Factors considered while understanding potential for rural market for planning market

[vikram chawla]

What factors are typically considered while understanding potential for rural market for planning marketing effort?

With saturation (or perception there of) of urban markets, rural potential is being considered extensively for promoting products and services. The rural consumers are generally assumed to be more sensitive for promotions of products than that of services. May be because products are tangible and their need is felt immediately or in near future unlike services such as insurance and finance. Often these services' selling/promotion needs certain amount of customer awareness/education. In such a scenario a focussed customised approach is needed.

Can you please suggest some guidelines and factors to be considered while planning a marketing effort?

 

[dimpy.handa]

Some of the factors are as follow:
Large Population-The rural Indian population is large and its growth rate is also high. Over 70% India’s one billion plus population lives in around 627,000 villages in rural areas.
Rising Rural Prosperity- To drive home the potential of rural India just consider some of these impressive facts about the rural sector.
Growth in Market-The purchasing power in rural India is on steady rise and it has resulted in the growth of the rural market. The market has been growing at 3-4% per annum adding more than one million new consumers every year and now accounts for close to 50% of volume consumption.