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International Journal of Trend in Scientific Research and Development (IJTSRD)
Volume: 3 | Issue: 3 | Mar-Apr 2019 Available Online: www.ijtsrd.com e-ISSN: 2456 - 6470
@ IJTSRD | Unique Paper ID – IJTSRD23519 | Volume – 3 | Issue – 3 | Mar-Apr 2019 Page: 1700
Role of Promotional Strategies in Rural Market
Bijendra Kumar Pushkar1, Shilpi Pandey2
1Assistant Professor, 2MBA Scholar
1,2Centre for Management Studies, Madan Mohan Malaviya University of Technology,
1.2Gorakhpur, Uttar Pradesh, India
How to cite this paper: Bijendra Kumar
Pushkar | Shilpi Pandey "Role of
Promotional Strategiesin RuralMarket"
Published in International Journal of
Trend in Scientific Research and
Development
(ijtsrd), ISSN: 2456-
6470, Volume-3 |
Issue-3, April 2019,
pp.1700-1703, URL:
https://www.ijtsrd.
com/papers/ijtsrd2
3519.pdf
Copyright © 2019 by author(s) and
International Journal of Trend in
Scientific Research and Development
Journal. This is an Open Access article
distributed under
the terms of the
Creative Commons
Attribution License (CC BY 4.0)
(http://creativecommons.org/license
s/by/4.0)
ABSTRACT
Promotional schemes influence to rural customers for purchasing the products.
Rural market is one of the toughest markets because it is not easy to persuade
the customers regarding the products and brands.
The objective of this study is to review the effective promotional tools for rural
consumers and analyse what the promotional strategies has been adopted by
companies for rural consumers.
This study is based on the survey method conducted in the rural area to
investigate the penetration of products and brands and analyse the purchasing
decision of rural consumers.
KEYWORDS: Promotion strategies, rural market, consumers etc.
INTRODUCTION
The Indian rural market is generallygeneratedarround50%
of the country’s GDP. Promotion is one of the marketing
startegies which is aimed toward advertising product in the
market and making the people aware ofit. Itisconsidered all
about communicating with ruralcustomerstogetthe proper
feedback on several issues.
For being successful in the market especially plan and
promotional tools are very much efficient, effective and
collaborative in rural arena. The main role of the promotion
in rural market is to increase the profit maximization. There
are many tools and strategy which is used in marketing.
Promotional tools:
Advertising
Personal selling
Sales promotion
Publicity
Advertising: Advertisingisthemostimportantsourceofthe
media communication which is influence to customer for
purchasing the product and for awareness of the product.
Personal selling: Personal selling is the face- to-faceselling
in which the salesman convinces to customer forpurchasing
the product.
Sales promotion: Sales promption is the distribution
channel of the marketing in which salesman persuade to
custom er for purchasing the product.
Publicity: Publicity is related to public relation which
purpose is to let people aware about product and brands.
Promotional Strategy: Several strategies
Push & Pull strategy
Mix strategies
Product life cycle
Push & Pull strategy: Push strategy is the activity which is
taking the product to the customer. Its ultimate objective is
too aware of the product to the customer. Pull strategyis the
activity which is taking the product to the other hand.
Mix strategies: Mix strategy in marketing is called
Marketing mix. The markeing mix strategy: Product, Price,
Place, Promotion.
Product life cycle: Product life cycle is the cycle which
determines the progresses of the new product through the
sequence of the stages from:
IJTSRD23519
International Journal of Trend in Scientific Research and Development (IJTSRD) @ www.ijtsrd.com eISSN: 2456-6470
@ IJTSRD | Unique Paper ID – IJTSRD23519 | Volume – 3 | Issue – 3 | Mar-Apr 2019 Page: 1701
Introduction: At this stage product is launched,
company is not gaining profit and sales grow slowly
because for the product, the market size is small.People
not aware of the product.
Growth: At this stage sales grow up rapidly but when
the competitors enter the market price may be reduced.
Maturity: At this stage sales increase slowly. Profitmay
be fall from the starting stage.
Decline: At the last stage sales will fall. Production may
be stopped in the future.
LITERATURE REVIEW
Kumar and Madhavi, (2006) given a theoretical review on
rural marketing for FMCGs. The most brands of theproducts
which are preferred by the rural customers like toothpaste,
shampoo and toilet shop in rural areas were recognized on
the basis of gender exposition. The study released that the
first element which is persuade to rural customers followed
by price, colour and taste that is quality. In regarding to
brand preferences most of the female respondents mostly
prefer Colgate whereas male respondents mostly prefer
pepsodent. Some of the respondents are using conservative
products only so they don’t use shampoo but 60% of them
use clinic plus. There is no remarkable relationshipbetween
gender and those who use shampoo.
Hagargi, (June 2011), he stated that in rura India, there is
huge opportunity for any company. There are many
challenges by with these companies are facing in gearingthe
rural markets, like trying to know the needs of rural
customers, effective distribution channel, fruitful marketing
strategy to convey their messages across the rural
customers. By innovating some new techniques for the
above mentioned problem they can achieve more profit can
have bigger market share.
Makarand Wath, (March 2011), he has stated that, as we
see nowdays, the expansion of the rural market has taken a
wider area. Though, it becomes challengingbutruralmarket
is truly creative market and has wider scope also.
MaheshKumar, (2010), he stated that, as per the FMCG
companies; it has huge growth potential also. As per the
FMCG reports, per capita consumption of almostallproducts
in the country is almost low. There is only one way to
increase the demand that is by changing the mindset of the
people. Noe the scenario has been changed our Indian
consumer becomes conscious towards the brand especially
our young generation.
Ramanathan V. and S. Sudhamathi (2009) have found in
their study that, there is varriations shown in the Indian
rural market from that of urban in consumer demographic
profile, need expectations & value expectancy.
Sarangapani A. and Mamatha T. (2008), Estimation of
rural consumers is very specific task that needs more efforts
whether understanding/explanation or may be prediction
that what is more important is to know clearlytheconsumer
behaviour. Marketer should focusonit.Inthisresearch, there
is a most highlighted pointlikepost-purchase evaluationand
rural consumerism is considered to analyze the different
consumer protection acts and satisfaction level that is
choosed the branded products by customers which have
interpretated the rural India.
The producers, who produce the FMCG products, now
perceived that there is a great opprotunity to enter into the
rural market.
The Economic Times (2010), in its news titled review
companies has its sight on the purchasing power of rural
youth. Now youth are getting more aware about the best
quality of products and brands.
According to NCAER, Three major factors which are
responsible for low penetration rates in the rural market
are- low income level, inadequate information facilities and
different life styles. But we will see the rise in standard of
rural area due to the increase in income.
OBJECTIVE OF THE STUDY
To analyse the promotional strategies adopted by
companies in rural market.
RESEARCH METHODOLOGY
The objective of the study ‘role of promotional strategies in
rural market’, for achieving this objective we have used the
descriptive research design. The data is collected from
primary source of information. The convenience sampling
techniques is used for collection of data. Thedataisanalysed
through quantitative research techniques.
DATA ANALYSIS
1. Promotional schemeaffectsthepurchasingdecision.
Strongly
Agree
Agree Neutral Disagree
Strongly
disagree
49 46 2 3 0
Table: 1
Figure: 1
Interretation: This graph showsthat whateverpromotional
schemes launch in rural market those schemes affect the
purchasing decision of rural customers. 49% of rural
customesr are highly agreed with this statement.
2. Attractive packaging motivates and enables
customer to buy the product.
Strongly
agree
agree Neutral Disagree
Strongly
disagree
36 43 13 8 0
Table: 2
Figure: 2
International Journal of Trend in Scientific Research and Development (IJTSRD) @ www.ijtsrd.com eISSN: 2456-6470
@ IJTSRD | Unique Paper ID – IJTSRD23519 | Volume – 3 | Issue – 3 | Mar-Apr 2019 Page: 1702
Interpretation: This bar chart shows that, attractive
packaging motivates and enables customer to buy the
product because 43% of respondent agree with this
statement.
3. Visual advertising on television are more effective
than audio advertisement on Rdaio.
Strongly
Agree
Agree Neutral Disagree
Strongly
disagree
33 49 17 1 0
Table: 3
Figure: 3
Interpretation: This pie chart shows that Visual
advertisement on television is more effective than audio
advertisemets on radio and 49% of respondent agree with
this statement.
4. Low priced products are preferred over high priced
products.
Strongly
agree
Agree Neutral Disagree
Strongly
disagree
14 36 26 22 2
Table: 4
Figure: 4
Interpretation: This bar chart shows that, rural customers
prefer low priced products rather thanhighpricedproducts.
And 36% respondents agree with this statement.
5. Do you buy small packets of products incomparison
to bigger packets?
Strongly
agree
agree Neutral Disagree
Strongly
disagree
11 44 28 13 5
Table: 5
Figure: 5
Interpretation: This bar chart shows that rural customers
buy small packets of products in comparison to bigger
packets and 44% of respondent agree with this statement.
6. In case any companylaunchesdifferentpromotional
schemes on their products which factor will change
your buying decision?
Money
back
offer
Prizes on
bottle
cap
Prizes on the
specific nomber
of bottles
Bumper
prize
49 17 6 28
Table: 6
Figure: 6
Interpretation: This pie chart shows that most of the
respondents prefer money back offer if any company
launches promotional schemes in referring to money back.
FINDINGS
Rural customers attract towards the attractivepackaging
that motivate retailer or shopkeeper.
Rural customers prefer advertisement on televisison
rather than audio advertisement on radio because they
see the live advertisementsontelevisionand mostly rural
customers attracted towards them.
Rural customers prefer small packets of products rather
than bigger packets because of their limited budget.
In case any firm, initiate different promotional schemes
on their corresponding product range then the discount
schemes like money back offer etc., the response of rural
customer is so positive.
SUGGESTIONS
Shop display & advertisement should be most attractive
and perfect for targeting the rural customerssothatrural
people become motivated towards the buying decision.
Advertisement techniques like wall painting, fairs and
billboards should be more informative & attractivealong
with catchy slogan so that rural consumer may be
targeted.
Promotional policies should be lucrative and flexible so
that it can affect the choice of consumers.
CONCLUSION
Promotional schemes always influence the purchasing
decision of rural consumers throughout rural India. Most of
the customers follow the word of mouth recommendations
of retailer and wholesaler for buying the product. Rural
people firstly motivated towards the attractive packaging of
that products. They prefer visual advertisinginstead of audio
advertising. Rural customers prefer small packets of
products in comparison to bigger one, due to product low
price and afforadability of consumer.
International Journal of Trend in Scientific Research and Development (IJTSRD) @ www.ijtsrd.com eISSN: 2456-6470
@ IJTSRD | Unique Paper ID – IJTSRD23519 | Volume – 3 | Issue – 3 | Mar-Apr 2019 Page: 1703
REFERENCE
[1]. Makarand Wath, (March 2011), A study on Rural
Marketing Strategy_ withspecial emphasis on selected
customer preferences for HUL iPARIPEX- Indian
Journal of Research, Feb 2013, Vol.- 2, Issue:2
[2]. Ramanathan V. and S. Sudhamathi (2009), A study on
Rural Marketing Strategy_ with special emphasis on
selected customer preferences for HUL iPARIPEX-
Indian Journal of Research, Feb 2013, Vol.- 2, Issue:2.
[3]. Sarangapani A. and Mamatha T. (2008), A study on
Rural Marketing Strategy_ withspecial emphasis on
selected customer preferences for HUL iPARIPEX-
Indian Journal of Research, Feb 2013, Vol. - 2, Issue: 2.
[4]. Kumar and madhavi (2006), Role of Promotion mix in
influencing rural consumers, Int.Jour. Of Business,June
2011, Vol. 1. No. 1.
[5]. Avinesh Prateek, Satyam Pincha, Indian Rural: An
Impulse to FMCG sector, The journal of Marketing and
Management, Feb 2013, Vol.- 1, Chapter-5
[6]. International Journal of Retailing & Rural Business
perspective, Vol. - 1, No.-1, June-Sep 2012.
[7]. Kumar Sanjeev, Bishnoi V K (2007), Influence of
Marketers' Efforts on Rural Consumers and Their
Mindset - A Case Study of Haryana The Icfai Journal of
Brand Management, Vol. 4, No. 4, pp. 28-50, December
2007
[8]. Baines, N. K. and Malhotra, D. F. (2003) Marketing
Research: An applied approach, 2nd European edition,
Financial Times Prentice Hall
[9]. African journal of Business management Vol. – 6 (44)

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Role of Promotional Strategies in Rural Market

  • 1. International Journal of Trend in Scientific Research and Development (IJTSRD) Volume: 3 | Issue: 3 | Mar-Apr 2019 Available Online: www.ijtsrd.com e-ISSN: 2456 - 6470 @ IJTSRD | Unique Paper ID – IJTSRD23519 | Volume – 3 | Issue – 3 | Mar-Apr 2019 Page: 1700 Role of Promotional Strategies in Rural Market Bijendra Kumar Pushkar1, Shilpi Pandey2 1Assistant Professor, 2MBA Scholar 1,2Centre for Management Studies, Madan Mohan Malaviya University of Technology, 1.2Gorakhpur, Uttar Pradesh, India How to cite this paper: Bijendra Kumar Pushkar | Shilpi Pandey "Role of Promotional Strategiesin RuralMarket" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456- 6470, Volume-3 | Issue-3, April 2019, pp.1700-1703, URL: https://www.ijtsrd. com/papers/ijtsrd2 3519.pdf Copyright © 2019 by author(s) and International Journal of Trend in Scientific Research and Development Journal. This is an Open Access article distributed under the terms of the Creative Commons Attribution License (CC BY 4.0) (http://creativecommons.org/license s/by/4.0) ABSTRACT Promotional schemes influence to rural customers for purchasing the products. Rural market is one of the toughest markets because it is not easy to persuade the customers regarding the products and brands. The objective of this study is to review the effective promotional tools for rural consumers and analyse what the promotional strategies has been adopted by companies for rural consumers. This study is based on the survey method conducted in the rural area to investigate the penetration of products and brands and analyse the purchasing decision of rural consumers. KEYWORDS: Promotion strategies, rural market, consumers etc. INTRODUCTION The Indian rural market is generallygeneratedarround50% of the country’s GDP. Promotion is one of the marketing startegies which is aimed toward advertising product in the market and making the people aware ofit. Itisconsidered all about communicating with ruralcustomerstogetthe proper feedback on several issues. For being successful in the market especially plan and promotional tools are very much efficient, effective and collaborative in rural arena. The main role of the promotion in rural market is to increase the profit maximization. There are many tools and strategy which is used in marketing. Promotional tools: Advertising Personal selling Sales promotion Publicity Advertising: Advertisingisthemostimportantsourceofthe media communication which is influence to customer for purchasing the product and for awareness of the product. Personal selling: Personal selling is the face- to-faceselling in which the salesman convinces to customer forpurchasing the product. Sales promotion: Sales promption is the distribution channel of the marketing in which salesman persuade to custom er for purchasing the product. Publicity: Publicity is related to public relation which purpose is to let people aware about product and brands. Promotional Strategy: Several strategies Push & Pull strategy Mix strategies Product life cycle Push & Pull strategy: Push strategy is the activity which is taking the product to the customer. Its ultimate objective is too aware of the product to the customer. Pull strategyis the activity which is taking the product to the other hand. Mix strategies: Mix strategy in marketing is called Marketing mix. The markeing mix strategy: Product, Price, Place, Promotion. Product life cycle: Product life cycle is the cycle which determines the progresses of the new product through the sequence of the stages from: IJTSRD23519
  • 2. International Journal of Trend in Scientific Research and Development (IJTSRD) @ www.ijtsrd.com eISSN: 2456-6470 @ IJTSRD | Unique Paper ID – IJTSRD23519 | Volume – 3 | Issue – 3 | Mar-Apr 2019 Page: 1701 Introduction: At this stage product is launched, company is not gaining profit and sales grow slowly because for the product, the market size is small.People not aware of the product. Growth: At this stage sales grow up rapidly but when the competitors enter the market price may be reduced. Maturity: At this stage sales increase slowly. Profitmay be fall from the starting stage. Decline: At the last stage sales will fall. Production may be stopped in the future. LITERATURE REVIEW Kumar and Madhavi, (2006) given a theoretical review on rural marketing for FMCGs. The most brands of theproducts which are preferred by the rural customers like toothpaste, shampoo and toilet shop in rural areas were recognized on the basis of gender exposition. The study released that the first element which is persuade to rural customers followed by price, colour and taste that is quality. In regarding to brand preferences most of the female respondents mostly prefer Colgate whereas male respondents mostly prefer pepsodent. Some of the respondents are using conservative products only so they don’t use shampoo but 60% of them use clinic plus. There is no remarkable relationshipbetween gender and those who use shampoo. Hagargi, (June 2011), he stated that in rura India, there is huge opportunity for any company. There are many challenges by with these companies are facing in gearingthe rural markets, like trying to know the needs of rural customers, effective distribution channel, fruitful marketing strategy to convey their messages across the rural customers. By innovating some new techniques for the above mentioned problem they can achieve more profit can have bigger market share. Makarand Wath, (March 2011), he has stated that, as we see nowdays, the expansion of the rural market has taken a wider area. Though, it becomes challengingbutruralmarket is truly creative market and has wider scope also. MaheshKumar, (2010), he stated that, as per the FMCG companies; it has huge growth potential also. As per the FMCG reports, per capita consumption of almostallproducts in the country is almost low. There is only one way to increase the demand that is by changing the mindset of the people. Noe the scenario has been changed our Indian consumer becomes conscious towards the brand especially our young generation. Ramanathan V. and S. Sudhamathi (2009) have found in their study that, there is varriations shown in the Indian rural market from that of urban in consumer demographic profile, need expectations & value expectancy. Sarangapani A. and Mamatha T. (2008), Estimation of rural consumers is very specific task that needs more efforts whether understanding/explanation or may be prediction that what is more important is to know clearlytheconsumer behaviour. Marketer should focusonit.Inthisresearch, there is a most highlighted pointlikepost-purchase evaluationand rural consumerism is considered to analyze the different consumer protection acts and satisfaction level that is choosed the branded products by customers which have interpretated the rural India. The producers, who produce the FMCG products, now perceived that there is a great opprotunity to enter into the rural market. The Economic Times (2010), in its news titled review companies has its sight on the purchasing power of rural youth. Now youth are getting more aware about the best quality of products and brands. According to NCAER, Three major factors which are responsible for low penetration rates in the rural market are- low income level, inadequate information facilities and different life styles. But we will see the rise in standard of rural area due to the increase in income. OBJECTIVE OF THE STUDY To analyse the promotional strategies adopted by companies in rural market. RESEARCH METHODOLOGY The objective of the study ‘role of promotional strategies in rural market’, for achieving this objective we have used the descriptive research design. The data is collected from primary source of information. The convenience sampling techniques is used for collection of data. Thedataisanalysed through quantitative research techniques. DATA ANALYSIS 1. Promotional schemeaffectsthepurchasingdecision. Strongly Agree Agree Neutral Disagree Strongly disagree 49 46 2 3 0 Table: 1 Figure: 1 Interretation: This graph showsthat whateverpromotional schemes launch in rural market those schemes affect the purchasing decision of rural customers. 49% of rural customesr are highly agreed with this statement. 2. Attractive packaging motivates and enables customer to buy the product. Strongly agree agree Neutral Disagree Strongly disagree 36 43 13 8 0 Table: 2 Figure: 2
  • 3. International Journal of Trend in Scientific Research and Development (IJTSRD) @ www.ijtsrd.com eISSN: 2456-6470 @ IJTSRD | Unique Paper ID – IJTSRD23519 | Volume – 3 | Issue – 3 | Mar-Apr 2019 Page: 1702 Interpretation: This bar chart shows that, attractive packaging motivates and enables customer to buy the product because 43% of respondent agree with this statement. 3. Visual advertising on television are more effective than audio advertisement on Rdaio. Strongly Agree Agree Neutral Disagree Strongly disagree 33 49 17 1 0 Table: 3 Figure: 3 Interpretation: This pie chart shows that Visual advertisement on television is more effective than audio advertisemets on radio and 49% of respondent agree with this statement. 4. Low priced products are preferred over high priced products. Strongly agree Agree Neutral Disagree Strongly disagree 14 36 26 22 2 Table: 4 Figure: 4 Interpretation: This bar chart shows that, rural customers prefer low priced products rather thanhighpricedproducts. And 36% respondents agree with this statement. 5. Do you buy small packets of products incomparison to bigger packets? Strongly agree agree Neutral Disagree Strongly disagree 11 44 28 13 5 Table: 5 Figure: 5 Interpretation: This bar chart shows that rural customers buy small packets of products in comparison to bigger packets and 44% of respondent agree with this statement. 6. In case any companylaunchesdifferentpromotional schemes on their products which factor will change your buying decision? Money back offer Prizes on bottle cap Prizes on the specific nomber of bottles Bumper prize 49 17 6 28 Table: 6 Figure: 6 Interpretation: This pie chart shows that most of the respondents prefer money back offer if any company launches promotional schemes in referring to money back. FINDINGS Rural customers attract towards the attractivepackaging that motivate retailer or shopkeeper. Rural customers prefer advertisement on televisison rather than audio advertisement on radio because they see the live advertisementsontelevisionand mostly rural customers attracted towards them. Rural customers prefer small packets of products rather than bigger packets because of their limited budget. In case any firm, initiate different promotional schemes on their corresponding product range then the discount schemes like money back offer etc., the response of rural customer is so positive. SUGGESTIONS Shop display & advertisement should be most attractive and perfect for targeting the rural customerssothatrural people become motivated towards the buying decision. Advertisement techniques like wall painting, fairs and billboards should be more informative & attractivealong with catchy slogan so that rural consumer may be targeted. Promotional policies should be lucrative and flexible so that it can affect the choice of consumers. CONCLUSION Promotional schemes always influence the purchasing decision of rural consumers throughout rural India. Most of the customers follow the word of mouth recommendations of retailer and wholesaler for buying the product. Rural people firstly motivated towards the attractive packaging of that products. They prefer visual advertisinginstead of audio advertising. Rural customers prefer small packets of products in comparison to bigger one, due to product low price and afforadability of consumer.
  • 4. International Journal of Trend in Scientific Research and Development (IJTSRD) @ www.ijtsrd.com eISSN: 2456-6470 @ IJTSRD | Unique Paper ID – IJTSRD23519 | Volume – 3 | Issue – 3 | Mar-Apr 2019 Page: 1703 REFERENCE [1]. Makarand Wath, (March 2011), A study on Rural Marketing Strategy_ withspecial emphasis on selected customer preferences for HUL iPARIPEX- Indian Journal of Research, Feb 2013, Vol.- 2, Issue:2 [2]. Ramanathan V. and S. Sudhamathi (2009), A study on Rural Marketing Strategy_ with special emphasis on selected customer preferences for HUL iPARIPEX- Indian Journal of Research, Feb 2013, Vol.- 2, Issue:2. [3]. Sarangapani A. and Mamatha T. (2008), A study on Rural Marketing Strategy_ withspecial emphasis on selected customer preferences for HUL iPARIPEX- Indian Journal of Research, Feb 2013, Vol. - 2, Issue: 2. [4]. Kumar and madhavi (2006), Role of Promotion mix in influencing rural consumers, Int.Jour. Of Business,June 2011, Vol. 1. No. 1. [5]. Avinesh Prateek, Satyam Pincha, Indian Rural: An Impulse to FMCG sector, The journal of Marketing and Management, Feb 2013, Vol.- 1, Chapter-5 [6]. International Journal of Retailing & Rural Business perspective, Vol. - 1, No.-1, June-Sep 2012. [7]. Kumar Sanjeev, Bishnoi V K (2007), Influence of Marketers' Efforts on Rural Consumers and Their Mindset - A Case Study of Haryana The Icfai Journal of Brand Management, Vol. 4, No. 4, pp. 28-50, December 2007 [8]. Baines, N. K. and Malhotra, D. F. (2003) Marketing Research: An applied approach, 2nd European edition, Financial Times Prentice Hall [9]. African journal of Business management Vol. – 6 (44)