1. Generally personal loan refers to the money we borrow from any Financial
Institution or any Lender for our personal use.
2. These are unsecured loan.
3. Generally the tenure of these type of loan ranges from 12 to 24 month and the
ticket size of these type of these loans are very small as compared to normal loans.
4. The borrower usually not required to disclose the purpose of the loan.
3. HISTORY AND EVOLUTION
1. Personal loan have a long back dated history in the late centuries.
2. In ancient civilizations, lending money was common. Babylonian Code of Hammurabi (1754
BC) contained laws governing loans, including personal loans. Ancient Greeks and Romans
also engaged in lending money on interest.
3. During the Middle Ages, lending practices became more formalized. Moneylenders emerged
as a prominent group and offers loans which were usually unsecured and carried high interest
4. The Renaissance period saw the establishment of modern banking institutions, such as the
Medici Bank in Italy. These banks now start offering loans which were mostly secured by
collateral such as land and property.
4. 1. Industrial Revolution: The Industrial Revolution in the 18th and 19th centuries brought significant changes
to lending practices. Banks started offering personal loans to a wider range of individuals, although
collateral was still often required.
2. Consumer Credit: The 20th century witnessed the rise of consumer credit and the formalization of
personal loan systems.
3. Specialized lenders, such as finance companies, began offering personal loans with fixed repayment terms
4. Development of Credit Scoring: In the mid-20th century, the concept of credit scoring emerged.
5. Technological Advancements: The advent of computers and the internet revolutionized the personal loan
industry. In recent years, personal loans have become more accessible and diverse. Overall, personal
loans have evolved from informal lending arrangements to a structured and regulated industry
1. Segmenting the personal loan market involves dividing the market into distinct groups of
potential customers based on certain characteristics.
2. Job as a Relationship Manager.
3. Here are some common segmentation approaches and potential segments to consider.
4. Demographic Segmentation and Behavioural Segmentation:
6. 1. Age: Target specific age groups, such as millennials, middle-aged individuals, or seniors.
2. Income category such as low-income, middle-income, or high-income earners.
3. Occupation: Target individuals based on their profession or industry.
7. Behavioural Segmentation
1. Usage Patterns: Segment based on loan usage patterns.
2. Repayment History: Focus on customers with different repayment behaviours.
3. Channel Preferences: Target customers who prefer specific channels for loan application, such
as online platforms, mobile apps, or in-person interactions.
10. DIGITAL MARKETING AND ONLINE
• Utilize digital marketing techniques
such as search engine optimization
(SEO), pay-per-click (PPC) advertising,
email marketing, and social media
advertising to target potential customers
11. DIRECT OUTREACH AND COLD CALLING
Digital marketing and online advertising:
Utilize digital marketing techniques such as
search engine optimization (SEO), pay-per-
However this prospects is very low efficient
But still lead can be generated
12. CONSUMER BEHAVIOUR
• What we should serve to those people we shortlisted that we call our potential
• Certain things to keep in mind that to be kept for effective engagements.
13. FINANCIAL GOALS
• Consumers have various financial goals such as funding education, consolidating
debt, home improvements, or covering unexpected expenses.
14. DECISION-MAKING PROCESS
• Consumers may follow
processes. Some may be more
impulsive, while others prefer a
systematic approach with
15. POST-SALE SERVICE
• Consumer behavior extends beyond the sale
itself. Focus on providing excellent post-sale
service, including prompt responses to
queries, regular updates on loan progress,
and assistance with any issues. Satisfied
customers are more likely to refer your
services to others or consider additional
financial products in the future
19. COMPARATIVE ANALYSIS
• List of Best Personal Loans Offered by Various Banks/NBFCs in India
• Banks/NBFCs Interest Rates(p.a.)
• HDFC Bank 10.50% onwards
• SBI 11.00%-15.00%
• ICICI Bank 10.75% onwards
• Kotak Mahindra Bank 10.99% onward
• Axis Bank 10.49% onwards
20. VARIOUS PROMOTION METHODS OF
1. Advertising : Television and print
media, radio, billboards, digital
2. Digital Marketing : Through
search engine, social media,
Emails and websites
3. Offers and Discounts
4. Loyalty Program
5. Cross-selling and Upselling
6. Partnerships and Tie-ups
7. Direct Marketing
23. Personal Loan Eligibility Criteria :
1. Cibil Score Preferred 750 and above
2. Salaried Employees
3. Cibil Score Preferred 750 and above
4. Salaried doctors
5. Employees of public and private limited
6. Age of 21 years – 60 years
7. Minimum net monthly income – Rs.
26. VALUE ADDITION BY RM:
1. Long history of Axis Bank
2. 3rd Largest Private Sector Bank in
3. Axis won ETBFSI award for best
4. Asset Triple A digital Award for neo
banking API suite
5. Won inclusive finance India award
for Priority Sector Lending