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Name

Roll no.

Anuja Mestry

186

Shraddha Nar

188

Kunjal Rambhia

193

Pranali Salvi

195

Nishu Tiwari

200

Sub -

Rural Marketing

Introduction of
Vicks Vaporub
in Rural Market

Topic -

Introduction
Vicks is an American brand of over-the-counter medications
owned by the American company Procter & Gamble.
Vicks products were manufactured by the family-owned
company Richardson-Vicks, Inc., based in Greensboro, North
Carolina.
Lunsford Richardson developed the formula in 1894 when he
created a salve for his children, after traveling to France.
Richardson-Vicks, Inc., was eventually sold to Procter & Gamble
in 1985.
Vicks VapoRub ointment is a mentholated topical cream.
Vicks VapoRub is indicated for use on the chest and throat for
cough suppression due to the common cold or on muscles and
joints for minor aches and pains.
Vicks VapoRub has also been used to treat mosquito bites.

Introduction of Vicks Vaporub


in Rural Market
Due to the Green revolution, Rural areas are consuming a large
quantity of industrial & urban manufactured products.
Rural markets are attractive because there is Substantial
increase in purchasing power of rural communities nowadays.
Rural marketing initiatives are driving manufactured or
processed inputs or service to rural producers or consumers.
It is said that 2/3 of the country lives in Rural areas & almost half
of the National income is generated there.
P&G and a few other companies have been aware of potential
that exists in Rural market.
While introducing a existing product in the rural market it is
necessary to study the market first & develop a plan.
Study of consumer behavior is the never ending activity. Thus, a
marketer should always keep an eye the rural consumers
behavior as it keeps evolving over the period of time.
Strategies are to be formed by the Co.

The main strategy is Promotional strategy. The various elements of


promotion include personal selling, publicity, sales promotion and
advertising.
Advertising as an element of promotion and a tool of marketing
communication
We can advertise
theaproduct
on TV & role..
Social media as they are the
plays
very important
fastest & easiest way of advertising.
We can also have posters & banners displayed on walls , station
etc.
Literate the small school going children about the product.
Because small children get influence soon.
In case of fixing prices for P&G, packaging plays a very prominent
role. It directly influences the price of the product
Personal selling-It is the face to face interaction between the
salesman and the prospective customers. Through a proper
training, a salesman can be an effective medium between the
marketer and the prospective customer and can covert him into a
real one.
Proficiency in local language-Fluency in the local or the regional
language is another principal skill that must be present in the
salesman. In absence of know-how of local language, it acts as a
major communication bottleneck in converting prospective
customer into an actual one.

Study of Rural Market


Environment
Rural marketing requires an understanding of
environment in which companies have to operate to
deliver products & services.
It comprises of demographic, economic, physical, social,
cultural, political & technological aspects of rural markets.
To successfully exploit the potential offered by rural
market, there is a need to understand the market.
Study of the Rural market environment enables
marketers to understand the rural market & therefore to
plan & develop strategies for penetrating it.

Demographic Environment
Though the rural proportion has come down moderately over the
years, there has been a considerable increase in absolute numbers of
people living in rural areas.

At the Rural proportion in population does not mean growing


markets unless these markets have sufficient purchasing power.
P&G Vicks VapoRub has to carefully analyse their markets & find
the right opportunities. With the increased working population, the
purchasing power of the rural population has gone up from 40 % in
1991 to 42 % in 2001.
For marketers, the largest age group shapes the marketing
environment.

Education Level

Change is taking place in the literacy rate in the rural


population.
Rural sector has risen 23 % over the last twenty years. This
has contributed
significantly to an improvement in the socio-economic status
of the people.
With this growth, the demand for educational produces has
increased and rural consumers have become more mature in

Economic environment

Over the last ten years there has been a shift in the distribution
of households from lower-income to higher-income groups.
The higher income class in rural has grown six times. The
middle and upper-middle classes constitute 14.3 % in 1998-99
against 8.3 % in 1989-90.
P&G Co. will find interesting growth potential.

Competitors of Vicks Vaporub


As analysis of market says Vicks Vaporub has been the market leader
in vaporub industry in India for long time.
But throughout the survey it has been noticed that Vicks is the most
popular in urban areas and cities but not created that well
established brand image in rural market.
Vicks Vaporub has increased its market share but there are many
substitutes available at cheaper rate which are causing disturbance
Market
Segment
forShare
the product.

Competitors in Rural Market against Vicks vaporub are Monisons, Tiger,


Zam-buk, Sukoon, Amrutanjan, Ominigel, Madhivala, Headrosa, Sarah,
Saptharishi and many more
Name

Percentage

Vicks Vaporub

80%

Unbranded

8%

Other Competitors

12%

Major
Competitors

Amrutanjan:Amrutanjan Healthcare launched a series of anti-diabetic


medicine called Diakyer. It has studied the consumer behaviour
very well and its distribution network in rural areas is perfect.
Good promotion strategy i.e. offering 25% extra schemes.
Tiger:The product made up of herbal and proven as safe. It is very
familiar and has evolved into many ranges. So rural people
mostly demand for a product which has many uses and
satisfies all needs.
Monisons:It as an oldest ayurvedic ointment in India and rural areas. In
rural areas people mostly believe in ayurvedic and herbal
things therefore old people love to rely on them. Consumer
demand is relatively more high for ayurvedic products.
Monisons has a reasonable pricing structure.

Images of other products available in


rural market

Existing Marketing Mix in Urban


Market
Product

Vicks
Vicks
Vicks
Vicks
Vicks
Vicks

Chocolates
Inhaler
Sinex
Vaporub (in different content as per consumer demands)
Vapodrops
Vaporub baby balsam

Price
Discounts are found on Online Shopping's also while buying the
products.
Prices of all products are convenient to the customers.

Place Available in all medical stores

Vicks chocolates are available in all shops includes grocery,


medicals, small stores, etc.
Also available in online shopping. Eg: Amazon.com

Promotion
Creative Advertising.
Emotional Marketing.
Eg: Selling mothers love not only a product.
Baby crying and father applying Vicks and child getting feeling
of mothers warmth.
Display of goods in every stores.
Sales Promotion

New Marketing Mix for Rural


Market
Product
All product should be available in rural market which are
existing in urban market which will help in developing the rural
market.

Price
Price should be convenient to the consumers of rural market
as they belong to lower and middle class pricing should be
done relevantly less compare to urban market.

Place
Availability of the product is very necessary in rural market.
As the customers of rural market dont use online shopping
so, all the products which are available at online shopping
for urban market customers should also be there for rural
customers i.e. in every stores, grocery shops and medicals.

Promotion
Creative advertising is not needed much as rural customers dont
prefer to watch television, media, etc. Personal selling will be
helpful a lot to connect with the customers. Bloggers are the
another way of getting connected with the rural customers. Word
of mouth is a strong marketing form in rural areas.

Marketing Mix Decisions


The marketing mix decisions for Vicks Vaporub are the
strategies which we have to apply to gain profits.
1.Product strategy:
Product strategy induce rural customers to buy and try new
product.
Visual pattern of packaging attract the product.
Product should be fair and loyal to the customers.

2.Price strategy:
Price strategy is very important as it determines the company
profit and survival.
Vicks products are cheaper in price and customers can easily
afford the Vicks products.

3.Place strategy:
Place strategy refers the product at a place which is
convenient to customers to access.
Various strategy as intensive distribution, selective
distribution, exclusive distribution should used by Vicks
vaporub.
Delivery flexibility is important in transportation of
product.
Availability of product.

4.Promotional strategy:
All the methods of communication the marketer may be
use to provide information to different parties about the
product.
Promotional strategies used by Vicks vaporub are on very
large scale.

Conclusion
VICKS : We dont sell Vicks we sell mothers love.
Over the year , Vicks has launched various heart tugging and
campaigns that have struck an emotional chord and left an
impact of love and care for which the brand stands. According
to a P&G spokesperson, Ever since its launch in India in 1952,
Vicks was strategically positioned as a child cold rub, and all
communication to consumer , employees ,trade etc. Has
always centered round the mother child loving
relationship .The brand surely reigns supreme on the trust
parameter , which no competitor can take away from Vicks .
The effect, accordingly , has been that the consumer have
sought to rely on Vicks as a part.
In almost each and every household a pack of Vicks can be
located . And what is important to note is that where it is not
present , consumer still refer the other ointments as Vicks only.
By this it can be understood as to how dominating the effect of
Vicks has been. Vicks has endeared itself to the Indian

The Vicks portfolio caters to different consumer needs


and Vicks has become an Integral part of every home
and family in India. The consumer brand relationship has
been built over many years of trust and care and Vicks
has lived up to its promise of a superior quality cough
and cold relief product that consumer can enjoy for
another fifty year and many more, to come .

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