0% found this document useful (0 votes)
57 views21 pages

Presented By: Linson Johnson

Rural marketing is a specialized marketing strategy for rural areas that has emerged due to increased consumption in rural India. It involves assessing, stimulating, and converting rural purchasing power into demand for specific products and services. Rural markets are large and scattered across many villages, with heterogeneous populations from different ethnic groups and languages. Around 75% of rural income comes from agriculture so rural prosperity depends on agricultural success. Standard of living is lower as over 70% of rural populations work in small-scale farming. The 4 A's framework involves strategies for availability, affordability, acceptability, and awareness in rural markets. Case studies show how companies like LG adopted rural marketing approaches like remote area offices, low-cost products, local language options, and mobile

Uploaded by

vayadirna
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
57 views21 pages

Presented By: Linson Johnson

Rural marketing is a specialized marketing strategy for rural areas that has emerged due to increased consumption in rural India. It involves assessing, stimulating, and converting rural purchasing power into demand for specific products and services. Rural markets are large and scattered across many villages, with heterogeneous populations from different ethnic groups and languages. Around 75% of rural income comes from agriculture so rural prosperity depends on agricultural success. Standard of living is lower as over 70% of rural populations work in small-scale farming. The 4 A's framework involves strategies for availability, affordability, acceptability, and awareness in rural markets. Case studies show how companies like LG adopted rural marketing approaches like remote area offices, low-cost products, local language options, and mobile

Uploaded by

vayadirna
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 21

RURAL MARKETING

Presented by :
Linson Johnson
An Introduction
On account of green revolution, the
rural areas are consuming a large
quantity of industrial and urban
manufactured products. In this context,
a special marketing strategy, namely,
rural marketing, has emerged.
Definition
According to Corporate Rural Marketing
Definition, it is the function that manages all
activities involved in assessing, stimulating and
converting the purchasing power of rural
consumers into effective demand for specific
products and services to create satisfaction & a
better standard of living for achieving
organizational goals.
Nature & Characteristics Rural Market
Large & Scattered Market
Heterogeneous Market
Income from Agriculture
Standard of living
Large & Scattered Market
It consists approximately 75 crore rural
consumer who live approximately in
6,38,365 villages.
13% villages have 50% rural population
and they posses 60% rural wealth.
Heterogeneous Market
As many as 20000 ethnic groups are in
present rural India and this posses a
formidable challenges to the marketer.
There are 24 languages varies ever 100 km
or so it extremely difficult to develop a
uniform promotional message.
Income from Agriculture
Nearly 55% of rural income comes from the

agricultural hence rural prosperity is tied


with agricultural prosperity to a great extent.
Standard of Living
Over 70% of the rural population is
employed in small scale agricultural and
related occupations. This depends on
agricultural and natural factors.
CHALLENGES AND
STRATEGIES
4 A’s are:
•Availability
•Affordability
•Acceptability
•Awareness
Availability
Challenge
Regularly to reach products to the far-flung villages
India’s 627000 villages are spread over 3.2 million sq
km;
700 million Indians may live in rural areas.

Seasonal demand pattern.


Need for large scale marketing organizational staff.
Strategies
Strive to reach atleast 13,113 villages with a population of
more than 5000
Trade off the distribution cost with incremental market
penetration
Can reach the rural market by the following ways:
At chaupals
Retail outlets
Mandi (trade places)
Travel
Haats (periodic markets)
Places of worship
AFFORDABILITY
CHALLENGE
 To provide at cheaper price
 Vast & unevenly distributed purchasing power
STRATEGIES
 Introduce small unit packs
 EG;1) Godrej introduced three brands of cinthol , fairglow
and godrej in 50 gm packs , priced at Rs 4-5 meant
specifically for Madhya Pradesh , Bihar and Uttar Pradesh-
the so-called Bimaru states.
 Eg:2)Hindustan Lever has launched a variant of its largest
selling soap brand , Lifebuoy at Rs 2 for 50 gm
ACCEPTABILITY
CHALLENGE
 to gain acceptability for the product or service

STRATEGIES
 Offer products or services that suit the rural market
 easy to understand
 Mismatch of urban focused strategy to rural markets
Eg: Because of the lack of electricity and refrigerators in the
rural areas, coca-cola provides low-cost ice boxes-a tin box for
new outlets and thermocol box for seasonal outlets
Eg:HDFC tied up with non-governmental organisations and
offered reasonably-priced policies in the nature of group
insurance covers
AWARENESS
CHALLENGE
-less exposure to the world ,low literacy rate
STRATEGIES
-Opinion leaders play a key role in popularizing
products and influence in rural market so choose the
appropriate opinion leader.
Case Studies
LG
 Established in 1997,LG Electronics India
Pvt Ltd., is a wholly owned subsidiary of
LG Electronics , South Korea.
LG found the untapped potential in the rural
market in India and to encash the
opportunity it comes with rural marketing
strategy
4 A’s of Rural Marketing
AVAILABILITY –place
65 Remote area offices under the branch offices that
empowered to directly link for orders
230 service centers
2600mobile authorised service personnel for villages
having residents below 10,000.
AFFORDABILTIY
 1998,LG launched its first low price TV for rural
consumers
-sampoorna-Rs.3000
-Cineplus –Rs 4900
ACCEPTABILITY
-LG came out with Hindi lang: TVs
-Introduced the low-price “Cineplus’’ and
‘’Sampoorna’’ for the rural market.
-LG was the first brand to introduce gaming in TVs
AWARENESS-Promotion
-Mobile vans
-Exhibition
-Road shows
CONCLUSION
Rural market has an untapped potential like rain but it
is different from the urban market so it requires the
different marketing strategies and marketer has to meet
the challenges to be successful in rural market
THANK YOU

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy