Introduction to services

Prof.Smeeta.K KLE CBA, Hubballi 1

 Insurance sector
 The insurance industry of India consists of 63
insurance companies of which 24 are in life
insurance business and 39 are non-life insurers.
 Life Insurance Corporation (LIC) is the sole public
sector company.
 Sole national re-insurer, namely, General Insurance
Corporation of India (GIC Re).

Prof.Smeeta.K KLE CBA, Hubballi 2

Insurance sector

Prof.Smeeta.K KLE CBA, Hubballi 3

 Growth
 The domestic life insurance industry registered
10.99 per cent in 2018-19.
 Generating a revenue of Rs 1.94 trillion (US$ 30.1
billion).

Prof.Smeeta.K KLE CBA, Hubballi 4

 Scope
 The overall insurance industry is expected to reach
US$ 280 billion by 2020.
 Demographic factors such as growing middle class,
young insurable population and growing awareness
of the need for protection and retirement planning
will support the growth of Indian life insurance.

Prof.Smeeta.K KLE CBA, Hubballi 5

 Banking
 As per the Reserve Bank of India (RBI), India’s banking
sector is sufficiently capitalized and well-regulated.
 Indian banking industry has recently witnessed the roll out
of innovative banking models like payments and small
finance banks.
 The digital payments system in India
 The Indian banking system consists of 27 public sector
banks, 22 private sector banks, 44 foreign banks, 56
regional rural banks, 1,589 urban cooperative banks and
93,550 rural cooperative banks,

Prof.Smeeta.K KLE CBA, Hubballi 6

Growth of Banking sector in
India

Prof.Smeeta.K KLE CBA, Hubballi 7

 Scope
 India’s banking sector is also poised for robust
growth as the rapidly growing business would turn
to banks for their credit needs.
 The banking sector is laying greater emphasis on
providing improved services to their clients and
also upgrading their technology infrastructure
 Many banks, including HDFC, ICICI and AXIS are
exploring the option to launch contact-less credit
and debit cards in the market shortly.

Prof.Smeeta.K KLE CBA, Hubballi 8

 Tourism
 Tourism in India has significant potential
considering the rich cultural and historical heritage,
variety in ecology, terrains and places of natural
beauty spread across the country.
 India is the most digitally-advanced traveler nation
in terms of digital tools being used for planning,
booking and experiencing a journey.

Prof.Smeeta.K KLE CBA, Hubballi 9

Growth

Prof.Smeeta.K KLE CBA, Hubballi 10

 Growth
 Domestic Tourist Visits (DTVs):15.5%
 The number of Foreign Tourist Arrivals (FTAs)
increased 10.8 per cent
 India accounted for 8 per cent of the total
employment opportunities generated in the country
in 2017

Prof.Smeeta.K KLE CBA, Hubballi 11

 scope
 Improvement in life style, income
 Digitization

Prof.Smeeta.K KLE CBA, Hubballi 12

 Health sector
 Healthcare has become one of India’s largest
sectors - both in terms of revenue and employment
 Indian healthcare delivery system is categorized
into two major components - public and private.

Prof.Smeeta.K KLE CBA, Hubballi 13

Growth

Prof.Smeeta.K KLE CBA, Hubballi 14

 Growth
 The healthcare market can increase three fold to
Rs 8.6 trillion (US$ 133.44 billion) by 2022.
 The hospital and diagnostic centers attracted
Foreign Direct Investment (FDI) worth US$ 4.99
billion between April 2016 and December 2017,

Prof.Smeeta.K KLE CBA, Hubballi 15

 Scope
 India’s healthcare industry is one of the fastest
growing sectors and in the coming 10 years it is
expected to reach $275 billion.
 The country has also become one of the leading
destinations for high-end diagnostic services
 India also offers vast opportunities in R&D

Prof.Smeeta.K KLE CBA, Hubballi 16

 Transportation
 Transport system in India consists of transport
by land, water, and air.
 Public transport remains the primary mode of
transport for most Indian citizens.
 India's rail network is the third-longest and the
most heavily used system in the world,

Prof.Smeeta.K KLE CBA, Hubballi 17

Prof.Smeeta.K KLE CBA, Hubballi 18
 Scope
 The demand for transport infrastructure and
services has been rising by around 10% a year
 As per the National Highways Authority of India,
about 65% of freight and 80% passenger traffic is
carried by the roads
 Average growth of the number of vehicles has
been around 10.16% per annum over recent years

Prof.Smeeta.K KLE CBA, Hubballi 19

 Miscellaneous
 Hotel/Hospitality
 Courier
 Telecommunication
 Entertainment
 advertisement

Prof.Smeeta.K KLE CBA, Hubballi 20

 Hotel or Hospitality Industry
 A hospitality unit such as a restaurant, hotel, or an
amusement park consists of multiple groups such
as facility maintenance and direct operations
(servers, housekeepers, kitchen workers,
management, marketing, and human resources
etc.).

Prof.Smeeta.K KLE CBA, Hubballi 21

 Hotel
 Today hospitality sector is one of the fastest
growing sector in India and is expected to grow at
the rate of 8% between 2017-18.

Prof.Smeeta.K KLE CBA, Hubballi 22

 Courier
 The Indian courier industry size is estimated at Rs.
14,000 corers in 2016-17.
 The industry is expected to grow at 17% per
annum to Rs. 20,000 crores in the next three
years.

Prof.Smeeta.K KLE CBA, Hubballi 23

 Telecommunication
 India is currently the world’s second-largest
telecommunications market with a subscriber base
of 1.20 billion and has registered strong growth in
the past decade and half.
 The mobile industry is expected to create a total
economic value of Rs 14 trillion (US$ 217.37 billion)
by the year 2020.
 The daily data usage per smartphone in India is
expected to increase from 1.9 GB in 2017 to 18 GB
by 2023.

Prof.Smeeta.K KLE CBA, Hubballi 24

 Entertainment
 The Indian media and entertainment sector is one
of the fastest growing industries in the country.
 The sector grew 11% to $20 billion in total revenue
in financial year 2017.

Prof.Smeeta.K KLE CBA, Hubballi 25

 Advertisement
 India is second largest regional advertising market
in the world with projections to maintain this
position in the coming years.
 Advertising spending in the region reached a total
of 158.3 billion U.S. dollars in 2017, and is forecast
to increase to about 235.5 billion U.S. dollars by
2020.

Prof.Smeeta.K KLE CBA, Hubballi 26