Marketing and Citibank Essay Example for Free

merchandising and Citi depose EssayACKNOWLEDGMENTAlhamdulillah, first of all i would alike to thank God as ultimately I was able to finish my assignment that take in been given by Marketing lecturer to me. alike that, not forget excessively a to my friends Muhammad Kharusani beca r extinctine without his guide me assignment heapnot be d maven properly like this. He al ways gives supports and guide to me how to do the assignment in purpose to produce a correct out cut from research that been studied. Credits also ar given to friends class HND1B which help each impudent(prenominal) to complete this task. Topic that been given by me are regarding sentiment and run of selling citi coast company. Finally, thank to our earnest friend that always stick together and also work hard to produce a nigh assignment with all afford and responsibility. Hope that all the effort allow give a deal out of emoluments to me . Not forget also for those who help me complete this assi gnment direct or indirectly.ABOUT CITIBANKCitibank, a major international bank, is the consumer banking arm of financial operate giant Citigroup. Citibank was founded in 1812 as the City depose of New York, later First National City Bank of New York. As of March 2010, Citigroup is the third gear adultst bank holding company in the United States by total assets, after Bank of the States and JP Morgan Chase. Citibank has retail banking operations in to a greater extent(prenominal) than 160 countries and territories around the world. More than half of its 1,400 offices are in the United States, close toly in New York City, Chicago, Los Angeles, the San Francisco Bay Area, Washington, D.C. and Miami. More recently, Citibank has expanded its operations in the Boston, Philadelphia, Houston, and Dallas metropolitan areas. In addition to the standard banking transactions, Citibank offers insurance, quotation government notes and investment crossroads.Their online function divisio n is among the most prospering in the field, citation needed claiming about 15 million affable occasionrs. As a result of the worldwide financial crisis of 20082009 and huge losses in the value of its subprime mortg climb on assets, Citibank was rescued by the U.S. government to a beginninger place plans agreed for Citigroup. On November 23, 2008, in addition to initial aid of $25 billion, a further $25 billion was invested in the corporation together with guarantees for risky assets amounting to $306 billion. Since this time, Citibank has repaid its government imparts in full.Q1. Present two definitions of market and compare some(prenominal) definitions. Provide relevant examples which relate to Citibank case study. found on Philip kotler definition, Marketing is a social and managerial process whereby individuals and groups obtain what they need and want turn ine creating and exchanging returns and value with otherwises. In other words, node will re-sentencing what their value (e.g gold), only if their want is met. establish on my opinion, Philip kotler saying that plenty change what they want is to ingest profit and habit their valuable item to change it. In day by day life also, we need to satisfy our demand by physical exertiond exchanging process otherwise we quarternot improve in a way of how we live. In wanting to possess such a product, we pay off to pay a price (cost). Hence, in making a decision to purchase an item, the client will consider both the value and the price. After we have decided on the product, it can then be procured via the process of exchange or transactions.Based on Citigroup, they are using this strategy to satisfy their node needs and wants. Based on Rochelle Rucker, Citibank faced a few problems to initiate manual fund problems. When they want to send bullion from their calculates, they call their banker and then fax, phone or mail in requests to have the transaction processed. Because the process was s o complicated, nodes complained. Most of the complaints lodged with the department dealt with the time it took to complete the process. So, in order to overcome this problem, Citibank use six sigma plan rules to solve it. Six Sigma is a parentage management strategy seeks to improve the quality of process outputs by identifying and removing the causes of defects (errors) and minimizing variability in manufacturing and line of merchandise processes.Six sigma used a simple method which is Pareto chart. This chart gives information which has the highest problem occur most often. A team composed of bankers and operations people identified the integral funds transfer process, tabulating defects and analyzing them using a Pareto chart. One of the methods is using internal call-back procedure, which required cater to call the person requesting the funds transfer to make sure that the instructions were correct and hadnt been altered. So in this way, Citibank can ensure that their g uest has no problem and problem solved. By using this six sigma method Citibank strives for perfect processes to satisfy guest.In Citibank Malaysia, they have proved their commitment for their customer and community live. A large aspect of Citibanks corporate citizenship in Malaysia focuses on helping people of all ages better regard and practise financial management. In 2010, Citibank Foundation allocated grants totalling USD208,000 for their community-based projects. They have worked with Radio Television Malaysia (RTM) and invited a new collaborationism with ERA Consumer Malaysia to launch the second season of the Stretching Your Ringgit program on TV1, TV2 and Radio RTM. The initiative followed promote survey findings that showed more than 70% of Malaysians polled realised the importance of financial management, especially those in the low-middle income bracket. According to American Marketing Association Board of Directors Marketing is the activity, set of institutions, an d processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.In this case, AMA said that market occur when both of the company involve when there is activity among them. Citibank use the very(prenominal) thought which they erect services to their customer to save the money and make it easier. Citibank also provide bank loan, Credit card, Deposits, Investment, Citigold which gives benefit to customer. Citibank also use communicating to contact with their customer to provide services or solving problem. Citibank provide services to customer which can give both benefit. for example Citibank provide bank loan and this can reduce burden for people which has low income. As for the Citibank also, they make interest for those who relieve bank loan and this will give benefit to the firm.Both of definition gives the same meaning in different way. Philip kotler emphasize of the customer needs and wants . We can say Citibank really charge about their customer so they will analyze the best to overcome any problem that customer faced. In india Citibank deal out their customer, this can be shown by their customer I can safely say that Citi provides the best card services for India, which is why most of my spend is on Citi and I recommend it to my friends. A lot of the success is the result of having passionate, committed, service point people like Manish.My kudos to him. (J sajeev, 2011).American Marketing Association which more to creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society. The difference between this concept is AMA is more to set of activity which no related to customer needs and wants. Citibank satisfy their customer and this is the key of how Citibank more success than the others banker in Malaysia. Compare to Maybank Malaysia, Citibank is much sometime(a) than the others banker in Malaysia. We can say that Citibank is more experience in handling money.Q2. Identify at to the lowest degree three main characteristics of a merchandising-oriented organization of Citibank case study and provide an examples for each characteristic. What is marketing orientation? Marketing orientation is a philosophical system focused on discovering and meeting the needs and desires of its customers through its product mix. Unlike past marketing strategies that concentrated on establishing selling points for existing products, market orientation kit and boodle in reverse, attempting to tailor products to meet the demands of customers. In essence, market orientation can be thought of as a coordinated marketing campaign between a company and its customers. Nowadays, business firm use this concept to make their customer stick with their product. We can say that the inclination that companies can create a product and sell its features to an eager misdirecting public is no yener concrete. With an increasingly global sparing and more and more choices for consumers, companies must be willing to adapt their market orientation to stay competitive. Based on my opinion, nowadays in Malaysia, we can see a lot of bank is available.So the rivalry takes higher than before. In order to attract more people to use their services, Citibank has to adapt with current situation. Citibank use marketing oriented business to identifying customer, consumer needs and wants. In Malaysia, Citibank provide Islamic banking way to satisfy their customer. By using PEST analysis, we can say that Malaysian people are majority muslim and the idea of Citibank to provide Islamic banking which satisfy customer are brilliant. So people can enjoy with low interest rates given. Citibank in Malaysia facing a problem regarding high interest rate offered, so they make a research and develop a new system which enable customer use their Islamic banking. Another services that they provide is Citibank Guard Savi ngs is The first savings account in Malaysia thats enhanced with free Takaful coverage against critical illness.Citibank Home i Partner provide lie Rate, Flexible Payment and Daily Calculation, Citibank Checking Account I is a system provided by checking account that honours degree the Islamic banking article of faith of guaranteed safe custody approved by the Shariah body. Based on the services provided by Citibank, we can conclude that Citibank care about their customer needs and develop a new system according to community lived. Just like the others bank, Citibank online will make all the transactions become much easier as customer can save valuable time and money. No more hassles with long queues, parking and travelling.As we can see, Citibank developing products to meet customer needs and wants. So they come out with product and services which give benefit to their customer Credit Cards, Ready Credit, Home Loans, Loans, Deposits, Investments, Insurance, Islamic Banking. So th is is basic need in any of bank in Malaysia. What is the differences between Citibank and the other bank? So lets take an example of Citibank ready card. Citibank Ready Credit is an Unsecured Personal Overdraft with Checking adroitness that allows you to access cash easily in any amount in excess of your source difference up to the approved overdraft limit. With ready card, we can access our balance in credit card level(p) if the amount has exceeds the limits. As a fact, Maybank did not have their owned ready card. Citibank ready card is benefit to their customer as it is convenient to pay, pay for amount that we use. Another characteristic of a marketing oriented business is making the product is available to customer at a chastise time and place.We already know about product and services of Citibank as Credit Cards, Ready Credit, Home Loans, Loans, Deposits, Investments, Insurance, Islamic Banking. permits take an example of Credit cards, before this Citibank only produced n ormal credit for their customer only. just now now, Citibank produced a new credit card Citibank at work. Citibank at Work takes Citibanks world-class consumer banking products and services right to the doorstep of employees at their workplace. Apart from enjoying customized privileges across a wide range of products including banking accounts, credit cards, loans, deposits and insurance on-site, employees of these companies also have access to financial seminars and lifestyle events, tailored to their specific profiles and needs. By using Citibank at work, business company can do their job efficiently as they have their own business credit card.Q3. Explain four elements of the marketing concept and relate your answer with Citibank case study. FOUR ELEMENTS OF MARKETING orientated ORGANIZATIONProduction Concept is a concept where tidys are produced without taking into consideration the choices or tastes of your customers. It is one of the earliest marketing concepts where goods w ere just produced on the belief that they will be sold because consumers need them. It holds that customers will prefer products that are widely available and inexpensive. Manager focusing on this concept concentrate on achieving high production efficiency, low cost, and mass distribution. From my opinion, production concept emphasize on distribution of product. This fictional character of concept are easier to use. Based on the case study, Citibank provided more credit card for their customer. Each customer could have more than one credit card. Product Concept holds that consumers will favor those products that offer the most quality, performance, or innovative features. Managers focusing on this concept concentrate on making superior products and amend them over time.They assume that buyers admire headspring-made products and can appraise quality and performance. However, these managers are sometimes caught up in a love affair with their product and do not realize what the mark et needs. link to the case study, Citibank improved their product to satisfy customer need. Before this, customer got problem to use their credit card where credit card can be used for loan only. But after an improvement, Citibank come out with Citibank Premier Miles card, Platinum, Citi business, Air-Asia Citibank gold. Next elements use is selling concept. It holds that consumers and businesses if left alone, will ordinarily not buy enough of the selling companys product.Selling concept also is an idea in marketing that if customers are left to themselves, they will not make the effort to buy a companys products. Therefore, it dictates, companies must be aggressive in pushing their sales. Based on my opinion, if company want to sell their product by using selling concept, they have to be aggressive in promoting their product. Not like the older ways where they promote their product by using agents. As for the Citibank case study, nowadays they advertise their product through inte rnet and media more efficiently.Marketing concept is a business philosophy that combines above three business orientation. It holds that the key to achieving its organizational goals consists of company being more effective than competitors in creating, delivering, and communicating customer value to its selected target customers. These three philosophies are the product, selling, and marketing philosophies. Even though each philosophy has a particular time when it was dominant, a philosophy did not die with the end of its era of dominance. In fact, all three philosophies are being used today. The best way to meet the organizations goals is also by meeting customer needs and wants. The marketing concepts emphasis is to understand the customers before designing and producing a product for them. With the customers wants and needs incorporated into the design and manufacture of the product, sales and profit goals are far more in all likelihood to be met.What are Citibank do to satisfy their customer needs based on marketing concept is they make swot analysis to know what can be done to attract more customer in Citibank. Citibank (2009) has mention that their customers can have their banking activities in the Islamic principles. This not only able attracts more customer but Citibank are show that they understand their customer need in the daily banking activities. This principle have apply in Citibank branch in Malaysia. What are the reasons behind the recent growth in Islamic finance? One is the strong demand from a large number of immigrant and non immigrant Muslims for Sharia-compliant financial services and transactions. (Low chee hua, 2010) In order to compete in the rising of the demand of Islamic Banking, Citibank has introduced the Islamic Banking to their customers. So basically, marketing concept is satisfy customer problem and solved it by looking of what customer need.The societal marketing concept was an offshoot of the marketing concept wherein an o rganization believes in giving back to the society by producing better products targeted towards society welfare. Some have inquiryed whether the marketing concept is an appropriate philosophy in an age of environmental deterioration, resource shortages, explosive population growth, world hunger and poverty, and neglected social services. The marketing concept possibily sidesteps the potential conflicts among consumer wants. Citibank also take part in their societal marketing. Citibank became a major sponsor of the Sydney Swans in 2005, who is play in the AFL.The marketing concept is about ensureing a companys capabilities with customer wants. This matching process takes place in what is called the marketing environment. Businesses do not undertake marketing activities alone. They face threats from competitors, and changes in the political, economic, social and technological environment. All these factors have to be taken into account as a business tries to match its capabilities with the needs and wants of its target customers.An organisation that adopts the marketing concept accepts the needs of potential customers as the basis for its operations. supremacy is dependent on satisfying customer needs. So basically, Citibank use marketing concept to attract more customer to use their services. One of the techniques used is credit card promotion such as present moment Rewards at Shell, Dominos pizza, Samsung S3, Asia web direct. Before this, if customer wants to pay bill or loan they have to go to Citibank. But nowadays, they upgrade their system to online banking so that customer can pay this instant and reduce waste time.Q4. Provide an indication of the likely costs and benefits to Citibank case study in adapting a marketing approach. In Citibank, there are many advantages and disadvantages of a marketing approach.Customer SatisfactionIn customer satisfaction, it refers to which a products perceived performance matches a buyers expectation. It is a measur e of how products and services supplied by a company meet or surpass customer expectation. We can see based on their services of Citibank do for their customer. In Malaysia, Even the Citibank atm machine is little than the other bank, but their services to customer is good. Citibank will try their best to solve problem of customer credit card so that they will not lose their customer.Customer CareCustomer care is a phrase that is used to describe the process of taking care of our customers in a supreme manner. The term is used in place of complaint handling due to its positive focus, and is a monitoring device that customer satisfaction is a priority. Related to Citibank case study, they care about their customer. we can see that Citibank provide customer services so they will know any problem of customer faced. There is a few customer having problem regarding Citibank delay card. As banks are losing their customer fast, they are coming up with different strategies to retain thei r customers. When/where was the last time you made the transaction with the card? I told him I dont remember anymore since I have a few cards and I have not been using Citibank Card for a while. He insisted me to answer that question before he can proceed, and I insisted I that I dont remember and suggested him to ask another verification question. (Kclau, 2010)Quality of services and products.In company, they must have their own quality of services and products. It is designed to evermore improve the quality of their products, services and marketing concept. In Citibank, their main objective at Citibank is to provide true(p) and quality services to our customers. Our customer service policy has the overall aim of ensuring that our customers are provided with services which are reliable and best suited to their needs. They have to manage and ensure that quality control standards for services are met. Citibank also have online credit card services so they can login anytime, anywher e to view their account details and activities.DISADVANTAGES OF CITIBANKThere is one reason and one reason only that its so belatedly to get a store credit card they are confident that they will make money off of customer purchase. The interest charged on store cards, as compared to bank credit cards, is at least several percentage points higher and often as much as 10-15% higher. As well, one-year fees or sign-up fees may run twice as much as those of standard credit cards. means that, Citibank charged is higher than the other banks in Malaysia, so thats why only businessman use Citibank. It involved high cost in retaining the customers. And also, the target market for Citibank is higher because they only target their customer on businessman.CONCLUSIONAs overall conclusion, Citibank is one of the multinational companies that successful in online based financial institution that operate in Malaysia. Citibank able to understand the culture of local citizen (promo Islamic Banking S ervices), able to gain their market share by solved the geographical problem (online banking services), able to cost cutting by promo the online banking culture to their customer, and able to compete with the local financial institution. We know that Citibank is really cares about their customer and try their best to satisfy customer needs and wants. Based on this concept of marketing, Citibank now are well known in all around the world. Although it is a foreign company but Citibank is a good model to local financial institution to learn their strategies to increase their competitive capability to compete in the global market.