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Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
Rural markting ajahar husain NDIM
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Rural markting ajahar husain NDIM

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  • trai
  • Rural development ministry
  • Census of india
  • It helps to increased agriculture production around the world,"Green Revolution" was first used in 1968 by former United States Agency for International DevelopmentKhadi and village industry of commision (kvic)(IFFCO) Indian Farmers Fertilizers Cooperative
  • Pepsico
  • According to TRAI(Telephone Regulatory Authority of India)
  • trai
  • Transcript

    • 1. 10/4/2013 M3 GROUP 7 1
    • 2. 10/4/2013 M3 GROUP 7 2 Presented To- Mrs.Veena Kumar
    • 3. AJAHAR HITESH AMRITA ABHISHEK JAYATI HARSHIT Friday, October 04, 2013 3 Presented By-
    • 4. 10/4/2013 M3 GROUP 7 4 Rural marketing is a function which manages all those activities involved in assessing Stimulating and converting the purchasing power into an effective demand for specific Products and services, and moving them to the people in rural areas to create satisfaction-and a standard of living to them and thereby achieves the goals of the organization.
    • 5. Population density > 400 / sq km 75 percent of the male working population is engaged in agriculture No municipal corporation / board 10/4/2013 M3 GROUP 7 5
    • 6. Rural market is larger than Urban Market in India. Total size of the Rural Market for FMCG is Rs.41550 as compared to Rs 37130 crores in Urban areas. 10/4/2013 M3 GROUP 7 6
    • 7. 10/4/2013 M3 GROUP 7 7
    • 8. 10/4/2013 M3 GROUP 7 8
    • 9. 10/4/2013 M3 GROUP 7 9
    • 10. 10/4/2013 M3 GROUP 7 10
    • 11. • Bounded by tradition, culture, religion & community • 60% of rural income is from Agriculture • More than 50% rural households have monthly income < Rs 25,000 • About 14% have income > Rs. 50,000 • In recent years, 70% rural households have started saving/investing their income Position 10/4/2013 M3 GROUP 7 11
    • 12. In India, total potential of 3,800 towns and 6,27,000 villages. Distribution network reached 300,000 villages. Dilemma was how to extend its network to the remaining villages in inaccessible rural areas. Penetrating new markets would be challenge. 10/4/2013 M3 GROUP 7 12
    • 13. 10/4/2013 M3 GROUP 7 13
    • 14. ( Pre 1960’s ) Marketing rural products in rural areas Agricultural inputs in rural areas “Agricultural marketing” Farming methods were primitive and mechanizatio n was low Markets unorganized 10/4/2013 M3 GROUP 7 14
    • 15. ( 1960s to 90s) Green Revolution Mahindra and Mahindra, Sri ram fertilizers and IFFCO emerge rural products were also marketed through agencies like KVIC 10/4/2013 M3 GROUP 7 15
    • 16. ( 1990s to Present) Demand for consumables and durables rise in Rural areas Companies find growth in urban markets stagnating or falling 10/4/2013 M3 GROUP 7 16
    • 17. The large number of consumers Largely untapped markets Market size Potential increase in income Purchasing power accessibility of markets competition in Urban markets 10/4/2013 M3 GROUP 7 17
    • 18. Innovation Personal care appliances Improved marketing strategy Product dual benefits Rise in organic products Teen’s market 10/4/2013 M3 GROUP 7 18
    • 19. 10/4/2013 M3 GROUP 7 19 Brand image Small unit packaging's Low priced packaging's New product designs Utility oriented products Product strategies for Rural Mrkets
    • 20. Availability Affordability Acceptability Awareness 4 A’s approach of Indian Rural Market 10/4/2013 M3 GROUP 7 20
    • 21. Hindustan Unilever , has built a strong distribution system which helps its brands reach the interiors of the rural market. Even stockiest use auto rickshaws, bullock-carts etc. Availability 10/4/2013 M3 GROUP 7 21
    • 22. Some companies have addressed the affordability problem by introducing small unit packs. Most of the shampoos are available in smaller packs. Fair and lovely was launched in a smaller pack. Colgate toothpaste launched its smaller packs to cater to the travelling segment and the rural consumers. Affordability 10/4/2013 M3 GROUP 7 22
    • 23. Acceptability LG electronics. In 1998, it developed a customized TV for the rural market It was a runway hit selling 100,000 sets in the first year. Because of the lack of electricity and refrigerators in the rural areas 10/4/2013 M3 GROUP 7 23
    • 24. Coca-Cola uses a combination of TV, cinema and radio to reach 53.6 per cent of rural households. It doubled it’s spend on advertising on doordarshan, which alone reached 41 % of rural households. It has also used banners, posters and tapped all the local forms of entertainment. Awareness 10/4/2013 M3 GROUP 7 24
    • 25. Levels Of distribution channel Producer Consumer Segment2 Retailers Retailers Distributors Consumer Segment 1 Consumer Segment 3 Zero Level One Level Two Level Distribution channel in Rural area 10/4/2013 M3 GROUP 7 25
    • 26. Special Campaigns During crop harvest and marketing seasons it is beneficial to take up special promotion campaigns in rural areas For example, 3 lakh people visited the annual Mela at Navchadi for 7 days in Meerut. The largest such Mela is the Maha Kumbh Mela which is visited by an average of 12 crores people. It has been observed that melas are fit to generate product exposure, package familiarity, brand reminder and word of mouth. 10/4/2013 M3 GROUP 7 26
    • 27. Uttar Pradesh 10.380 Bihar 4,993 West Bengal 4078 Jharkhand 3,996 Maharashtra 3758 States with maximum Haats
    • 28. 10/4/2013 M3 GROUP 7 28 58% 21% 7% 5% 5% 4% Sales Agriculture product Manufactured Goods Processed Goods Handicrafts Forest goods Services States with maximum Haats
    • 29. 0 10 20 30 40 50 60 70 80 90 100 Brand awareness for specific FMCG products sold at HAATS Awareness 2910/4/2013 M3 GROUP 7
    • 30. 17% 16% 15% 14% 11% 9% 6% 5% 4% 3% Groceries Toilet soaps Detergents Tea Shampoo Biscuits Matchbox Cosmetics Oral care Mosquito repellent 10/4/2013 M3 GROUP 7 30 FMCG Products preferred at Haats
    • 31. 10/4/2013 M3 GROUP 7 31 Under developed people Low levels of literacy Media for rural communication Multiplicity languages and dialects Low per capita income Logistics storage ,handling and transportation Problems in Rural Marketing
    • 32. FOOD ITEMS NON-FOOD ITEMS 122 68 10/4/2013 M3 GROUP 7 32
    • 33. PRODUCT CATEGORY % SHARE Radio 80.89 Bicycle 77.83 Wrist watch 75 Fan(table &ceiling) 60 Washing cake 66.88 Cooking oil 65.92 Tea 59.85 Mobile 51.12 Color TV 36.68 10/4/2013 M3 GROUP 7 33
    • 34. 10/4/2013 M3 GROUP 7 34
    • 35. Out of 20 million rediffmail signups 60% are from small towns. The 24 million Kisan credit cards issued in rural India. Out of 2 million BSNL mobile connection , 50% are in rural India. In 2008-11 LIC sold 65% of its policies in rural India. 10/4/2013 M3 GROUP 7 35
    • 36. 10/4/2013 M3 GROUP 7 36
    • 37. Rural population is about 73% of the total population of India 2011 census the total rural population amounts to 80 Crore 12 Crore households – 70% of the total Urban Population is spread over 3,200 cities Rural population is spread across 6,27,000 villages 10/4/2013 M3 GROUP 7 37
    • 38. Rural India has a literacy rate of 28% compared to 55% of the whole country There has been a change • Increase in Income • Growth in Education • Greater Media Penetration • Marketers efforts to reach and capture the rural market’s LiteracyLevel Lifestyle 10/4/2013 M3 GROUP 7 38
    • 39. Customer mindset: low credibility among rural customers rampant availability of fake ,look alike products FMCG sector loss of 18 billion each year due to fake products The range available at the local retail stores is also low because people go to towns. 10/4/2013 M3 GROUP 7 39
    • 40. 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 10/4/2013 M3 GROUP 7 40
    • 41. COMPANY Rural Sales (% of total) HUL 50 Colgate 50 Godrej 30 Cavinkare 33 Marico 25 Cadbury 25 Cipla 18 10/4/2013 M3 GROUP 7 41
    • 42. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% grocery apparel durables farm input own village shop mandi nearby village city/urban market haat mela 10/4/2013 M3 GROUP 7 42
    • 43. 10/4/2013 M3 GROUP 7 43
    • 44. Establishment in 1929 1st brand Parle glucose and Parle Monaco 35% share of total biscuit market 15% share of the total confectionery market 70% share in glucose biscuit Parle has largest such manufacturing units in India Size of the biscuit industry Rs 8,000 crore Company Profile of Parle G 47 10/4/2013 M3 GROUP 7
    • 45. One of the first food offered to kids Nutritional value It assumed as sick man’s diet in earlier days. one of the most loved fast food for every age group Biscuit’s are easy to carry , tasty to eat , cholesterol free and are reasonably priced . The Biscuit Industry 10/4/2013 M3 GROUP 7 46
    • 46. 10/4/2013 M3 GROUP 7 47 30% 70% Un - organized sector Organized sectors Biscuit Industry Profile
    • 47. 10/4/2013 M3 GROUP 7 48 0 2 4 6 8 10 12 14 16 18 2007-08 2008-09 2009-10 2010-11 Chart Title Annual Production of Biscuit in India
    • 48. Rural market – 70%-85% Urban market- 50%-65% India – 1.8 Kg /capita South-east Asian countries – 2.5 kg – 5.5 kg USA – 7.5kg/capit a Rural-Urban Penetration of Biscuits 10/4/2013 M3 GROUP 7 49
    • 49. 10/4/2013 M3 GROUP 7 50 Biscuits for kids Biscuit with tea Biscuit for guest Mini breakfast Snacking Habits in Rural India
    • 50. 10/4/2013 M3 GROUP 7 51
    • 51. 10/4/2013 M3 GROUP 7 52
    • 52. 10/4/2013 M3 GROUP 7 53 Britannia Tiger and sun feast Locally manufactured biscuits Unpacked baked items (e.g – khari , and rusk Freshly fried item (eg: Vada pao , bhaji , samosa) Competitors of Parle G
    • 53. 10/4/2013 M3 GROUP 7 54
    • 54. 10/4/2013 M3 GROUP 7 55 Strength of market , size of market Income in rural India have improved dramatically The rural markets are growing at about two time faster pace then urban Reasons for opting Rural Market
    • 55. 10/4/2013 M3 GROUP 7 56
    • 56. 10/4/2013 M3 GROUP 7 57 Rural marketing Marketing Strategy Personal Selling Direct selling Distribution strategies Feeder Town Promotion Strategies Near market Familiar shows All media Marketing Strategy of Parle G
    • 57. 10/4/2013 M3 GROUP 7 58 SWOT Analysis of Parle G
    • 58. 10/4/2013 M3 GROUP 7 59 Parle Brand Product Range Distribution Network Strengths
    • 59. 10/4/2013 M3 GROUP 7 60 Dependence on retailers Dependence on Parle –G (flagship brand) Stores for displaying diversified Parle Weakness
    • 60. 10/4/2013 M3 GROUP 7 61 Estimated annual growth of 20% Increasing demand for sugar free Using advertising aggressivel y Opportunities
    • 61. 10/4/2013 M3 GROUP 7 62 Increasing distribution cost Local bakery products Entry of various new entrants ITC etc. . Threats
    • 62. 10/4/2013 M3 GROUP 7 63
    • 63. 10/4/2013 M3 GROUP 7 64
    • 64. 10/4/2013 M3 GROUP 7 65
    • 65. 10/4/2013 M3 GROUP 7 66
    • 66. 10/4/2013 M3 GROUP 7 67
    • 67. 10/4/2013 M3 GROUP 7 68
    • 68. 10/4/2013 M3 GROUP 7 69
    • 69. Vodafone came to India in 2005 Vodafone was officially launch on 27th september 2007 in Mumbai Owned : Vodafone and Essar Market Position : At the 3rd position Connectivity : Presence in 16 telecom sectors Call Rates : very cheaper 10/4/2013 M3 GROUP 7 70 Company Profile
    • 70. Mission capturing the potential of mobile to bring socio-economic 10/4/2013 M3 GROUP 7 71 Vision To be one of the most trusted companies in the markets
    • 71. Passion for customers Passion for their people Passion for results Passion for the world around them 10/4/2013 M3 GROUP 7 72 Beliefs and Values
    • 72. 10/4/2013 M3 GROUP 7 73 Total number of Vodafone Essar Subscribers : 14,15,19,840 i.e. 23.63% of total 59,87,79,674 Indian mobile phone users Subscribers of Vodafone
    • 73. 10/4/2013 M3 GROUP 7 74 Competitors
    • 74. 10/4/2013 M3 GROUP 7 75
    • 75. Laal dukaans (red shop) Project pappu ‘Gappa Goshti’ scheme Vayalum vaazhvum (chennai) Mobile Banking (with HDFC bank) Initiatives in Rural India 10/4/2013 M3 GROUP 7 76
    • 76. 10/4/2013 M3 GROUP 7 77 HDFC Bank, Vodafone India launch mobile banking product for rural coverage (Jaipur) Vodafone ties up with Handy go to launch IVR service for rural India Vodafone has tied up with mobile VAS company Handygo Technologies To launch IVR based service called “Behtar Zindagi for rural India.” Contd…
    • 77. 10/4/2013 M3 GROUP 7 78 Vodafone Airtel Tata Docomo Reliance Idea Cellular Experience stores Mini stores 465 681 348 217 369 (Urban and rural) 7125 1151 2497 1827 1105 Total 7590 1832 2845 2044 1474 Source: Vodafone Project Pappu’s Retail Footprint
    • 78. 10/4/2013 M3 GROUP 7 79 Displays board Schemes to distributors & retailers (commission & gifts on achieving target sales) Tie up with local panchayat & use flash mobs (street play) on the theme of Vodafone message Sales Promotion in Rural
    • 79. 38% 62% Rural Urban Market Share of Vodafone 10/4/2013 M3 GROUP 7 80
    • 80. 10/4/2013 M3 GROUP 7 81 SWOT Analysis of Vodafone
    • 81. 10/4/2013 M3 GROUP 7 82 Popular cellular service provider in India Largest Telecom operator in the world High brand visibility Strong advertising with ZooZoo concept Strengths
    • 82. Price competition from BSNL and Airtel Untapped Rural Market Weaknesses 10/4/2013 M3 GROUP 7 83
    • 83. Fast expanding cellular market Latest and low cost technology Research and development of new mobile technologies Opportunities 10/4/2013 M3 GROUP 7 84
    • 84. New entrant's low price offering Saturation point in Basic telephony service Mobile Number Portability Threats 10/4/2013 M3 GROUP 7 85
    • 85. 10/4/2013 M3 GROUP 7 86
    • 86. 10/4/2013 M3 GROUP 7 87
    • 87. 10/4/2013 M3 GROUP 7 88
    • 88. 10/4/2013 M3 GROUP 7 89
    • 89. 10/4/2013 M3 GROUP 7 90 Few Companies Taking Initiatives
    • 90. 10/4/2013 M3 GROUP 7 91 Hindustan liver Limited is on the top with its successful rural marketing projects like ‘Project Shakti' and 'Operation Bharat'.
    • 91. 10/4/2013 M3 GROUP 7 92
    • 92. Coca cola invested us$ 1 billion 27 owned & 17 franchise operations using celebrities 30% revenue from rural sector “ Thanda…” campaign different promotion in south 10/4/2013 M3 GROUP 7 93
    • 93. 10/4/2013 M3 GROUP 7 94
    • 94. Dabur In villages promote its hair oil as a substitute for mustard oil which village folks generally used. In rural UP & Bihar 10/4/2013 M3 GROUP 7 95
    • 95. 10/4/2013 M3 GROUP 7 96
    • 96. Sonata launched project Swades, aimed at changing people's mindsets and making them aware of the value of time in rural India 10/4/2013 M3 GROUP 7 97
    • 97. 10/4/2013 M3 GROUP 7 98
    • 98. Medimix focused brand-building initiatives—like participation at community events such as “melas” (village fairs),“haats” (markets), street theater, van campaigns, and puppet shows 10/4/2013 M3 GROUP 7 99
    • 99. 10/4/2013 M3 GROUP 7 100
    • 100. Tata salt story begins in 1983“Namak ho Tata Ka , Tata Namak”15% spends on promotion 2004,“deshkanamak”television wall painting calendar in rural area 10/4/2013 M3 GROUP 7 101
    • 101. 10/4/2013 M3 GROUP 7 102
    • 102. Colgate incorporated in 1937 ,enjoys 50% market share “Colgate fresh energy gel” use of mass media opinion leader strong distribution network In rural area 10/4/2013 M3 GROUP 7 103
    • 103. 10/4/2013 M3 GROUP 7 104
    • 104. 10/4/2013 M3 GROUP 7 105
    • 105. 10/4/2013 M3 GROUP 7 106 Nokia
    • 106. References  www.rmai.com  www.tata.com/company/Articles  www.financialexpress.com/news/rural  www.colgate.co.in  www.dabur.com  www.cholayil.com  www.trai.co.in 10/4/2013 M3 GROUP 7 107
    • 107. 10/4/2013 M3 GROUP 7 108
    • 108. 10/4/2013 M3 GROUP 7 109
    • 109. 10/4/2013 M3 GROUP 7 110

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