Rural marketing refers to the marketing of goods and services to the population living in rural areas, or in other words, outside of urban centers. It is a specialized form of marketing that takes into account the unique characteristics and needs of the rural market, which can differ significantly from those of urban markets.
One of the key challenges of rural marketing is the dispersed nature of the target market. Rural areas are often characterized by low population densities, making it difficult for companies to reach and engage with their target audience. This can be further complicated by the lack of infrastructure in many rural areas, such as poor or non-existent roads and limited access to electricity, which can make it difficult for companies to transport and sell their products.
To overcome these challenges, companies often need to adopt creative and innovative marketing strategies that are tailored to the needs of the rural market. This can include the use of mobile marketing campaigns, which can reach consumers in remote areas, as well as the use of traditional marketing channels such as word-of-mouth and local advertising.
Another key aspect of rural marketing is the need to understand and respect the unique cultural and social norms of the rural population. Rural communities often have their own distinct values, beliefs, and traditions, which can influence their purchasing decisions and behavior. Companies that are successful in rural markets are those that take the time to understand these cultural differences and tailor their marketing efforts accordingly.
Rural marketing is an important and growing field, as it allows companies to tap into a significant and often untapped market. By understanding the unique challenges and opportunities of the rural market, companies can develop marketing strategies that are effective and sustainable, and ultimately drive long-term growth and success. So, the rural marketing is very important for the development of the rural areas and it also helps in the economic growth of the country.
Rural Marketing: Introduction, Concept and Definitions
Low penetration rates in rural so there are many marketing opportunities. Also, Rural India offers a big marketing opportunity because the great majority of Indians reside in rural areas. Delivering a better standard of living and quality of life will be the new role of rural marketing. The Size and Importance of the Rural Market: The rural market in India is made up of two broad compartments: a The market for consumption goods, including both fast-moving consumer goods and durables; and b The market for agricultural inputs and other investment goods. During the postharvest period, farmers become cash rich, and are in the right frame of mind to go in for buying new products.
Plan after plan, it has been committing large outlays to sectors like agriculture, animal husbandry, irrigation, flood control and khadi and village industries. They are managing farms on commercial lines and have acquired a state for an urban life-style. The immense potential of the rural market can be realised, if the marketers understand this market. Additionally, promotion and physical distribution become exceedingly difficult in rural areas. However, they are concerned about lack of infrastructure facilities like road connectivity, teledensity, availability of skilled manpower and seasonal demand. Economic Changes The marketers need to consider economic factors, including a healthy competition, consumer welfare and optimal price to conquer the rural markets.
What is Rural Marketing? Features, Challenges, Potential and Examples
Business firms have to carry out a thorough and data based market segmentation, select the relevant segments as their target market and develop distinctive positioning strategies and marketing mix for the chosen segments. However, most of them are generally resistant to change. The expectations revolution has brought about a powerful change in the environmental dynamics. House-to-house campaigns by special promotion squads. About 36 per cent of the rural population lives in seven per cent of the villages in the country and the remaining 64 per cent live in 93 per cent of the villages. Marketing Mix Challenges : Even though the basic marketing mix tools — Product, Price, Place and Promotion, popularly known as 4Ps, remain same in both rural and urban markets, the so-called 4As — Acceptability, Affordability, Availability and Awareness, challenges the marketer and persuades him to re-schedule the marketing mix tools whenever he enters rural markets. Other print media v.
The growth of the rural population has been 12 per cent in the last decade and the share of rural economy is 40 per cent in the national economy. Severe Competition in the Urban Markets: The urban markets are fully penetrated by highly competitive brands that have left the market fully saturated. Rural Marketing is not Expensive : Though rural consumers are dispersed, reaching them is costly but new research indicate that selling in rural India is not expensive. Rural income farm and non-farm contributes to over 50 per cent of the total income of the country. The income differences between the wealthy few and the common masses also create differences in the demand, customs, beliefs, etc.
What is Rural Marketing? Definition, Ways, Features, Environment, Potential, Challenges
He should take due care while deciding the pricing strategy which he is going to follow for the product in particular market such as: a. Mobile workshops too is another area on which the company is laying stress. The Rural Marketing is a two-way process, i. Development would have been faster than, at present, if power and telecommunication facilities had been developed. Philips India has very successfully used the A V vans for popularizing their radios in the rural markets.
By looking at mandis in different states, some salient features of the rural market can be deduced from their organisation and working. Further, there are different groups based on religion, caste, education, income and age and there is a need to understand the rural markets in terms of buyer behaviour, attitudes, beliefs and aspirations of people. Rural consumers are also becoming aware of the branded products and also have started using branded products which provide a vast opportunity for a rural marketer. Most of the produce is stored in warehouses. It is managed by private traders. Farmers, today keep in touch with the latest information and maximize both ends.
Severe Competition in Major Urban Markets: Intensive competition in urban market has resulted in increase in costs but not high market share and profits. The more popular ones among them are analyzed below: Audio-Visual Publicity Vans. The demand has reached the saturation point. Indian marketers as well as multinational companies are also placing emphasis on rural areas. Rural environment is closely connected to nature as agricultural lands, forests, rivers, mountains, etc. New Dimensions of Indian Rural Marketing 11.
What Is Rural Marketing? Definition, Scope, Feature, Importance, Characteristics
Improvement in infrastructure and reach, promise a bright future for those intending to go rural. For example, at any fair various media like audio, audio-visual and interpersonal communication could be used. Though the devil was retained partially only its eyes appeared in the print advertising , the punch line was changed to Onida ka black and white jadu. The effective communicator utilizes such cues. Moreover, with the help of smartphones and computers, rural customers are gradually upgrading to technology.
However, consumers are moving towards the purchase of technical products, like mobiles and computers. All that is needed is a well-analyzed and planned rural marketing strategy to penetrate these markets. On account of this, many mass-media, which are utilised and are successful in urban areas for creating a primary demand, cannot be effectively used in rural areas. Some producers; especially the large ones, assemble the produce of small producers, transport it to the nearby market, sell it there and make a profit. Rural people have started to go to urban areas for higher education. For example, while the rural literacy rate in Kerala is 60 per cent that of Bihar is only 12 per cent. For rural communication to be effective, repeat exposures is a must; and if the gap between exposures is long, the message loses its edge during this period.
So, the term can be defined as: When marketing activities are undertaken for rural segments, it is turned as rural marketing and the management is called rural marketing management. The problem is amenable to solution through provision of warehousing facilities by the cooperative sector. If you are a marketer, then you must be aware of the fact how important rural areas could be for business expansion. This same rule stands good for rural marketing also. Rural market in India is not a different entity in itself, but it is highly influenced by the sociological and behavioral factors of the country.