Biggest problem plaguing organizations across the globe in bruising and discontinuous environment unleashed by policy of liberalization and globalization by governments around the world is how to cope with rapidly changing business milieu and complex competitive challenges so as to ensure their sustained success. In such an environment being better or bigger is not good enough. In fiercely competitive environment, a bank, being service organization, needs to be resilient to constantly seek how the environment is changing and how things could be different tomorrow. It must be capable to reinvent business models and redefine its core businesses faster than change in circumstances so that it achieves superior performance and provides products/services that customers will pay more than what it costs. Therefore, a bank must have distinct competence to create value. In its endeavor to create value for the bank, central management needs to undertake value chain analysis of all primary activities which the bank performs such as design and development of product/services, marketing and distribution along with support activities such as technology development, human resource management and infrastructure so as to make their services cost effective, prompt in delivery and customer oriented. The objective of the paper is to find out to what extent the banking sector of India has been successful in customerising the banking services in the last few years and have managed enhance their competitiveness along with meeting the expectations of the banking customers.