RURAL INDIA:

According to the census of India village with clear surveyed boundaries not
having a municipality, corporation or board, with density of population
not more than 400sq.km and with at least 75 per cent of the male
working population engaged in agriculture and allied activities would
quality as rural. According to this definition, there are 6.38,000 villages
in the country. Of these, only 0.5 cent has a population above 10,000
and 2 per cent have population between 5,000 and 10,000. Around
50 per cent has a population less than 200.

Interestingly, for FMCG and consumer durable companies, any territory

that has more than 20,000 and 50,000 population, respectively, is rural
market. So, for them, it is not rural India which is rural. According to them,
it is the class-II and III towns that are rural. According to the census of
India 2001, there are more than 4,000 towns in the country. It has
classified them into six categories-around 400 class-I towns with one lakh
and above population (these are further classified into 35 metros and rest
non-metros), 498 class-II towns with 50,000-99,999 population, 1,368
class-III towns with 20,000-50,000 population, 1,560 class-IV towns with
10,000-19,999 population. It is mainly the class-II and III towns that
marketer's term as rural and that partly explains their enthusiasm about
the so-called "immense potential" of rural India.

WHAT IS RURAL MARKET?

Rural market

One having population of less than 5,000;

75% of male population engaged in agriculture;

2/3 of a country’s consumer lives in rural area;

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 50% of national income is generated by the rural population;

Bulk of India population live in villages. With the increase in purchasing power
and the demand for wide variety of products by the farmers, the rural
market offers new and greater opportun8ities to manufactures of several
consumer and industrial products in India. But to tap this vast expanding
market, companies need to develop effective marketing and advertising
strategies based on their study and understanding of rural consumer
behavior.

Characteristics of rural market

The rural market of India consists of about 80% of the population of the
country. Apparently therefore, in term of the number of people, the Indian
rural market is almost twice as larger as the entire market of U.S.A or
U.S.S.R. the market is not only large, but very much scattered
geographically. It is also as diverged as it is scattered it exhibited
linguistic, religion and cultural diversities and economic disparities, and
hence it can easily be considered as more complex than the market of a
continent as a whole.

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The market is generally undeveloped as the people who constitute the market
are so. Poor standard of living, low per capital income and economic,
social and cultural backwardness are the characteristics of the market.
The literacy level is generally law even though this varies from one art of
the country to the other.

Another important feature of the rural market is that, at least in the present
contest, it is largely agricultural oriented.

Here again the much heard of “green revolution” and the resultant prosperity
is confined to a few select areas in the country. As a consequence, the
effective demand based for a large variety of consumer items as well as
the wealth generating inputs is confined to selected pockets and not
spread over the rural markets

Rural Trends in India

Tends indicates that the rural markets are coming up in a way and growing
twice as fast as the urban, witnessing a rise in sales of hitherto typical
urban kitchen gadgets such as refrigerators, mixer-grinders and pressure
cookers. According to a National Council for Applied Economics
Research (NCAER), study, there are as many 'middle income and above'
households in the rural areas as there are in the urban areas. There are
almost twice as many 'low middle income' households in rural areas as in
the urban areas. At the highest income level there are 2.3 million urban

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 households as against 1.6 million households in rural areas. According to
Mr.D.Shiva Kumar, Business Head (Hair), personal products division,
Hindustan Lever Limited, the money available to spend on FMCG (Fast
Moving Consumer Goods) products by urban India is Rs.49,500 cores as
against is Rs.63,500 crores in rural India.

As per NCAER projections, the number of middle and high-income

households in rural India is expected to grow from 80 million to 111
million by 2007. In Urban India, the same is expected to grow from 46
million to 59 million. Thus, the absolute size of rural India is expected to
be double that of urban India. Rural income levels are largely determined
by the vagaries of monsoon and, hence, the demand there is not an easy
horse to ride on. Apart from increasing the geographical width of their
product distribution, the focus of corporate should be on the introduction
of brands and develop strategies specific to rural consumers. Britannia
industries launched Tiger Biscuits especially for the rural market. An
important tool to reach out to the rural audience is through effective
communication. A rural consumer is brand loyal and understands
symbols better. This also makes it easy to sell look-alike. The rural
audience has matured enough to understand the communication
developed for the urban markets, especially with reference to FMCG
products. Television has been a major effective communication system
for rural mass and, as a result, companies should identify themselves
with their advertisements. Advertisements touching the emotions of the
rural folks, it is argued, could drive a quantum jump in sales.

RURAL MARKETING OF BRTANNIA TIGER BISCUTS

Biscuit Industry’s general market penetration in Rural & Urban areas:

In Urban Market: 80% to 95%

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Rural Market: 65% to 80%

BRTANNIA COMPANY:

Britannia Industries Ltd is an HACCP ISO 9000/9001/9004/19011: 2000 and

ISO 14000/14001 certified company.

One of India's best known brands and also one of the most admired Food
Brands in the country. The Britannia brand is all about eating healthy for
leading a better life. Largest company in the Indian Food processing
industry whose product range also includes Breads and Cakes.

Manufacturing and sourcing locations spread across the length and breadth of
the country Pan-India presence with a coverage of tens of thousands of

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 outlets and having one of the strongest distribution networks in the
country. Exporter of key biscuit brands enjoying brand loyalty in export
markets.

The Company is in the manufacturing and selling of biscuits, bread, rusk,

cakes and dairy products like cheese, butter and milk. The brand names
of biscuits are:

• Marie Gold
• Treat
• Maska Chaska
• Good Day
• Milk Bikis
• Pure Magic
• Tiger

Let us see here about the Brand Tiger Biscuits.

PRODUCT:

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Britannia Industries Ltd is the manufacturer of Glucose Britannia Tiger Biscuit.
Tiger is a Glucose biscuit, which comes with the added goodness of
wheat and milk symbolizing fun and energy. It is mainly for modern
mothers who play an important role for their children to compete in
today’s world and thus want them to be best. It has been fortified with
"Iron Zor" addressing the Iron Deficiency crisis the children face.

Tiger Biscuit as a Brand it symbolizes Strongness, Smartness and Energetic

TARGET AUDIENCE:
This product is not targeted only for one group of people. It is targeted for
everyone as a whole. This is consumed by people of all ages, living from
rural to urban area. It is viewed as a best companion for Tea & Coffee.
For elderly it is given as a energy booster. Even it is provided as a meal
for pets in home. Thus it is a product liked by everyone and targeted to all
groups and parts of the market.

MARKETING STARTEGY

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Not compromising in Quality:

Consumers generally prefer to good quality products rather than a poor quality
one. With respect to the edible items, consumers never compromise in
the quality. This should be well understood by an marketer like Britannia
which stands in market for many decades for its best quality products and
the commitment towards it from the beginning.

Customer Orientation:

Customers are the backbone of any organization. In order to grow as a giant

in the market, marketer needs to retain its old customers and develop its
new customers too. Britannia has many loyal customers since long back
and also even today’s generation also well aware of this product and
brand.

Competitor Analysis:

Britannia Tiger Biscuit has major competitors like Parle-G and Horlicks
Monaco. As we all know, these is a heavy competition persists in market

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 among these brands as they are almost fall in same price, quality &
quantity range. Thus the marketer should also be able to keep track of
competitors move and forecasting their next steps.

PRICING

Tiger biscuits since from its introduction stage to the market, it is following the
low cost method (Market Penetration stage). The price is low but the
brand is intended to attract a large market. This shows that the Marketer
is very clear about the brand’s objective keeping the competitor’s in mind.

The Cost of a Tiger Biscuit is just Rs.3.

However, in later stages the company introduced in range Rs.25.

Tiger Biscuits still maintain its 3 Rs/- packet in the active markets.

PLACE

Britannia as a Brand as a wide range of distribution network and this is a

major strength for Tiger biscuits. It is even available in all places of India
including the remote villages’ i.e. rural area. For continuous services of
this distribution, the company also established its manufacturing units all
over India. This facilitates for uninterrupted distribution of the product
even to rural areas.

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PROMOTION

Advertising:

This product is advertised mainly through media ads. The message of the ad
was about the Energy and strength retrieved by usage of this product.
Also they mentioned the low price so that rural consumers will also be
attracted. They also included celebrities in their ads.

These ads are repeatedly telecasted in all regional channels during the prime
time.

Sales Promotions:

Special offers and discounts were given to retailers and employees every
year.

Public Relations:

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“Britannia Khao World Cup Jao” - promotion was for 3 months which
promised 3 days trip to UK to watch World Cup.

SLOGANS:

For this Tiger brand, they used a catchy slogan “Eat Healthy Think Better”

CONCLUSION:
From the market share percentage and sales every year and by carrying good
values, undoubtedly Britannia stands as a market leader in urban and
rural area. The strategies used by the company shows they are goal
oriented and they stand as no.1 in market as well.

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