What are the growth segments for Retail Banking in the future?

I have somewhat similar idea what Swati Ji has mentioned.According to me rural areas offers tremendous potential which needs to be exploited and it will be great if retail banks pay attention to it which will not only help them but will also result in growth of the rural people.

In my view banks need to focus on different groups of people with varied incomes,varied age groups,demographic groups etc. and come up with new and innovative strategies to attract them. Banks should come up with specific and separate schemes for people of different age groups,income,demographies as it has huge potential for growth.

In the changing scenario of indian banking industry the consumer is king philosphy is fully prove it's in the retailing of any product and services upto the satisfaction of customer, clients as consumer because they can use their basic daily needs, requirement and create the future dreams with the support of banking industry in retail segement as like; Housing, Education, Personal Loan and Advances in shares & FD as well as manifold services as customized and personalized services as anything, anytime, anywhere banking for all as Universal Banking like; IDBI Bank within short span of time in the retail banking segement after the biggest success of Development Financial Institutation in the Industrial Development as Project Finance and Corporate Banking after four decade of DFID/ FIs / SFC/ PSB that means the compete the success path only way of Retail customer in our Banking Industry in future more and more increase in the edge of Liberalization, Privatization and Globalization in the world economy challanages to meet out our indian econony, development and social environment conditions of India.

I think the PSU Banks serve the low income customers where as the corporate banks the higher income. Corporate banks also help small investors those who invest expecially in Mutual Funds.

I feel the interest they charge on mortgages is still too high. Housing is a priority for any Nation and the rates should be as low as possible. In US a graduate when he comes out of Campus can afford a mortgage. Reason being high valued currency and low mortgage rates. Here only high nethworth NRI's  and high wage eranres can afford mortgages. Then ofcourse the government has to follow a high value currency policy too.

PSU banks serving the lower income usually are not in the credit card line.

A country where the services like banking are segmented according to income distribution is a despicable situation per se. If they don't come up with something where the equality criterion of democracy is not maintained then we cannot boast of being a democracy in the first place. Democracy is brotherhood, sisterhood and equality.

Indian Banks should try to better their services. So that the customers time is wasted less and less. Even today if you go to bank for pay order or DD you are asked to come back after sometime. Today's customer doesn't have time. If you can provide better services than customer will come back to you. If you have to deposite tax apart from State Bank no other bank accepts any tax of an a/c holder of other bank. That too takes a long time. If you can reduce time in clearing of cheque instead of 3 days at present to say 1 day than it will be good. Likewise there are many services for which customer's have to wait. If by providing better services banks can reduce that time thank it will be great.

I think that dramatic changes are expected in the credit portfolio of banks in the next 5 years.Although the economic situation is not as stable as we all would have liked and consumer spending has also been decreased in the recent times but I believe that in the future housing loan will be in most demand by the consumers because of the increase in population and the urge among younger generation to have their own separate homes.This is the segment that banks should really focus on for growth in the future.