Executing “growth” is the primary agenda for marketers in emerging economies like India. The search for growth is driven by manufacturers and marketers racing to place their brand on shelves across geographies.
The growing importance of rural India as its contribution to growth stays robust and resilient. These paradigm shifts will mean that rural marketing practices will become an integral part of mainstream promotion and critical for India’s marketing community.
Here are seven reasons to invest in Rural Marketing in India:
- NEWER MARKETS
Urban markets have saturated distribution points along with competition. Brands should invest in newer markets and avenues through an increase in geographical reach.
- EXPAND EXISTING MARKET
Brands can maximize the usage of available resources by reaching out to greater audience. Producing packaging variants for rural, for the product available in urban and making the same available to the rural marketplace, at an affordable price will help brands expand their existing market.
- POTENTIAL CUSTOMERS
The Rural audience is ambitious and has the potential to purchase durables customized to their needs. Altering the products available for the urban domain to suit the rural needs will help brands maximize reach to their potential customers.
- SATISFY ASPIRATION
Through mobile phones, internet and satellite TV, rural consumers are very well connected and aware. They are conscious of what is available for them and the ambitions are not different from urban consumers. Their aspirations have turned urban which requires brands to enter the markets and satisfy the same.
- IDENTIFY NEEDS
Urban markets are saturated and complacency is creeping into the urban audience in terms of products and services. Brands should invest in identifying the needs of the rural markets and launch products or services for them rather than competing for market share in the urban marketplace.
Investment required for product distribution in the rural market is far lesser when compared to the urban market
- COST BENEFIT APPROACH
Rural market increases profitability due to mass consumption. This leads to a rise in production further mounting the profit margin. Rural markets offer an opportunity for expansion and sustainable growth. Companies should develop an inclusive strategy to include both urban and rural consumers.