing my survey to take 50 customers. Among them 44% are not fully satisfied with the employee of JBL.
  • Interpersonal relationships of the employees (Top to Bottom) are not satisfactory level.
  • Lack of enough business communication skills of the employees.
  • Only tile urgent works are done and all normal works remain unattended and pending.
  • There are no file lists.
  • To adjust L/C liability without creating any liability such as PAD, etc. in case of Non AD branches.
  • To give IBCA to Head Office before obtaining shipping documents and adjust L/C liability.
  • Bank should provide modern service, modern equipment, light behavior, physical facilities and so on.
  • Jamuna Bank can fulfill their 56% client expectation through their Service. But this 56% client is not strong position in their comments. They can Swiss any time. That’s why Bank can take action about their client and also their system. Because 56% satisfy client is not better for them.



I had the practical exposure in Jamuna Bank Ltd. for just three months, with my little experience in the bank in comparison with vast and complex banking system; it is not so easy to recommend some suggestion to enhance the performance level of the organization. I have observed some shortcomings regarding operational and other aspects of their banking. On the basis of my observation I would like to present the following recommendations-

  • To attract more clients JBL has to create a new marketing strategy, which will increase the total export-import business.
  • Effective and efficient initiatives are necessary to recover the default loans.
  • Attractive incentive package for the exporter will help to increase the export and accordingly it will diminish the balance of payment gap of JBL.
  • In our country financial problem is a great constraint in foreign trade. JBL is very conservative for post-shipment finance. If it stays in liberal position the exporters can easily over-come their financial constraint.
  • There are more gaps are showing between perception and expectation of the respondents. As soon as possible remove this gap, which are existing between clients and Bank.
  • Bank can introduce more advanced MIS system to mobilize its day to day activities. It will help the employee to do their works more quickly and at the same time maintaining their quality of work.
  • The Bank should be fully improved the service of the banking and provided smooth service and less time consumption regarding General Banking.
  • The innovative loan scheme and service should be offered and should be more flexible in terms of repayment.
  • Management should employ at least few more employees in Credit, Foreign Exchange and General Banking department of Motijheel Branch. I have seen from my practical experience that many customers wait for a long time for any service as they see that the some concerned officials are doing their best to meet the requirements of the customers.



From the findings it can be observed, as a new bank JBL has a positive participation in the economic development. Although JBL could not reach still in the highest position but its growth rate is continuously increasing. Based on the performance, hope that JBL will be able to achieve its goals and would become a finest corporate citizen’s in the banking industry.

However, I have enjoyed my three months internship at JBL. There were some problems in case of preparing report. But I have tried at my level best to prepare my report effectively.

From the above analysis of information we can draw some key decision, Jamuna Bank Limited have the opportunity and possibility to hold major market share for its quality, availability and company image. It can make itself market leader with proper utilization of its resources.