abhishreshthaa
Abhijeet S
Profile of the rural consumer:
1. Size of the Rural Consumer:
The size of the rural consumer group can be understood from the following details provided in the table:
Population of India
Rural v/s Urban: 1971, 1981, 1991 and 2001
Population Total % Total % Total % Total %
1971 1981 1991 2001
Rural Population 43.90 cr 82 50.20 cr 76.3 64.1 cr 76 74.2 cr 72.3
Urban Population 10.91 cr 20 15.62 cr 23.7 20.3 cr 24 28.5 cr 27.8
Total Population 54.81 cr 100 65.82 cr 100 84.4 cr 100 102.7 cr 100
Rural population forms a major portion of the Indian population as seen in the table. If we consider the state level picture, in several states like Uttar Pradesh, Rajasthan, Madhya Pradesh and Kerala, the rural population constitutes more than 80% of the total population. In states like Bihar and Orissa 90% of the population is in rural areas.
2. Location Pattern of Rural Consumer:
The urban population of India is concentrated in 3200 cities and towns and the rural population is scattered over 6, 38,365 villages. Statistics shows that out of the 6,38,3645 villages have populations of more than 5000 persons each. About 55% of the villages have population in the range of 500 people or less.
The influence is clear, rural demand is scattered over a large area, unlike the urban demand, which is highly concentrated.
3. Literacy Level:
It is estimated that there are 23% literate in rural India as compared with 365 of whole country. The rural literacy in the rural area is on an increase. Among the rural population Kerala tops with 77%.
The literacy rate has its implication in communication with the rural population. It appears that communication should not prove a hurdle, provided appropriate means are chosen.
4. Rural Income:
An analysis of the rural income pattern reveals that nearly 60% of the rural income is from agriculture. Rural prosperity and the discretionary income with rural consumers are directly tied up with agricultural prosperity. The pre-dominance of agriculture in the income pattern has one more significance-rural demand is more seasonal.
5. Rural Savings:
The rural consumers have been drawn into the saving habit in a big way. The commercial banks and the co-operative have been marketing the saving habit in the rural areas for quite some years. Today nearly 70% of the rural households are saving a part of their income.
The habit is particularly widespread among salary earners and self-employed non-farmers.
6. Significant Aspects:
It can be seen in general sense low purchasing power, low standard of living, low per capita income, low literacy level and overall low social and economic positions are the traits of the rural consumers.
By and large, the rural consumers of India are a tradition bound community; religion, culture and even superstition strongly influence their consumption habits.
1. Size of the Rural Consumer:
The size of the rural consumer group can be understood from the following details provided in the table:
Population of India
Rural v/s Urban: 1971, 1981, 1991 and 2001
Population Total % Total % Total % Total %
1971 1981 1991 2001
Rural Population 43.90 cr 82 50.20 cr 76.3 64.1 cr 76 74.2 cr 72.3
Urban Population 10.91 cr 20 15.62 cr 23.7 20.3 cr 24 28.5 cr 27.8
Total Population 54.81 cr 100 65.82 cr 100 84.4 cr 100 102.7 cr 100
Rural population forms a major portion of the Indian population as seen in the table. If we consider the state level picture, in several states like Uttar Pradesh, Rajasthan, Madhya Pradesh and Kerala, the rural population constitutes more than 80% of the total population. In states like Bihar and Orissa 90% of the population is in rural areas.
2. Location Pattern of Rural Consumer:
The urban population of India is concentrated in 3200 cities and towns and the rural population is scattered over 6, 38,365 villages. Statistics shows that out of the 6,38,3645 villages have populations of more than 5000 persons each. About 55% of the villages have population in the range of 500 people or less.
The influence is clear, rural demand is scattered over a large area, unlike the urban demand, which is highly concentrated.
3. Literacy Level:
It is estimated that there are 23% literate in rural India as compared with 365 of whole country. The rural literacy in the rural area is on an increase. Among the rural population Kerala tops with 77%.
The literacy rate has its implication in communication with the rural population. It appears that communication should not prove a hurdle, provided appropriate means are chosen.
4. Rural Income:
An analysis of the rural income pattern reveals that nearly 60% of the rural income is from agriculture. Rural prosperity and the discretionary income with rural consumers are directly tied up with agricultural prosperity. The pre-dominance of agriculture in the income pattern has one more significance-rural demand is more seasonal.
5. Rural Savings:
The rural consumers have been drawn into the saving habit in a big way. The commercial banks and the co-operative have been marketing the saving habit in the rural areas for quite some years. Today nearly 70% of the rural households are saving a part of their income.
The habit is particularly widespread among salary earners and self-employed non-farmers.
6. Significant Aspects:
It can be seen in general sense low purchasing power, low standard of living, low per capita income, low literacy level and overall low social and economic positions are the traits of the rural consumers.
By and large, the rural consumers of India are a tradition bound community; religion, culture and even superstition strongly influence their consumption habits.