Developing markets represent huge potential but require different marketing approaches than developed markets. Marketing must address local needs through smaller, more affordable packaging and products. Successful examples include a phone company in Bangladesh employing women as village agents and a toothpaste company in India using video vans. Getting the right marketing equation in developing markets through approaches like lower prices and packaging sizes can lead to big payoffs.

1. What are the differences between marketing
in a developing and a developed market?

2. One of the sharpest
distinctions in global
marketing is between
developed and
developing markets
such as Brazil, Russia,
India, and China
(often called “BRIC” )

3. The unmet needs of the developing
world represent huge potential
markets for food, clothing, shelter,
consumer electronics, appliances, and
many other goods.

4. ,
Developed nations account for about 20
percent of the world’s population . Can
marketers serve the other 80 percent

5. Of successful marketing in
developing countries

6. Grameenphone marketed cell phones
to 35,000 villages in Bangladesh by
hiring village women as agents who
leased phone time to other
villagers,one call at a time

7. Colgate-Palmolive rolled into
Indian villages with video vans that
showed the benefits of
toothbrushing

8. . •. •
Corporación GEO builds low-
income housing in Mexico.The two-
bedroom homes are modular and
expandable.

9. Getting the marketing equation
right in developing markets can pay
big dividends

10. Smaller packaging and lower sales
prices are often critical when
incomes and housing spaces are
limited.

11. Unilever’s 2 rupee sachets of detergent and
shampoo were a big hit in rural India

12. By developing rock-bottom-priced phones
with just the right functionality,Nokia has
become the market-share leader in Africa
and Asia

13. A Western image can be helpful. Coca-Cola’s success
against local cola brand Jianlibao in China was partly
due to its symbolic values of modernity and
affluence

14. Spotlight on Key Developing Markets

15. Low-income groups make up 87
percent of the population but earn
only 53 percent of the income
25 percent of people earn
less than $2 a day
In 1970,it was the world’s
second-fastest-growing
large economy.

16. PERFECT MARKETING EQUATION IN BRAZIL
Nestlé Brazil boosted sales of Bono
cookies 40 percent after shrinking the
package from 200 to 140 grams and
lowering the price
,
With illiteracy widespread,Unilever launched a
brand of soap in northeast Brazil with the
simple name,“Ala.”

17. Russia has a dwindling workforce and
poor infrastructure.
The Organization for Economic Cooperation & Development
(OECD) ranks Russia as one of the most corrupt countries in
the world
Average Russian still earns only $700 a
month

18. China’s emerging urban middle class
is active and discerning,demanding
higher-quality products and variety
China has 700 million potential
consumers

19. Almost two-thirds of
the population is under
35
3 percent of population are
high-earning targets of youth
lifestyle brands connoting
status and affluence
Luxury cars and shiny motorbikes
are the most sought-after status
symbols

20. India still struggles with poor infrastructure
and public services— education, health,
and water supply
Its 28 separate states each
have their own policies and
tax rules