1. Rural Marketing
Presented By;
NEETU.P.S
PGDBM „B‟ SEC

2. What is Rural Marketing?
Rural marketing is the study
of all the Activity , agency and policy
involved in..
The procurement of farm inputs by
the Farmers and the movement of
rural products from farmers to
consumers.
-G.N.
MURTHY

3. Defn..
According to, T P Gopalaswamy,
“Rural marketing is a two-way
process which encompasses the
discharge of business activities
that direct the flow of goods from
urban to rural areas (for
manufactured goods) and vice
versa (for agriculture produce), as
also within the rural areas”

4. RURAL MARKET IN INDIA

In the India context, the word ‘RURAL’ is so much
associated with agriculture and farmers that rural
marketing tends to be seen as a marketing of inputs
or outputs related to agriculture.

The rural market in India has great potential, which
is just waiting to be tapped. Progress has been made
in this area by some, but there seems to be a long
way for marketers to go in order to derive and reap
maximum benefits. Moreover, rural India is not so
poor as it used to be a decade or so back.

5. Rural Market Environment
The
Rural Consumer
The Rural Demand
Other Aspects

6. NATURE OF RURAL
MARKETING
Large, Diverse and Scattered Market
 Major Income of Rural consumers is
from Agriculture
 Traditional Outlook
 Rising literacy levels
 Diverse socioeconomic background
 Infrastructure Facilities


7. Importance of rural marketing

Size of rural market
Rural target population
Employment
Better living
 Contribution to national income
 Increase in farm income

8. Scope of Rural Marketing

Keenly debated topic

Definitions based on organisational/
institutional vision, mission & goals

Need for a comprehensive and modular
understanding

Rural Marketing is a “ work in progress”

Multi – disciplinary approach is necessary for
sharper understanding

9. Rural products
Rural products are the results of the art
of agriculture and allied activities.
In a narrow sense,rural products refer to
the products arising out of the
cultivation, namely various crops,
vegetables and fruits etc.

10. Types of rural goods
Industrial goods
 consumer goods
Industrial goods:-industrial rural goods
are those use for further industrial
processing. e.g. tabacoo, fibre crops
like cotton and jute.
Consumer goods:-goods are mean for
direct use like all foodgrains, dairy
product, poultry products vegetables
and fruits.


11. •
Some well
established
products
– Pressure Cooker Artificial
Jewellery
– Cooking Utensils ,
Medicines
– Batteries
Tobacco Products
– Scooters, Motorcycles
Soaps, Detergents
– Bicycles Electrical Goods
(fan,light)
– Radio T.V
– Pesticides, Fertilizers
Wrist Watches
– Tea ,Mobile Phones
– Sewing Machines

12. 

Steady Growth from the past 2 decades
Welcome change in the composition of Rural
Demand
◦ Several products already well established in the rural
market
◦ In many products the rural market share is greater than the
urban market
◦ In many products rural market has overtaken the urban in
growth rate

13. Attractiveness of rural market
Rural markets have become the new targets
to corporate enterprises for two reasons :
1. Urban market has become congested
with too many competitors.
2. The market have reached a near
saturation point.

14. 
The Rural Market is being
seen as a Growing
Opportunity mainly
because of the following –
◦ Rural Demand is growing
rapidly
◦ Purchasing power has
increased
◦ Cut Throat competition in the
Urban Markets
◦ Rural market is largely
unexplored and untapped
◦ There would be opportunities
for new entrants as compared
to urban population being
loyal to specific brands
◦ The volume and the strength

15. Companies already
into Rural Area

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Company
Rural Sales (% of total)
HUL
50
Colgate
50
Godrej
30
Cavinkare
33
Marico
25
Cadbury
25
Cipla
18

16. Current Scenario Of Rural India
& Govt. Initiatives

17. Rural Market

18. 700 million potential consumers,
 over 40 per cent of the Indian middleclass, and about half the country's
disposable income


19. 
68% population of India is in Rural
India.

More than 10 Government schemes
Running.

Main Target is to Increase Rural
income by generating employment.

SGSY, MNREGA, SHG‟s – Step
towards Generating Employment.

20. 
Budget Allocation up from INR 10,000
Crs. to 58,000 Crs. for rural
development.

As per BCG and CII reports Rural
Customers will be 36% of House
Holds by 2025.

This market will be open for retail
sector.

Ten Fold growth In rural Market by
2025 to reach USD 100 Bn Mark. -

21. Marketing In Rural India



Rural Marketing is Less Liquidity
Demanding.
Village Meals, Nukkad Natikas, Mobile
Vans, Wall Paintings Can do the trick.
These marketing attempts have been
very effective.

22. Khaitan fans' ad on a horse cart

23. Typical shop in rural India
stocked with sachets, etc

24.  In
2000, ITC took an initiative to
develop direct contact with farmers
who lived in far-flung villages in
Madhya Pradesh. ITC's E-choupal
was the result of this initiative

25. Satellite dish antennas reach
rural India