By :Aradhna Gupta

Varun RaiHarsha chotraniChetan Warkari

PRESENTATIONON

RURAL MARKETING

CONTENTS

• Rural India : A brief Profile.

• Parle G : A brief Intro

•

RURAL INDIA: A BREIF PROFILE • Approximately 75% of India’s population lives in 6,38,365 villages

spread over 32 lakh square kilometers. • As per the census (2001) rural segments comprises 13.5 crore

household which constitute 72% of total households in India.• Rural market is not homogenous across the country . • With economic development of rural areas , disposable income of

rural people has gone up.• Today , the rural market share as follows: 50 per cent of total FMCG,

38 per cent of two-wheelers, 55 per cent of LIC policies, 70 per cent of toilet soaps, 50 per cent of TV, fans, bicycles, tea and wrist watches.

• Rural Market Penetration of Biscuit Industry : 50% to 65%

PARLE – G• Flagship brand of Parle Products Pvt. Ltd• Parle G, retains, almost half the market share for biscuits in India. • The brand recently achieved the distinction of being the highest

selling Glucose biscuit in the world.• Parle G, enjoys a 69% share in the glucose biscuit market, selling 2.7

million tones a year.• The brand continues to grow in spite of the launch of various me too

products with better packaging like Tiger from Britannia & Sun feast from ITC.

• Parle-G target market is from 2 years to 80 years• They don’t ask for biscuits, but just ask for “PARLE”.• Be it a big city or a remote village of India, the Parle name

symbolizes quality, health and great taste !!!

PLC

Introduction

Growth

Maturity

Decline

CHALLENGES & OPPORTUNITES1. AVAILABILITY:

India's 627,000 villages are spread over 3.2 million sq km; 700 million Indians live in rural areas, finding them is not easy.

Lack of Proper Physical Communication FacilitiesTo serve remote village, stockists use autorickshaws, bullock-carts

and even boatsHub and Spoke distribution modelTo ensure full loads, the company depot supplies, twice a week,

and the large distributors act as hubs. These distributors supply, once a week and the smaller distributors supply the adjoining areas.

•

PARLE G RURAL SUPPLY CHAIN

2. AFFORDABILITY : With low disposable incomes, products need to be affordable to the

rural consumer, most of whom are on daily wages

3. ACCEPTABILTIY : Need for customized product Different way of thinking The key dilemma for Multinational companies eager to tap the large

and fast-growing rural market is whether they can do so without hurting the company's profit margins

4. AWARENESS : The Reach of message and the available means of reaching messages

to these markets.

Increased penetration of electronic media

LEARNINGS

• Companies are finding Rural Markets increasingly attractive. • Rural population is gradually getting urbanized and has a great

potential and improving purchasing power. • The 4 A’s- has to be effectively adopted in order to capture the

untapped potential of the rural consumers.AcceptabilityAffordabilityAvailabilityAwareness

• Continuous customization seems a sure shot approach to provide both short and long-term returns in the rural markets.

• "To be successful in the rural market, - there is no unity in diversity, but act local while thinking global."

India lives in her villages ….

As described by Adi Godrej, Chairman , Godrej Group”

The rural consumers is discerning and the rural

market is vibrant . At the current of growth , it

will soon outstrip the urban market. The rural

market is no longer sleeping but we are.”

Thank You …….