Description
Rural Marketing
INTRODUCTION
India is a vast country with a high population. The population of is scattered far and wide in rural and urban areas. India has number of villages scattered around. Most of the markets in rural areas are not much developed. Many companies have tried to enter into rural areas and have also failed in some places because of inaccessibility, lack of communication systems etc. Marketing in rural areas is not easy as marketing in urban areas. In rural areas the availability of media is very less and also the language of communication differs from place to place. Rural marketing means marketing goods or services where proper infrastructure may not be available. The market in rural areas has a great potential for many companies because of rise in income of rural people due to higher prices available for agricultural products. In rural areas many unbranded or less famous brands products are available. The demand for different types of products have been increasing because of increase in literacy rate, media etc. Hence many companies are finding rural markets as the potential for their growth.
ABOUT COMPANY
Mr. Hemant mehta is a distributor and also proprietor of grocery shop. He is one of the distributors of the Amar toothpaste in rural areas. Mr. Hemant also runs a shop in Mumbai and also tried to sell the toothpaste here in urban areas but has failed miserably. So he mainly concentrated in distributing the product in rural areas only. Nutan Pvt. Ltd. Company is one of the small brand and suppliers of toothpastes in many rural markets India. They produce various types of toothpastes. Started in the year 1993, Nutan Pvt. Ltd is a trusted name engaged in the manufacture of toothpastes. The company mainly deals with toothpastes and has also diversified into other products like shampoos, soaps etc. The company faces competition from many small and big brands. Having experienced for around 12 years, Nutan Pvt. Ltd. Company is one of the small brands in toothpastes. Their toothpastes and other products are popular in many rural areas. They strive to ensure that every product satisfies customer’s needs and wants so that they can achieve complete satisfaction and loyalty. Over years, the company has tried to make their position in the rural market by diversifying and expanding in different areas.
PRODUCT
Many of the rural markets in India are still to be discovered by the big brands. Most of the products available in rural markets are unbranded or not much famous brands. Most of the people in rural India used the traditional system for cleaning their teeth. They mostly used babul sticks or neem sticks to clean. When the toothpaste entered in to rural areas people started using toothpastes. Most brands available in rural areas are of low brands. Nutan’s Amar toothpaste was also launched around 1993 in rural areas. The realized the need for toothpaste in rural areas and also about its future. The demand for toothpastes was also increasing and many big companies started entering the rural areas. As the demand increased many new products were introduced around 1994-95 by the company. Products like “Amar gel paste”, “Amar triple protection”, Amar flavored pastes, various type of tooth powder and many other types were introduced. They also provide toothpastes, which are rich in providing Calcium and minerals for teeth. Company’s basic product started was toothpaste; it then started offering different types of toothpaste and also entered into other products like soaps, shampoos and other products. Company provides high quality of toothpastes meeting the consumer’s expectations in rural areas.
PLACE
Company started the brand “Amar” in rural areas of Gujarat. The product was mainly for the rural areas only. Initially no branded toothpastes were available and also the company thought that the future of this product would increase. As the market for toothpaste was not much developed the company decided to enter in to local area only and then expand to other areas. They first entered into a village called Wadnagar. This place is located around 40 kilometers from Ahmedabad. Initially as the operation was in local area, the company itself did distribution, but as the company expanded its operation they started appointing distributors to distribute their products in other areas. The distribution of products was done by selling through the local stores or kirana stores, co-operatives stores etc. The company tried to enter into few urban areas but failed miserably because of big brands available.
PRICE
As the company mainly markets their product in rural areas, they try to keep the cost of production as low as possible so that the price of the product is low and the rural people can afford to buy it. Most of the income in rural areas comes from agriculture or other small activities their income
level is low and not fixed, hence the company has kept the price of the products low. They try to bring down the cost in production, distribution and also in promotion. Different types of pastes are available in different prices because of the differences in characteristics. The company has mainly kept their prices low so as to cater to the needs of middle class and lower middle class people living in rural areas.
PROMOTION
For the product to be sold in the markets, promoting the product is very important. The companies have tried various types of promotion to market their products. Use of television media is very less as the cost of promotion is very high through television and also the company cannot afford it. They mainly promote the products by painting the walls on the streets of rural areas in local or in Hindi depending upon the place and people. If the place is of high literacy rate the paintings on the wall can be inn Hindi and also in English. Putting up of hoarding at some places is also a way of advertising done by the company. They provide posters and hangups to the local kirana stores for promoting their products. The company has also tried to conduct free dental check up facilities at some places for promoting their products, but due to high expenses incurred this strategy is hardly used now.
doc_759405987.doc
Rural Marketing
INTRODUCTION
India is a vast country with a high population. The population of is scattered far and wide in rural and urban areas. India has number of villages scattered around. Most of the markets in rural areas are not much developed. Many companies have tried to enter into rural areas and have also failed in some places because of inaccessibility, lack of communication systems etc. Marketing in rural areas is not easy as marketing in urban areas. In rural areas the availability of media is very less and also the language of communication differs from place to place. Rural marketing means marketing goods or services where proper infrastructure may not be available. The market in rural areas has a great potential for many companies because of rise in income of rural people due to higher prices available for agricultural products. In rural areas many unbranded or less famous brands products are available. The demand for different types of products have been increasing because of increase in literacy rate, media etc. Hence many companies are finding rural markets as the potential for their growth.
ABOUT COMPANY
Mr. Hemant mehta is a distributor and also proprietor of grocery shop. He is one of the distributors of the Amar toothpaste in rural areas. Mr. Hemant also runs a shop in Mumbai and also tried to sell the toothpaste here in urban areas but has failed miserably. So he mainly concentrated in distributing the product in rural areas only. Nutan Pvt. Ltd. Company is one of the small brand and suppliers of toothpastes in many rural markets India. They produce various types of toothpastes. Started in the year 1993, Nutan Pvt. Ltd is a trusted name engaged in the manufacture of toothpastes. The company mainly deals with toothpastes and has also diversified into other products like shampoos, soaps etc. The company faces competition from many small and big brands. Having experienced for around 12 years, Nutan Pvt. Ltd. Company is one of the small brands in toothpastes. Their toothpastes and other products are popular in many rural areas. They strive to ensure that every product satisfies customer’s needs and wants so that they can achieve complete satisfaction and loyalty. Over years, the company has tried to make their position in the rural market by diversifying and expanding in different areas.
PRODUCT
Many of the rural markets in India are still to be discovered by the big brands. Most of the products available in rural markets are unbranded or not much famous brands. Most of the people in rural India used the traditional system for cleaning their teeth. They mostly used babul sticks or neem sticks to clean. When the toothpaste entered in to rural areas people started using toothpastes. Most brands available in rural areas are of low brands. Nutan’s Amar toothpaste was also launched around 1993 in rural areas. The realized the need for toothpaste in rural areas and also about its future. The demand for toothpastes was also increasing and many big companies started entering the rural areas. As the demand increased many new products were introduced around 1994-95 by the company. Products like “Amar gel paste”, “Amar triple protection”, Amar flavored pastes, various type of tooth powder and many other types were introduced. They also provide toothpastes, which are rich in providing Calcium and minerals for teeth. Company’s basic product started was toothpaste; it then started offering different types of toothpaste and also entered into other products like soaps, shampoos and other products. Company provides high quality of toothpastes meeting the consumer’s expectations in rural areas.
PLACE
Company started the brand “Amar” in rural areas of Gujarat. The product was mainly for the rural areas only. Initially no branded toothpastes were available and also the company thought that the future of this product would increase. As the market for toothpaste was not much developed the company decided to enter in to local area only and then expand to other areas. They first entered into a village called Wadnagar. This place is located around 40 kilometers from Ahmedabad. Initially as the operation was in local area, the company itself did distribution, but as the company expanded its operation they started appointing distributors to distribute their products in other areas. The distribution of products was done by selling through the local stores or kirana stores, co-operatives stores etc. The company tried to enter into few urban areas but failed miserably because of big brands available.
PRICE
As the company mainly markets their product in rural areas, they try to keep the cost of production as low as possible so that the price of the product is low and the rural people can afford to buy it. Most of the income in rural areas comes from agriculture or other small activities their income
level is low and not fixed, hence the company has kept the price of the products low. They try to bring down the cost in production, distribution and also in promotion. Different types of pastes are available in different prices because of the differences in characteristics. The company has mainly kept their prices low so as to cater to the needs of middle class and lower middle class people living in rural areas.
PROMOTION
For the product to be sold in the markets, promoting the product is very important. The companies have tried various types of promotion to market their products. Use of television media is very less as the cost of promotion is very high through television and also the company cannot afford it. They mainly promote the products by painting the walls on the streets of rural areas in local or in Hindi depending upon the place and people. If the place is of high literacy rate the paintings on the wall can be inn Hindi and also in English. Putting up of hoarding at some places is also a way of advertising done by the company. They provide posters and hangups to the local kirana stores for promoting their products. The company has also tried to conduct free dental check up facilities at some places for promoting their products, but due to high expenses incurred this strategy is hardly used now.
doc_759405987.doc