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  • Writer's picturebwanatrading

Untapped India the next Frontier for Growth-

As described by Adi Godrej, Godrej Group "The rural consumers is discerning and the rural market is vibrant. At the current of growth, it will soon outstrip the urban Market. The rural market is no longer sleeping but we are."

Rural marketing is on evolving concept and as a part of any economy has untapped potential, marketers have realized the opportunities recently. Mainly it can be said that improvement in infrastructure and reach promise a bright future for those intending to go rural. Nowadays, rural consumers are keen on branded goods, so the market size for products and services seems to have beergwned .

The concept of rural marketing in Indian Economy has always played and influential role in the lives of people. In India, leaving out a fews metropolitan cities, all the Districts and Industrial Township are connected with rural markets. The rural markets in India generate bigger revenues in the country as the rural regions comprise of maximum consumers in the country. The rural market in Indian Economy generate almost more than half of the countries income. Rural marketing can be classified under to broad categories:-

(1). Markets for consumer goods that comprise of both durable and non-durable goods.

(2). The markets for agricultural inputs that include fertilizer, pesticides, seeds.

The concept of rural marketing in India is often been found to form ambiguity in the mind of the people who think rural marketing is all about agricultural marketing. However, rural marketing determines the carrying out business activities bringing in the flow of goods from urban sectors to rural region of the country as well as the marketing of various products manufactured by the non-agricultural worker from rural to urban areas.

Marketers are following the strategy to

Go Rural

” because of the above attractions in the rural market

(1). Large population- As per the census 2011, approximately 70% of India’s populations; equaling 12% of world populations lives in 6, 49, 481 villages which is spread over 32 sq. km.

Rural per capita consumption expendition grew by 11.5% while the urban expenditure grew by 9.6%. There is the tremendous potential for consumer durables like two wheelers, small cars, television sets, refrigerators, air conditioners and household appliances in rural India. But it must be noted that rural market is not homogeneous across the country. It varies place to place due to vast ethnic diversity.

(2). Increased Income- Using the modern technologies and advanced equipments, farmers have increased their income which motivate them to improve their livelihood by purchasing a good quality product and thus, the marketer gets an opportunity to enter into the rural market.

(3) Competition in Urban Market- Today business has no longer existence in Urban Market due to enormous competition in a limited and dense populated surroundings. In metro cities and urban areas people are well aware of the goods and services and have created a brand loyalty. Therefore, it is the best opportunities for the marketers to move to the rural market for intense completion and generate revenues from the untapped areas.

(4) Improved Infrastructure facilities- Now transportation and telecom sectors have enabled the marketers to access the rural market and promote his goods and services easily.

(5) Saturated Urban Market- Almost for all the times after independence markets and business have spread over the limited ambit of Urban areas. So, urban area’s development has reached to its saturated point and there is limited scope left regarding need and development. Today’s urban market is well stuffed with the products and the consumers are not likely to make a frequent purchase due to the varied options available in the market.

(6) Support of Financial Institutions- Several Financial Institution like banks, cooperative sectors, Government Plan like Mudra Yojna for providing loan facilities are making easy business environment in rural areas.

(7) New Employment Opportunities- The government is keenly working for development in the rural areas to engage the people in other activities apart from the agricultureoccupation.

These above all are the potential in the rural areas, so that marketers can focus more on the needs and desires of the people living here.

Ultimately “Rural marketing is a process of developing, pricing, promoting, and distributing rural specific goods and services leading to desired exchange with rural customers to satisfy their needs and wants, and also to achieve organizational objectives”.

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