Micro Approach

Agenda• What to Offer A. Wealth Management / Investment Products B. SME Lending• Whom to Offer A. Wealth Management: Market B. SMEs: Some Data c. SMEs: Further Analysis D. Target Group: Wealth Management E. Target Group: SMEs Lending• How to Offer: Differential Approach Indian and Subcontinent Expats A. Connect B. Engage C. Grow UHNWIs and HNIs• Some Keys

Wealth Management / Investment Products

Equity Advisory Mutual Funds Sovereign

Bonds/Corporate Bonds or Deposits

Real Estate- Advisory

Personal Loan/ Advances / Auto

Loans /Credit Cards

SME Lending

Business/ Capital Loan

Working Capital

Advance

Letter of Credit/Letter of Guarantee

Equipment Finance

Bill Discounting

Wealth Management: Market Ultra High Net wort

h Individuals

-

High Net worth Individuals

Affluent

No of UNHI- 828 , No. Oh HNI- 53800 and No of Affluent- Continuously growing

Wealth Management : Market• UHNWI & HNIs- Normally inhabitant, have been traditionally cherry picked by Global Wealth

Management House. They have asset base of USD 80-110 billion and making majorly off-shore investment

• Affluent- Besides affluent Emirati 20% of Expats earning more than USD 250000 per year. Majorly , they are Indian and subcontinent expats. Their saving rate is as high as 70% of their disposable income. They generally repatriate wealth to home nation

• They are don’t have much exposure to local financial/ investment products• Expats of this region has very low insurance penetration • India and subcontinent nations going through high interest rate phase: Very high finance rate

SMEs: Some Data• SMEs accounted 95% of total establishment in Dubai

• SMEs are categorized in 3 industries : Service, Trading and Manufacturing

• Some data about these categories :

Industry No Of Units (% to total no SMEs Units)

Contribution to SME Total Value Addition

Workforce Employed Current Ratio Debt to Equity Ratio

Service 32% 41% 51% 4.01 0.5

Trading 57% 47% 33% 4.02 0.8

Manufacturing 8% 14% 16% 2.05 0.8

Further Analysis• Manufacturing Industry- Manufacturing of Food and Beverages accounted 24% of new licenses granted in

this sector between 2009 to 2014 and this segment witnessed the growth of 12% in this period.

• Service Industry- Tourism segment grew at 32%(CAGR) between 2009 to 2012 which was highest in service industry. Gross margin in this segment was in range of healthy 40-45%.

• Trading- License issued to Food and Beverage trading grew at 30% (CAGR) between 2009 to 2012 , which was highest in industry.

• SMEs in service sector is contributing 41% to SME total Value Additions though their number counts only 32% .

• Their liquidity ratios are robust

• This is sizeable market and to grow in future

• This trend , Sluggish demand in real estate , EXPO 2020 and Government focus on diversifying the economy indicate SMEs units engaged in tourism and travelling ( trade/service/manufacturing) to see robust growth in future

Target Audience: Wealth Management/ Retail Investment Products

Emirati• UNHIs• HNIs• Affluent

Indian and Subcontinents Expats• Corporate Professional • Traders and other employee earning more

than AED 5000 PM

Target Audience: SME Lending

SME – Service Industry SME units( Service/ Trading / Manufacturing) engaged in Tourism and Travelling

How to Offer : Differential Approach Indian and Subcontinent Expats SME : SME Lending

ConnectEngage Grow

ConnectExpats

• Position among them “We have customized products and service based on requirement of Indian subcontinent expats “

• We can understand them better as we share same culture and silo

• Connect them at Indian residential society with organizing awareness event

• Start communication and initiate brand awareness

SME

• SMEs• Identify the locations where our TG SMEs are

situated • Divide them in clusters• Divide each clusters into old and newly established

units• Prepare different strategy for different clusters

considering business potential of each clusters • Connect with them and communicate how can we

partner in fulfilling their business objectives

• Start this stage before official launch• To make it cost effective , can take help of intern from local universities• This will assure strong database of our target group • We will get inputs from field which will be handy in product placement

Engage • connect with the clients with service and products • Develop flow of communication• Develop the brand awareness to next level so that it becomes Top of

The Mind• Engage the TG through mail , Social Network sites and YouTube with

investment informations message and products informations • Cautious use of advertisements after extensive cost benefit analysis • Continuous follow up and extensive field visits• Focus on initial conversion

Grow• Continuous discussion with clients about financial objectives and

planning• Not only render service and sell products to SME clients partner in

theor business objectives: provide feedback , market insight and time to time training program • Cross sale the different products and service

UNWIs / HNIs- 2 way Approach• Divide them 2 age category: 30 -45 and 45 to 65

30-45• Grab them young , engage

and grow • Meet with customized

investment solution in the area of emerging start-up eco system and emerging field

• Offer structured products considering risk appetite of this young age group

45-65• Network with them and

communicate that how differently we can offer customized Private Banking solution to them

• Position as our self as premier private banking solution provider

Focus• Identify volume Drivers and Value Drivers

• Balance between both of them

• Focus on deeper penetration against wider coverage

• Focus on reducing operational cost