In 2025, Federal Bank’s marketing priorities revolve around deepening its ‘Rishta’ (relationship) with customers while expanding its digital footprint. There are focus areas. The first area lies in strengthening its brand narrative. For this purpose it has actress Vidya Balan as its brand ambassador. The second area is expanding its presence in high-potential geographies where it sees significant growth opportunities. This includes deeper penetration in markets like Gujarat, Maharashtra, and parts of North India, while maintaining its stronghold in South India. The third, investing in building stronger ecosystems around key customer segments like MSMEs and NRIs. The fourth area is, hyper-personalisation at scale.
Medianews4u.com caught up with MVS Murthy, Chief Marketing Officer Federal Bank
Q. Federal Bank feels that marketing is a marathon not a sprint. Does that mean that brand building is as important as performance marketing?
Both of them are non-comparable. Performance marketing has its umbilical cord in the Brand story.
In banking, trust is paramount. Our customers entrust us with their life savings, their financial futures. That trust isn’t built overnight through a few campaigns; it’s nurtured through consistent brand experiences across every touchpoint. We need to be invested in building a brand that resonates with our core values of being “Digital at the fore, Human at the core.” That’s the big picture for everyone. Performance helps making deeper probes into the digital space and gives immediate metrics, the conversions, the acquisitions – all crucial for business.
You search what you see. In the absence of the former, the latter cant telescope and take the Brand closer to a larger set of goals out there.
Q. For 2025 what are the priorities and focus areas going to be from a marketing perspective?
For 2025, our marketing priorities revolve around deepening our “Rishta” (relationship) with customers while expanding our digital footprint. We’ll be focusing on three key areas:
• First, strengthening our brand narrative. We have onboarded a prolific personality as our Brand Ambassador. Our campaign which will shortly be released will feature Vidya Balan emphasises that while we offer cutting-edge digital solutions, we understand that banking relationships are fundamentally human and therefore we ensure our clients have a financially fulfilling journey.
• Second, expanding our presence in high-potential geographies where we see significant growth opportunities. This includes deeper penetration in markets like Gujarat, Maharashtra, and parts of North India, while maintaining our stronghold in South India.
• Third, investing in building stronger ecosystems around key customer segments like MSMEs and NRIs, where Federal Bank already has distinctive advantages. The focus is on creating integrated solutions rather than standalone products.
• Fourth, hyper-personalisation at scale. With our growing data capabilities, we’re moving beyond basic segmentation to truly understand individual customer journeys and deliver relevant experiences at precisely the right moments.
Q. As a CMO is dealing with large volumes of data a daunting task? Or has AI made the task easier?
Personally, I have lived through the adage of “Data is the new oil” for over couple of decades. Some of us were the earliest to embrace the Internet in late 90s, when dot coms came on the scene, display advertising, lead generation techniques, call-centres for fulfilment etc etc. So that muscle memory ensures there is no daunt or dent in everyday work.
With a background as ancient as that, understanding, adopting and also knowing the limitations of AI comes naturally. The marketing team is up on the curve, when it comes to using AI for content efficiencies, at a Bank level we have interesting use cases of AI helping in ATM monitoring, risk and compliance functions etc. They are all in an evolutionary stage.
We were the first and continue to be the only brand – as far as I can recall, to explicitly mention “Imagined by humans, generated by AI” TM . I think it’s a good corporate practice to let audiences know and let them see to believe the real and the artificial. They too appreciate the conscious sharing of information.
What excites me most is how AI is democratizing data analysis. Team members who aren’t data scientists also can now access powerful insights, making everyone more data-savvy and informed in their decision-making.
I am clear that AI is an enabler, not a replacement for human creativity and judgment
For instance, Customer segmentation becomes significantly more sophisticated with AI, allowing us to identify micro-segments with specific needs. But crafting the right message that resonates emotionally with these segments – that still comes from human creativity and empathy.
Q. The Bank has a large swathe of customers from grandparents to Gen Z. So how important is maintaining flexibility and balance in the marketing approach?
Flexibility isn’t just important – it’s absolutely essential to our marketing approach. Our philosophy of “Digital at the fore, Human at the core” is precisely designed to bridge this generational spectrum. Our campaign “Rishta Aap Se Hai, Sirf App Se Nahin” speaks directly to this balance.
We’ve found that channel preferences vary dramatically by age group, but the fundamental banking needs – trust, security, convenience, and value – remain consistent. So, we maintain flexibility in our delivery mechanisms while ensuring our core brand values resonate across generations. What’s fascinating is how cross-generational influences work within families. When we solve a complex banking need for a parent, we often win the loyalty of their children too.
Brand love at a multi-generational level, gives us deep sense of gratitude and we revel in its expectations.
Q. What is the strategy going to be in 2025 to grow marketshare? Where is the whitespace for growth?
For 2025, our growth strategy focusses on two distinct whitespaces: geographic expansion and segment specialisation.
Geographically, while we have strong presence in South India, particularly Kerala, we’re seeing tremendous growth potential in western and northern markets. Maharashtra, and select northern territories represent significant opportunities where our differentiated approach to relationship banking is gaining traction.
In terms of segments, we’ve identified specialized needs in the MSME sector. Our approach of combining digital efficiency with relationship managers who understand sector-specific challenges has been winning us significant marketshare. Similarly, our NRI services have always been a strength, but we’re expanding beyond remittances to comprehensive wealth management and investment solutions.
Q. How effective will Vidya Balan be in capturing the attention across geographies, genders and generations?
Vidya Balan has proven to be an exceptional brand ambassador for Federal Bank, and her effectiveness spans precisely the dimensions you’ve mentioned – geographies, genders, and generations.
What makes Vidya unique is her authentic appeal that transcends these boundaries. She aligns with our brand positioning. She’s respected across India, from metros to smaller towns, and her body of work speaks to meaningful, and substantive stories.
Her appeal is strong among women, a customer segment where we see tremendous growth potential. But her authenticity and credibility ensure she resonates with male audiences as well. Her characters have often portrayed strong, independent women making thoughtful life choices – qualities that align perfectly with how we want our customers to approach financial decisions.
Generationally, she bridges the gap beautifully. Older customers respect her for her values and dignity, while younger audiences appreciate her progressive choices and authenticity.
Q. Could you talk about the campaign being done to help tell the brand’s Kahani to the world and deepen the Rishta with its stakeholders?
We have been building our brand around ‘Rishta’ and we will be taking ahead this proposition by bringing in more practical aspects to light, the ones that happen in our everyday lives through the campaigns with Vidya and it is because we care for our stakeholders.
We will be structuring the campaign as a multilayered narrative.
Vidya Balan brings this narrative to life through simple scenarios that are relatable across demographics.
Q. How will the tagline ‘Rishta Aap Se Hai Sirf App Se nahin’ be reflected in marketing activities done?
Our tagline “Rishta Aap Se Hai, Sirf App Se Nahin” isn’t just a clever phrase – it’s the guiding principle for all our initiatives.
The beauty of this tagline is that it differentiates us in a market where the emphasis is either on pure digital convenience or traditional relationship banking. We’re claiming the valuable middle ground where these approaches complement rather than compete with each other.
Q. Could you talk about the tactics that Federal Bank will employ to ensure that marketing resonates deeply and is not just a superficial message that gets lost in the clutter?
Cutting through the clutter demands more than creativity – it requires relevance, consistency, and authenticity. Our tactical approach for 2025 revolves around these principles.
First, we’re moving from generic mass messaging to contextual communication.
We aim to make experiences our primary marketing channel. From redesigned branches to immersive digital journeys to community events – these tangible experiences do more to build our brand than conventional advertising. When customers experience our values firsthand, it creates more lasting impressions than an advertisement.
Q. Sport is an important pillar for Federal Bank. How has taking part in marathons helped with brand building? What other sports is Federal Bank looking at?
Our association with marathons has been transformative for Federal Bank’s brand in ways that go far beyond conventional sponsorship metrics.
Marathons embody values that align perfectly with our brand ethos – endurance, preparation, commitment to long-term goals, and the balance of individual effort within community support. When we say banking is a marathon and not a sprint, we’re speaking from experience in both domains.
From a brand visibility perspective, marathons give us sustained exposure in key markets without the clutter of conventional advertising spaces. But the real value comes from the earned media and word-of-mouth generated when participants share their experiences.
Looking beyond marathons, we’re strategically expanding into sports that reflect our regional growth strategy and target demographics.
What’s consistent across our sports initiatives is our focus on participation, not just sponsorship. We want our employees and customers involved in these sporting communities rather than just placing our logo on events. This participation-based approach delivers far more authentic brand building than passive sponsorship.
Q. Federal Bank avoids cricket. Is that because properties like the IPL are both highly priced and has too many advertisers?
Our approach to sports marketing is strategic rather than reactive. It’s not that we avoid cricket – it’s that we choose to invest where we can create distinctive brand associations and meaningful engagement. From a purely financial perspective, our marketing investment generates significantly higher returns in other sporting properties where we are more prominent.
More importantly, our selected sports properties align better with our brand positioning and values. Marathons emphasise endurance, preparation, and steady progress toward long-term goals – exactly the attributes we want associated with Federal Bank.
We’re also mindful of creating authentic connections. Our involvement in marathons includes significant employee participation, creating genuine engagement rather than just visibility. This authenticity matters tremendously to today’s consumers who can detect when a brand is simply buying attention versus genuinely participating in a community.
Cricket remains India’s most popular sport, and there may be specific cricket properties or formats that align with our brand in the future. We’re driven by strategic fit rather than categorical exclusions.
Q. What are the plans to use music to strengthen consumer connect?
Music has emerged as a powerful emotional connector for Federal Bank, and we’re significantly expanding our initiatives in this space for 2025.
We’ve found that regional music initiatives create especially strong engagement in our key markets
Music is also becoming central to our experiential marketing. Our branch events and community initiatives increasingly incorporate live performances that bring together customers in shared cultural experiences. These moments create emotional bonds with our brand that transcend transactional relationships.
What’s particularly powerful about music is how it bridges generations and geographies. A thoughtfully crafted musical initiative can resonate with both traditional and younger customers, helping us maintain that crucial balance in our marketing approach.
