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“India’s way is not Europe’s. India is not Calcutta and
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Bombay. India Lives in its seven hundred thousand
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Villages”
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 Mahatma Gandhi
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3. Rural India contributes…….
 70% of Indian Population .
 56% of Indian Income
 46% of Indian Expenditure
 33%of Indian Saving

5. Some Myth About Rural India
 Rural India is all about agriculture .
Less than 50% of the population in agriculture.
 Rural income is mainly come from agriculture thus uncertain
Only 41% of the rural income comes from agriculture
 Rural growth is slow ,investment gives late results
Rural markets showed 25% of growth in consumer durables,
whereas urban markets showed only 8 to 10 % of growth.

6. How Is Rural Market Different From Urban
Market
India Bharat
• Traditional out look: It values
• Modern out look: Old custom old customs and traditions. Cultural
s and traditional cultural values values have not yet faded
have faded • Level of literacy: Low level of
• Level of literacy: High level of literacy
literacy • Communication and
• Communication and infrastructure facilities:
infrastructure facilities: All Facilities like roads, warehouses,
major facilities are available to the communication systems and
urban customer financial facilities are inadequate in
• Higher per capita Income: rural India which makes distribution
costly .
65% of gross domestic product
produced is shared by 30% of • Low per capita Income: 35% of
population. gross domestic product produced is
shared by 70% of population.

7. Approaches to Rural Marketing
Affordability
Rural
Acceptability Marketin Availability
g
Awareness

8. Rural Marketing Mix
Customization
Retailer
Packaging
Product, Price, Place
Promotion
Education Empowerment

9. Product level
Potential
Urban Customer Rural Consumer
Demand Demands
Augmented
•Core •Core
•Basic •Basic
•Expected Expected •Expected(Sometime )
•Augmented
Basic
Core
Example: Shampoo

10. Consumer Behaviour
Status Seeking Customer Budget Conscious Customer
Brand Budget
Model Warranty
After Sales
Technology
Service
Brand
Image
Name
Budget Model

11. Consumer Behaviour
Status Seeking Customer Budget Conscious Customer
Brand Budget
Model Warranty
After Sales
Technology
Service
Brand
Image
Name
Budget Model
Rural Consumer

12. The pull of the market….
Aspiration Media Penetration
What is
Changing?
Infrastructure Deposable Income

13. Realising the potential…..

14. Brands fail in India, but are hit in
Bharat…
 Some brands which have done better in the
rural market than the urban market, for
example:

15. The Future is bright…..

17. HUL Project Shakti
Back

18. Packaging
Back

19. Yaara da tashan…..