Marketing Strategies of NAGAD
Target Market & Market Segmentation
Non-user
Group with zero
financial access Potential user
First time user
Response
Regular user
High
The Whole
Medium Market
Low
Income Needs
Region
Urban
Rural
Marketing Mix 7Ps - Product
• Cash In
• Cash Out
• Send Money
• Card/Bank to Nagad
• Bill Payments
• Mobile Recharge
• Sanchay
Marketing Mix 7Ps - Price
Price
Less Same More
More
More for More for More for
the Less the Same the More
Benefits
Same
Same for
the Less
Less for
Less
the Less
• For cash amounts of 2100 or more, the Cash Out
charge is almost 3.5% less than its competitors
• Higher transaction limits
Marketing Mix 7Ps - Place
• Nagad has more than 1.60 lac agent points, also
known as Nagad Uddokta Points
NAGAD
?
Marketing Mix 7Ps - Promotion
1 Lowest Service Charge
2 Highest Profit Rate on Sanchay
PABEN
3 CashBESHI DEBEN
Back on Cash In KOM
4 Cash Offers on Bill Payment
5 Discounts on Online Purchase
25 times greater daily transaction limit, and
10 times greater monthly transaction limit
Marketing Mix 7Ps – People
Freelance Agents, Customer
Care Team, Marketing Team Front-end
Middle
Management
Back-end
Top
Manage
ment
Unlike Bkash or Rocket
• No separate customer care for each region
• No separate official agent points
• No fast track or ATM points
Marketing Mix 7Ps – Physical Evidence
NAGAD
Website APP USSD
*167#
Instructions Self-registration Requires no
internet
Latest offers Transactions
connection
Calculate charges Get notification
Transactions
and profit on Latest offers
Marketing Mix 7Ps – Process
The first DFS that introduced digital KYC, a one
1
minute registration process facilitated by OCR and
AI
Two type of accounts, I) Customer
2
account and II) Merchant account
Deposits (Sanchay), Investment, and
3
profit.
4 Gateways that handles the transactions
5 Utility billers for easy bill payments
Advertising and Branding
Interactive Marketing
Strategies Marketing through other apps or games
Marketing through own app
(Notifications)
Traditional Marketing Integrated Web/Social Media Marketing
TV commercials Marketing Facebook
Billboards Instagram
Newspaper Ads YouTube
Direct Marketing
SMS
Email Marketing
What Makes Nagad Different?
Nagad Other Competitors
• A Digital Financial Service (DFS) that operates under the • Extended subsidiaries of established private banks that
authority of Bangladesh Post Office . operates under the authority of the banks
• Aims to bring people in a fully digital financial platform. • Aims to make banking and financial services easier and
smoother.
• Marketing strategy and campaigns are targeted to catch • Marketing strategy and campaigns are targeted to attain
and fill the gaps that the competitors currently have. It and maintain larger market share.
is more focused on determining the weak areas based
on two strategic dimensions i.e. Geographic and
segmental.
• Low service charges, higher transaction limits • Market maturity, A combination of both digital and
traditional banking services.
• Focuses more on devoting its resources to design • Focuses more on product development by seeking to
thinking. evolve and create more and more new features and
functionality.
Future Opportunities with Nagad:
SSL 2000+
Nagad
COMMERZ Merchants
SWOT
STRENGTH 1 WEAKNESS
Public-Private Partnership No separate packages for
allows them to provide different segments.
faster services with much No official points in
lower price different regions.
THREATS OPPORTUNITIES
Sudden changes to rules, Traditional banking services
regulations and conditions. do not reach rural and remote
Money laundering, Fraud areas.
and abuse of the service Technological advancements,
digitalization, and increasing
popularity of DFS.
Marketing Mix 7Ps - Price
• NO CHARGE for services excluding Send Money and Cash Out
• Cash Out
Amount App charge USSD charge
(excluding VAT) (excluding VAT)
2100 taka or more 0.99% 1.29%
Less than 2100 1.52% 1.61%
taka
• VAT- Additional 0.15% on the service charge
• For cash amounts less than 2100, the charge is almost
equal to its competitors
• For cash amounts of 2100 or more, the charge is almost
3.5% less than its competitors
