Retail lending

Sberbank and Cetelem aggregate retail loan portfolio grew by 23% to RUB 4.2 trillion in 2014 The survey was conducted in 16 Russian regions in cities with a population greater than 100,000 people by ARMI-Marketing, an independent company and a member of the Millward Brown international network.. Mortgage lending growth accelerated against the slowdown in consumer unsecured lending. Over the year, individuals received over RUB 2 trillion of loans. Sberbank and Cetelem joint share in the Russian retail lending market increased by 2.8 pp, totaling 36.8%.

SBERBANK AND CETELEM RETAIL LOAN BOOK STRUCTURE, BASED ON MANAGEMENT REPORTS, RUB bn

Mortgage lending

Mortgages remained Sberbank priority product, with the portfolio growth of 38.8% in 2014; the market share reached 53% while asset quality remained sustainably high. High growth rates were supported by several factors including product range expansion (launched new product „Military mortgages — purchase of housing under construction”), more efficient cooperation with real estate agents and developers, enabling to submit mortgage applications through the Partner Online web portal across Russia, and a new streamlined customer request submission process. The bank simplified the application submission process for loan product „Mortgage with two documents” requiring only two forms of personal ID — a Russian national passport and another document.

Consumer unsecured lending

Sberbank key priority in 2014 was sustaining asset quality of its loan book, lending only to high quality borrowers. Based on management reports, consumer unsecured loan portfolio increased by 6.4% over the year. Sberbank launched a number of new products in 2014, including government subsidy programmes such as „Consumer loans for military participants of the savings and mortgage system” and „Government-supported education loans”.

Sberbank continued the loan refinancing program for customers with good credit history.

SBERBANK AND CETELEM SHARE OF THE RETAIL LENDING MARKE, %

SBERBANK SHARE OF THE MORTGAGE MARKET, %

SBERBANK SHARE OF THE CREDIT CARD MARKE, %

SBERBANK AND CETELEM SHARE OF THE AUTO LOAN MARKET, %

SBERBANK AND CETELEM SHARE OF THE RETAIL LENDING MARKET
Zoom Download XLS Source: Data provided by Frank Research, Sberbank’s estimates.

Credit Cards

Credit cards remain an essential element in the bank’s product range, promoted as a cross-sell product to existing bank customers. The latter allows to maintain loan quality at acceptable levels.

Sberbank issued a total of 14.6 mn credit cards. According to Frank Research, Sberbank market share of credit cards and overdrafts increased from 23.5% to 29.9%. The bank strengthened its leadership in the Russian market. Credit cards portfolio increased by 52.2% to RUB 411 bn in 2014.

Auto lending

Sberbank and Cetelem joint market share of the auto lending market increased by 1 pp to 15.8% in 2014. Sberbank Group became the leader of the Russian auto loan market in 2014. Since 2014, all auto lending business has been done through Sberbank subsidiary Cetelem. Cetelem has cooperation agreements with 23 car brands, and despite the drop in car sales and auto lending slowdown in 2014, Sberbank and Cetelem aggregate auto loan portfolio increased to RUB 145 bn.