The growing power of the rural consumer is an opportunity for the companies to flock to the rural markets. Thus firms have to depend on large network of intermediaries, controlling of which is a difficult task. Patalinghug 2001 claimed that the retail trade sector contributed on the average 10. Payment System: Farmers are not given prompt payment by traders; due to this they cannotmeet their working capital requirements. Competing pricing: Rural marketer should study the pricing strategy of its competitors andaccordingly fix its prices.
Additionally, rural marketing can also improve their income. Launched in June 2000, 'e-Choupal', has already become the largest initiative in all internet-based interventions in rural India. Repayment conditions are also soft. Strategies Dynamics of rural markets differ from other market types, and similarly rural marketing strategies are also significantly different from the marketing strategies aimed at an urban or industrial consumer. Rural Marketing is not Expensive: To promote consumer durables inside a state costs Rs onecrore while in urban areas it will costs in millions. The marketers using their feeder fown will be able to cover a large section of rural population. Additionally, there is 100% tax exemptionfor five years, followed by 25% tax exemption for the next five years, for new agro-processing industries.
Though the recognized languages are only 16 the number of dialects is around 850. 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. In quality, it is a poor cousin to the original. Brand Name Rural consumers are more brand loyalists than urban consumer. Article shared by Indian rural economy is getting stronger and stronger.
There exists more attractive business opportunities in rural than urban. Grading of Produce: The produce in regulated market is expected to be sold after grading butonly 13 regulated markets have grading facilities. Radio reaches large rural population at low cost. While marketing the product, both the companies have highly relied up on advertising in television. Thus, Indian rural markets have caught the attention to many companies, advertisers and multinational companies. PowerPoint Presentation: Interestingly, the rural market is growing at a far greater speed than its urban counterpart.
However, the coverage relating to marketing is inadequate. These are the first steps in the transformation of a local authority into a sustainable local authority. National Agricultural Credit Long-Term Operations Funds. City, Income, Per capita income 802 Words 3 Pages not undertake a marketing programme that is not built on a firm foundation of market knowledge. For example, the removal of chicken coops from communities in the North of the country is expected to have a positive influence on the rural settlements.
An integral part of marketing, advertisements are public notices designed to inform and motivate. Balanced Industrial Growth: The gap between rural and urban development can be reduced gradually. Rural market has following arrived and the following facts substantiate this. Role of Warehousing,Warehousing plays a very vital role in promoting agriculture marketing, rural banking andfinancing and ensuring Food Security in the county. .
Many Languages and Dialects: The number of language and dialects vary widely from state to state, region to region and even from district to district. Growth in Consumption: There is a growth in purchasing power of or rural consumers. Low Cost Products Rural customer is price conscious manly because of low income. Favourable Government Policies: Tax exemption in backward areas, subsidy, concession, incentives and heavy investment in rural development programmes have brought rapid growth of rural markets and capital investment plans of Consumer Goods Companies. Answer In recent years, marketing is suggested a new role both as a discipline and function because of the significance of marketing in order to create growth and shareholder value as well. Developmental marketing- refer to taking up marketing programmers keeping the development objective in mind and using various managerial and other inputs of marketing to achieve these objectives. Gone were the days when a rural consumer had to go to a nearby town or city to buy a branded product.
Therefore, marketers need to understand the social dynamics and attitude variations within each village though nationally it follows a consistent pattern. Pricing Methods A Psychological Pricing — Psychological pricing is one that ends in an oddnumber e. Some countries can be identified as big emerging markets. With training and hand-holding by the company for the first three months, she begins her door-to-door journey selling her wares. Gandhiji believed that India's future lay in her villages and rural markets will have a significant part in India's economy. The warehouses at mandi level are managed by co-operative societies who provide services to members only. The results of such exercise would be-Strong identification of the company inthe product category.