Marketing Practices in Rural India Essay

2899 Words Jan 21st, 2012 12 Pages
Current Marketing Practices in Consumer Durables in Rural India

Contents
Introduction ........................................................................................................... 3 Indian Rural Market: ........................................................................................... 3 Recent shift in attention from urban to rural market:......................................... 3 Special Features of rural markets: ...................................................................... 4 Methodology ......................................................................................................... 6 Questionnaire
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km., where at least 75% of the male working population is engaged in agriculture and where there exists no municipality or board. This definition encompasses 70% of Indian population, who resides in 6.4 Lakh villages.

Recent shift in attention from urban to rural market:
The Indian rural market has a huge demand base ad offers great opportunities to marketers. Two-thirds of Indian consumers live in rural areas and almost half of the national income is generated here. The reasons for heading into the rural areas are fairly clear. The urban consumer durable market for products like colour TVs, washing machines, refrigerators and air conditioners is growing annually at between 7 per cent and 10 per cent. The rural market is zooming ahead at around 25 per cent annually. "The rural market is growing faster than urban India now," says Venugopal Dhoot, chairman of the Rs 989 –crore (Rs billion) Videocon Appliances. "The urban market is a replacement and up gradation market today," adds Samsung's director, marketing, Ravinder Zutshi. 'Go rural' is the slogan of marketing gurus after analyzing the socio-economic changes in villages. The Rural population is nearly three times the urban, so that Rural consumers have become the prime target market for consumer durable and non-durable products, food, construction, electrical, electronics, automobiles, banks, insurance

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