Marketing Mix Of Punjab National Bank and 7Ps (Updated 2024)

The Marketing mix of Punjab National Bank analyses the 7Ps of Punjab National Bank, including the Product, Price, Place, Promotion, People, Physical Evidence, and Process of Punjab National Bank. Punjab National Bank is referred to as PNB. It is a public limited company of Indian origins. Punjab National Bank is associated with the banking industry and deals in financial services. It was founded in 1894 by its founder, Lala Lajpat Rai. It is the only private bank in India that started with Indian capital and has survived. It faces competition from the following Banks: shore Banking Units • Capital Services- Depository Services, Mutual Funds, Merchant Banking, ASBA Punjab National Bank also offers e-serv

• State Bank Of India
• Andhra Bank
• Allahabad Bank
• HDFC
• ICICI Bank
• Canara Bank
• Indian Bank

About Punjab National Bank

• Type: Public sector bank
• Industry: Banking, Financial services
• Founded: 19 May 1894
• Founder: Lala Lajpat Rai, Dyal Singh Majithia
• Headquarters: New Delhi, India
• Area served: India
• Key people: S. S. Mallikarjuna Rao (Chairman) and S. S. Mallikarjuna Rao (CEO)
• Number of employees: 70,500

Punjab National Bank Product Strategy

Punjab National Bank (PNB), one of India’s central public sector banks, offers a national bank a wide range of banking products and services.

The new Product Mix of Punjab National Bank in 2024 is as follows (Source).

1. Retail Banking Products: Savings Accounts: Includes various savings accounts catering to different customer segments; Current Accounts: Tailored for business customers with features suitable for commercial transactions; Fixed and Recurring Deposits: Investment products offer fixed returns over specified periods.
2. Loan Products: Home Loans: Financing for buying or constructing homes; Personal Loans: Unsecured loans for personal needs; Vehicle Loans: Loans for purchasing vehicles; Education Loans: Financing for students to pursue higher education; Agricultural Loans: Loans tailored for farmers and farming businesses.
3. Corporate Banking Services: Term Loans: For businesses to finance capital expenditures or business expansion; Working Capital Finance: Short-term loans to manage day-to-day business operations; Trade Finance: Services like Letters of Credit and Bank Guarantees to facilitate international trade.
4. Digital Banking Services: Internet Banking: An online platform for account management, fund transfers, bill payments, etc. Mobile Banking: Banking services accessible via smartphones.
5. Investment Services: Wealth Management Services: Advisory services for wealth management and investment planning; Mutual Funds: Investment options in mutual funds through tie-ups with asset management companies.
6. Insurance Products: Life and General Insurance: Offering various insurance products in partnership with insurance companies.
7. NRI Services: Accounts and Deposits: Special accounts like NRE and NRO for Non-Resident Indians; Remittances: Facilities for sending money to India.

PNB’s product mix reflects its commitment to serving a diverse clientele, from individual retail customers to large corporations, with a wide array of banking and financial services. The bank continuously evolves its product offerings to meet changing customer needs and leverage technological advancements, especially in digital banking.

Punjab National Bank Pricing Strategy

Punjab National Bank (PNB) employs a strategic pricing approach tailored to its diverse customer base and the competitive financial and corporate banking landscape. Below is the pricing strategy in Punjab National Bank’s marketing strategy:

1. Competitive Interest Rates: PNB sets its interest rates for loans and deposits competitively, often aligning with or slightly bettering the prevailing market rates. This approach attracts borrowers and depositors and ensures the bank remains attractive to customers seeking favorable returns or affordable borrowing options.
2. Tiered Pricing for Different Customer Segments: Recognizing the diverse needs of its customers, PNB adopts tiered pricing. For instance, premium accounts or services targeted at high-net-worth individuals might carry higher fees, reflecting the enhanced services and privileges offered. In contrast, basic accounts are more affordable to appeal to the broader population.
3. Waivers and Discounts for Special Groups: PNB often introduces pricing concessions for particular customer groups, such as students, senior citizens, or agricultural clients. These tailored pricing models reflect the bank’s commitment to financial inclusivity and its role in supporting various sectors of the economy.
4. Fees for Additional Services: The bank implements charges for ancillary services like cheque processing, demand draft issuance, or locker rentals. These fees are typically structured to cover operational costs while remaining competitive and transparent to customers.
5. Dynamic Pricing Based on Customer Relationships: PNB adopts a relationship-based pricing model, where customers with multiple accounts or significant dealings with the bank may receive more favorable rates or reduced service charges. This strategy rewards customer loyalty and encourages a deeper banking relationship.

Punjab National Bank Place Strategy

Punjab National Bank (PNB) employs a comprehensive place marketing strategy to ensure the accessibility and effectiveness of its services. Here are five key points that highlight PNB’s place strategy:

1. Extensive Branch Network Across India: PNB has established a vast network of branches throughout urban and rural areas in India, ensuring that banking services are accessible to customers in diverse geographical locations, including remote regions.
2. ATM Network and Collaboration: The bank maintains a vast network of ATMs and collaborates with other banks under various ATM networks, providing customers with widespread and convenient access to cash withdrawal and other banking services.
3. Digital Banking Platforms: Emphasizing digital transformation, PNB offers robust internet and mobile banking platforms, allowing customers to access banking services online, thereby reducing dependency on physical branches and adapting to the evolving digital banking trends.
4. Overseas Branches and Subsidiaries: To cater to Non-Resident Indians (NRIs) and international business clients, PNB operates several overseas branches and subsidiaries, enabling global banking services and supporting cross-border financial needs.
5. Strategic Partnerships for Expanded Service Delivery: PNB has formed strategic partnerships with various fintech companies and financial service providers to expand its service offerings and enhance customer experience, including areas like insurance and investment products.

Punjab National Bank Promotion Strategy

Punjab National Bank has gained immense popularity over the private bank’s marketing strategy. It has the honor of maintaining and having accounts of famous national leaders like Indira Gandhi, Lal Bahadur Shastri, Jawahar Lal Nehru, and Mahatma Gandhi. Even though Punjab National Bank is a state-owned corporation, it faces intense competition from the likes of State Bank of India, Corporation Bank, Bank of Maharashtra, State Bank of Mysore, etc.

It has been the recipient of several accolades and awards in recognition of its impeccable services like Best Public Sector Bank in the year 2012 by CNBC TV18, Most Socially Responsive Bank in the year 2012 by PwC and Businessworld, National Training Award and Excellence in Corporate Social Responsibility in the year 2011. Punjab National Bank knows its social responsibilities and participates in CSR activities like blood donation camps, tree plantations, farmer training, and medical camps. Indian cricket captain Virat Kohli is its brand ambassador.

Some Recent Video ads and Print ads for Punjab National Bank are:

Punjab National Bank People Strategy

When discussing the “People” element of the Service Marketing Mix for Punjab National Bank (PNB), it’s essential to consider various stakeholders, including employees, management, and customers. Here are some key points that could be highlighted:

1. Customer-Centric Approach: PNB’s workforce is trained to focus on understanding and meeting customer needs, offering personalized and efficient banking services. This customer-first mindset is crucial in service industries.
2. Skilled and Experienced Staff: The bank employs a diverse team of professionals with extensive experience in banking, finance, and customer service. Training programs ensure employees stay updated on the latest banking regulations, technologies, and best practices.
3. Professional Development: PNB invests in continuous learning and development programs for its employees, including leadership training, technical skills development, and soft skills enhancement. This commitment to professional growth ensures that the bank’s staff can deliver superior service.
4. Employee Engagement and Satisfaction: The bank focuses on creating a positive work environment, recognizing employee achievements, and fostering a culture of teamwork and collaboration. High levels of employee engagement and satisfaction can directly impact customer satisfaction.
5. Dedicated Customer Service Teams: PNB has specialized teams to handle customer queries, complaints, and feedback through various channels, including in-branch, online, and call centers. This ensures that customer issues are resolved promptly and efficiently.
6. Accessibility and Inclusivity: The bank’s staff are trained to serve a wide range of customers, including those with special needs, ensuring accessibility and inclusivity in all its services.
7. Cross-functional Teams: To ensure a seamless banking experience, PNB employs cross-functional teams that work collaboratively across departments. This approach helps in offering holistic solutions to customer needs.
8. Compliance and Ethics: Employees at PNB are trained to adhere strictly to regulatory requirements and ethical standards. This ensures trust and reliability in the bank’s services.
9. Innovation and Adaptability: The staff at PNB are encouraged to be innovative and adaptable, embracing new technologies and approaches to banking. This mindset helps the bank stay competitive and meet evolving customer expectations.
10. Community Engagement: PNB and its employees actively participate in community service and social responsibility initiatives. This enhances the bank’s reputation and builds strong relationships with the communities it serves.

Punjab National Bank Process Strategy

The “Process” element of the Service Marketing Mix refers to the procedures, mechanisms, and flow of activities by which services are consumed. For Punjab National Bank (PNB), understanding the processes involved in service delivery is crucial for ensuring efficiency, customer satisfaction, and overall service quality. Here are some key points to consider when discussing the process aspect of PNB:

1. Account Opening Process: PNB has streamlined its account opening process to make it quick, easy, and customer-friendly. This includes options for online applications, minimal paperwork, and fast verification methods.
2. Loan Application and Approval: The bank has a structured process for loan applications, including documentation, assessment, verification, and approval. It aims to make this process as transparent and efficient as possible to enhance customer trust and satisfaction.
3. Digital Banking Services: PNB has embraced digital transformation by offering various online banking services. This includes online account management, money transfer, bill payments, and customer service. The process is designed to be secure, user-friendly, and accessible 24/7.
4. Customer Service and Feedback Mechanism: The bank has established multiple channels for customer service, including in-branch, telephone, online, and mobile app support. There is also a structured process for handling customer feedback, complaints, and queries to ensure timely and effective resolutions.
5. Transaction Processing: PNB utilizes advanced technology for efficient transaction processing, ensuring that deposits, withdrawals, transfers, and other transactions are completed swiftly and accurately.
6. Compliance and Risk Management: The bank follows a rigorous process for compliance with regulatory requirements and risk management. This includes regular audits, monitoring, and updates to banking practices to ensure safety and security.
7. Product Development and Launch: PNB systematically develops and launches new banking products and services. This involves market research, product design, testing, and roll-out strategies to meet customer needs effectively.
8. Training and Development: The bank has a continuous process for training and developing its workforce. This ensures that employees are well-equipped to handle customer needs, new technologies, and changing market dynamics.
9. Branch and ATM Network Management: PNB manages its branch and ATM networks systematically, ensuring accessibility, convenience, and security for customers. This includes strategic location planning, regular maintenance, and security measures.
10. Technology Upgradation and Security: The bank continuously updates its technology and security processes to protect customer data and prevent fraud. This includes the implementation of secure banking protocols, regular IT systems updates, and cybersecurity measures.

Punjab National Bank Physical Evidence Strategy

Physical Evidence in the context of the Service Marketing Mix refers to the environment in which the service is delivered, along with any tangible elements that facilitate the service or communicate the service quality. For Punjab National Bank (PNB), physical Evidence is crucial in shaping customer perceptions and experiences. Here are some key points to consider when discussing the physical evidence aspect of PNB:

1. Branch Design and Layout: PNB branches are designed to be welcoming and customer-friendly, with clear signage, comfortable seating areas, and privacy for customer consultations. The layout is planned to ensure smooth customer flow and efficient service delivery.
2. Branding Elements: The bank’s logo, color scheme, and branding materials are consistently displayed across branches, ATMs, and digital platforms. This helps in creating a solid and recognizable brand identity.
3. ATM Network: PNB’s ATMs are strategically located in accessible and secure locations, providing customers with 24/7 banking services. The ATMs are regularly maintained and branded, reinforcing the bank’s presence and reliability.
4. Digital Platforms: The bank’s website, mobile app, and online banking portals serve as digital physical Evidence. They are designed for ease of use and security and provide comprehensive information about the bank’s products and services.
5. Official Documents: Printed materials such as account statements, loan agreements, and promotional leaflets are professionally designed and carry the bank’s branding. These documents serve as tangible Evidence of the bank’s professionalism and services.
6. Customer Service Facilities: Dedicated customer service desks or areas within branches, equipped with phones, computers, and other tools, demonstrate the bank’s commitment to addressing customer needs efficiently.
7. Safety and Security Measures: Visible security measures, such as surveillance cameras, security personnel, and secure transaction processes, reassure customers about the safety and security of their financial transactions.
8. Merchandising and Promotional Material: Items like branded pens, notepads, and other promotional gifts are physical reminders of the bank and its services.
9. Informational Displays: Electronic displays and information boards in branches provide customers with current information about interest rates, new products, and services, enhancing transparency and communication.
10. Environment and Ambiance: The overall cleanliness, lighting, and atmosphere of PNB branches and offices contribute to a positive banking experience. Attention to background music, temperature control, and the scent can also enhance customer perceptions.

Liked this post? Check out the complete series on Marketing Mix