A Presentation on Rural marketing describing what is rural marketing?, Nature & benefits, Problems & difficulties,Strategies,Success stories, Examples

1. Rural Marketing
Integrating Urbans with Rural Markets

2. • Introduction
• What is rural marketing?
• Nature & benefits
• Problems & difficulties
• Strategies
• Success stories
• Examples
• Conclusion & suffestions

3. Introduction
• The concept of Rural Marketing in India Economy has always played an influential role in the lives of
people. In India, leaving out a few metropolitan cities, all the districts and industrial townships are
connected with rural markets.
• The rural market in India is not a separate entity in itself and it is highly influenced by the sociological
and behavioral factors operating in the country.
• The rural population in India accounts for around 627 million, which is exactly 74.3 percent of the
total population.
• The rural market in India brings in bigger revenues in the country, as the rural regions comprise of the
maximum consumers in this country.
• The rural market in Indian economy generates almost more than half of the country's income.

4. What is Rural Marketing?
According to the National Commission on Agriculture –
“Rural Marketing is a process which starts with a decision
to produce a saleable farm commodity and it involves all
the aspects of market structure or system, both functional
and institutional, based on technical and economic
considerations, and includes pre and post-harvest
operations , assembling, grading, storage, transportation
and distribution."
or
Rural marketing is 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 organizational objectives.

5. It is a two-way marketing process
Urban to rural - Major part of rural marketing. Includes transactions of urban
marketers who sell their goods and services in rural areas pesticides,
fertilizers, FMCG products, tractors, bicycles, consumer durables, etc.
Rural to urban - Basically falls under agricultural marketing. A rural producer
seeks to sell his produce in urban market like seeds, fruits and vegetables,
forest produce, spices, milk and related products, etc.
Rural to rural - Includes the activities that take place between two villages in
close proximity to each other like agricultural tools, handicrafts, dress
materials, bullock carts, etc

6. Nature of Rural
Market
Traditional Outlook
Rising literacy level
Diverse socio-economic background
Infrastructural facilities

7. Benefits of rural
marketing
• Size of rural market
• Employment
• Better living
• Contribution to national income
• Increase in farm income

8. Problem and difficulties faced in rural marketing
Lack of proper
communication
Distribution
problem
Low literacy level Lack of adequate
transport facilities
Lack of proper
retail outlets

9. Strategies
A’s Approach
• Availability - Strive to reach at least 13 113
villages with a population market penetration.
• Affordability - Introduce small unit packs.
• Acceptability - Offers products and services that
suit the rural market. Easy to understand
• Awareness - One on one contact programs are
extremely efficient. Educate and try to induce
trial.

10. 4Ps of Rural
Marketing Strategies
PRODUCT - Highly diversified product range. Related
products selling - whitegoods, diesel, fertilizers,
insurance etc. Products are of relatively high quality.
PRICE - Comparable products at lower price under
different brand name.
PLACE - Developed procurement hubs, rural mini
malls in the vicinity of villages. All products available
under one roof. Selling, purchasing and storage at the
same place.
PROMOTION - Awareness among farmers, CSR
activities job opportunities, farmer self-
efficacy. Skilled central management group.

11. NOTEWORTHY SUCCESS STORIES
In 1998 HUL’s personal products unit initiated Project Bharat,
the first and largest rural home-to-home operation by a
company.
The project covered 13 million rural households by the end of
1999. It had vans visiting villages across the country
distributing sample packs comprising a low-unit-price pack
each of shampoo, talcum powder, toothpaste and skin cream
priced at Rs. 15 to create awareness of the company’s
product categories and of the affordability of the products.
Small unit products like a one rupee or a five rupee sachets of
shampoo for single use or the small Hamam helps in giving
the consumers a trial opportunity.

12. • "Yaara da Tashan..." ads with
Aamir Khan created universal
appeal for Coca Cola. Coca-Cola
India tapped the rural market in
a big way when it introduced
bottles priced at Rs 5 and
backed it with the Aamir Khan
ads.
• In 2000, ITC took an initiative to
develop direct contact with
farmers who lived in far-flung
villages in Madhya Pradesh. ITCs
E-chaupal was the result of this
initiative.

13. Few Examples

14. CONCLUSION
A silent revolution is sweeping the Indian countryside. The marketing
battle fields has shifted from the cities to the villages but in this battle
both consumers and companies are winners, it is a win-win situation. ’GO
RURAL’ seems to be the latest slogan.
Go and meet the villagers and ask them what they want. Create the
products and services that is relevant to their needs and it is the high
time for the companies to focus, luxuries as necessities for the Indian
rural customers.

15. Suggestion
The rural advertising needs some innovative
and alternative media to woo the customers.
Proper utilization of resources required.
Marketers can overcome these barriers and
explore the opportunities lying untapped in
rural market to achieve organizational goal-
profit maximization.

16. References
• https://www.Slideshare.net
• Https://www.google.com
• https://www.bing.com/image
• https://www.scribd.com/doc/2462654/4-A-
s-of-rural-market

17. Thank you