×

A Sustainable Future for You

Our strategy is to serve the lifecycle needs of customers across protection, investment, and borrowing through a digital and open architecture format. The key priority is to strengthen the core of our business and build a strong and sustainable foundation through five main elements.

sustainable-future

Strategic Elements: Update

Initiatives

Bank win-win partnership

  • Entered into unique arrangements with ICICI Bank to facilitate higher activation rate and improve the quality of customers, acquiring from more affluent and relevant segments
  • Targeting NRI customers by sharing digital leads with overseas branches of banks and leveraging 20-minute tab-based instant account opening process for pre-existing bank customers

Digital onboarding

  • Re-engineering the entire onboarding process with digital technology to make it seamless and deliver superior experience
  • Focus on refining process to make 20-minute onboarding process open architecture
  • Launch of completely digital Insta Idirect accounts. This allows clients to open accounts without any need for physical meeting and also give Power of Attorney digitally to immediately start transacting

Business partners

  • Partner sub-brokers, IFAs and APs, especially in Tier II and Tier III cities, to increase market penetration cost-effectively
  • Offering digital B2B2C proposition, which facilitates clients to onboard partner system and partners on our system
  • Entered into an arrangement with SEBI-registered ecosystem players who are investment advisors (IAs) for sourcing clients

Result

  • NSE active client share up 40 bps to 10% in FY2020
  • Blended equity market share up 100 bps to 8.7% in FY2020
  • Activation rate of 58% for clients sourced through ICICI Bank, up from 32% in FY2019
  • Over 0.31 million Prime subscriptions, giving annuity revenues of ₹196 million
  • Monthly run rate of tab-based instant account opening (T20) touched 11,500. More than 6,000 Insta Idirect accounts opened in ~40 days
  • Number of clients acquired through the business partner network is up 43% YoY

Initiatives

Strengthening wealth management franchise

  • Proprietary Portfolio Management Service for HNI and private banking wealth clients as a comprehensive proposition, including curated offering

Margin trading facility and ESOP

  • MTF has been extended on NSE. Offering 365-day margin financing product
  • Leveraging ESOP funding to build high-quality client sourcing and enhancing revenue stream

Expanding insurance portfolio

  • Ramping up digital distribution of health insurance and enhancing product choice and options

Focus on loans as a new asset class

  • Initiated offering real-time digital personal loans, auto and home loan topups and credit card through ICICI Bank for customers’ borrowing needs. This will help build a non-cyclical revenue stream and mark our presence across financial planning value chain
  • Open architecture in home loans
  • Physical distribution of Home Loans and LAS

Result

  • Built a strong private wealth practice, servicing over 32,000 clients across 21 cities with AUM of ₹0.83 trillion
  • Launched proprietary Portfolio Management Service product, which has already reached an AUM size of ₹1.1 billion
  • MTF & ESOP book size as at March 31, 2020 was ₹5.8 billion compared to ₹4.6 billion as at March 31, 2019
  • Added 39 new corporates for ESOP funding in FY2020
  • Religare and Star Health and ICICI Lombard have been added as partners
  • Over 0.9 million ICICI Securities customers are preapproved and credit cleared to avail of personal loan without any documentation.

Initiatives

Focus on deepening relationships to enhance life-time value, increasing cross-sell ratio, winning back clients who have stopped trading and activating clients by

  • Identifying transaction behaviour and using inputs to target clients for better quality acquisition and to enhance engagement
  • Making product experience unique to the cluster of usage
  • Personalising information within the clusters
  • Offering smart execution tools for research and trading strategies
  • Increasing penetration of Prime

Result

  • Formed 400+ product combinations, top 23 identified for personalisation
  • Launched unique products like eATM and Option pricing plan (Option 20)
  • Launched smart execution tools like One click Investments, ETF Intelligent Portfolios, seamless execution for clients buying advisory services from advisory partners and trading strategy formulation tool for derivatives
  • Ring-fenced 0.43 million customers, 40% of NSE Active

Initiatives

Robust technology platform

  • Built a secure, stable and fast system
  • Established framework for managing customer privacy and information security
  • 3-tier recovery system and strong business continuity processes

Digital agility

  • Launched API architecture to expedite integration with diverse fintech players and other such partners
  • Actively working with various fintechs to identify winning solutions for customers
  • Technology transformation – building a big data stack using advanced analytics platform and tools, and infusing new skills in the field of Data Sciences, Artificial Intelligence and Big Data
  • Built a new web interface and also working on re-engineering mobile app with new UI/UX in line with customer behaviour

Result

  • ICICIdirect has proved its mettle during the lockdown by successfully serving an unprecedented number of concurrent users with very high trading volumes. In March 2020, the platform ensured unrestricted services, even with volumes touching unprecedented peaks of 3.2 million orders plus trades per day, up from earlier peak of 2 million. It successfully served over 64,000 concurrent customers, compared to the average 23,000, and earlier peak of 48,000 users
  • Launched completely digitalised account opening
  • Multiple digital initiatives, such as automated portfolio evaluation, insurance comparison tools, chatbots etc. were launched

Initiatives

  • Re-evaluated branch infrastructure cost based on productivity, area efficiency and rentals
  • Centralised certain verticals to optimise infrastructure and manpower cost
  • Process re-engineering to optimise acquisition-related cost
  • Harnessing synergies within teams and business groups to optimise manpower
  • Migrating to digital/low touch coverage models

Result

172 branches as on March 31, 2020, against 199 as on March 31, 2019

Decline in non-finance cost by 3% in FY2020 due to focus on cost optimisation