Rural India has a population of 833 million people, or 69% of India's total population. While only 4.6% of rural Indians, around 38 million people, have accessed the internet at some point, mobile internet use is growing rapidly with 3.6 million rural users accessing the internet via mobile. Entertainment such as music and videos is the most popular online activity. However, language barriers and lack of infrastructure continue to limit overall internet penetration despite growing mobile access. Future growth is expected to come from increased vernacular content and affordable mobile access that allows more rural users to experience the online world.

1. INTERNET
IN RURAL INDIA

2. Acknowledgement
All figures and findings presented in this report is based on a research conducted
by Internet and Mobile Association of India and market research firm IMRB.
The report was released in June 2012

3. Rural India : Population
833 million
• India’s total population : 1.21 billion
• Rural area is home to 69% of India’s population*
*Source: 2011 Census of India's Provisional Population

4. Rural India : Internet Access
•
38 million
38 million(4.6%) of rural India has accessed the
internet at least once in their life
• 31 million have accessed the internet once in the
past one month

5. Rural India : Mobile Internet users
•
3.6 million
3.6 million(12%) access the internet using a mobile phone
• This figure has grown 7.2 times in the past 2 years
• Low prices of handsets, better battery life, cheaper data
charges and improved network infrastructure in the rural
areas have tremendously increased mobile penetration
• Most of the new internet users have started their internet
journey on mobile phones
Grown from 0.5 million in 2010 to 3.6 million in 2012

6. Where is rural India accessing the internet from?

7. Point of accessing internet in rural areas
• Community Service Centres and Cyber cafes are
primary points of access due to availability of
infrastructure
• Reducing distance of reaching a CSC is helping
easier access
• Reducing cost (Rs. 12/ hour) is also encouraging
increased user and usage
• Home access indicates deeper penetration of
PCs in rural homes
• Mobile phones are the shining stars in the rural
internet blockbusters -

8. What is rural India doing online?

9. Purpose of Internet access

10. Entertainment
90%
Awareness •
•
Majority of users have used it primarily
as a source of entertainment
Access music, videos and photos

11. Communication
80%
Awareness • Majority are using e-mails to communicate

12. On line services
67%
Awareness •
•
Used primarily for education and on line job
sites
Majority look for information regarding schools,
universities and exam centres
• Bio data preparation and printing is also
popular among job aspirants

13. E commerce
65%
Awareness • While awareness of online ticketing is high,
usage is not perhaps due to the complexity of
purchase
• Purchase of mobile downloads such as
ringtones and apps are higher as its easier to
purchase
• According to a report by E-bay rural India
exporting natural diaonds, ethnic wear,
temporary tattoos , crystals and importing
smart phones, wrist watches, GPS holders, solar
energy panels and laptops online

14. Social networking
60%
Awareness • Social media is also becoming popular in the
rural areas with 39% respondents claiming to
have used one or the other social networking
site
• Voice based social media platform such as
goonj allow people to call into a number. They
can leave or listen to messages left by others
• 90% community generated content such as
folk songs, poems, announcements about job
fairs and local functions and updates on locally
relevant information such as agriculture, health
and financial products

15. Online finance
38%
Awareness • While awareness of services such as online
banking and payment of utility bills is relatively
high, usership at 13% is low due to
infrastructural availability and knowledge

16. While mobile penetration in India is 39%
Why is internet penetration only 4.6%?

17. Barrier: Language
• Regional language content is slowly picking up pace while most of the content
available online is in English. As most receive education in vernacular languages in
Rural India, language is one of the key barriers. Since entertainment is one of the few
contents which is available in vernacular, it is one of the most popular activities online
As more and more content is available in vernacular languages and more information
and news is available regarding local areas – other services on internet will become
popular

18. Barrier : Lack of means and infrastructure
• With improvement in infrastructure and affordability, specially through mobile –
penetration will increase rapidly in the near future.

19. Conclusion

20. India’s potential lies in online rural population
• Rural India’s income which is currently at $572 billion is estimated to rise to $ 1.8
trillion by 2020. The future potential lies not in the metros but in Rural wallets.
• Mobile internet will be the key marketing tool of the future to reach the rural millions
• Communicating in vernacular languages online will help activate the dormant masses
• The potential to tap into the market lies in understanding the early online behaviourial
and usage patterns of the rural netizens
– What kind of content are they likely to consume or reject
– Since most of rural India will be initiated into the online space via mobile, what’s
the kind of UX required to make it easy for them to access and stay engaged

21. Bright Angles works at the intersection of people,
technology and brands to create marketing
strategies for the digital age. We harness the power
of consumer insight to provide solutions to the
digital challenges of your business.
If you are keen to tap into insights about netizens
who call rural India their home, please write to us at:
contactus@brightangles.in