In the previous blog, we learned about the in-depth SWOT analysis of Motilal Oswal Financial Services. In this article, we will discuss the marketing strategy of Ujjivan Financial Services – a mass-market-focused bank in India.
The objective is to help you gain insight into the growth of Ujjivan Financial Services from an NBFC to the largest MFI in the country.
Marketing is an integral aspect of a company’s growth, it makes or breaks its success. Nowadays people have become more digitalised, so marketing has followed them to e-commerce. If you’re interested in learning digital marketing, IIDE’s Free MasterClass on Digital Marketing 101, led by our CEO and Founder, Karan Shah, is a must-attend.
In this study, we will look into the marketing strategy of Ujjivan Financial Services. First let us get to know the company overview, targeted audience and STP analysis.
About Ujjivan Financial Services
Ujjivan Financial Services Limited began operations as a non-banking financial company (NBFC) in 2005 founded by Mr Samit Ghosh to offer a comprehensive range of financial services to the economically active poor who are underserved by traditional financial institutions.
They were the country’s largest SFB in terms of geographical reach, with operations in 24 states and union territories, as well as 209 districts across the country. Ujjivan’s previous business plan was to provide collateral-free, small-ticket-size loans to economically engaged impoverished women using a joint liability group lending arrangement. Individual loans to Micro and Small Businesses were also available (“MSEs”). Ujjivan had taken an integrated strategy to lend, combining microfinance’s high consumer touchpoints with technology infrastructure and back-end support similar to a retail bank.
Ujjivan Small Finance Bank Limited is an Indian small finance bank focused on the mass market, catering to financially unserved and underserved areas and devoted to increasing financial inclusion in India. Their Promoter, Ujjivan Financial Services Limited (UFSL), began operations as a non-banking financial company (NBFC) in 2005 to provide a full range of financial services to the “economically engaged poor” who were underserved by financial institutions. UFSL acquired RBI In-Principle Approval to establish a Small Finance Bank (SFB) on October 7, 2015, after which it established Ujjivan Small Finance Bank Limited as a wholly-owned subsidiary.
As of June 30, 2019, Ujjivan, Small Finance Bank had a varied portfolio with branches in 24 states and union territories and a client base of 4.72 million. They feature a mobile banking application that is available in five languages, as well as an internet banking facility for individual and business users, in addition to their network of branches, ATMs, and Automated Cash Recyclers. Their goal is to leverage technology to help their clients by allowing them to personalize and provide products and services that are designed for specific needs.
|Area Served||Ujjivan Financial Service has branches in 24 states and union territories, and 209 districts across India.|
|Industry||Banking and financial services|
|Market Share/ Revenue||The estimated annual revenue is INR 140.52Cr for the 2021 year|
|Vision||To provide financial assistance to the unserved and under-privileged customers and transform into a mass-market bank.|
|Tagline||Build a better life|
Marketing Strategy of Ujjivan Financial Services
Now let us learn about the marketing strategy of Ujjivan Financial Services and their analysis and campaigns.
Segmentation, Targeting and Positioning
Ujjivan SFB targets the underprivileged and socially unserved segments in urban, semi-urban, and rural India. They are sharpening their focus on the middle-income, lower-middle, and upper-middle segments of society. As a result of increased financial inclusion, a large number of households are transferring from the low-income to middle-income categories. They are focusing on capturing a larger share of this aspiring segment.
Ujjivan Financial service’s target markets are marginal farmers, Allied Agri Segment, Micro Banking customers and family members, Traders, Retailers, MSE, Youth, and Senior Citizens.
They believe that they have succeeded in upholding their objective of building a lasting relationship with customers and connecting them with significant opportunities.
They mainly focus on simplicity, convenience, assistance, trust, and security for the customers.
Ujjivan Financial Service Bank organised a “Maa ke Financial Funde” campaign on the occasion of Mother’s Day in May 2022. They started this campaign to open accounts for all working and non-working mothers out there. They publish this campaign via its social media page on Instagram.
The campaign was done to increase the Instagram page followers with a theme for Mother’s Day where the users have to follow their account on Instagram and write a pickup line of their mother’s advice on funds in the comment section. And they have to share the post with others, and Ujjivan will share the best posts on their social media page so that the brand can gain more views on the post and ultimately increase its reach.
The campaign was successful & the post got double the likes compared to the previous posts. The success can refer to the unique campaign concept and effective Instagram marketing methods such as the use of hashtags, and curating and promoting user-generated material.
Another similar campaign organised by Ujjivan Financial Service was on Women’s Day week in March 2022. Joined with Women’s Day, they have collaborated with several cosmetics, health, and beauty products and gave exciting offers on various beauty products. Customers can avail of the offers if they purchase the products through Ujjivan’s credit or debit cards or internet banking.
This campaign attracts many women and promotes the digital payments of the bank. Again, this campaign was successful & the post got double the likes compared to the previous posts.
On November 4th, 2021, Ujjivan Financial Services held a collaborative campaign with Swiggy on Instagram. Ujjivan was giving offers to customers that they can avail themselves of using the coupon code provided in their ads published on the social media pages using Ujjivan SFBs debit card. These offers will encourage the customers to open new accounts, which will increase the revenue.
These campaigns were to let the customers know that all types of customers can avail of these offers and increase Ujjivan SFBs Instagram followers.
The campaigns were successful, and the posts got immense likes, with the Ujjivan SFBs Instagram page getting an increased number of followers. These campaigns’ success shows a unique marketing campaign strategy and proper usage of Instagram marketing techniques.
Social Media Marketing
- Followers: 258,429
- Likes: 220
- Followers: 57,810
- Likes: 54,775
- Followers: 7,829
- Likes: 138
- Followers: 4162
- Likes: 13
Ujjivan Financial Services is active on social media like Facebook and LinkedIn. It has more followers on LinkedIn than on Facebook and, at last, Instagram and Twitter. LinkedIn is more of a professional social media platform, excludes peer groups and focuses on professional groups of society who follow Ujjivan FS through LinkedIn. Instagram is a social media platform that includes most young teenagers & peer groups. They are generally not interested in a bank page since they don’t find anything interesting. Therefore, the number of followers on Ujjivan’s Instagram page is low.
The social media platforms of Ujjivan Financial Services always try to post promotional and informational content along with their product posts, and they announce campaigns on every special day. It reaches thousands of people.
According to SEO strategy, considering the number of keywords – below 500 is poor, above 1000 is good, and 10,000+ is fantastic. As we can see, it has 814 organic keywords & is considered moderate. That means the digital marketing strategy of Ujjivan Financial Services is gaining a moderate number of insights. Ujjivan Financial Services’ digital marketing is attracting a minimal number of visitors. The monthly traffic is in the 8k+ range, which is considered OK.
However, if a company wants to set a benchmark before its competitors or remain at the top of its market, it must work on its SEO techniques to attract a significant amount of organic traffic to its site, which leads to an increase in sales, which is beneficial to the company.
Ujjivan Financial Services has collaborated with health and beauty brands like Sirona, MyGlamm, Mamaearth, and WoW to promote their digital payments. Ujjivan FSB has associated with several Instagram influencers by collaborating with them on paid promotions for their campaigns.
Through influencers, Ujjivan FSB will get leads from their pages. Ujjivan Financial Services has partnered with Hero MotoCorp by offering two-wheeler loan solutions. The marketing strategy of Ujjivan Financial Services is led by a team led by Vijay Balakrishnan, the chief marketing officer.
Ujjivan Financial Services collaborated with many online shopping websites such as Bigbasket, Amazon, Dunzo, Netmeds, Myntra, Ajio, Snapdeal, and Swiggy by availing special offers on purchasing the products through Ujjivan net banking. Ujjivan’s e-commerce strategies are extensive. They were associated with most Indian and international brands. They have promoted the use of digital payments and cashless transactions.
Ujjivan Financial Services has got mobile applications on both Android and iOS phones. Customers can log in with their registered mobile number linked to their bank account. Customers will be able to see their account details and transactions. Through mobile apps, account holders can apply for personal loans, business loans and housing loans. Account-holders can apply for FD and RD through mobile apps.
Content Marketing Strategy
Ujjivan Financial Services shares information about its business and marketing through different means. Since 2004, Ujjivan has published a monthly newsletter. Frequently, they update their television coverage, print coverage, online coverage, and press releases on their official website.
Ujjivan updates its remarkable signs of progress through all social media pages. They have updated their presentation every quarter of the financial year on their official website. By reading their Newsletter Archive, we can track their progress as they steadily grow to reach over a million of India’s poor women.
This ends our elaborative marketing strategy of Ujjivan Financial Services. Let us conclude our learning below from the marketing strategy of Ujjivan Financial Services.
Conclusion – What’s unique in Ujjivan Financial Services marketing?
In the marketing strategy of Ujjivan Financial Services, we saw that Ujjivan is gaining love and support across India. Ujjivan is successful in building lasting relationships with customers and providing them significant opportunities. The uniqueness of Ujjivan Financial Services is that they focus on all segments of society equally & they have steadily grown to reach over a million of India’s poor women. Their powerful marketing strategy is to uplift underserved and unserved segments of society. Though Ujjivan is on a growth path in its digital marketing, it is still trying to engage and grow in the digital sector.
Almost every other firm, like Ujjivan Financial Services, is striving to boost its digital presence and, as a result, is looking for digital marketers. Check our Online Digital Marketing Course if you want to learn more and improve your skills. Alternatively, you can enrol in one of our free online masterclasses led by IIDE’s CEO, Karan Shah, to gain insight into the field of digital marketing.
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