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Andhra Bank Marketing Mix (4Ps) & Marketing Strategy

Published by MBA Skool Team in Services category Last Updated: November 03, 2023Read time:

Here is the marketing strategy of Andhra Bank which analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion).

Andhra Bank Product Strategy:

The product strategy and mix in Andhra Bank marketing strategy can be explained as follows:

Andhra bank is one the leading banks in India. Andhra Bank businesses are categorized into retail, Corporate, NRI, MSME and agricultural industries. It offers Retail loans, agricultural loans, corporate loans, deposit schemes and technology products in its marketing mix product strategy.

In the retail business Andhra Bank offers house loans, vehicle loan, personal loan, education loan, gold loan, reverse mortgage loan, loans against rent receivables etc. It provides insurance and mutual funds, accounts and deposits, debit cards. In agriculture business Andhra Bank offer short term credit through AB kisan sampathi, Pattabhi Agri cards and term credit through AB Kisan Rakshak, Agri Kisan Chakra, Agri Rural Godowns, Agri purchase land, Agri Kisan Bandhu, Agri diary agents.

Andhra Bank also provides finances to Micro and small enterprises against property. They have several schemes like Artisans credit card scheme, Composite loan scheme, Open cash credit, National equity fund scheme, AB Laghu Udhyami Credit card, AB power tools(Shakti), scheme for technology upgradation (Food processing). Andhra bank offers working capital facility, Term finance, non- fund based advances and other advances to the corporate. They also offer deposits, loans and remittances services to NRIs.

Image: company website

Andhra Bank Price/Pricing Strategy:

Below is the pricing strategy in Andhra Bank marketing mix strategy:

Andhra Bank has got a pricing strategy based on the needs and requirements of the customers and clients. House loan is given to people of age 21-65 years for construction or purchase of house/flat with different marginal cost of funds based lending rate (MCLR).

RBI sets the methodology to set the lending rate by commercial banks. There is different interest rate for different customers and different slabs. For example, for loan up to 30 lakhs the interest rate is MCLR+.05% and for loan above 75 lakhs it is MCLR+0.25%.Interest rate charged to MSME are based on their credit ratings. Loans up to 10 lakhs are charged a rate of 10.45%. Interest rate on loans above 10 lakhs and up to 5 crore range from 10.45% to 12.45 depending on their credit rating.

Interest rates in terms of deposits vary with the amount and duration of the deposit. It ranges from 4% to 5.75%. Andhra bank provides 0.50% higher interest rate to senior citizens on deposits up to one crore. Hence, the pricing strategy in the marketing mix of Andhra Bank is mostly governed by RBI guidelines and government policies.

Read more about Andhra Bank

Andhra Bank Place & Distribution Strategy:

Following is the distribution strategy in the Andhra Bank marketing mix:

Andhra bank has excellent reach across the country. Andhra Bank has a global presence in USA (New Jersey) and UAE (Dubai) as well. Its headquarter is in Hyderabad and It operates in 26 states and three union territories. It has 2800+ branches in total. Andhra Bank have 300+ branches in minority dominated districts as well. The bank has 45 specialized branches such as Specialized SME branches, Speacialised agricultural finance branches, corporate finance branches, Specialized NRI branches.

Andhra bank has a network of 3636 ATMs.

Andhra Bank Promotion & Advertising Strategy:

The promotional and advertising strategy in the Andhra Bank marketing mix is as follows:

Andhra Bank uses various mediums to promote its brand. Banking products are not seen like manufacturing products therefore it becomes important to create awareness and market them. The service sector heavily depends on interactive marketing. The one to one interactions with the customers are very important. Banks does a lot of cold calling in hope to expand their customer base and sell them credit cards and other products. Andhra bank sponsors events in order to increase visibility in the market. It is also active on social media like Facebook and twitter through which it makes the consumers aware of the latest scheme and happenings of Andhra bank.

Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Andhra Bank.


Andhra bank has a total staff of 21,000+ across the organization. Andhra bank also have a staff college which aims to provide quality training and impart knowledge to improve operational efficiency of the bank. The training helps the staff be more confident and better team players. The training methodology includes lectures, case studies, simulation of branch software, group work and presentations. To assess the effectiveness of training special evaluation is done. Managers provide the feedback about the trained staff and that information is then analysed through rating system and given to the top management.

Physical Evidence:

Andhra Bank branches and offices are its main physical evidence. Andhra bank has a mascot by the name of Dolle, the dolphin. Mascots is used for its recall value. It depicts what the brand stands for. Dolle is known for always having a smile of its face and for its qualities like being friendly, responsive and intelligent. The mascot is used in several events and fairs hosted by the bank. Bank’s corporate slogan “Andhra Bank, for all your needs” also shows an image of ‘enter’ key. It identifies with the brand being tech savvy and how it has imbedded technology in all its working to satisfy customer needs. In 2013 it rebranded itself and came up with a new corporate slogan “Andhra Bank: where India banks”. It wanted to emphasize on the pan Indian image of the bank.


Andhra Bank has many business processes for ease of doing its banking activities. It is very important to have consistency and quality in the process of the organization as it is the defining factor in any service sector organisation. Service delivery is the deciding factor whether someone will choose you over competitors or not. Andhra bank is known for its services it provides to its customers. It has a customer service department which handles customers’ grievances and queries. Andhra Bank also has tele banking and internet banking option so even if the customer doesn’t want to physically come to the bank he/she can do almost anything from wherever they are. Internet and mobile banking option is available 24/7. It also has a toll free number and a help desk to guide and help the customers. Andhra bank has a mobile app through which the customers can open an account, update their passbook, transfer money safely and securely. Hence, its covers the marketing mix of Andhra Bank.

About Andhra Bank:

Andhra Bank, is a medium sized public sector bank. It commenced its operations in 1923 with Rs.1 lakh worth of paid capital and today it has a total business of Rs.3,10,67 crores. Dr. Bhogaraju Pattabhi Sitaramayya was behind the humble beginnings of Andhra bank. Andhra bank was nationalized in 1980. Mr. Suresh N Patel is the current MD and CEO of the bank. Andhra bank truly justifies its corporate slogan “for all your needs” by offerings a wide range of products and services. It has a substantial market share in the credit card business with a card base of 1.49 lakh. It has a diversifies loan portfolio with loan exposure to different sectors like Textile, Iron and steel, power, etc.

Andhra bank has set up a banking subsidiary in Malaysia in partnership with Bank of Baroda and Indian Overseas Bank. Andhra Bank is present in 26 states and three union territories with 2800+ branches, 3600+ ATMs and 6400+ delivery channels.

This article has been researched & authored by the Content & Research Team which comprises of MBA students, management professionals, and industry experts. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse marketing strategy and 4Ps analysis of more brands similar to Andhra Bank. The Marketing Mix & Strategy section covers 4Ps and 7Ps of more than 800 brands in 2 categories.

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The names and other brand information used in the Marketing Mix & Strategy section are properties of their respective companies. The companies are not associated with MBA Skool in any way.

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