1. A
PROJECT REPORT
ON
―CUSTOMER RELATIONSHIP MANAGEMENT OF ANGEL BROKING WITH
OTHER‖
FOR
(ANGEL BROKING LIMITED ALLAHABAD)
BY
ASHWANI DUBEY
MBA SEMESTER III
ROLL NO: 1113870008
PROJECT GUIDE BY
" Mr. ASHUTOSH SHUKLA "
IN PARTIAL FULFILLMENT OF THE REQUIREMENTS OF THE
TWO-YEAR FULL-TIME MBA (MASTER OF BUSINESS ADMINISTRATION)
PROGRAMME
OF BBSCET
ALLAHABAD
A.Y: 2012 – 2013
Page | 1

2. ACKNOWLEDGEMENT
I sincerely want to thank all the people who helped me throughout the procedure of 60
days of my summer internship program. It is really has been a learning experience for
me.
I specially want to thank my company guide Mr. ALOK SINGH for his guidance form
the first day of training till the last. it has been a great experience of working with him.
His assistance really helped me in learning and gaining the practical knowledge.
I would also like to thank Mr. ASHUTOSH SHUKLA guide, was there for the guidance
and he directed me whenever I was in need of it. I am highly obliged for his assistance.
I would also like to appreciate the help given by the sales team of angel broking and
trading person, for giving their valuable time and for sharing their experience with us and
I would also like to thank other employee of Angel Broking for guiding us with their
valuable practical experience of their working life.
ASHWANI DUBEY
Page | 2

3. PREFACE
Theories are being developed, designed and stated on the groundwork of their practical
implementation and usage. Work experiences seems to be the most effective and
indispensable factor for making and individual an adapt. Training not develops
individual‘s skill and abilities but also provide proficiency in work performance.
The researcher has done summer training in ―ANGEL BROKING LTD,
ALLAHABAD‖. Which constitutes an essential part of two year M.B.A. program at
training period consist of 45 working days. The researcher was provide the project study
on the topic ―CUSTOMER RELATIONSHIP MANAGEMENT OF ANGEL
BROKING AND OTHER‖. It was really a great opportunity getting practical insight of
the market.
The successful completion of the project was a unique experience for me because by
visiting many place and interacting with various persons, I achieved a better knowledge
about market.
Page | 3

4. DECELARATION
I ASHWANI DUBEY a student of united institute of management (BBSCET)
Allahabad session 2011-2013. Id no. 110110102 and roll no. 1101170114.
Hereby, I declare that the project report entitled ―emergence of IPO and investment
avenue‖.
Angel broking private limited Allahabad.
Date:
Place:
ASHWANI DUBEY
Page | 4

5. EXECUTIVE SUMMARY
The research work executed by the team had an object oriented and realistic approach
towards the online share trading scenario in India as well as covering the globe by and
large, precisely speaking economic giants. The team did follow Market Research
procedure to get an extensive idea about the general perception in the mass when online
share trading considered, the exact figures are involved in share trading online. To
acquire customers in favor of ANGEL was also an integral part of the job. The team
members covered Allahabad and U.P for this purpose. A brief profile about the
organization was also intimated to each and every respondent in order to increase the
popularity of Angel Broking.
The next phase was all about to have an international look in this field of online
share trading. The team examined thoroughly areas such as the number of players,
technology they are offering, their customer base, whether this is appealing to the
common people or not, how they market their services etc.
Page | 5

6. Index
Particular : Page no :
Company Certificate
College Certificate
2-5
 Acknowledgement
 Preface
 Declaration
 Executive summary
Introduction 8
Project Objective 9
13-15
INDUSTRY OVERVIEW :
 Brief history of organization
 A Brief History of stock exchange
 Online Trading process.
16-45
COMPANY PROFILE :
 Introduction and history
 Introduction to Angel Broking
 SW0T Analysis
Page | 6

7. Customer relationship management 46-69
 Introduction to crm
 History of crm
 Success of crm
 Failure of crm
 Need of crm
 Advantage of crm
Research methodology 70-88
 Data sources
 Research design
 Sample size
 Data analysis interpretations
Findings 89
Recommendations 90
Conclusion 91
Bibliography 92
questionnaire 93-96
Page | 7

8. Introduction
Page | 8

9. OBJECTIVE OF STUDY
 Understand customer needs better
 Maintain long term customer relationships
 To retain profitable customer.
 To create competitive advantage
Page | 9

10. SIGNIFICANCE OF STUDY
Customer Relationship management is the strongest and the most efficient approach in
maintaining and creating relationships with customers. Customer relationship
management is not only pure business but also ideate strong personal bonding within
people. Development of this type of bonding drives the business to new levels of success.
A CRM system consists of a historical view and analysis of all the acquired or to
be acquired customers. This helps in reduced searching and correlating customers
and to foresee customer needs effectively and increase business.
CRM contains each and every bit of details of a customer, hence it is very easy
for track a customer accordingly and can be used to determine which customer
can be profitable and which not.
In CRM system, customers are grouped according to different aspects according
to the type of business they do or according to physical location and are allocated
to different customer managers often called as account managers. This helps in
focusing and concentrating on each and every customer separately.
The strongest aspect of Customer Relationship Management is that it is very cost-
effective. The advantage of decently implemented CRM system is that there is
very less need of paper and manual work which requires lesser staff to manage
and lesser resources to deal with. The technologies used in implementing a CRM
system are also very cheap and smooth as compared to the traditional way of
business.
Efficiently dealing with all the customers and providing them what they actually
need increases the customer satisfaction. This increases the chance of getting
more business which ultimately enhances turnover and profit.
Page | 10

11. If the customer is satisfied they will always be loyal to you and will remain in
business forever resulting in increasing customer base and ultimately enhancing
net growth of business.
Page | 11

12. EXECUTIVE SUMMARY
The research work executed by the team had an object oriented and realistic approach
towards the online share trading scenario in India as well as covering the globe by and
large, precisely speaking economic giants. The team did follow Market Research
procedure to get an extensive idea about the general perception in the mass when online
share trading considered, the exact figures are involved in share trading online. To
acquire customers in favor of ANGEL was also an integral part of the job. The team
members covered Allahabad and U.P for this purpose. A brief profile about the
organization was also intimated to each and every respondent in order to increase the
popularity of Angel Broking.
The next phase was all about to have an international look in this field of online
share trading. The team examined thoroughly areas such as the number of players,
technology they are offering, their customer base, whether this is appealing to the
common people or not, how they market their services etc.
Page | 12

13. INDUSTRY OVERVIEW
Page | 13

14. A BRIEF HISTORY OF STOCK EXCHANGES :-
Do you know that the world's foremost market place ―New York Stock
Exchange‖ (NYSE), started its trading under a tree (now known as 68 Wall Street) over
200 years ago? Similarly, India's premier stock exchange Bombay Stock Exchange (BSE)
can also trace back its origin to as far as 125 years when it started as a voluntary non-
profit making association.
You hear about it any time it reaches a new high or a new low, and you also hear
about it daily in statements like 'The BSE Sensitive Index rose 5% today'. Obviously,
stocks and stock markets are important. Stocks of public limited companies are bought
and sold at a stock exchange. But what really are stock exchanges? Known also as News
on the stock market appears in different media every day. The stock market or bourse, a
stock exchange is an organized market place for securities (like stocks, bonds, options)
featured by the centralization of supply and demand for the transaction of orders by
member brokers, for institutional and individual investors. The exchange makes buying
and selling easy. For example, you don't have to actually go to a stock exchange, say,
BSE - you can contact a broker, who does business with the BSE, and he or she will buy
or sell your stock on your behalf. All stock exchanges perform similar functions with
respect to the listing, trading, and clearing of securities, differing only in their
administrative machinery for handling these functions. Most stock exchanges are auction
markets, in which prices are determined by competitive bidding. Trading may occur on a
continuous auction basis, may involve brokers buying from and selling to dealers.
In certain types of stock or it may be conducted through specialists dealing in a
particular stock.
But where did it all start? The need for stock exchanges developed out of early
trading activities in agricultural and other commodities. During the middle Ages, traders
found it easier to use credit that required supporting documentation of drafts, notes and
bills of exchange. The history of the earliest stock exchange, the French stock exchange,
may be traced back to 12th century when transactions occurred in commercial bills of
exchange.
The first stock exchange in India, Bombay Stock Exchange was established in
1875 as 'The Native Share and Stockbrokers Association' and has evolved over the years
into its present status as the premier stock exchange in the country. It may be noted that
BSE is the oldest stock exchange in Asia, even older than the Tokyo Stock Exchange,
Page | 14

15. which was founded in 1878. The country's second stock exchange was established in
Ahmedabad in 1894, followed by the Calcutta Stock Exchange (CSE). CSE can also trace
its origin back to 19th century. From a get together under a 'Neem Tree' way back in the
1830s, the CSE was formally established in May 1908.
India's other major stock exchange National Stock Exchange (NSE), promoted by leading
financial institutions, was established in April 1993. Over the years, several stock
exchanges have been established in the major cities of India. There are now 23
recognized stock exchanges — Mumbai (BSE, NSE and OTC), Calcutta, Delhi, Chennai,
Ahmedabad, Bangalore, Bhubaneswar, Coimbatore, Guwahati, Hyderabad, Jaipur,
Kochi, Kanpur, Ludhiana, Mangalore, Patna, Pune, Rajkot, Vadodara, Indore and
Meerut. Today, most of the global stock exchanges have become highly efficient,
computerized organizations. Computerized networks also made it possible to connect to
each other and have fostered the growth of an open, global securities market.
Realizing there is untapped market of investors who want to be able to execute their own
trades when it suits them, brokers have taken their trading rooms to the Internet. Known
as online brokers, they allow you to buy and sell shares via Internet.
Online Trading is a service offered on the Internet for purchase and sale of shares. In the
real world, you place orders on your stockbroker either verbally (personally or
telephonically) or in a written form (fax). In Online Trading, you will access a
stockbroker's website through your internet-enabled PC and place orders through the
broker's internet-based trading engine. These orders are routed to the Stock Exchange
without manual intervention and executed thereon in a matter of a few seconds.
There are 2 types of online trading service: discount brokers and full service online
broker. Discount online brokers allow you to trade via Internet at reduced rates. Some
provide quality research, other don‘t. Full service online brokerage is linked to existing
brokerages. These brokers allow their clients to place online orders with the option of
talking/ chatting to brokers if advice is needed. Brokerage rates here are higher.
Indiainfoline.com, ICICIDirect.Com, IndiaBulls.Com, AngelBroking.com, Angel
broking.Com, HDFCSecurities.Com is some of the online broking sites in India.
Page | 15

16. COMPANY PROFILE
INTRODUCTION AND HISTORY :-
―Angel Broking‖ is the retail broking arm of SSKI, an organization with more
than eight decades of trust & credibility in the stock market. It is India's leading retail
financial Services Company with We have over 250 share shops across 115 cities in
India. While our size and strong balance sheet allow us to provide you with varied
products and services at very attractive prices, our over 750 Client Relationship
Managers are dedicated to serving your unique needs. Angel Broking is lead by a highly
regarded management team that has invested crores of rupees into a world class
Infrastructure that provides our clients with real-time service & 24/7 access to all
information and products. Our flagship Angel Broking Professional Network offers real-
time prices, detailed data and news, intelligent analytics, and electronic trading
capabilities, right at your fingertips. This powerful technology complemented by our
knowledgeable and customer focused Relationship Managers. We are creating a world of
Smart Investor. Angel Broking offers a full range of financial services and products
ranging from Equities to Derivatives enhance your wealth and hence, achieve your
financial goals. Angel Broking' Client Relationship Managers are available to you to help
with your financial planning and investment needs. To provide the highest possible
quality of service, Angel Broking provides full access to all our products and services
through multi-channels.
Page | 16

17. INTRODUCTION TO ANGEL
In a shot span of 22 years since inception, the Angel Group has emerged as one of the top
five retail stock broking houses in India, having membership of BSE, NSE and the two
leading Commodity Exchanges in the country i.e. NCDEX & MCX. Angel Broking is
also registered as a Depository Participant with CDSL.
The group is promoted by Mr. Dinesh Thakkar, who started this business as a sub-
broker in 1987 with a team of 3. Today the angel group is managed by a team of 1937
direct employees and has a nationwide network comprising of 21 Regional hubs, 124
branches and 6810 sub brokers & business associates. Angel is 100% focused on retail
stock broking business unlike any other larger national broking house. The group
currently services more than 5.9 thousand retail clients.
Angel habitually generates value added features without the cost burden being passed on
to the clients as they strongly believe that better understanding of client‘s needs and
wants is their top priority. Their e-broking facility is one such effort, which gives the
client a platform to access state of the art trading facility at the click of a button.
Angel has always strived for delivering customer delight and developing strong long term
bonds with its clients as well as channel partners. Angel thrives on a vision to introduce
new and innovative products and services constantly. Moreover, Angel has been among
the pioneers to introduce the latest technological innovations and integrate them
efficiently within its business.
Page | 17

18. About the Angel
Angel Booking‘s tryst with excellence in customer relations began more than 20 years
ago. Angel Group has emerged as one of the top 3 retail broking houses in India and
incorporated in 1987. Today, Angel has emerged as a premium Indian stock-broking and
wealth management house, with an absolute focus on retail business and a commitment to
provide "Real Value for Money" to all its clients.
It has memberships on BSE, NSE and the leading commodity exchanges in India
NCDEX & MCX. Angel is also registered as a depository participant with CDSL.
Angel Group Companies
Angel Broking Ltd. Member on the BSE and Depository Participant with
CDSL
Angel Capital & Debt Market Membership on the NSE Cash and Futures & Options
Ltd. Segment
Angel Commodities Broking Member on the NCDEX & MCX
Ltd.
Angel Securities Ltd. Member on the BSE
Incorporated :1997
BSE Membership :1997
NSE membership :1998
Member of NCDEX and MCX
Depository Participants with CDSL
Angel’s presence :-
Nation- wide network of 21 regional hubs
Presence 124 cities
6800 + sub brokers & business associates
5.9 lakh + clients
Page | 18

19. Management
S.No Name Designation & Department
1. Mr. Dinesh Thakkar : Founder Chairman & Managing Director
2. Mr. Lalit Thakkar : Director – Research
3. Mr. Amit Majumdar : Executive Director – Strategy and Finance
4. Mr. Rajiv Phadke : Executive Director – HR & Corp
5. Mr. Vinay Agrawal : Executive Director – Equity Broking
6. Mr. Nikhil Daxini : Executive Director - Sales and Marketing
7 Mr. Hitungshu Debnath : Executive Director - Distribution & Wealth Management
8. Mr. Mudit Kulshreshtha : Executive Director – Operations
Milestones
Awarded with 'Broking House with Largest Distribution Network' and 'Best
Retail Broking House' at Dun & Bred street Equity Broking Awards 2009
August, 2008 Crossed 500000 trading accounts
November, 2007 ‗Major Volume Driver‘ for 2007
December, 2006 Created 2500 business associates
October, 2006 ‗Major Volume Driver‘ award for 2006
September, 2006 Launched Mutual Fund and IPO business
July, 2006 Launched the PMS function
October, 2005 ‗Major Volume Driver‘ award for 2005
September, 2004 Launched Online Trading Platform
April, 2004 Initiated Commodities Broking division
April, 2003 First published research report
November, 2002 Angel‘s first investor seminar
March, 2002 Developed web-enabled back office software
November, 1998 Angel Capital and Debt Market Ltd. Incorporated
December, 1997 Angel Broking Ltd. Incorporated
Page | 19

20. ANGEL’S LOGO
ANGEL’S VISION
To provide best value for money to investors through
innovative products, trading/investments strategies, state
of the art technology and personalized service.
Page | 20

21. Our moto
To have complete harmony between quality-in-process and continuous
improvement to deliver exceptional service that will delight our Customers and
Clients.
Our CRM Policy: Customer is King
A Customer is the most Important Visitor on our premises. He is not dependent on us,
but we are dependent on him. He is not an interruption in our work. He is the purpose of
it. He is not an outsider in our business. He is part of it. We are not doing him a favour by
serving him. He is doing us a favour by giving us an opportunity to do so.
Mahatma Ghandi.
Page | 21

22. ANGEL’S BUSINESS PHILOSOPHY
Business Philosophy
Ethical practices & transparency in all our dealings
Customers interest above our own
Always deliver what we promise
Effective cost management
Page | 22

23. Products of Angel Broking
1. Online Trading
2. Commodities
3. DP Services
4. PMS (Portfolio Management Services)
5. Insurance
6. IPO Advisory
7. Mutual Fund
8. Personal loans
9. Quality assurance
Online- Trading
Specially designed for the net savvy traders and investors who prefer operating from their
home or office through the internet. The investor can access state of the art Technology
with three different e-broking products and voila trading on BSE, NSE, F & O, MCX and
NCDEX.
ANGEL DIET
Application based product for Traders.
Application based ideal for traders.
Multiple exchanges on single screen
Online fund transfer facility
User friendly & simple navigation
BSC, NSC, F&O, MCX & NCDEX
Page | 23

24. ANGEL ANYWHERE
Application based product for Traders with Charts.
Application-based platform for day traders
Intra-day/historical charts with various indicators
Online fund transfer facility
BSC, NSC, Cash & Derivatives
ANGELTRADE
Browser based product for Active Investors.
Browser based for investor
No installation required
Advantage of mobility
Trading as simple as internet surfing
BSC, NSC, F&O, MCX & NCDEX
ANGEL INVESTOR
User-friendly browser for investors
Easy online trading platform
Works in proxy and firewall system set up
Integrated Back office: Access account information – anytime, anywhere
Streaming quotes
Refresh static rates when required
Multiple exchanges on single screen
Online fund transfer facility
Investment Advisory Services
To derive optimum returns from equity as an asset class requires professional guidance
and advice. Professional assistance will always be beneficial in wealth creation.
Investment decisions without expert advice would be like treating ailment without the
help of a doctor.
Page | 24

25. Expert Advice: Their expert investment advisors are based at various branches
across India to provide assistance in designing and monitoring portfolios.
Timely Entry & Exit: Their advisors will regularly monitor customers‘
investments and guide customers to book timely profits. They will also guide
them in adopting switching techniques from one stock to another during various
market conditions.
De-Risking Portfolio: A diversified portfolio of stocks is always better than
concentration in a single stock. Based on their research, They diversify the
portfolio in growth oriented sectors and stocks to minimize the risk and optimize
the returns.
Commodities
A commodity is a basic good representing a monetary value. Commodities are most often
used as inputs in the production of other goods or services. With the advent of new online
exchange, commodities can now be traded in futures markets. When they are traded on an
exchange, Commodities must also meet specified minimum standards known as basic
grade.
Depository Participant
Angel Broking Ltd has started its depository services by registering with CDSL. There
are various benefits of holding clients demat account with angel but the biggest
advantage is that a client shall be ensured of a risk free, prompt and efficient depository
process.
esTypes of Commoditi
Precious Metals : Gold and Silver
Base Metals : Copper, Zinc , Steel and Aluminum
Energy : Crude Oil, Brent Crude and Natural Gas
Pulses : Chana , Urad and Tur
Spices : Black Pepper, Jeera, Turmeric , Red Chili
Others : Guar Complex, Soy Complex, Wheat and Sugar
Page | 25

26. Benefits at Angel
Three different online products tailored for traders & investors.
Single Screen customized market-watch for MCX / NCDEX with BSE / NSE.
Streaming Quotes and real time Rates. Intra-day trading calls.
Research on 25 Agro Commodities, Precious and Base Metals, Energy products
and Polymers.
An array of daily, weekly and special research reports.
Highly skilled analysts with professional industry experience.
Active relationship management desk.
Seminars, workshops and investment camps for investors
Depositary Participant Services
Angel Broking Ltd. is a DP services provider though CDSL. We offer depository services
to create a seamless transaction platform to execute trades through Angel group of
companies and settle these transactions through Angel Depository services.
Wide branch coverage
Personalized/attentive services of trained a dedicated staff
Centralized billing & accounting
Acceptance & execution of instruction on fax
Daily statement of transaction & holdings statement on e-mail
No charges for extra transaction statement & holdings statement
Portfolio Management Services
Successful investing in Capital Markets demands ever more time and expertise.
Investment Management is an art and a science in itself. Portfolio Management Services
(PMS) is one such service that is fast gaining eminence as an investment avenue of
choice for High Net worth Investors (HNI). PMS is a sophisticated investment vehicle
that offers a range of specialized investment strategies to capitalize on opportunities in
the market. The Portfolio Management Service combined with competent fund
management, dedicated research and technology, ensures a rewarding experience for its
clients.
Page | 26

27. Angel PMS brings with it years of experience, expertise, research and the backing of
India's leading stock broking house. At Angel, experienced portfolio management is the
difference. It will advise you on a suitable product based on factors such as your
investment horizon, return expectations and risk tolerance.
PRODUCT & SERVICE DETAILS AND PORTFOLIO
REPORTS :
Market Outlook at 9:15 a.m.
Technical Report at 6:00 p.m.
Derivative Analysis Report at 9:15 a.m.
FUNDAMENTAL RESEARCH SERVICES:
The Sunday Weekly Report :
This weekly report is the ace of all reports. It offers a comprehensive
market overview and likely trends in the week ahead. It also presents few top
picks based on an in-depth analysis of technical and fundamental factors. It gives
short term and long term outlook on these scrip‘s, their price targets and trading
strategies. Another unique feature of this report is that it provides an updated
view of about 70 prominent stocks on an ongoing basis.
The Industry Watch :
This report provides an in-depth analysis of specific industries which are
likely to outperform others in the economy. It analyzes their strengths and
weaknesses and ascertains their future outlook. The final view is arrived at after
thorough interaction with industry experts. Also comparative performances of
various companies in the sector are evaluated and top picks are recommended.
Page | 27

28. Stock Analysis :
Angel‘s stock research has performed very well over the past few years
and the Angel Model Portfolio has consistently outperformed the benchmark
indices. The fundamentals of select scrip are thoroughly analyzed and an
actionable advice is provided along with investment rationale for each scrip.
Flash News :
Key developments and significant news announcements that are likely to
have an impact on markets / scrip are flashed live on trading terminals. Flash
news keeps the market participants updated on an online basis and helps them to
reshuffle on their holdings.
TECHNICAL RESEARCH SERVICE :
Nifty Tracker :
Nifty Futures is the most traded instrument with highest volumes in F
& O and excellent liquidity. The team tracks the Nifty Future and generates
calls based on unique trading system which is a result of their focused research
over the past few years. The objective is to generate positive returns for traders
who are looking for a high risk / high reward product.
Online Chart :
An online forum to help clients, specifically day traders in judging the
directions of the market and stocks which are in the limelight.
Page | 28

29. Intraday Calls :
For day traders, Angel provides intra-day calls with entry, exit and stop
loss levels during market hours. These calls are flashed on their terminals. Their
analysts continuously track the calls and provide recommendations according to
the market movements.
Position Calls :
Angel‘s ―Position Trading Calls‖ are based on thorough analysis of the
price movement in select scrip‘s. These calls are for a 10-15 day time span with
stop loss and target levels. These calls are flashed on their terminals during
market hours.
Derivative Strategies :
Their analysts take view on the Nifty and select stocks based on the
derivatives data and technical tools. Suitable ―Derivative Strategies‖ are devised,
which are flashed on their terminals and published in their reports.
Futures Calls :
A customized product for HNIs to help them trade with leveraged
position; wherein clients are advised on the stocks with entry, exit and stop loss
level for short term benefits. Over and above this, financial status of the calls is
monitored at all times.
INVESTMENT ADVISORY DESK:
At Angel, they have a dedicated Investment Advisory Desk :-
To help manage client‘s equity portfolio and create wealth
To help client understand their risk profile and define investment goals
realistically
To minimize client‘s risk and maximize their returns
To help client decide what to buy / sell and when to buy / sell
To help client‘s understand macro-economic trends and sectoral / company
developments
Page | 29

30. To help client restructure their portfolio based on sound research
PORTFOLIO MANAGEMENT SERVICES :
Angel offers discretionary PMS to investors in order to assist them in
managing their funds amidst continuous changing market dynamics and increasing
complexities of investing. Investing in equity market requires in-depth knowledge
and thorough analysis coupled with clear understanding of domestic and
international economies. Investors need the services of an expert to manage their
funds and deliver good returns in diverse market conditions. Continuous wealth
creation with and emphasis on capital preservation is essential in today‘s complex
markets.
In order to systematically diversify the holdings of clients across varied
sectors and with and intention to give them handsome returns, Angel devised the
concept of the Model.
Portfolio :-
Angel came out with its first Model Portfolio in August 2002
Since then it has come out with Model Portfolios which have consistently
outperformed the Sensex YOY
In fact the latest model portfolio by Angel has successfully outperformed
the Sensex by a whopping 80%
Angel‘s Portfolio Advisory Team had a successful track record of assisting its clients in
managing their portfolios for over 4 years.
The Portfolio Management Process starts with understanding each investor‘s risk appetite
and return expectations. The Portfolio Management Team not only draws support from
Angel‘s in-house research team for new investment ideas but also has its own stocks
picking by adopting bottom up research.
Page | 30

31. Salient features of PMS schemes are 100% discretionary, time horizon 12-18 months and
Wealth creation at minimum risk.
PMS SCHEMES @ ANGEL
Scheme 1: Angel OYSTER
Description :
The main objective of the scheme is wealth generation by delivering superior returns over
long term through investments and equity related instruments.
Investment Strategy :
To generate wealth on consistent basis rather than outperform by taking higher
risk.
Logic works well and thus will be given weight age along with financials
Early identification of stocks to ride through the entire investment cycle
Timing of investment is important to generate superior returns
Bottom –up approach
Parameters Driving Investment Decision :
Blend of growth and value stocks
Investments in companies regardless of market capitalizations
Keen selection of stocks based on potential for value unlocking based on key
events
Focus on companies which display
Scalable business potential
Large market opportunity
Beneficiary of favorable economic cycle
Valuation at steep discount to asset value
Sectoral Composition :
May include under- researched companies
Portfolio could invested in liquid funds
Page | 31

32. Investor Profile :
Safety of capital will be of utmost importance
The scheme would be suited for investors having medium to long term
perspective (i.e. 12-18 months)
Scheme 2: Angel BLUE- CHIP
Description :
The objective of the scheme is to generate capital appreciations in the medium to long
term through investments in equities and equity related instruments comprising
predominantly large cap companies.
Investment Strategy :
The scheme will seek to achieve returns through brand based participants in
equity markets by creating a diversified equity portfolio. The portfolio will be
overweight on large cap companies.
The portfolio strives at all time to achieve an 80% allocation to large cap
companies.
The allocation of sectors and stocks in the portfolio may be dynamically
structured in tune with changes in broader market conditions
Overweight on large cap stock. However quality mid cap stocks may also be
considered for investment.
Portfolio to comprise of a combination of growth & value stocks.
The portfolio strives to limit the exposure to any sector to less than 25% of the
portfolio size
The portfolio strives to limit the exposure to any stock to less than 10% of the
portfolio size
The allocation and composition of medium capitalized stocks to vary based
market conditions
Page | 32

33. Investor Profile :
The scheme would be suited for investors with low to moderate risk appetite
The scheme would be suited for investors having medium to long term
perspective.
Benefits of Angel PMS :
Understanding risk : At Angel, utmost emphasis is given to understanding the risk
profile of an investor.
Periodic Evaluation : Periodic evaluation of the Model Portfolio is carried out and
market movements are cashed upon.
Administrative Convenience : Angel focuses on providing hassle free
administrative / operational support and customized services.
Transparency : Regular statements and updates as well as online access to
information required for investment.
Regular Analysis and Monitoring : Investments undergo regular monitoring and
analysis to check any deviation from the structured goal ensuring creation of
wealth over a period of time.
Professional Management : PMS is provided to professional management by
experts on equity with an aim to optimize returns.
Angel PMS – Ideal For :
Portfolio Management Services from Angel are essential for investor who needed
Long term wealth generation
Personalized service
Investment opportunities in Indian equities
Fundamental research based investment decisions
Page | 33

34. In essence, all investor who have faith and belief in the Indian growth story and robust
corporate performance would find Angel PMS most suitable to meet their objectives.
ANGEL GOLD :
In a volatile market it is very difficult for an investor to pick up value stocks
which will give decent returns in the long run. We at Angel Gold realize your need for a
professional financial advisor and hence are here to assist you in making wise and
profitable decisions.
We strongly believe that right decisions taken at the right time are always
beneficial and that's why our entire research team comprising of 12 sector specialists
along with our research head will understand your need, return expectation, risk profile
and time horizon to design your portfolio accordingly. This portfolio will be tracked
regularly and our efforts would be to optimize your returns in the long run.
Features of the Angel Gold :
A premium service for clients who need professional guidance on long term
investments.
Minimum fund / portfolio of Rs. 1 lakh and maximum of Rs. 4 lakh eligible for
Angel Gold.
Appropriate risk profiling before taking investment decisions
Periodic group meetings and seminars in branches.
Monthly Newsletter from the desk of ―Angel Gold‖ .
Browser based back-office software.
Page | 34

35. COMMODITIES SERVICES :
Agro Tech Speak :
Mainly gives the investors insight into and a forecast for agro
commodities viz. pulses (urad, channa etc); reports on oil complex (soybeans
castor etc.) along with spices with reports on kapas guar seed.
Call Evaluation :
A report designed for evaluating the calls given by the angel research
team where the reports are classified in 3 broad categories viz. achieved,
triumph, not achieved along with the trade recommendations.
Commodities Tech Speak :
This report mainly equips the investors dealing in MCX segment in
commodities like gold, silver, crude oil, copper etc with the market insight and
expert recommendation on the trading strategies
Angel Commodity Advantages :
Top Quality Research :
Professionally qualified analysts with rich industry experience
Research on 25 agro commodities, precious metals, base metals, energy
products and polymers.
E-Broking :
Single screen customized market watch for MCX / NCDEX with
BSE / NSE
Streaming quotes and intraday calls
DP Facilities in Commodities Trading on CDSL
24x7 Online Back-office
Efficient Risk Management
Page | 35

36. Competitive Brokerage Rates
MUTUAL FUND DISTRIBUTION AND ADVISORY :
To enable clients to diversify their investment in the right direction, Angel Broking
has added another product in its range with mutual funds :
Customized investment solutions based on specific individual‘s financial goals
aligned with client‘s risk appetite.
Access to in-depth research and proper selection from diversified funds based on
client‘s preferred criteria.
Customized reports at desired frequency.
Rating and Rankings of all Mutual Funds from in-house expert analysts.
Current and historical performance of different funds enabling comparisons.
News and alerts for client‘s Mutual Fund Portfolio and performance tracking with
watch lists.
Online Mutual Funds applications (NFO or existing) / Online order status tracking
/ online updating of unit holdings at latest NAV / Online dividend payout and re-
investment facility.
Single point customer query handling.
IPO DISTRIBUTION AND ADVISORY :
Wide network of branches for better customer reach.
Dedicated Research Teams generating sector related reports.
Ease in investing with informed decision making.
Advisory Help Desk for all IPO related queries.
DEPOSITORY PARTICIPANT SERVICE :
Angel Broking Ltd. is a DP Service provider through CDSL. They offer
Depository Services to create a seamless transaction platform to execute trades
through Angel Group of Companies and settle these transactions through Angel
Depository Services.
Page | 36

37. Hassle free automated pay-in of client‘s sell obligations by Angel Broking Ltd. /
Angel Capital & Debt Market Ltd.
Instant disbursement of non-cash benefit like bonus and rights
Wide Branch coverage
Personalized / Attentive services of trained and dedicated staff
Centralized billing and Accounting
Acceptance and Execution of instructions on ―fax‖
―Zero‖ upfront payment and lowest transaction charges
Daily statement of transactions and holding statements on e-mail
No charges for extra transaction statement and holding statement
BROKERAGE
Following schemes are available for trading Account :
Prepaid Scheme A Rs 2000/- per Annum
Scheme Type A Table A Table B
Brokerage Rate Brokerage Rate
(for AMC Scheme (for non AMC Scheme
Account) Account)
AMC AMC Rs. 2,000 pa Nil
Account opening Charges (one time) Speed Trade A/c Speed Trade Account
Rs. 1,000 Rs. 1,000
Classic Account Rs. Classic Account Rs.
750 750
Offline Account Offline Account
Percentage Min. Paisa Percentage Min. Paisa
Page | 37

38. Cash Segment
Trading
First Leg 0.07% 05p 0.10% 10
Second Leg 0.07% 05p 0.10% 10
Delivery
Delivery Brokerage 0.40% 10p 0.50% 50
Other charges Cash segment (Trading and Delivery)
Stamp Duty Y Y Y Y
Turnover Tax Y Y Y Y
Service tax Y Y Y Y
Default Brokerage — —
Futures & Options Segment
First Leg 0.07% 01p 0.10% 10
Second Leg (same day) 0.02% 01p 0.0% 00
Next day 0.07% 01p 0.10% 10
Other charges F&O Segment
Stamp Duty Y Y Y Y
Turnover Tax Y Y Y Y
Service tax Y Y Y Y
Default Brokerage — —
Page | 38

39. Prepaid Scheme Rs 6000/- per Annum
Scheme Type B Table A Table B
Brokerage Rate Brokerage Rate
(for AMC Scheme (for non AMC Scheme
Account) Account)
AMC — AMC Rs. 6,000 pa Nil
Account opening Charges (one — Speed Trade A/c Rs. — Speed Trade Account Rs.
time) 1,000 1,000
— Classic Account Rs. — Classic Account Rs. 750
750
— Offline Account
— Offline Account
Percentage Min. Paisa Percentage Min. Paisa
Cash Segment
Trading
First Leg 0.05% 05p 0.10% 10
Second Leg 0.05% 05p 0.10% 10
Delivery
Delivery Brokerage 0.25% 10p 0.50% 50
Other charges Cash segment (Trading and Delivery)
Stamp Duty Y Y Y Y
Turnover Tax Y Y Y Y
Service tax Y Y Y Y
Page | 39

40. Default Brokerage — —
Futures & Options Segment
First Leg 0.05% 01p 0.10% 10
Second Leg (same day) 0.02% 01p 0.0% 0
Next day 0.05% 01p 0.10% 10
Other charges F&O Segment
Stamp Duty Y Y Y Y
Turnover Tax Y Y Y Y
Service tax Y Y Y Y
Default Brokerage — —
Along with these above schemes many other competitive schemes are available
for customers depending on their volume of trading.
OTHER FEATURES :-
1. Angel Broking First step Program :-
What is:-
In the complex world of investing in shares in India, interested beginners didn't
have any place they could start out from. This is why Angel Broking started the
First Step program - to assist and guide new investors when they take their first
steps into the world of investing in shares. This program is explicitly designed
for beginners. You will not feel unintelligent when asking questions like "Who
owns the Stock Market?" or "What is a stock-split?" since Angel Broking people
are trained to assist those taking their first step in the market.
Page | 40

41. Consist of:-
The Angel Broking First Step program is a special, never-been-done-before
program created by Angel Broking for new investors to the stock market.
Despite being a beginner with a small amount to invest, they will still be able to
benefit from Angel Broking experience, technology-based tools and research. In
fact, Angel Broking have created special versions of all of these for clients -
clear and simple information tools for there understanding, demonstrations to
help them get started and research re-written in easier language. See how Angel
Broking friendly assistance empowers them to become a 'Stock Market ka Sher'.
2. Angel Broking Value line :-
A monthly investment report based on fundamental research with Stock ideas,
Stock Updates, Earning Guide, Stock Recos, Mutual Fund Guide , Market Outlook,
Sector Updates.
SWOT Analysis :-
A SWOT analysis focuses on the internal and external environments, examining strengths
and weaknesses in the internal environment and opportunities and threats in the external
environment.
PROCEDURE OF CLIENT ACQUISITION :-
In the first phase we are given training and we are explained about different things
of market about Angel Broking Ltd, its introduction, products and services
offered by Angel Broking Ltd. We have been trained by their well experienced
Staff.
After that we are trained to cope up with the customers, through there well
experienced Sales Executives.
They provide us leads and we make calls. Three types of leads are provided to us
:-
People who registers themselves on Angel Broking website willing
to be client of Angel broking and want to know about its product.
Page | 41

42. People who have Demat account already with any another broker.
(competitors Data)
People who are totally unknown to this market.
Then after that we have to provide details of product and convince them. People
who have already demat account; we have to convince them by giving
information about Angel Broking services & benefits.
And people who are unknown to share market, we tell them about Angel Broking
first step program for fresher.
Then we have to visit them and get the formed filled from them.
We collect all-important documents from client.
PROCEDURE FOR OPENING A DP ACCOUNT WITH ANGEL BROKING :-
You can open a Depository Participant (DP) account, either through an Angel
Broking branch or through an Angel Broking Franchisee center.
There is no fee for opening DP accounts with Angel Broking. However a nominal
deposit (refundable) is charged towards services which will be adjusted against
all future billings.
All investors have to submit their proof of identity and proof of address along
with the prescribed account opening form.
IN DP ACCOUNT OPENING FORM :-
1. Minor details like name of the branch, name of the client & address and
other details of the client required to be mentioned in the form and
Agreement.
2. Signatures are required on all pages of the agreement.
3. All the details (Name & address of the client) must be filled.
4. Name, Address & signature of the witness are compulsory. (Please note
that 1 witness is required to sign on behalf of the client)
5. Please note that if the signature on the form & the proof provided differs,
the form will be liable for rejection. In such cases the client has to get his
signatures verified by the banker.
Page | 42

43. 6. Nominee details must be supported by 2 witnesses (Name, Address &
signature).
7. Minor accounts, HUF accounts, Corporate accounts, and Accounts having
3 holders cannot have nominees in a DP account.
8. Please note that joint accounts cannot be opened in case Minor accounts
and HUF accounts.
9. In case of any corrections on the application form & agreement holders
have to counter sign at place of the correction.
ACCOUNT OPENING REQUIREMENTS UNDER VARIOUS HEADS :-
(i) Proof of Identity (Any one of the following) :-
1. Photocopy of Valid Passport (Page containing the date of expiry also to be
attached)
2. Photocopy of Voters Identity card.
3. Photocopy of Valid Driving License (Page containing the date of expiry also to be
attached).
4. Photocopy of Pan card
5. Photocopy of MAPIN card
6. Identity card/document with applicant‘s Photo, issued by
a) Central/State Government and its Departments,
b) Statutory/Regulatory Authorities,
c) Public Sector Undertakings,
d) Scheduled Commercial Banks,
e) Public Financial Institutions,
f) Professional Bodies such as ICAI, ICWAI, ICSI, Bar Council etc., to their
Members; and
g) Credit cards/Debit cards issued by Banks.
Page | 43

44. (ii) Proof of Address (Any one of the following) - (Provided the entire
address written on the form matches with the proof):-
1. Photocopy of Ration card.
2. Photocopy of Valid Passport (Page containing the date of expiry also to be
attached). (Copy of expiry date also to be submitted)
3. Photocopy of Voters Identity card.
4. Photocopy of Valid Driving License (Page containing the date of expiry also to be
attached). (Copy of expiry date also to be submitted)
5. Photocopy of Telephone or Electricity bill. (Government entity only & should not
be more than 3 months old)
6. Photocopy of Leave-License / Purchase Agreement.
7. Photocopy of Voters Identity card.
8. Photocopy of Bank Passbook or latest Bank statement.
9. Self-declaration by High Court & Supreme Court judges, giving the new address
in respect of their own accounts.
10. Identity card/document with address, issued by
a) Central/State Government and its Departments,
b) Statutory/Regulatory Authorities,
c) Public Sector Undertakings,
d) Scheduled Commercial Banks,
e) Public Financial Institutions and
f) Professional Bodies such as ICAI, ICWAI, Bar Council etc., to their
Members.
(iii) Photocopy of cheque leaf of bank account number mentioned on the form to
verify the Bank MICR No.
(iv) Latest photograph signed by the client.
FOR H.U.F ACCOUNT OPENING REQUIREMENTS :-
1. Signed Photograph of the Karta is required.
2. Proof of Identity of the Karta
3. Pan card of HUF
4. Proof of Address
Page | 44

45. 5. Photocopy of cheque leaf of bank account number mentioned on the form to
verify the Bank MICR No.
6. HUF Stamp is required wherever the client signs on the agreement.
7. Letter from the Karta operating the Demat account with the two witnesses of
coparceners.
8. No joint names & nominees allowed for HUF accounts.
FOR MINOR ACCOUNT OPENING REQUIREMENTS :-
The account opened in the name of the minor cannot have second and third
holders. Further there can be no nominee for minor account. The Guardian has to sign on
behalf of the Minor.
1. Birth Certificate of the Minor.
2. Guardian‘s Proof of Address.
3. Guardian‘s Proof of Identity.
4. Photograph of the Minor & Guardian.
5. Photocopy of cheque leaf
FOR N.R.I. (NON RESIDENT INDIAN) CLIENT :-
1. Latest photograph signed by the client.
2. Photocopy of Valid Passport (Page containing the date of expiry also to be
attached)
3. Proof of Local Address
4. Proof of Foreign Address
5. Photocopy of cheque leaf of bank account number (NRE or NRO) mentioned on
the form to verify the Bank MICR No.
FOR PARTNERSHIP FIRM :-
The account cannot be opened in the name of a partnership firm. It has to be opened in
the name of the partners, as an individual account. Maintaining dairy of clients and
contacting them at regular basis. To get feedback from them about Angel Broking
services.
Page | 45

46. Customer Relationship Management
(CRM)
Page | 46

47. Customer Relationship Management (CRM) is one of those magnificent concepts that
swept the business world in the 1990‘s with the promise of forever changing the way
businesses small and large interacted with their customer bases. In the short term,
however, it proved to be an unwieldy process that was better in theory than in practice for
a variety of reasons. First among these was that it was simply so difficult and expensive
to track and keep the high volume of records needed accurately and constantly update
them. In the last several years, however, newer software systems and advanced tracking
features have vastly improved CRM capabilities and the real promise of CRM is
becoming a reality. As the price of newer, more customizable Internet solutions have hit
the marketplace; competition has driven the prices down so that even relatively small
businesses are reaping the benefits of some custom CRM programs.
In the beginning…
The 1980‘s saw the emergence of database marketing, which was simply a catch phrase
to define the practice of setting up customer service groups to speak individually to all of
a company‘s customers. In the case of larger, key clients it was a valuable tool for
keeping the lines of communication open and tailoring service to the clients needs. In the
case of smaller clients, however, it tended to provide repetitive, survey-like information
that cluttered databases and didn‘t provide much insight. As companies began tracking
database information, they realized that the bare bones were all that was needed in most
cases: what they buy regularly, what they spend, what they do.
Advances in the 1990’s
In the 1990‘s companies began to improve on Customer Relationship Management by
making it more of a two-way street. Instead of simply gathering data for their own use,
they began giving back to their customers not only in terms of the obvious goal of
improved customer service, but in incentives, gifts and other perks for customer loyalty.
This was the beginning of the now familiar frequent flyer programs, bonus points on
credit cards and a host of other resources that are based on CRM tracking of customer
activity and spending patterns. CRM was now being used as a way to increase sales
passively as well as through active improvement of customer service.
Page | 47

48. Introduction Customer Relationship Management - CRM
The generally accepted purpose of
Customer Relationship Management
(CRM) is to enable organizations to better serve its customers through the introduction
of reliable processes and procedures for interacting with those customers .In today's
competitive business environment, a successful CRM strategy cannot be implemented by
only installing and integrating a software package designed to support CRM processes. A
holistic approach to CRM is vital for an effective and efficient CRM policy. This
approach includes training of employees, a modification of business processes based on
customers' needs and an adoption of relevant IT-systems (including soft- and maybe
hardware) and/or usage of IT-Services that enable the organization or company to follow
its CRM strategy. CRM-Services can even redundantize the acquisition of additional
hardware or CRM software -licences. The term CRM is used to describe either the
software or the whole business strategy oriented on customer needs. The second one is
the description which is correct. The main misconception of CRM is that it is only
software, instead of whole business strategy.
Major areas of CRM focus on service automated processes, personal information
gathering and processing, and self-service. It attempts to integrate and automate the
various
customer serving
processes within a company.There are three parts of application architecture of
CRM:
operational - automation to the basic business processes (marketing, sales, service)
analytical - support to analyse customer behaviour, implements business intelligence
alike technology
co operational - ensures the contact with customers (phone, email, fax, web...)
Operational part of CRM typically involves three general areas of business. They are
(according to Gartner Group) a Enterprise marketing automation (EMA), Sales force
automation (SFA) and a Customer service and support (CSS). The marketing information
part provides information about the business environment, including competitors,
Page | 48

49. industry trends, and macro environmental variables. The sales force management part
automates some of the company's sales and sales force management functions. It keeps
track of customer preferences, buying habits, and demographics, and also sales staff
performance. The customer service part automates some service requests, complaints,
product returns, and information requests. Integrated CRM software is often also known
as "front office solutions." This is because they deal directly with the customer. Many
call centers use CRM software to store all of their customer's details. When a customer
calls, the system can be used to retrieve and store information relevant to the customer.
By serving the customer quickly and efficiently, and also keeping all information on a
customer in one place, a company aims to make cost savings, and also encourage new
customers.CRM solutions can also be used to allow customers to perform their own
service via a variety of communication channels. For example, you might be able to
check your bank balance via your WAP phone without ever having to talk to a person,
saving money for the company, and saving you time.
Improving customer service
CRMs are claimed to improve customer service. Proponents say they can improve
customer service by facilitating communication in several ways:•
Provide product information, product use information, and technical assistance on web
sites that are accessible .
Help to identify potential problems quickly, before they occur
Provide a user-friendly mechanism for registering customer complaints (complaints that
are not registered with the company cannot be resolved, and are a major source of
customer dissatisfaction)
Provide a fast mechanism for handling problems and complaints (complaints that are
resolved quickly can increase customer satisfaction)
Provide a fast mechanism for correcting service deficiencies (correct the problem before
other customers experience the same dissatisfaction)
Page | 49

50. Identify how each individual customer defines quality, and then design a service strategy
for each customer based on these individual requirements and expectations
use internet cookies to track customer interests and personalize product offerings
accordingly
use the internet to engage in collaborative customization or real-time customization
Provide a fast mechanism for managing and scheduling follow up sales calls to assess
post-purchase cognitive dissonance, repurchase probabilities, repurchase times, and
repurchase frequencies
Provide a fast mechanism for managing and scheduling maintenance, repair, and on-
going support (improve efficiency and effectiveness)
Provide a mechanism to track all points of contact between a customer and the company,
and do it in an integrated way so that all sources and types of contact are included, and all
users of the system see the same view of the customer (reduces confusion)
The CRM can be integrated into other cross-functional systems and thereby provide
accounting and production information to customers when they want it
Improving customer relationships
CRMs are also claimed to be able to improve customer relationships . Proponents say this
can be done by:
CRM technology can track customer interests, needs, and buying habits as they progress
through their life cycles, and tailor the marketing effort accordingly. This way customers
get exactly what they want as they change.
Page | 50

51. The technology can track customer product use as the product progresses through its life
cycle, and tailor the service strategy accordingly. This way customers get what they need
as the product ages.
In industrial markets, the technology can be used to micro-segment the buying centre and
help coordinate the conflicting and changing purchase criteria of its members
When any of the technology driven improvements in customer service (mentioned above)
contribute to long-term customer satisfaction, they can ensure repeat purchases, improve
customer relationships, increase customer loyalty, decrease customer turnover, decrease
marketing costs (associated with customer acquisition and customer ?training?), increase
sales revenue, and thereby increase profit margins.
Technical functionality
A CRM solution is characterised by the following functionality:
scalability - the ability to be used on a large scale, and to be reliably expanded to what
ever scale is necessary.
multiple communication channels - the ability to interface with users via many different
devices (phone, WAP, internet, etc)
workflow - the ability to automatically route work through the system to different people
based on a set of rules.
database - the centralised storage (in a data warehouse) of all information relevant to
customer interaction
customer privacy considerations, e.g. data encryption and the destruction of records to
ensure that they are not stolen or abused
Privacy and ethical concerns
Page | 51

52. CRMs are not however considered universally good - some feel it invades customer
privacy and enable coercive sales techniques due to the information companies now have
on customers - see persuasion technology. However, CRM does not necessarily imply
gathering new data, it can be used merely to make "better use" of data the corporation
already has. But in most cases they are used to collect new data.
CRM Planning
CRM Planning: Keys for Project Success
Whether you're updating, upgrading, jump-starting, or restarting your CRM efforts, some
basic steps will help keep you on the path to a positive ROI.Thinking about the potential
ROI of your customer relationship management (CRM) project should start during the
selection process. Before you write an RFP or start talking to vendors, you need to do
some homework to ensure that you're on the right track to maximize ROI.
Identify the Problem — and the Solution
Before you start thinking about vendors, you should define your problem in clear
business terms. Do you need to improve management visibility into the sales pipeline?
Reduce customer support costs or improve customer support? Reduce customer-related
administrative overhead? Making your CRM challenges specific will help you determine
which technologies or components are most likely to deliver ROI and how you can
prioritize your development and deployment plans. Most companies' CRM goals fall into
a couple of main categories:•Improved sales performance •Improved management
visibility •Improved customer support •Improved marketing •Reduced costs If your CRM
goals fall into more than two of these categories, you'll likely want to prioritize one over
the other and plan a phased deployment. It's also a good idea to know at this point what
your likely budget is, how flexible it is, and what your procurement officer or CFO will
be looking for in terms of business justification. If you know walking into the project that
you'll need to show a six-month payback period, for example, you can plan accordingly.
Make the Short List
Regardless of your relationship with existing vendors, previous experience, and
technology environment, you should make a short list of potential vendors and give them
a fair evaluation before you make a decision. Your short list should be easy to define
based on these factors:•Your CRM goals. The vendors whose functionality meets your
needs will depend on whether you're looking for improved sales, improved reporting and
forecasting, improved support, improved marketing, or a combination of different
Page | 52

53. customer-related technology. •Your existing environment and IT philosophy. Do you
have existing databases, order systems, or contact lists that will need to be integrated or
migrated into your CRM solution? Do you expect to do your own development or use
consultants or systems integrators? Are you comfortable outsourcing your sales and
marketing data in its entirety - or in part? Answering these questions will help you
determine whether a large-scale CRM infrastructure, a hosted solution, a point solution,
or a broad solution is likely to deliver maximized ROI. •Your user dynamics. Are the
employees you expect to use the solution technology savvy and open to change, or are
they the ones still using pencils and paper to track leads? The greater the magnitude of
the change you expect them to make, the greater the risk that adoption will slow the ROI
of your project. •Your budget. CRM solutions such as Siebel and SAP can cost millions
of dollars to deploy and require a team for ongoing support and maintenance. On the
other end of the spectrum, Microsoft CRM and Front Range (for example) can cost
considerably less. You can expect a hosted solution to have a minimal upfront investment
and from $500 to $1,500 per user per year. Clearly defining your requirements and
characteristics in each of these key areas will prepare you for the next step - evaluating
each individual solution's ability to deliver returns based on the costs and benefits
associated with a deployment.
Check Resumes
Once you've identified the likely vendors to deliver the best solution for you, you'll want
to check their references - and this doesn't mean just reading case studies on their Web
sites. Look to independently developed case studies and your own interviews with
references to learn about their decision process, project successes and challenges, and
whether or not their spending - and benefits - met expectations.
In the CRM world, few companies will deploy a solution without some help from
external consultants or systems integrators. Selecting and planning how you work with
consultants is just as important to your project's success as the technology you choose.
Justify Your Investment
Once you've identified your goals and selected a short list of vendors, you can use a
structured evaluation of costs and benefits to determine the best solution in terms of ROI
and build the business case for moving forward. On the costs side, you'll want to consider
the initial and ongoing software, hardware, consulting, internal personnel, and training
costs associated with the project. Here are a few guidelines to keep the ROI from your
CRM project on track:•You should spend less on software and consulting than 70 percent
of expected annual direct benefits. •You should be able to deploy and achieve some
returns in fewer than six months (even if it's only a pilot). •For a hosted solution, you
should see benefits in fewer than 60 days. •Consulting costs should not be more than
Page | 53

54. twice your initial software investment. •Training users should take fewer than four hours.
On the benefits side, you'll want to consider both direct and indirect benefits. Prioritize
your expected benefits from most direct to most indirect, and then work on your
estimates, using internal surveys, case study data, and reliable benchmarking information
as a starting point for quantifying expected benefits for your company.
Key Decision Factors
By and large, there's no such thing as a bad CRM solution. Most solutions deliver value
when they're chosen based on clear business needs and deployed correctly. Once you've
identified your CRM needs and your short list, there are a number of factors to consider
to help you make the right solution decision.
User Adoption
In evaluating the type of CRM solution that will be best for your organization in terms of
user adoption, you'll want to consider two key factors:•The willingness of users to adopt
the application. Adoption can often be as much about politics and culture as it is about
technology. Successful adoption will also depend on how much users will have to change
their normal way of doing work to use the solution. •The technology ability of potential
users. Many CRM solutions are complex and difficult to use; others have a more intuitive
look and feel. Choose a solution that fits the abilities of your users. Once you've
determined where your organization fits, you'll want to consider both the complexity of
the solution and ease (or difficulty) involved in adding and evolving functionality over
time as your needs change and your users become more comfortable with the solution.
Here are some red flags you should look out for in evaluating solutions in terms of user
adoption:•Plans for extensive customization •Multiple components that will be integrated
to meet your needs •Lack of a track record supporting "your kind" of sales reps
•Functionality planned "for the next release" •An extensive training program •Ongoing
consulting requirements for any changes or updates
Cost
In CRM, "you get what you pay for" isn't always true. In fact, many companies in the
past have overspent on CRM components and features that never delivered value to their
users - if they even made it out of the box. You'll have the most success with a measured
approach that doesn't have to include a hefty initial license fee.
Existing Environment
What other solutions and data sources do your sales or customer support representatives
use today, what solutions are they most comfortable using, and what will need to be
integrated in some way into the CRM solution you choose to deliver value? How you
Page | 54

55. integrate existing resources and applications into a CRM project should not be an
afterthought. In selecting a vendor, you'll want to explore how it can integrate with your
existing environment. Demand to see a track record with reference customers in a similar
situation.
Best Practice: Make a Match
One company chose Microsoft CRM because it would easily integrate with back-end
office applications, because the sales force was already familiar with the Microsoft
interface look and feel, and because the design of the application closely matched its
existing business processes. It achieved a payback of five months.
Flexibility
In addition to the initial development, integration, and deployment, when selecting a
solution, you should consider how easy it will be to make changes over time as your
needs change. In all likelihood, the way you use CRM will change over time - and the
flexibility of the application to enable you to support those changes can have a significant
impact on the ongoing cost of the solution.
Best Practices
Once you've determined which solution is right for you and built the business case, you'll
want to make sure you have the key checkpoints in place so that the project delivers on
your ROI expectations. Pricing and Purchasing Before you sign on the dotted line, make
sure you've done due diligence on your contract with the vendor. Double-check the
following:•Is the initial license price per user in line with industry benchmarks?
Are you paying less, more, or the average annual industry maintenance? If you decide to
stop paying maintenance in the future, does your contact support that? •If you're
purchasing multiple modules at the same time, do you have a clear view of the cost of
each item? Are you sure you should be buying them all now, or would a phased approach
be better? •What commitment has the vendor made to your deployment time line? If a
third party is involved, how are the deployment risk and responsibility being shared?
Deployment
Piloting a CRM solution can be a great way to judge both whether or not the solution will
work for you and how flexible and agile the solution (and vendor) is in responding to
specific needs. Most hosted solution vendors offer a free or nearly free pilot option today;
depending on the level of customization and integration needed, a pilot of an internal
solution before you buy may or may not be possible.
Best Practice: Pilot First
Page | 55

56. One company deploying an People CRM solution used an initial pilot at one location to
evaluate the application and get valuable feedback on how and when the software should
be expanded to other locations. Even after you've made the commitment, piloting to a
select group of users before you complete customization is a good way to determine
whether or not the solution works - and to gain valuable feedback on how and with what
changes the solution should be rolled out to the broader population.
Best Practice: Phase In Functionality
One company deploying a JD Edwards CRM solution found that while it achieved a
positive ROI, it could have accelerated user adoption and thus shortened its payback
period by introducing functionality to users in phases. A phased approach would have
reduced initial customization costs and the need to train users, who were somewhat
overwhelmed by the features of the solution.
Fine-Tuning Your ROI
If you've picked the right vendor, planned a deployment with clear milestones, and gotten
users on board, you've probably received 70 percent of the ROI you can expect. The trick
to really successful CRM is continuing to evaluate and evolve your solution to deliver
greater value. You'll also want to keep track of potential upgrade opportunities and take a
close look at the business case - both the benefits of upgrading and the time and pain
associated with the upgrade - before you make a change.
CRM in Business
Introduction
In this day and age the use of internet sites and specifically e-mail, in particular, are
touted as less expensive communication methods, compared to traditional methods like
telephone calls. This revolutionary type of service can be very helpful, but it is
completely useless if you are having trouble reaching your customers. It has been
determined by some major companies that the majority of clients trust other means of
communication, like telephone, more than they trust e-mail. Clients, however, are not the
ones to blame because it is often the manner of connecting with consumers on a personal
level making them feel as though they are cherished as customers. It is up to the
companies to focus on reaching every customer and developing a relationship.CRM
software can run your entire business. From prospect and client contact tools to billing
history and bulk email management. The CRM system allows you to maintain all
customer records in one centralized location that is accessible to your entire organization
Page | 56

57. through password administration. Front office systems are set up to collect data from the
customers for processing into the data warehouse. The data warehouse is a back office
system used to fulfill and support customer orders. All customer information is stored in
the data warehouse. Back office CRM makes it possible for a company to follow sales,
orders, and cancellations. Special regressions of this data can be very beneficial for the
marketing division of a firm.
CRM Software: A key to scalability and efficiency
CRM Software provides added strength to your existing plan.
CRM software is not a "cure-all" for the CRM program in your business. Successful
launch of a CRM software campaign requires a strong CRM plan for your business, with
complete objectives and clear priorities. CRM software can offer incredible accuracy,
track-ability and detailed follow-up capabilities.
How do you choose CRM Software?
Does the emphasis of the CRM software package match the emphasis of your CRM
objectives? Identify your specific objectives and verify your CRM software can meet
those needs.
Is your software user friendly? If you can't effectively use the software why use it? CRM
software training is usually available by contacting the vendor and asking for
recommended referrals.
How do other companies feel about the software? Call the provider company and ask for
a number of preference (preferably three or four companies in similar size and scope).
What are some key components of CRM software?
History and Trend Management
History Tracking - get instant perspective into all customer interactions
Page | 57

58. Trend Management- see the status of all pending sales and potential revenue of entire
pipeline
CRM Software Automated Processes
Remote Web Synchronization- automatically follow-up with leads generated from your
site
Automated Process Management - allows consistent communication with customer based
on user-defined criteria
CRM software Data-base Information
Centralized Information - centralize, manage and simplify access to critical business
information
Industry Templates and Form s- allows access to a database of industry specific CRM
forms
CRM Software Sales and Marketing Analysis
Sales & Quota Analyses - view forecasted sales, closed sales, and comparisons between
sales and quota
Leads Analysis - track responses to identify effective campaigns
CRM Software Mobil Technology Capabilities
Synchronization Wizard - keep calendar and contact information up-to-date on your PDA
or laptop while you travel
Page | 58

59. Remote Access Capabilities - access your CRM software through the internet. Not all
CRM software packages are the same. They will greatly range in price and capabilities.
CRM Advisor suggests a thorough evaluation is done comparing multiple CRM software
packages.
Analytic CRM
The Retailers Data Challenge
Today‘s retail environment includes increased competition among stores, a general
economic downturn, rising interest rates and higher gas and heating oil prices. All of
these factors have reduced the disposable income available to many retailers, core
customers. In this economic environment, retailers must learn to generate more business
from their existing customers. To do this they must first mine the data they have
collected on customer purchases and loyalty programs. Still, retailers are drowning in
customer data.
Critical customer information is inaccessible and underutilized.
More decision-makers need more access to consistent corporate data about their
customers.
Loyalty program, POS, and demographic databases exist, yet are not integrated within a
retail corporation.
Merchandisers and direct marketers lack expertise in the standard analysis applications
sold by business intelligence vendors today.
Current retail data analysis systems require heavy IT resources to maintain and utilize.
According to The Marriage of Category Management & Customer Management, written
by Gary Robins and published in RIS, July 1999, .Category Management and promotion
management need to include analyses of loyal customers. Failure to consider the effects
on loyal customers‘ means resources spent on category management and promotion
might be and probably is in some or many cases harming your business. Combining
category and loyalty data analysis has been done before, but with great difficulty. The
biggest hurdle now is getting robust, fast databases to handle the huge amount of
integrated data.
Customer view was designed to address these retail data challenges. CustomerView
supports the retailers. Top marketing objectives to solve these problems:
Reward loyal shoppers and get them to buy more
Page | 59

60. According to Robert Blattberg, director of the Center for Retail Management at North
eastern . Kellogg Graduate School of Business, a study of a chain drug retailer showed a
30%/70% split, meaning the top 30% of their customers generated 70% of their revenues.
It also revealed which categories were more important to top and bottom level customers.
In another example, a small regional chain with seven stores targeted 18,000 of their best
customers based on recently and overall dollar amount spent. Of the 18,000 customers
mailed, 921 responded, generating a 5.1% response rate. Total revenue brought in from
this particular promotion was in excess of $227,000 generating more than $22 for every
dollar spent on the promotion. The events average transaction was $24744 an almost $50
increase from their normal average transaction.
If your firm is not the lowest cost producer in the category and your switchers are price
sensitive, the best marketing strategy for addressing price-sensitive purchasers is to
attempt to change their preference structure by raising their awareness of, and preference
for, specific brand/product attributes, whether they are tangible or intangible. Then try to
persuade these Price Sensitive Purchasers that your offering has the better value, all
things considered. The goal is to increase sales and market baskets of top switchers.
Optimize trade areas and improve assortments store-by-store
A leading supermarket chain recently used data from loyalty programs to edit which
products to delist in a category. .It is not just sales, it is how it is affecting loyal
customers,. was the mantra from the chain. In a test of the carbonated
. beverage category, the chain did not lose customers even after eliminating 26% of the
category. SKUs.
Cross-sell the most profitable products and increase the average basket size
A leading beverage company, which has been working with over 40 retailers, says that
use of loyalty data does help retailers increase basket size. According to a senior
category manager, .we did a presentation with a small chain in Houston, Texas, and this
company had a 6.5% increase in dollars per basket and a 9.8% gain in total dollars among
their best shoppers.
Maximize ROI for programs funded with manufacturer co-op funds
A national retailer recently completed a targeted promotion with a leading CPG
company. 350,000 pieces were mailed bringing the retailer an additional $124,000 of co-
op dollars. The piece featured 10 different products, received 16.4% response rate, and
the market basket of the responders was 40% greater than the non-responders.
Who can benefit by using Customer view?
Page | 60

61. Customer view is targeted at five key audiences within the retailer‘s organization:
Financial
Customer view enables retailers to take existing customer data and use it to drive
revenue, increase market basket size, and build market share with no additional capital
expenses and labor costs. It enables the CFO to show increased margins on current
capital and enables profitable growth.
Merchandisers
Customer View enables merchandisers to improve the effectiveness of their staff. Using
Customer view, merchandisers can quickly see how certain products can increase market
basket size. Using Customer view they can see how merchandise mix
affects customer loyalty and adjust their assortment accordingly. Customer view can
help merchandisers measure and build retention. It can show market basket value of
loyal vs. non-loyal customers. Customer view can quickly help identify the value of a
consumer that shops in critical categories vs. the shopper that does not.
Operators
Customer view can help Operations Executives make changes in an intelligent way.
Using Customer view a retailer can keep labor constant while increasing margins.
CustomerView can help increase the depth of category purchases by turning cherry
pickers into buyers, increasing a loyal customers shopping trips to a category and
increasing overall market basket size.
Consultants
Loyalty and POS databases tend to be stand-alone systems not integrated with category
management systems. Most data is un cleansed and hosted in many locations. This leads
to many opportunities for consultants to create systems to clean the data, aggregate the
data, de-duplicate the data, household the data, etc. before the data enters the Customer
view system. There are also many opportunities for consultants to use Customer view to
help the retailers interpret, translate, and develop strategies based on the information and
provide business practice recommendations.
Page | 61

62. Vendors
Customer view can help CPG manufacturers build category/brand sales by using real
retail data. Customer view can help them build their share of market by identifying
customers buying a particular category of products, but not their brands. Customer view
can show the CPG manufacturer how to increase multi-segment sales by identifying
likely purchase behavior across divisions, departments or categories.
Optimizing Customer Interactions and Marketing Analytics
Customer conversations and new analytical marketing techniques make dynamic
customer relationship optimization a new top priority.
Business competence comes down to a company‘s ability to generate value by using
meaningful propositions, relevant interactions, messaging, information, and
conversations that
customers find compelling. The most important thing that CRM can do for you today and
tomorrow is help you create effective conversations that are crafted with credible, holistic
intelligence and delivered to the right customer on the right channel at the right time.
Businesses need to create economic value, which requires understanding customers and
then engaging them with value propositions. The single most important event that
happens in business is a customer conversation. The conversation is where economic
value begins – revenues, activity, paychecks, and shareholder value. Every company
should make the composition of those ―value props‖ its highest priority. But are they
doing so? How well do businesses create conversations? How much do firms optimize
opportunities? What are some of the best firms driving new customer value? This latest
management challenge is being addressed by the best of- breed CRM analytical tools that
provide marketers with the intelligence to understand customers so that value
propositions are relevant and arrive at the most opportune time for the customer. The new
analytics provide capabilities for companies that wish to make it a business priority to
create uniquely effective value propositions. The interesting thing is that customers
expect it. Yes, customers expect you to know them – and to treat them as persons and
remember every contact and transaction they‘ve ever made. This idea has been in
existence for a decade, since database marketing began to grow in popularity and use.
B2B or B2C or B2B2C buyers now instinctively believe that their providers should know
them.
―Initially flattered by being treated less as a number and more as an individual with
distinct requirements, consumers are now communicating their demands back to their
suppliers. Where once they would not consider the idea of bargaining, they now tell the
managers of brand retail chains what they are prepared to pay and specify how they want
Page | 62

63. products sourced, designed, styled, combined, assembled, delivered, and maintained.‖
Accelerating Customer Relationships
, Swift As Internet communities of practice have grown, people have become more vocal
about what they expect from providers in many consumer serving industries. More than
two years ago, the book
The Cluetrain Manifesto: The End of Business as Usual
discussed the new realities of value propositioning and marketing techniques for the new
millennium.
Here are the pertinent highlights:• Marketing is really various types of interaction or
conversations.• Technology is enabling conversations among human beings that were not
possible in the era of mass media.• These networked conversations are enabling powerful
new forms of social organization and knowledge exchange.• As a result, markets are
getting smarter, more informed, and more organized.•Already, companies that speak in
the language of the pitch are no longer speaking to anyone.• Companies can now
communicate with their markets directly.If they blow it, it could be their last chance. The
opportunities for companies that leverage CRM to interactively communicate with
relevance and timeliness are enormous. Yet intelligence from across the enterprise is
required to understand and predict what customers will want to know about and demand.
The potential to generate dramatic ROI on such an investment is worth five to 10 to 100
times the investment.
―Focusing on and predicting customer demand and making decisions both proactively
and scientifically is an opportunity worth hundreds of millions, if not billions, of dollars
of incremental revenue… starting with segmentation and improved forecasting, then
shifting to integration and alignment of functions based on demand, and finally reaching
optimization, which is the application of advanced mathematics to dramatically improve
decisions.‖
Manage Your Value Propositions to Better Manage Your Brand and Your Business
A value proposition may be articulated in text on a Web site, catalog, or direct mail piece,
or in a telephone conversation. This is where brand differentiation first appears: the
proposition is the first impression of the brand and its value to customers. Thus it is
critical in initiating conversations, transactions, and relationships. But a value proposition
is so much more than a message. The value proposition drives the organization‘s core
logic for creating value.
Although it‘s true that value propositions will naturally evolve over time as markets and
competitive conditions change, the competitive advantage belongs to companies that can
Page | 63