• Like
  • Save
Tapping the rural markets
Upcoming SlideShare
Loading in...5

Thanks for flagging this SlideShare!

Oops! An error has occurred.

Tapping the rural markets


how to tap the rural Indian market , what should be the strategy and step should be take by the company ...........

how to tap the rural Indian market , what should be the strategy and step should be take by the company ...........

Published in Business
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Be the first to comment
No Downloads


Total Views
On SlideShare
From Embeds
Number of Embeds



Embeds 0

No embeds

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

    No notes for slide


  • 2. Paying Intermed, 30% Food, 40% Social Liabilities, 15% Health, 15%Average Income: $ 50 per month
  • 3.  Rural markets, as part of any economy, have untapped potential. There are several difficulties confronting the effort to fully explore rural markets. The concept of rural markets in India, as also in several other countries, like China, is still in evolving shape, and the sector poses a variety of challenges, including understanding the dynamics of the rural markets and strategies to supply and satisfy the rural consumers.
  • 4.  Under developed people and underdeveloped market . Lack of physical communication facilities . Media for rural communication. Many language and dialects. Prevalence of spurious brands and seasonal demad. Different way of thinking . Banking and credit problems
  • 5.  The rural consumer is savvy and demands real“value for money”
  • 6. Urban RuralFood 51.5 63.7Consumer goods 19.6 13.1Fuel, clothing & foot wear 13.9 14.8Medical 5.5 5.5Education 5.1 2.5Rent & taxes 4.5 0.4 Source: Household Consumer Expenditure 2009
  • 7. First and the foremost challenge Indias 6,38,365 villages are spread over 3.2 mn.sq.kms. 720 mn people-reaching them is not easy Given the poor state of roads ,it is an even greater challenge.
  • 8.  With low disposable incomes, products need to be affordable to rural consumers ,most of them are on daily wages. Some companies have addressed the affordability problem by introducing small unit packs :GODREJ Introduced Cinthol and Fairglow in 50 gram packs priced at rs.4 coca-cola introduced Sunfill ( a powdered soft drink concentrate ) 25 gram pack priced at rs.2
  • 9. Next challenge is to gain acceptability for theproduct or service. Therefore there is a need to offer products that suit the rural markets and conditions.coca-cola is providing low cost ice-boxesbecause of the lack of electricity and refrigeratorsin the rural areas.
  • 10.  With large parts of rural India inaccessible to conventional advertising media, building awareness is another challenge.
  • 11.  The company’s e-chaupal initiative is a novel idea which bypasses the brokers between the Company and the farmers.
  • 12.  It is helping Indian agriculture to enhance its competitiveness by empowering Indian farmers through the power of internet . This unique transformational strategy has become the subject matter of a case study at Harvard b school ,has created for I.T.C a huge rural distribution infrastructure , significantly enhancing the company’s marketing reach
  • 13.  Financial Inclusion  Kisan Credit Card