Sep 4, 2023

India's Top Premium Banking Programs for HNIs

Introduction

India is experiencing a remarkable surge in the population of High Net Worth Individuals (HNIs) and Ultra High Net Worth Individuals (UHNWIs). The HNI population in India is set to surge by 75% by 2025. India is home to a substantial count of over 130,000 HNIs and UHNWIs and is expected to grow massively in the coming years.

This affluent segment of customers contributes to around 60% of the country's GDP, making them a critical bank client base. Their substantial investment capacity translates to increased revenue for banks through fees and returns. They also possess a sophisticated understanding of the financial landscape, which contribute to enhanced profitability. Moreover, the influence and network of HNIs extend beyond their financial prowess, as they are inclined to refer their associates and acquaintances to the bank, facilitating new business opportunities.

All these factors have resulted in banks increasingly competing for the attention of HNIs. The needs of this segment often necessitate tailored and personalized financial services, adapting to their expectations and ensuring their satisfaction becomes imperative for success.

This competition has led to the development of a number of specialized financial products and services designed to meet the needs of these premium customers. The inherent appeal of this segment has created an imperative for banks to attract and keep HNIs customers.

This is posing to be a challenge. These customers are often very discerning and have a wide range of banking options available to them. Banks need to offer a compelling value proposition that includes exclusive benefits, personalized service, and a high level of convenience.

Premium banking programs that typically include features such as exclusive access to bankers, personalized service, and enhanced rewards are becoming increasingly popular in Asia and India, as the region's wealthy population continues to grow.

Core Offerings of Premium Banking Programs

As we delved into the diverse premium banking programs offered in India a pattern emerged across most in terms of services rendered -

Dedicated Relationship Management: Premium banking programs staff dedicated relationship managers who help HNI customers' with their specific needs.
Wealth Management & Investment Privileges: Curated financial products and services for wealth growth, risk management, and asset allocation. From customized portfolios to specialized solutions, they cater to the financial objectives of these premium clients.
Premium Banking Benefits: A host of banking benefits tailored to premium clients which range from Priority banking services, and preferential pricing, to family & business banking.
Lifestyle Benefits: Some of these programs go beyond financial services, offering exclusive lifestyle benefits such as luxury travel, concierge services, personalized privileges, and access to exclusive events.

Top Premium Banking Programs for HNIs in India

As is evident above, most bank offer personalized attention, complete financial solutions, and customized lifestyle benefits. But how and who they deliver to, varies. Let’s take a closer look at the premium banking offerings of the top banks in India.

1. HDFC Bank's Imperia

HDFC Bank is one of the top banks in India that offers exclusive banking programs for Premium & Affluent customers. The bank has consistently featured among the top banks in the country over the past couple of years. It was awarded Best Private Bank in India at the Global Banking Awards 2021.[1.1]

HDFC Bank offers a suite of premium banking offerings which includes relationship management wealth management and investment privileges, preferential pricing on loans, complimentary family lockers, and much more.

In addition, they provide a range of lifestyle benefits to enhance customer experiences, including airport lounge access giving customers a wide range of facilities at their disposal.

Key benefits offered by HDFC Bank’s Imperia:

Eligibility criteria for HDFC Imperia (At least one):

Minimum Average Monthly Balance of Rs. 10 Lakhs in a Savings account
Minimum Average Quarterly Balance of Rs. 15 Lakhs in a Current Account
Minimum Average Monthly Balance of Rs. 30 Lakhs in a combination of Savings Accounts and Fixed Deposits
For Salaried Customers, Monthly net salary credit of Rs. 3 lakhs & above in the HDFC Bank Corp Salary Account

2. SBI Wealth Saving Account

SBI Bank is a leading Public Sector Bank in India with a legacy of trust spanning over 200 years. It is one of the largest banks in India with 1/4th market share and serves over 48 crore customers. [2.1]

SBI Wealth customers get access to preferential locker pricing, fee waivers on cards, higher cash withdrawal limits, insurance privileges, and family banking services.

The banking benefits are followed by a wide range of lifestyle benefits which includes airport lounge access with priority access, an enterprise-wide loyalty program, and perks like Free Movie Tickets, Concierge services through credit & debit cards.

The SBI Card Elite [2.2] offers customers access to a complimentary membership to Club Vistara, Trident Privilege Memberships, Complimentary Movie Tickets, and much more making the bank stand out among peers.

Key benefits offered by SBI Wealth Savings Account:

The eligibility criteria for SBI Wealth vary for New & Existing customers. They need to meet at least one of the following based on the category -

3. Axis Bank’s Burgundy Savings Account

Axis Bank is on of the top private sector banks in India, known for its extensive range of banking and financial services. The bank has a strong presence and a wide network of branches across the country. They were also awarded with the Global Private Banking Innovation Award in 2022 at “Digital Banker” for marketing campaigns. [3.1]

The program offers a plethora of benefits that unlocks true value for the bank’s customers. They provide dedicated relationship management & a dedicated team for wealth management-related needs. Customers enjoy preferential loan pricing, discounts on lockers, lifetime free Demat A/C, and fee waivers on debit and credit cards.

With unlimited ATM withdrawals, higher limits for withdrawals and purchases, and family banking for up to three members, Axis Burgundy's service offers exceptional financial convenience and flexibility.

This is followed by a list of tailored lifestyle privileges. Customers enjoy access to the airport lounge, complimentary movie tickets/event passes, fine dining, accelerated reward points, and complimentary golf lessons making it a well-balanced experience for the customers.

Key benefits offered by Axis Bank’s Burgundy:

Individuals need to meet one of the following criteria for Axis Bank’s Burgundy offerings:

Average Quarterly Balance of ₹10 lakhs in the Savings Account
Average Quarterly Balance of ₹10 lakhs across Savings Accounts and Current Accounts
Minimum Total Relationship Value(TRV) of ₹30 lakhs
Minimum Total Relationship Value(TRV) of ₹1 crore includes Demat holdings
For a salaried customer, a net salary credit in excess of ₹3 lakhs every month in Axis Bank Salary Account

4. Kotak Mahindra Bank’s Privy League Platinum

Kotak Mahindra Bank is a renowned banking institution known for its exceptional services and customer-centric approach. It is the third-largest bank by market capitalization in the country and is counted among the top private-sector banks. The bank received multiple awards for being the Best Private Bank in India over the last few years. [4.1]

Kotak’s premium banking program gives access to lucrative banking benefits including a 3in1 Demat account, Insurance privileges, complimentary credit cards & debit cards including a dedicated Forex card, deals on annual locker rental, and much more. In terms of customer service a 24/7 Customer Helpline is provided to the customer however there is no mention of a dedicated relationship manager.

Kotak’s customers gain access to a world of curated lifestyle benefits, including exclusive events, premium experiences, and bespoke privileges across travel, dining, shopping, and entertainment. The bank also provides membership of Eazydiner Prime & few discounts on Swiggy which provides good deals on dining.

Key benefits of Kotak Mahindra’s Privy League Platinum:

Criteria for Kotak Mahindra’s Privy League Platinum offerings:

Savings account Average Monthly Balance of over Rs. 10 Lakhs in Savings Accounts
Relationship Value (RV) of Rs. 30 Lakhs
For both Current and Savings accounts: Average Monthly Balance of over Rs. 15 Lakhs in Current Account
Relationship Value (RV) of Rs. 30 Lakhs

5. Bank of Baroda’s Radiance

Bank of Baroda is a reputed bank in India, ranked 4th among PSU banks. The bank received the Global Private Bank Innovation Awards in 2022. The bank has a huge branch network of 10k branches and a team of 85,000 employees working across the country.

Bank of Baroda’s Radiance gives customers access to a unique set of banking and lifestyle benefits. For banking benefits, customers get access to dedicated relationship management with a 24/7 helpline and personalized financial planning guided by dedicated investment counselors. Clients enjoy priority lockers, unlimited cash withdrawals, preferential pricing on lockers, and fee waivers on SMS alerts, deposits, and checkbooks.

Customers also get access to a solid suite of lifestyle benefits including zero issuance charges on Gift and Travel Cards, access to exclusive merchant offers via Mastercard Domestic Offers, and a dedicated concierge service. Clients also receive travel and roadside assistance, golf privileges.

BoB also offers a complimentary World Sapphire Debit Card with two separate variants of the card catering to the needs of both male & female customers separately which makes the offering one of it’s kind. The card provides discounts on premium brands, Visa Luxury Hotel Collections, and domestic airport pick-up and drop service with lounge access, adding luxury and convenience to their lifestyle.

Key benefits offered by Bank of Baroda’s Radiance:

6. IDFC First Bank’s Wealth Savings Account

IDFC First Bank is a private sector bank that was formed after the merger of IDFC Bank & Capital First in the year 2015. The bank is standing out to the customers with its new-age approach & it’s complete focus on retail banking unit.

IDFC First’s Wealth Savings account comes loaded with doorstep banking, a dedicated relationship manager, and a 24/7 helpline. Clients benefit from Wealth Management & Investment Privileges, offering expert guidance and exclusive investment opportunities. The Premium Banking Benefits include a free locker, unlimited cash withdrawal, preferential loan rates, and complimentary cards with enhanced limits and insurance coverage for added security.

In terms of lifestyle benefits, customers get access to tailored Lifestyle Benefits including complimentary early breakfast and early check-in privileges at luxury hotels, along with access to Visa Concierge Service for personalized assistance. Clients enjoy discounts on airport transfer services and access to airport lounges, as well as Golf Club Access.

Key benefits offered by IDFC First Bank’s Wealth:

A customer is required to maintain a MAB of Rs.10 Lakhs to be eligible.

7. Federal Bank’s Celesta Savings Account

Federal Bank is a private sector bank with headquarters in Kerala. The bank has witnessed rapid growth in the last few years with more than 1300 branches spread across the country.

Federal Bank’s Celesta has been curated to attract premium customers with a strong pool of benefits, in terms of banking, the program gives access to premium banking with dedicated relationship management, wealth management, and investment privileges. Customers also get to enjoy Family Banking, Welcome Rewards, and Insurance benefits. The package includes Concierge Services, Enhanced Cash Withdrawal Limits, complimentary Debit & Credit Cards, and a free Lifetime Demat account.

In addition, the tailored lifestyle perks include access to Domestic and International Airport Lounges, complimentary Golf Access, and monthly buy-one-get-one-free movie tickets. Mastercard Domestic usage offers further enhances the lifestyle benefits, making Premium Banking Services.

Key benefits offered by Federal Bank’s Celesta:

Eligibility options for Federal Celesta:

Average Monthly Balance of 10 Lakhs in savings account:
Cumulative Average Monthly Balance of 10 Lakhs across all savings accounts
Average Monthly Balance of 5 Lakhs across all savings accounts + 25 Lakhs Fixed Deposit
Total Relationship value of 1 Crore
For Resident Salary Customers: Salary credit of 2 Lakhs or more in salary account
Family Monthly Average Balance of 10 Lakhs across all savings accounts in Family ID
Family Monthly Average Balance of 5 Lakhs across all savings accounts in Family ID+ 25 Lakhs as Fixed Deposit
Family Total Relationship Value of 1 Crore

8. Yes Bank’s First Savings Account

Yes Bank is a full service commercial bank providing services across a wide variety of products and services to Retail, Commercial & Business customers.

Yes Bank’s First offers dedicated relationship management, wealth management services, and premium banking benefits. Customers have a dedicated relationship manager, wealth management advice, and various investment options. They enjoy discounted locker rentals, a complimentary YES Securities Account, unlimited cash withdrawals, and free debit and credit cards. Additional perks include Cross Currency Market at 1.99% and a fuel surcharge waiver for added convenience.

This is followed by lifestyle benefits like YesAssist Concierge Service, accelerated rewards points, and complimentary airport lounge access. The Yes Dining Fiesta program offers attractive dining discounts.

Opting for the Yes First Credit Card provides international airport lounge access, a low 2.99% interest rate on revolving credit, Yes Rewarz, and a complimentary golf program.

Key benefits offered by Yes Bank’s First:

Eligibility Criteria for Yes Bank’s First Savings Account

INR 8 Lakhs or a minimum Net Relationship Value of INR 30 Lakhs at a family level
Minimum net salary credit of INR 3 Lakhs per month in salary account

9. DBS Bank’s Treasures

DBS is a multinational bank based out of Singapore. The bank has won several awards for its services in Private Banking including the award for being the Best Asian Private Bank in 2023 [9.1]

With DBS Treasures Premium Banking, customers gain access to a world of exclusive privileges, innovative wealth management tools, and various tools that can help customers with their wealth management needs. Customers also get assistance with property management and legal services which stand out as a benefit.

Customers have a series of leading lifestyle benefits like Concierge Service, and deals on dining, shopping & hotels across Asia. Customers also benefit from services like Airport Pick up and drop & Lounge access.

Key benefits offered by DBS Bank’s Treasures:

To be eligible for an account with DBS Bank a customer is required to open an initial account opening value of INR 5 lakhs & increase the investment to 30 lakhs in TRV within 6 months of opening the account.

10. Indusind Bank’s Pioneer

Indusind Bank is often counted among the top 5 private sector banks in India. The Bank has combined responsiveness with innovation to launch a wide range of banking products and services which are unique, convenient and very relevant to the Indian consumer.

Customer enjoy a host of banking services which include benefits on core banking services like Unlimited Demand Drafts, cash withdrawals, Cheques. The Small & Medium variant of the lockers. However, there is no mention of a dedicated Wealth Manager or investment team.

The bank is also providing lifetime free Credit & Debit cards along with a complimentary Forex Card for all of customers’ international payement needs. Offers like No late payement fees on credit card bill payement add great convenience to customers.

In terms of lifestyle benefits, Indusind provides a wide range of offers across Health, Dining, Lifestyle, Travel & Fine Dining. Some of the top offers include deals a complimentary choice between either EazyDiner Annual Membership or Zomato Gold for Fine Dining, a Taj Cullinary Membership. There are a long list of discounts on top brands like VLCC, ZoomCar, Rapido, Titan etc giving users incentive to spend with partner merchants.

Key benefits offered by Indusind Bank’s Pioneer:

Eligibility requirement of Indusind Bank’s Pioneer:

An Average Quarterly Balance of Rs. 10,00,000 in Savings Account or Current Account (group based)
A Net Relationship Value of Rs. 30,00,000 (group based) along with an Average Quarterly Balance of Rs. 1,00,000 (group based) in Savings or Current Account.

Conclusion

In the competitive industry, it is crucial for banks to find distinctive ways to set themselves apart. Especially with the more discerning and quick-to-switch newer class of HNI. To engage and retain this cohort, banks need to relook at the current interpretation of benefits and align them with the changing needs of the customer. They need to evaluate the utilization of the current benefits and measure the satisfaction levels of the customers they’re intended for.

Banks need to design their Premium Banking Services to:

Create an elite membership circle for them to belong.
Define relatable, appealing values and benefits.
Invest in new technologies to provide seamless digital accessibility.
Dynamically curate innovative, personalized offerings.
Consolidate and ease the access on-demand

While delivering all the above, banks need to manage costs effectively. These programs can be expensive to run, as they often require a dedicated team of bankers and service providers. They also have to comply with evolving regulations and guidelines.

These factors will not only differentiate offerings but also build lasting and sustainable relationships with customers. The commitment to providing exceptional service and anticipating customer expectations is key to success in the dynamic banking landscape.

Disclaimer:

The information presented in this blog has been sourced directly from the websites of the respective banks. Please direct any concerns or discrepancies regarding the information presented in this blog to arise@gonuclei.com
The order in which the banks are presented does not reflect any ranking or preference. The content is meant to offer valuable insights and should not be considered as financial advice or a comparison.