CavinKare is an Indian personal care and food products company that has successfully targeted rural Indian markets. It entered rural areas by educating consumers on the proper use of products like shampoo through demonstrations and free sample distributions. CavinKare also uses small, single-use sachet packages and a direct salesforce focused on small retailers to distribute products affordably in rural regions. Through effective communication tailored to rural audiences, the company has built many leading brands that now compete with major urban consumer goods companies.

1. Marketing strategy of
CavinKare Pvt. Ltd towards Rural
Presented By:-
Ashish Mishra
Mahesh Mohanan
Mayank Daga
Reejo Samuel

2. Rural Marketing-An Overview
• Trends indicate that the
rural markets are coming up
in a big way and growing
twice as fast as the urban.
• There are as many ‘middle
income and above’
households in the rural
areas as there are in the
urban areas.

3. “A world of opportunity”
• The Indian rural market
with its with its vast size
and demand base offers
great opportunities to
marketers.
• Two –third of countries
consumers lives in rural
areas and almost half of
the national income is
generated here.

4. Features of Rural Marketing
• Large and scattered market:-
It consist of over 63cr
consumers from 5,70,000
villages spread through out the
country.
• Major income from agriculture:-
Nearly 60 % of the rural
income is from agriculture .
• Traditional outlook:-
The rural consumer values
old customs and traditions. They
do not prefer changes.

5. Challenges
• Underdeveloped people:
Vast majorities of rural people tradition
bound, and believe in old customs , traditions,
habits.
• Lack of proper physical communication
facilities:
Physical communication of the village is
highly expensive. Even today most villages in
eastern parts of the country are inaccessible
during monsoon.
• Many languages.
• Low level of literacy.
• Prevalence of spurious brands and seasonal
demand :
For any branded product there are multitude
of local variants which are cheaper and more
desirable to villagers.
• Different way of thinking .

6. Company’s Profile
• In 1983 with a single product, Cavinkare
started out as a small partnership firm chik
india by Mr. C.K. Ranganathan.
• Chik India, which was renamed as Beauty
Cosmetics in 1990.
• In 1998 the company was renamed as
CavinKare Pvt. Ltd(CKPL).

7. • The reason behind the name is, Cavin means
beauty in Tamil and “care’ is spelt as kare.
• The name is also a special one as it denotes
the initials C and K of Mr.Ranganathan.
• The company offers quality personal care (hair
care, skin care, home care ) and Food
Products.

8. • The company, Which primarily relied on contract
manufacturing for many year has now set up its own
world class plant at Haridwar to cater to the demand
of both domestic and international market.
• The Company has employee strength of 576, an all
india network of 1300 stockists catering to about 25
lakh outlets nationally.
• CavinKare has touched a turnover of over 5000
million INR in 2006-2007.

9. Products Range
• Personal Care
• Hair Care :-
i. Chik Shampoo
ii. Nyle Herbal Shampoo
iii. Meera Badan Shampoo
iv. Indica Hair Colorant

10. Products Range
• Personal Care
• Skin Care:-
i. Fairever
ii. Spinz Talc
iii. Spinz Deodorants
iv. Nyle Cold Cream
and Lotion

11. Products Range
• Food Division :-
i. Ruchi Pickles
ii. Chinni’s Pickles
iii. Chinni’s Masala
iv. Chinni’s Vermicelli
v. Ruchi Gulab Jamun
Mix

12. Major competitors:
• Hul
• P&G
• Dabur
• Himalaya health
care
• Colgate- palmolive

13. Marketing Strategy
• They have strong system of quality control.
• Contract Manufacturing by outsourcing it to
Third Party Manufacturing Units.
• They lay down all the ground rules for the
manufacturer in maintaining their standard.
• Direct media promotion have helped build
knowledge of product categories and change
long entrenched living habits.

14. • By the help of effective communication they
tried to understand the fear, aspiration and
hopes of rural consumer.
• Calvin care always focuses on research and
development, brand building and distribution
management.

15. Promotional Strategy
• Company is taking some tips from its chik
shampoo experience.
• The chinni pickle sachet is available in single
use sachet that cost Rs1 to Rs3.
• Single serve packaging will also serve in the
institutional sales.
• Hotels and restaurants will be bulk customer.
• CavinKare is also running mobile beauty
parlours.

16. Communication Strategy
• Cavinkare discover that soap usage is the
biggest barrier and people did not see the
need of shampoo.
• Company tried to convey the message to the
consumer that use of soap is harmful for the
hair and when a product is exists specifically
for hair than it should be used.

17. Distribution Strategy
• Instead of using conventional distribution
route, they have created sachet sales force
that sells only sachet packs to small retailer
including paan shops.

18. Retailer promotion
• Apart from the service charges cavinkare also
gave retailers a chik sachets free for every 15
empty sachets they get from the consumer.
• They give special gift if dealer sale more
products in a particular season
• They also give discount on bulk purchasing .

19. Step Towards Rural Marketing
• CavinKare have shown that communication is
key when it comes to building brands in rural
markets.
• CavinKare, which enabled its products brands
to compete directly with market leaders such
as HLL, P & G, Godrej and Henkel Successfully.
• CavinKare’s successful brands such as Chik,
Nyle, Meera, Fairever and Spinz are good
example.

20. • When CavinKare entered the rural areas in South
India, people used to wash their hair with soap.
• When it Launched the ‘Chik’ Brand of shampoo
they educated the people on how to use it
through live ‘touch and feel’ demonstrations and
also distributed free sachets at fairs.
• This strategy worked wonders in the rural areas
of Tamil-Nadu and Andhra Pradesh.

21. Conclusion
• The fact remains that the rural market in India
has great potential, which is just waiting to be
tapped.
• It’s all about how they approaches the market,
takes up the challenge of selling products and
concepts through innovative media design.

22. Thank You…!!