Until then, aerated drinks were available only for a minimum of Rs 10 which for a rural consumer was very much a luxury. The gap is filled by small traders and salesmen by supplying low quality, unbranded goods or counterfeit products. Manufacturers and retailers prefer such occasions, as they allow greater visibility and capture the attention of the target audience for larger spans of time. Thus, the people operating in rural areas should have an inherent zeal to serve the rural peoples and to connect with them. Low levels of literacy 8. Apart from conditions being very difficult for those using the markets, the lack of protection from the sun can have a major impact on the life of fresh produce and on its nutritional value. Goods are stored that are not adequately protected from weather and pests.
There is no reliable transport service—in any case the order sizes are too small to send by commercial transport. Facilities such as telephone, fax and telegram are rather poor in rural areas. With growth of education in the rural areas there are enough people available, especially the youth who can be employable. Added to this another problem crops up relates to the disinterest shown by rural people to assume rural entrepreneurship as career. Due to these severe shortcomings, rural distribution can prove be a nightmare. In rural India marketing of a product mainly happens by the word of the mouth and by peer experiences of use of the product, due to the comparative less use of television and almost no access to internet.
Because of this the physical distribution is difficult in rural areas. Relevance of Mass Media is also a very important factor. Pic: Aamir Khan in Chota Coke campaign. That is why, completely different models of distribution have to be designed. Sales efforts are also limited by low population of a village.
Central places in a rural area 1. Many brands, which should have been successful, have failed miserably. A simple chart could be drawn up to classify the potential market interventions, as shown in Table 1. Promotion strategies Mass media is a powerful medium of communication. It has helped the farmers in many ways, such as developing of local leadership, shared ownership of the assets created in this initiative, access to the latest knowledge for the agro-sector, sustainable income levels and skill development for productivity improvement. Very less agro-based companies were concentrating in these markets. Different Uses of Consumer Durables Rural life is completely different from urban life and hence the consumer durable products will be used differently.
The companies now also use audiovisual publicity vans that sell the products with promotion campaign directly. There are differences based on geographic, demographic and psychographic variables. An ad on advantage of this system is the use of the structured model in marketing other products in the rural market. However, the situation on the ground is quite different — supply remains erratic in most of the small towns and villages. Many a time the rural customer may not be aware of the difference due to illiteracy.
These centres might contain a secondary school, a health clinic and a market, which could perform assembly functions for the district. Small-scale industries and local manufacturers fill in where companies cannot reach. Give the Classification of Products and state Product Line Decisions? Thus the rural market is also underdeveloped and the marketing strategies have to be different from the strategies used in urban marketing. It further shows that villages continue to depend on kerosene and firewood for their cooking and heating — 62. Coca Cola was the first company to offer its flagship drink in a 200 ml bottle for only 5 Rs.
We have never faced any complaint so far regarding plagiarism from our customers. Retail markets frequently play an important social function. Issues related to electrification, transport, availability of water and communications are discussed in this article with their marketing implications. Even if they have access to information about the prices in urban markets they cannot really use that knowledge to negotiate with traders because they have no realistic idea of the costs faced by the traders in travelling to their farm or village. The taste has been customized for the local population and isn't generic which adds another layer of complexity in catering to the rural market.
It is not possible to discuss them in detail. Deciding on rural market improvements. So, companies cannot concentrate on rural segments as it is difficult to plan. A major insight here is that, if feasible, a rural consumer wants to consume the same product as an urban consumer but often the means do not allow them to do so. Low transport connectivity leads to higher poverty levels.
As far as consumption is concerned, rural markets have a vast potential compared to their urban counterparts. Backwardness : Rural customers are economically backward. Problems in sales force management: Sales force is generally reluctant to work in rural areas. However, the rest of the rural markets do not even have a proper road linkage which makes physical distribution a tough task. District fairs are periodic and occasional in nature. In villages across the country, roads are dusty, pothole-ridden tracks. Rural marketing is thus a time consuming affair and requires considerable investments in terms of evolving appropriate strategies with a view to tackle the problems.