Page 43 - Banking Finance July 2020

ARTICLE

about these online platforms for using our online creation of priority sector assets. This arrangement should
application facilities especially to tech savvy customers. entail joint contribution of credit at the facility level, by both
3) Advertisement of products through SMS/e-mails/ lenders (Bank and NBFC). It should also involve sharing of
risks and rewards between the Bank and the NBFC by
website especially whenever an innovative product is
designed & launched to reach to large number of ensuring appropriate alignment of respective business
customer in cost effective manner. objectives, as per the mutually decided agreement between
the Bank and the NBFC.
4) Search in social website like Facebook, Twitter, Linkdin
etc. to get information on top companies in our locality 12. Co -Marketing:
and find out whether the company is reputed company
We can also get leads for MSME financing by way of
with growing business etc. so that such companies can
co-marketing. For example, MSMEs use Tally package for
be contacted for lead generation.
their accounting and these are generally small or mid size
5) Locate the entrepreneurs in our surrounding areas MSMEs. There can be tie up by Banks with Tally package
through Google map: Maps can be utilized to locate the sellers to co-market for getting leads to banks for financing
industries and business establishments to conduct the purchase of tally package and also any other financial
campaigns or advertising etc. needs of MSMEs for purchase of fixed assets or working
6) Leads from the govt. portals (https:// capital etc.Some more examples of co-marketing could
www.standupmitra.in, www. psblaonsin59minutes.com be with machinery / equipment sellers, raw material
etc.): We can get Leads from these portals and can be suppliers etc.
used to generate business.
7) Incorporating about our MSME schemes in statement Conclusion:
of account generated online in such a way that products There is vast potential for MSME finance by Banks as many
are advertised based on type of customer which will of the MSMEs are still availing the finance from unorganised
meet their requirements.7 sources. MSME advances are high yielding advances and
8) Targeting website visitors of our Bank for lead thus contribute to the bottom-line of Banks in big way.
generation based on their search on the website. Marketing of MSME proposals is quite different than
marketing of retails loans for which one should know the
11. Co-origination of loans with NBFCs: business model of individual MSME unit and understand their
NBFCs play a significant role in promoting inclusive growth financial requirements.
in the country by catering to the diverse financial needs of
bank excluded customers. India's large un-organized markets There are number of ways to general leads for MSME
create a huge demand for unsecured as well as secured business by Banks some of which can be generated by
credit. In geographical areas where banks do not have interacting with customers visiting branches and also by feet
sufficient reach, NBFCs fill this gap. Their contribution in and street like visiting industry association, industry clusters,
deposit mobilization and credit extension can hardly be over- attending seminars & industry exhibitions etc. The co-
emphasized. Focusing on funding the sectors where there origination of loans with NBFCs, co-marking and digital
is a credit gap, the core strengths of NBFCs lie in their strong marketing are new trends now a days. The various strategies
customer relationships, large "feet on street"(FOS)work suggested above are indicative in nature and not exhaustive
force understanding of regional dynamics, well-developed and there is lot of scope for creative and innovative ideas
recovery systems, low cost of operation, personalized for lead generation.
services and fast decision making.
The ultimate objective is optimum utilisation of our
As per RBI directives, Bank may engage with NBFC-ND-SIs resources for our business growth and profitability and to
(Non Banking Financial Company -Non Deposit taking support for the growth and development of MSME Sector
Systemically Important) to co-originate loans for the which is growth engine of our economy. T

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