MUMBAI: Eyeing larger revenues at lower costs, private sector lender Kotak Mahindra Bank
( KMB )) is targeting to double Non-Resident Indian (NRI) account holders to one lakh this year, a senior official has said.
"These (NRIs) are affluent customers and offer us opportunity to cross sell multiple products. Right now, we have 50,000 NRI accounts and we are taking concerted efforts to take it to 1 lakh by end-2011," the bank's Group Head, Consumer Banking , K V S Manian , told PTI here.
On an average, revenue from one NRI customer is three times that of a local customer, he said, adding the cost of servicing a customer is also very low as the NRI clients are not "branch-dependent" and tend to actively use digital media platforms.
The large volumes of money available with NRIs make it easier for the bank to sell other products as well, thus augmenting the lender's fee income, he maintained.
Right now, NRI deposits account for around 12 per cent of the KMB's savings book, he said. "Through the new customer acquisitions, we plan to take it up to 15 per cent by this year end."
The new-age lender does not have an overseas branch yet and it started offering NRI accounts recently. In 2010, the number of its NRI customers went from 20,000 to 50,000 courtesy concerted initiatives.
"We do want to have an overseas branch but have not crystallised our plans yet," Manian said, adding currently the KMB's international presence is restricted to a representative office in Dubai.
( KMB )) is targeting to double Non-Resident Indian (NRI) account holders to one lakh this year, a senior official has said.
"These (NRIs) are affluent customers and offer us opportunity to cross sell multiple products. Right now, we have 50,000 NRI accounts and we are taking concerted efforts to take it to 1 lakh by end-2011," the bank's Group Head, Consumer Banking , K V S Manian , told PTI here.
On an average, revenue from one NRI customer is three times that of a local customer, he said, adding the cost of servicing a customer is also very low as the NRI clients are not "branch-dependent" and tend to actively use digital media platforms.
The large volumes of money available with NRIs make it easier for the bank to sell other products as well, thus augmenting the lender's fee income, he maintained.
Right now, NRI deposits account for around 12 per cent of the KMB's savings book, he said. "Through the new customer acquisitions, we plan to take it up to 15 per cent by this year end."
The new-age lender does not have an overseas branch yet and it started offering NRI accounts recently. In 2010, the number of its NRI customers went from 20,000 to 50,000 courtesy concerted initiatives.
"We do want to have an overseas branch but have not crystallised our plans yet," Manian said, adding currently the KMB's international presence is restricted to a representative office in Dubai.
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