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Rural marketing

  1. Rural Marketing By Er. Ajay Sharma Microsoft & Google Certified
  2. Why We Study Rural Marketing GDP contribution • 15% Agriculture • 55% service • 29% industry • Increase in personal loan 26.3%
  3. Role of Market information system in Rural market • Improved information enables farmers to plan their production more in line with market demand, schedule their harvests at the most profitable time, decide to which markets they should send their produce and negotiate on a more even footing with traders. Improved information also enables traders to move produce profitably from a surplus to a deficit market and to make decisions about the viability of carrying out storage, where technically possible.
  4. Features of a Rural Market • What do we understand by a rural market? What differentiates it from an urban market? • The rural market can be understood as the selling and distribution or exchange of goods in the village or remote areas. The following characteristics will help us to understand the rural market better:
  5. Ways of Rural Marketing
  6. Ways of Rural Marketing • Urban to Rural: The products manufactured in cities such as the FMCG products, fertilizers, consumer durables, etc. are made available in the remote areas. This is termed as urban to rural marketing. • Rural to Urban: The goods manufactured or grown in rural areas or villages, including crops and other agricultural products, handicraft items, pottery products, etc. are sold to the consumers of urban areas. It is known as rural to urban marketing. • Rural to Rural: When a rural manufacturer sells products like cattle, pottery, carts, etc. to other villages, it is called as rural to rural marketing.
  7. Rural Marketing Environment • All markets exist in an external environment where the business organizations function. The following are the environmental factors which influence the trade practices in rural marketing:
  8. Reasons for Potential of Rural Market • Why would a business invest resources in the rural market? How does it benefit the organizations? • Let us now understand the various opportunities that a rural market holds for business organizations and companies:
  9. Challenges of Rural Marketing • Rural markets are complex and extremely different from the regular or urban markets. Therefore, it is quite challenging for a business to penetrate the rural market and survive in the long run. • To know more about the various threats of this market, read below:
  10. 4 Mantra • Competition • Profitability • Consistency • Growth
  11. Enabling Factors • Media Reach • Technology & Govt Support • Disposable Income
  12. 4 A’s of Rural Marketing • Whenever a company plans to enter the rural markets, it has to restructure its marketing strategies to suit the needs and requirements of rural consumers. Since they are mostly illiterate and belong to a low-income group. • Following are the various components of 4 A, described in the context of rural marketing:
  13. Product Strategies
  14. Pricing Strategies
  15. Distribution Strategies
  16. Promotion Strategies
  17. Effective vs efficient advertisement • Effective advertising provokes decisions, but efficient advertising simply reaches people. ... Brand advertisers just need metrics to be in the right range, and then it's more important to be able to scale the campaign -- to reach the right people with the right messages. •
  18. BUDGET 2020 for rural market • Allocation towards farm sector & rural Rs 2.88 lakh crore >> Allocation to rural development and panchayati raj set at Rs 1.23 lakh crore >> To change incentive mechanism for fertiliser use >> Govt to provide viability gap funding for setting up agri storage >> Nabard to map, geo-tag warehouses, cold storage >> Unveils Kisan Udaan scheme to >> Zero-Budget farming is govt’s focus area >> To raise fish production by 200 lakh tonnes >> Aims to double milk production capacity by 2025 >> To support states to implement one fruit-one district plan >> Nabard refinance scheme to be expanded further >> Agricultural credit availability raised to Rs 15 lakh crore >> Financing on negotiable warehousing receipts crosses Rs 6,000 crore >> Budget proposes to build seamless national cold storage chain >> Comprehensive measures proposed for 100 water-stressed districts >> To help 20 lakh farmers set up standalone pumps >> To help 15 lakh farmers solarise water pumps >> Budget proposes 16 action points to lift farmer’s income >> Govt to double farmer’s income by 2022
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