Challenges In Rural Marketing

Rural market- First of all there are so many defination of rural india from so many agencies.

Key challenges faced are as follows:

  Large and Scattered market Major income from agriculture
Low standard of living Traditional Outlook
Diverse socio-economic backwardness
Infrastructure Facilities
Lack of Proper Physical Communication Facilities
Many Languages and Dialects
Dispersed Market
Low Per Capita Income
Low Levels of Literacy
Prevalence of spurious brands and seasonal demand
Different way of thinking

Innovative companies change their product, they do new things, they introduce new services, and they make a stand for what they believe in. In fact, if they're not prepared to make a stand for something new and different then they are accepting that their business model is predicated on the long-term value extraction from an established base.

Innovative companies, typically, only listen to their customers in relation to servicing existing needs but will often push through change that their existing customer base resists, indeed that may cause some existing customers to depart.

The only challenge we have is to meet out there expectation in better précised manner according to there need.

Is the product applicable to the SEC B / C crowd? Is the cost / mrp affordable by the average income earning family there? Does logistic support the fact that there needs to be a budget planned for advertising of the product to be consumed by the people living in moderate conditions?? These are the essentials according to me. If the answers to these are affirmative, please go ahead and make those cash registers RRRIIINNNGGGGGGGG!!

Buying decisions are again depends on the product, major launch products can make a major hit or failure for non compitent, localites always have a fear of eating up their share by outsider, so there always has to be a pilot run and later based on success ratio one can see the penetration and success

The biggest challenge in rural marketing is to create a brand loyalty among the consumers. And as the unorganised sector in retail gives a fierce competition to the retail biggies it is difficult for the retail companies to cut down on cost with their unorganised counterparts and maintain the hte same brand loyalty as the people in rural India would always prefer low price product.

Rural market is comparetively easy to understand as the purchase trends can be mapped ove a period of a year, it largely depends on cash flow, festivals, and harvesting seasons.ion and timing to map this trend and understand this will be a chalenge if one does it then he can decide on market communication,and timing of sales promotions.

Rural sector still lacks in creating awareness as for as many products and services are concerned, especially like IT,BT, Beautycare, Health Care, Insurance etc., even if there is sufficient awareness created, then it is the big challenge of supply management and distribution network because of scattering distribution of both rural sector and population

Proper & regular supply of the product with good relation of Sales person in market is Important.

Life in rural areas is still governed by customs and traditions and people do not easily adapt new practices. For example, even rich and educated class of farmers does not wear jeans or branded shoes.So it becomes very hard to convince them for something new..they are just not ready to try it out which is a main hurdle in selling products to the rural people.

Rural market is no more involved in just agricultural inputs like, fertilizers, agricultural machinery, seeds and pesticides. It is also a growing market for consumer goods. So the demand is more than that of urban market.

The marketing have to think more and come up with different strategy to sell their product here. Not to forget the low literacy level, income, culture, transporation are the other challenges in rural marketing...

Rural Market cant be generic..every rural market throws up its own challenges. So, the foremost challenge for marketer would be effective communication of its product or concept.

e.g-UHT milk may be a hit in urban markets..but marketers face the real challenge of selling it in rural markets, so proper communication to rural folks is needed.

Communication in vernacular language is another important aspect.