Page 40 - Banking Finance July 2020

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the banks. CPCs have capacity to process large number of transactions or thoughphone, SMS / e-mail and know more
credit proposals; however this capacity is underutilized due about their business. Further Bank official can also
to lack of leads for new MSME credit proposals. Hence there visittheirbusiness unit / office and find out whether they
is need to generate large number of leads for MSME business need credit facilities for their business like acquiring
growth and for optimum utilisation of CPSs. premises, replacement of machinery, expansion /
diversification etc. If yes, we can brief them about MSME
Strategies for lead generation for MSME products of the Bank and explain features of the scheme
which are suitable to them. If they are convinced, give
Finance: them loan application formsand follow up till you get the
The marketing for MSME proposals is done by Branch same duly filled with all required papers and then process it
Managers, Marketing officers and also by Relationship promptly to convert the lead in to business.
Managers at CPCs. There are number of ways in which one
can generate leads for MSME credit proposals, some of 3. Generation of leads by way of referral from
which are as under.
existing borrowers:
First of all we have to prepare the list of good existing
1) Know USPs / Key features of yourProducts
borrowers of the Branch /region in excel format considering
Before we begin to market our products or services to their conduct &dealing with the Bank, their reputation,
anyone, we must know the key features and USPs (unique performance in terms of sales and profits, repayment track
selling proposition) of our products or services. This is most record etc. This list should be updated regularly & the name
important in case of marketing of banking products/services, of key person, their contact no. etc should be the part of
as almost every bank will be providing similar products & this list. Now, we have to collect the list of buyers as well as
services and hence product differentiation is most important. suppliers of our existing borrowers. For this, we can ask the
Unless you highlight what makes your product/service
key person / finance manager of existing borrower and get
unique in this competitive world, you cannot undertake the required details about their buyers and suppliers. We
marketing efforts successfully.
can also use the stock statements, financial statements and
account statement of our borrower to know their buyers
Highlighting the USPs/key features of products requires
some home work with creativity so that it can be prepared and suppliers.
properly and we can use it for marketing. For this purpose, After doing the home work as mentioned above, we have
we have to study each & every product thoroughly, find out
to request our existing customer for providing good
the key features / USPs and note it down. Similarly we can
referrals. We have to note down the details of referral, like
study other bank's products to know their features and name of prospective borrower, their contact number, their
compare with our products so that we can tell our reputation in the market etc. and prepare a list of referrals.
prospective customers how our product is better compared Now we have to start calling these prospective borrowers
to other banks.
and seek appointment for meeting.
2) Lead Generation from existing current After getting appointment, first of all gather information
account customers: about their business, performance and financials etc. Then
This is the easiest way to generate leads for MSME Business enquire whether they are satisfied with their existing
financing. Any Bank Branch will have many current account bankers. If not, request them to shift to our Bank. In case,
customers who are not availing any credit facilities from a they are going for any expansion / modernization project,
particular branch or other bank. We can create a data of request them to avail additional finance from your Bank.
good current account holders having average credit balance Listen keenly to their requirements like quantum of loan,
of say Rs.10 lakhs & above and having good turnover in margin & collateral offered etc. and see whether your Bank
the account since last couple of years. We will be having can offer him suitable credit facility as per their
required details of the these accounts like name if requirement. If yes, give them our loan application forms,
promoters, contact details, their line of business etc. We can credit information form etc. and follow up till you get the
contact them when they are coming to branch for any proposal from them. Do not commit for sanction of loan in

40 | 2020 | JULY | BANKING FINANCE