Professional Documents
Culture Documents
Phil
INDEX
Introduction
Definition
Classification of rural markets Characteristics of rural markets Problems in rural markets Conclusion
INTRODUCTION
The rise of rural markets has been the most important
The reasons why companies are going rural are manifold. Ex: high rural incomes driven by agriculture growth, mass media etc. Marketers and manufactures are increasingly aware of the burgeoning purchasing power, vast size and demand base of the once neglected Indian hinterland. Efforts are now on to understand the attitude of rural consumers, and to walk their walk and talk their talk.
Definition of Rural: Village with a population of less than 5000 with 75% of the male population engaged in agriculture --- IRDA & NCAER
2/3 of consumers in rural areas(700 million) 26% NI generated, increasing purchasing power
6,38,667 villages 32% connected with pucca roads 68% stilled untapped because of inaccessibility and lack of awareness etc.,
70% of rural population lies in villages 1% increase in purchasing power leads to increase of Rs 10,000 crores in government revenue. Companies launching plethora of products to cater changing life style in rural India.
The media explosion and satellite invasion have brought about drastic changes in the consuming habits of rural Indians and the future would hold a lot in store for companies entering rural markets.
Rural Marketing
Rural marketing is the process of developing,
pricing, promoting, distributing rural specific goods and services, leading to exchange between urban and rural markets, which satisfies consumer demand and also achieves organisational objectives. -- Ramkishen.Y
RURAL TO URBAN
RURAL TO RURAL
potential, it should also be recognised that it is not easy to operate there. Rural marketing is a time consuming affair and requires considerable investments interms of evolving appropriate strategies.
Problems Deprived people and deprived markets Lack of proper physical communication facilities Transport Many languages and dialects Dispersed markets Low percapita incomes Low levels of literacy Prevalence of spurious brands and seasonal
demand
Distribution problem
Narrow constraint basket
CONCLUSION
Rural marketing will grow in importance in the coming
years. Some crude estimates point out that rural markets are growing at the rate of Rs400 crore per annum (at present the total estimated rural market is growing is Rs1,00,000crore). Corporates that have understood the psyche of rural consumers and markets and how to work it have notched up successes.
Thank You