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Branding correlates with Image Building in an organization vis-à-vis its products

produced/services rendered. In the vicinity of today's Marketing scenario along with


advancement in technology, Brand Management is the order of the day. In the process of
branding, the aspect of brand activation at ATL (above the level) and BTL (below the level)
makes a vital contribution for the marketing journey.

To attain a safe platform in Brand activation, the Marketing Managers pay attention and
focus in a diligent manner on the value based credentials of the users in the Marketing
arena. A full-fledged dedicated team with multi focused thoughts only can do the needful for
the successful brand management.

Good branding strikes a chord with viewers help them relate with the product and reflect
their aspirations.

The research approaches to get at brand objective.

1. Word Associations:

While using the logo, hoardings and exhibits, suitable jargons have to be deployed in the
word association. People can be asked what strikes in their mind when they hear the
brand's name. 

2. Personifying the Brand:

Visual control mechanism plays a vital role in identifying the brands in terms of
personification. People can be identified the brands when seeing the visual pictures
described.

3. Laddering up to find the brand essence:

Brand essence relates to the deeper, more abstract goals consumer and trying to satisfy
with the brand. The attribute, a functional benefit and an emotional benefit brand essence
constitute a technique known as laddering up.

Brands are increasingly getting more entwined with our lives. The debate today is not as
much about 'why branding' as above defining a meaningful role for a brand in the
consumer's life.

FLOW CHART ON BRANDING PROCESS

BRAND

Views of the Expertise:

The theme addresses of the Confederation of Indian Industry (CII) Brands submit


2005. Pointed out, this increasing clutter in the market place and the changing consumer
dynamics have thrown up a new set of challenges for marketers-of accruing, retaining and
sustaining the relationship with the consumer.

A leitmotif of this is  that  the  consumer is at the center of all brands do, or at least need to
do.

Dr. Erich Joachimsthaler, CEO, Vivaldi Partners and co – author with David Aaker of the
seminal bookbrand leadership, says that this no longer means mere lip service on the
part of the marketers. As he points out, perhaps to many a brand marketer's chagrin,
brands don't occupy much mind space. In consumers, but revolves around other interest in
their lives. Now as he says it's up to companies to develop products that fit in to consumers'
lives rather than develop products, which they think consumers will prefer.

Prof. Ramaswamy says consumers are no longer passive beings that who will accept what is
doled out to them as a product and service. Consumers today are seeking to  "co-create"
their experience of a product or service with a company. This puts traditional business
models in a bind and also has implications for companies' brands.

The next decade is expected to be quite cataclysmic for brands and an article by
D.Shivakumar, ED of Philips India, captures the essence of the changes that are being
wrought. But the refrain is the same. To manage and succeed in tomorrow's Brand world,
marketing teams would need to be far more right brained than left brained they need to be
more consumer connected and responsive than ever before. Speed, smart thinking and
sensitivity will be the skill set of the marketer. An office desk will be a bad place from which
to manage the future brand, says a clairvoyant Shivakumar.
Why Branding:

* Separate your brand from your competitors in a unique way


* Relevant and motivating to your customers
* Prospects and channels-it gives you value and make you special.
* Enhance your perceived value, there by supporting premium pricing, sheltering you from
low price competition.
* Contributing to share holder value.
   (Companies like Morgan Stanley look to evidence of brand strength in setting buy
ratings.)
* Provide resilience in times of negative press.
* Enable you to launch new products more quickly and cost effectively

Successful Branding:

As branding can make or break a product, marketer should handle it with the same concern
as the artisans show in their work. All the activities that are taken under the umbrella of a
brand add to or subtract from the value. The customer's evaluation of a brand is a result of
all the consumer experiences he has had with the brand. Consumer experience includes
product, services, personal contacts, advertising, promotions, word of mouth, etc.

This mix of memories, which are built up over a long time, makes the brand potentially the
most powerful liver of the intangible perceived values. After all the first thought that comes
to the mind of the customer prior to the purchase of the product is 'who has made it', if that
brand has good reputation, it raises the level of confidence on the part of the customer to
buy the product.

India's USP

India is shining then! India is Unique in many ways. A population that is large,
heterogeneous, largely English speaking and a cultural heritage that runs back to thousands
of years. India is young. India is vibrant. The major segmentation of mass population is
located in rural area. So, the market potential is large in number. So we can expect the
market strength in rural area. Now, the educational Institutions are also concentrating on
rural marketing and doing market research in rural places. Rural markets are rapidly
growing in India but have often been ignored by marketers. Most of them are remote-fully
ignorant due to the reason of diversification of products produced thereby slitting into
disposable income.

A glance at the following statistics will help you get a fair idea of the consumers in Rural
India:

* 46 percent of soft drinks


* 49 percent of motorcycles
* 59 percent of cigarettes
* 18 million TV Sets
* 50 percent of 2 million BSNL mobile connections
* 53 percent of FMCG products 
* 59 percent of consumer durables are sold in rural India.
Some facts about the rural sector:

* There are nearly 42,000 rural haats (Super Markets) in India 


* In 2002 – 2003, LIC sold 50 percent of its policies in rural India
* Of the 20 million who have signed up for Rediffmail, 60 percent are from small towns 
* Of the 1,00,000 souls that have transacted on Rediff's shopping site, 50 percent are from
small towns
* The 30 million Kisan Credit Cards (KCC) issued so far exceed the 25 million credit-plus-
debit cards issued in urban. A whopping Rs. 65, 000 crore has been sanctioned under the
KCC scheme.
* Electricity Consumption increase from 17.6 percent in 1980 – 81 to 20.2 percent in 1999
–2000. During the same period, the industry share has dropped from 58.4 percent to 34.8
percent.
* Hindustan Lever, the largest FMCG Company in the country. More than half of its annual
sales of Rs.11, 700/- crore come from the rural market.
* The proposed agricultural reforms in the tenth plan, the easy availability of agriculture
credit Rs 60,000/- Crore Village road programme introduced recently to connect 1,90,000/-
village and the improved communication network (STD and Mobile).

Branding strategy in rural place.

a) Rural Product Development:

The rural market is a fast growing one and has a huge population with a great level of
disposable income. To encash this, products have to be specifically developed to meet the
needs of rural markets. Sometimes, existing products might have to be modified to suit
these markets too accordingly.

Rural product development has the strong edifice on a great deal of research like feasibility
studies, rural aspiration, rural profiling and so on. This paves way for a great deal of
infrastructure and expertise in this area.

b) Rural Branding

Rural branding bears quite different stand from urban branding. The first step towards rural
branding is to research and gain insight into the working of rural markets. Based on this
communication campaigns have to be developed with a lot of rural sensitivity.

Rural branding is attained by way of opting to a greater percentage of local media and a
smaller percentage of the mass media. Rural gatherings like temple festivals, melas, cinema
halls and so on can be used as venues to promote brands. Direct Marketing and events like
road shows; film shows, melas, street theatre can also be used to promote brands.

A well-planned rural branding campaign cannot just create brand awareness but help your
target relevant to your brand and promote sales. A long-term campaign will keep your
brand at the top-of-the-mind and build brand loyalty. So the brands are in safe hands.

c) Rural Market Research

Rural markets behave most differently from urban markets. While many marketers have
tried to market their products in rural areas, just a handful of the same only has succeeded.
A strong insight into rural consumer behavior and sensitivity to their values and beliefs is
essential; to upgrade the rural market rural market research encompasses not just
gathering data but analyzing them and linking the findings to promoting your products.

d) Rural Communication Campaigns:

Communication for rural markets calls for a different kind of outlook. There must be a
strong accent on helping the target relate to the message.

The entire communication and media strategy has to devise a system based on research
findings. These have to be developed in the regional vernacular languages and set in the
local culture for easier acceptance and reach. Unlike communication campaigns in urban
areas that rely greatly on the mass media, the strategy will be of crying in the wielderness
in rural areas. Besides mass and outdoor media, rural extravaganza like temple festivals,
melas and other events where the villagers come together can be used for promotions.

e) Rural Events:

In the rural context, one of the best ways to capture the attention of the audience is
through Event-management. Since rural areas have limited venues for entertainment,
conducting an event in rural areas can bring a good response.

A well-planned event can get the product the mileage that we want. Some of the interesting
events that can be conducted are Road Shows, Melas, Street-Theatre, Film Shows and so
on. These make a visually strong impact and build long term brand recall. Rural public are
the target audience and hence the portfolio of event management has to be handled
professionally with diligent care and broad perspective.

f) Rural DM Campaigns:

Direct Marketing (DM) is one of the most powerful way to meet the target on their turf and
build product awareness as well as promotion. The success of any DM campaign depends on
the field workers and their sensitivity and emotional connectivity to rural markets.

In the area of Direct Marketing, rural team has to be trained, to be sensitive to rural culture
and beliefs. They can handle activities like Door-to-Door sampling, marketing and product
promotion. These activities can also be carried out innovatively at places like local cinema
halls, melas and festivals, in the midst of cross-cultural gatherings and conglomerations.

g) Database Creation & Management:

Marketing, branding and promotional activities in the rural context can be highly effective
and thereafter have to create a database of prospects. The question is how will you source
this critical data? The data will contain details of your target segments at the village level /
town-level. This data is essential for us to reach our target accurately and helps our
marketing plan and communication strategies. Management Information System along with
Database management paves ways  for a congenial rural marketing through the information
and data available for effective interpretations and use. 

There are seven C's steps for brand positioning:


1. Capacitate:

Understand the company history, its products, top management's objectives their view of
the market and their commitment to branding. So, our brand should capacitate in the
customer's mind. The mind-sets of the customers shall congenially work out the strategic
goals and action plan thereupon to ameliorate the situations prevailing in the rural market.

2. Cabochon:

Our brand is the achievable, differentiating, compelling, attractable, and for long run. The
pragmatic approach in the marketing field in such way to differentiate/ discriminate, identify
the branding activity in an achievable manner for long run.

3. Caesarism:

Our brand is unique, creative, are catchy, asked question forever "do I brand or do I sell
product,"Answer: 'yes' to both. Caesarism literally means the creative and unique thought,
ideas and actions in a catchy manner to penetrate the customers' mind regarding the brand
of the products in the selling –buying process.   

4. Cameraderic:

By learning from environment be strong enough to make changes as needed, yet have the
faith and courage to be patient and let your marketing programs build your brand. It is
friendly in nature and branding program is creating awareness, attitude shift etc. The trust
worthiness and consensus of minds prevailing between the market personnel and
customers/consumers will largely contribute to the attitudinal pleasure.

5. Calibre:

Obtain feedback by setting up a response analysis system for individual media, as well as
tracking system to measure effectiveness of marketing investments where they are best
tested in the market. Efficiency and effectiveness, the two extreme scales in a continuum of
the rural market shall develop the calibre of the members present in the game of Direct
marketing in rural marketing. 

6. Clincher:

Incorporate consistency in media scheduling, adequacy of spending levels and extend brand
message across products and campaigns. Don't just plan a launch campaign for short period
and then 'Go dark' for the balance of the period. Our customer should demand for a
particular brand campaigning, media scheduling, etc shall incorporate the brand activation
at ATL and BTL.

7. Catagorize:

The company's should outline very exact specifications of what they hope to accomplish.
The company has to invest often in emerging technologies and services simply because
what all the customers earnestly believe will eventually set a standard. The company can
predict the outcome, should do professional services and introspection, long term vision,
and initiate steps to dedicate for the customers. Virtually speaking, "categorize", the
seventh step will be the gate-way for customers as well the marketer in the journey of
brand positioning.  

Introduction

Indian Marketers on rural marketing have two understanding (I) The urban metro products
and marketing products can be implemented in rural markets with some or no change. (ii)
The rural marketing required the separate skills and techniques from its urban counter part.
The Marketers have following facilities to make them believe in accepting the truth that
rural markets are different in so many terms.

(i) The rural market has the opportunity for.

(ii)  Low priced products can be more successful in rural markets because the low
purchasing, purchasing powers in rural markets.

(iii)  Rural consumers have mostly homogeneous group with similar needs, economic
conditions and problems.

(iv) The rural markets can be worked with the different media environment as opposed to
press, film, radio and other urban centric media exposure.

How does reality affects the planning of marketers? Do villagers have same attitude like
urban consumers? The question arises for the management of rural marketing effects in a
significant manner so than companies can enter in the rural market with the definite goals
and targets but not for a short term period but for longer duration. The Research paper will
discuss the role of regard. The strategy, which will be presented in the paper, can be either
specific or universally applicable.

Realities before the Marketers


70% of India's population lives in 627000 villages in rural areas. 90% of the rural
population us concentrated in villages with a population of less than 2000, with agriculture
being the main business. This simply shows the great potentiality rural India has to bring
the much - needed volume- driven growth. This brings a boon in disguise for the FMCG
Company who has already reached the plateau of their business urban India.

As per the National Council for Applied Economic 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' lower middle income' households in rural areas as in
the urban areas. At the highest income level there are 2.3 million urban households as
against 1.6 million households in rural areas.  According to the 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 India is expected to be doubles that of urban India.

HLL chairman MS Banga Says, "This exercise may not pay in the immediate future, but will
definitely give long-term dividends. Incidentally, over 50 percent of the sales of HLL's fabric
wash, personal wash and beverages are in rural areas. And we see a future in going rural in
a major way".

The improved agricultural growth is expected to boost rural demand, through not at too
sizzling a rate. Moreover, the price drop in personal products, after the recent excise duty
reductions, in also expected to drive consumption. "Better agricultural yields will give
farmers more spending power, making the rural markets bullish," says an analyst.

As a result, HLL has planned a rural marketing program that is expected to result in a
marked growth in the consumption of the company's products in the rural market. HLL will
adopt three-pronged marketing strategy- new price points, sizes and awareness campaigns
for its detergents and soaps segment to augment rural growth.

The Indian established Industries have the advantages, which MNC don't enjoy in this
regard. The strong Indian brands have strong brand equity, consumer demand-pull and
efficient and dedicated dealer network which have been created over a period of time. The
rural market has a grip of strong country shops, which affect the sale of various products in
rural market.

The companies are trying to trigger growth in rural areas. They are identifying the fact that
rural people are now in the better position with disposable income. The low rate finance
availability has also increased the affordability of purchasing the costly products by the rural
people. Marketer should understand the price sensitivity of a consumer in a rural area. The
small sachet packs are the examples of price sensitivity. Colgate has done this experiment
with launching of sachet packs for rural markets.

Research Objectives

The research paper consist of following objectives:

(i) To analyze the present promotion strategy of few brands in rural markets.

(ii) To measure the success of rural marketing campaign of few brands in Terms of
consumer appreciation.
(iii) To study the determinants of specification factors which can decide the success the rural
promotion strategy.

(iv) To evaluate the effects of adopting the specific brand ambassadors in the rural
marketing context.

(v) To present suffocate on above-mentioned objectives.

Review of Literature

The Marketing Mastermind (2003), Hindustan Lever rural marketing Initiatives by "A
Mukund" Marketing Mastermind has given the perspectives in which HLL has approached
towards rural markets.

The Economic Times (2003), "The rural market likes it strong" the strength of rural markets
for Indian companies. Financial express, June 19, 2000 has published the strategy about
FMCG majors, HLL, Marico Industries, Colgate Palmolive have formula had for rural markets.

Research Modus Operandi and Design

The research methodology for this research work is based on the survey technique. Few
brands like Coca-Cola, BPL, Asian Paints have been chosen to conduct the research work.

The Gram Panchayat areas have been selected on random basis from the list of available
Gram Panchayat. The four-Gram Panchayat have been short-listed and 60 respondents have
been selected in each Gram Panchayat so the total sample size N = 240.

The respondents were organized in a group and asked about their views on following
advertisement actions and theme.

1) In case of Coca-Cola how does the role of Aamir Khan affect the rural consumers? 

2) In case of BPL Television how does Amitabh Bachchan give the impression about BPL
Brand

3) How does the advertisement of Asian Paints with the Slogan "Sunil Babu" influence the
rural consumers

The research design applied for this purpose is experimental with descriptive. The
experimental design was suitable as the rural consumers fell interest about it and
descriptive design depends on the explanation past about the campaign of these Brands.

Conceptual Framework

Given the Literacy scenario in to consideration the promotion of Brands in rural markets
requires the special measures. Due to the social and backward condition the personal selling
efforts have a challenging role to play in this regard. The word of mouth is an important
message carrier in rural areas. Infect the opinion leaders are the most influencing part of
promotion strategy of rural promotion efforts. The experience of agricultural input industry
can act as a guideline for the marketing efforts of consumer durable and non-durable
companies. Relevance of Mass Media is also a very important factor. Door Darshan had
already acquired high penetration in rural households.

Now the cable and other Channels have also penetrated in rural households. The
newspapers and other printed Media are also gaining strategy but their role is still
secondary in this regard.

Results and Discussions

The field exercise has given the various inputs about the rural consumers. This experience
was unique from a marketer's point of view that the companies must have a proper
understanding of rural marketing environment at a region wise basis. The data has
tabulated in following manner. Advertisement of Coca-Cola (Acceptability pattern)

Contents Favor Non-Favor No Comment


Language and content of Ad. 72% 20% 8%
Back ground effect of Ad. 50% 20% 30%
expressions and communication styles of Aamir Khan 85% 15% -

The Ad plays an important role for giving boost to rural consumers feeling. The feeling plays
very important role. The Language and content (72%) and expression style of Aamir Khan
(85%) play significant role.

BPL advertisement 

Contents Favor Non-Favor No Comment


Amitabh Bachchan as a brand Ambassador 75% 20% 5%
The Action style of Amitabh Bachchan 65% 30% 5%
The language of Ad. 62% 20% 18%

Amitabh Bachchan is a leading player in the ad feature. The Action style of Amitabh
Bachchan is a very delighted factor for rural Consumers.

Contents  Favor Non-Favor  No Comment


Style of Presentation 77% 20% 3%
The concept of ad. 65% 20% 15%
Interesting and delightful Ad. 63% 17% 20%

Style of presentation plays an important role. 77% is a high figure as this affects the whole
creativity aspect of any ad. The total concept and delight fulness is a strong factor for this
ad. Different Modes of promotions in rural market.

Modes Favor Non-Favor No Comment


Hats 65% 30% 5%
Wall Paintings 40% 53% 7%
Melas 65% 20% 15%

Hats and Melas play a very important role in this regard. The 65% response in favor of this
is an indicator of this.
Suggestions

1) Rural consumer environment must be understood before the creation of ad.

2) Rural mindset accepts the brands easily, which are close to their culture. This point must
be reflected in ad for rural markets. 

3) Sponsorships to the Melas and Hats must be considered in a significant manner.

4) Selection of brand ambassadors, lyrics must not be ignored in this regard.

They have a special liking for folk culture so this can be taken in an effective utilization of
brand promotions.

Conclusions

The following conclusions could be drawn:

1) The Language and content must be according to the suitability of rural environment.

2) Background figures are also a deterministic factor.

3) Admissibility of brand ambassadors plays an important role in this regard.

4) Special promotion measures are the strong applicable factors in this regard.

Products and Uses

Before a company considers entering the rural market, understanding the types of products
and packages that rural Indians typically use is crucial. 
For example, urban Indian consumers would typically use toothpaste for brushing their
teeth, while most rural Indians prefer using tooth powder . 
As a company seeking to enter India's market with an oral care product, this would be an
important fact to know and consider during both the product and package development
stages. Similarly, Hindustan Unilever Ltd. (HUL), the Indian subsidiary of Dutch-based
Unilever, discovered that rural Indians tend to use the same soap for washing everything
from hair to their bodies to clothing (if they use any soap at all). Because HUL manufactures
products including various soaps and detergents, HUL product and packaging development
processes have taken this rural habit into account by designing all-in-one soaps. By taking
into account the low disposable incomes and the unique product and package needs of this
market, consumer products that are designed and packaged for this market have great
potential.

Any company starting to venture in rural Indian market must have to look into these
aspects and after that, schedule their next steps, because one-step wrong from their side
can ruin their whole brand image in other parts of the country also.

MNC’s like Coca-Cola have tried to customize their offering by introducing “chota-coke” costing 5 rupees.
Ironically though purchasing power in rural India is growing but related infrastructure, like water & electricity has
not kept pace with that. To overcome this phenomenon, washing machine manufacturers have introduced
washing machines which will keep working even if there is no facility of running water though it’s another story
that some of these machines were used to churn curd and prepare buttermilk.
Buying behavior of the rural consumer is subservient to varied factors and is different from urban consumers in
many ways. Firstly majority of rural consumers stay in a joint family and most of the purchase decisions are
taken by elders. Secondly lack of knowledge of product usage by semi literate population hinders market
penetration, like Lux soap being used in rural areas for washing hair. Thirdly and the biggest challenge in rural
markets, other than resources and economic condition, is the traditional mindset to buy things which are
according to their cultural setup. Fourthly, being a closely knit community, opinion-leadership plays a very
important role in purchase decisions in rural areas, making publicity through advertisementalmost redundant.
Sarpanch is one such opinion leader who can influence rural consumer’s purchase decision. Idea Telecom
Company has used Abhishek Bacchan in one of the advertisements shown as a sarpanch just to have a
positive appeal among the rural customers.
Strategies for Improving Rural Marketing
Considering the environment in which Indian rural market operates and other related problems, need of the
hour is to evolve more effective strategies for rural marketing which would be in sync with rural physique. The
strategies discussed here though not universally applicable depend upon product characteristics, the targeted
segment of the rural market, the choice of the rural area and its economic condition.
Some of the typical characteristics which affect the rural market segmentation are land holding pattern,
irrigation facilities, progressiveness of farmers, cropping pattern; mix of enterprise, education levels, proximity
to cities/towns, sociological factors, occupation categories. Small and marginal farmers, agricultural labourers
and artisans form the largest segment in rural market (about 2/3rd) where as rich farmers constitute about one
third of rural market 
1 New product designs
A close observation of rural household items indicates the importance of redesigning or modifying products
consumed by rural population. The manufacturing and marketing companies can think in terms of new product
designs like small packs (e.g. sachets) specially meant for rural areas keeping their lifestyles in view.

2. Sturdy products
Sturdiness of a product is an important factor for rural consumers. The product meant for rural areas should be
sturdy enough to stand rough handling and storage. Nokia 1100 has positioned itself in the similar manner.
3. Brand name
The rural consumers being value for money customers are more concerned with the utility of the products.
Being mostly semi literate, a brand name and/or logo which can be easily remembered is very essential for
rural consumers
Pricing strategies
Pricing strategies are very much linked to product strategies. Some of these strategies are mentioned here.
1. Low cost/cheap products
Pricing strategy for rural market will largely depend upon scope for reducing price of the product to suit the rural
incomes and at the same time not compromising with utility and sturdiness of the product.
This is a common strategy being adopted widely by many manufacturing and marketing companies. Price point
can be kept low by small unit packing.
2. Avoid sophisticated packing
Adopting cheaper yet durable & aesthetic packaging can bring down the cost, as it is presently being done in
the case of biscuits. Some innovation in packaging technology is very necessary for rural markets.

3. Refill packs/reusable packaging


Such measures have a significant impact on the rural market as it helps in reducing price. Packaging material
used should preferably lend itself for reuse. An ideal example in this direction can be the packing of fertilizers.
Now companies have started packing fertilizers in LDPE or HDPE sacks, which are not only tamper proof but
also reusable for host of domestic chores.

4. Application of value engineering


This is a technique which can be tried to evolve cheaper products by substituting the costly raw material with
the cheaper one, without sacrificing the quality or functional efficiency of the product, for example in food
industry, 'soya protein is being used instead of milk protein. Milk protein is expensive while soya protein is
cheaper but the nutrition value is same. This technique yields itself for application in many engineering or
product designed areas so that the price can be kept at an affordable level.

 Distribution strategies
Most manufacturers and marketing companies have distribution arrangement for village with a population of at
least 5000 people. While it is -essential to formulate specific strategies for distribution in rural areas, the
characteristics of the product, its shelf life have to be kept in mind. Distribution strategies that are specifically
designed for rural areas are: through co-operative societies, public distribution system, multi-purpose
distribution centers, distribution up to feeder markets/mandi towns shanties/hat/jathras/melas, agricultural input
dealers etc.

 Promotion strategies
Mass media is a powerful medium of communication. It could be television, cinema, print media, and radio.
Other means of mass media available are hoardings/wall paintings, shanties/hats/melas, non-price competition,
special campaigns etc. Besides these, other mass media like hand bills and booklets, posters, stickers,
banners of the schemes etc.

 
 The ‘Go Rural’ mantra is the need of the hour for most of the companies to survive for a longer time in the
competitive market scenario. For decades, MNCs have sold modified products in India, a process widely
recognized as globalization. This strategy worked reasonably well with the more affluent urban consumers
whose behavior is somewhat similar to Western consumers. With growing rural purchasing power and the three
times larger population than urban, companies will need to develop appropriate products for this market. The
globalization or minor modification will not work as rural consumers are very different.
Rural marketing is an evolving concept, and as a part of any economy has huge tap able potential. Marketers
have long realized this opportunity. Improvement in infrastructure and reach, promise a bright future for those
intending to go rural.
With income levels rising rural consumers are keen on branded goods nowadays, so the market size for such
products and services seems to have burgeoned. The rural population has shown a trend of wanting to move
into a state of gradual urbanization in terms of exposure, habits, lifestyles and lastly, consumption patterns of
goods and services.
By 2012 it is expected that every village will be connected by an all weather road, every village will have
internet connectivity, and almost every home will have electricity and possess a mobile phone. This significant
improvement in rural infrastructure coupled with agriculture reforms already under way we can expect rural
markets to reach inflexion point. This will lead to an explosion in demand the way it happened in the urban
markets in the mid 90s as a result of easy consumer finance, a boom in the IT sector and steep increase in
corporate salaries. Companies are not anticipating this boom and many will be taken by surprise when it
happens.

Read more: http://www.bukisa.com/articles/367000_rural-marketing-the-go-rural-mantra#ixzz1EzRzgTlt

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