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As an outcome of the green
revolution, many
significant changes have taken place in the rural areas in
India during the recent past. While on the one hand, the purchasing power
of the rural consumers has increased, on the other hand, marketers
too have been quick to capitalize on the opportunities provided by the
rural markets. More than 70% of India's population lives in rural areas.
For successful marketing in rural areas, traditional methods of selling
are not sufficient. Innovative and sound product plans,
appropriate pricing policies, market analyses are to be necessarily made to succeed
in the rural markets.
Marketing in the Indian rural markets has always been a
challenge for the companies. Despite these problems, many companies
have been successful in entering and establishing themselves in the
rural markets. These companies have proved that with
proper understanding of the rural market structure and with the use
of innovative marketing ideas, it is possible to win in the rural
markets. There are vast differences between rural and urban consumers in
terms of tastes, preferences, income levels, educational levels, etc. It is
necessary for the marketers to innovate strategies to establish their
products in the rural markets.
With two-thirds of the Indian population living in rural areas,
the market seems to be very vast and provides numerous
opportunities. The Indian FMCG companies too, on their part, are making all
efforts to capture the markets and today it has become a question of
survival in the intense competitive environment in the rural
markets. These companies have not only introduced new products in the
rural areas but have also changed the habits and lifestyles of the
rural customers. For the companies to be successful in rural markets,
they have to overcome certain challenges such as pricing and distribution,
and that is where our Indian giant HUL and the other FMCG groups
like Marico, Britannia, P&G, CavinKare, Coca-Cola and
Pepsi, ITC stand out. These companies have over the years been
following various strategies to attract the customers towards their
products. One of the widely used strategies is to advertise through various
media, especially in the television, which is considered to be a very
powerful medium. Using celebrities to endorse their products is
another strategy used by the FMCG companies. One cannot forget
the ads of Maggie, Lux International, Coca-Cola, Limca, etc.
FMCG companies also are involved in outdoor campaigning to
promote their products. The companies have been innovating using all
the marketing mix variables to attract the consumers. All these
strategies have also helped the companies to invade rural India. |
