The document summarizes the rural market in India and provides details about marketing a new herbal shampoo brand called "Super Shampoo" in rural areas. It notes that the rural market is expected to double in size compared to urban India. It then discusses rural marketing challenges like low income and literacy. It proposes targeting women aged 18-50 in South India with an affordable shikakai-based shampoo promoted through channels like Haats, kirana stores, and self-help groups.
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1. SUPER SHAMPOOBan jao super-starPRESENTEDBY:PALLAVI PANTPRATEEKSHA RAWATPRIYA LALWANIRICHIE MORESACHIN CHAUDHARY
2. Rural Market “a world of opportunities”The middle and higher income household are expected to grow from 80 million to 111 million in year 2008.In urban India it expected to grow from 46 million to 53 million.Thus the expected size of rural market is expected to grow double in size as compare to the urban India.Source:-NCAER(National council of economical research)
3. Rural marketing features:Large scattered market:Its consist of around 64 crore of consumers from 5370000 villages.Major income from agricultureMajor income of around 60% is generated from agriculture in India.Traditional outlookThe rural consumer value old costumes and traditions ,they never prefer changes.
4. Rural marketing challenges:Low per capita incomeEven thought the 70% of the revenue is generated from villages , still the per capita income is very low in rural areas.Level of literacy:Level of literacy is lower in rural areas as compare to the urban area, due to which the communicating with these people for the permotion purpose is quite difficult.
5. PEST ANALYSIS:A scan of the external macro-environment in which the firm operates can be expressed in terms of the following factors:PoliticalEconomicalSocialTechnological
7. Political:In rural areas minimum political influences and were generally limited to the local politics.Generally villages are governed by the system of “GRAM PANCHAYAT” .NGO’s in villages play really important role in making them aware about the different governmental policies.
9. Social:Organization must study the social factor before starting the business in any rural areaSocial factor include RelationshipAge groupReligionEthnic group
10. Technological:Technology become the part of majority of organization , it helps to improve the product and moreover having the edge over the other companies with continues innovation.R & D is the integral part of our company.
12. Need ..want…Need: hair washWant: beautiful hair strong and healthy hairless chemical productsDemand: low priced shampoo that has less chemicals and provides good hair care
18. DEMOGRAPHIC :Age: 18 to 50Family size: 4 to 5 membersGender: femaleIncome (annually): low income household less than Rs.75000 between Rs. 75000 – 150,000Occupation: housewives, farming, sales job
20. BEHAVIOURALDecision role : women User status : nonusers potential usersUser rate : light users (once or twice in a week)Readiness stage : unawarePSYCHOGRAPHIC:Based on VALS framework : Believers : lower resource group ,conservative , conventional and traditional people
21. MARKET targetTarget market for Super shampoo is the rural and semi-urban people who have higher aspirations and who care about the overall health of their hair.
22. MARK.ET POSITIONINGSuper shampoo position itself as the rural brand that has local appeal .It gives a star-image to its usersIt uses herbal product (shikakai ) as its main ingredient
25. INFLUENCE OF ADVERTISEMENTSUse of celebrities can be beneficial as they are looked up as role models.So, regional movie actors can play a major role in the growth of the company as BRAND AMBASSADORS.
31. Consumer Behavior of Rural ConsumersPrice Consciousness among rural consumers especially the ones who belong to the lowest strata (annual income: below Rs 200000)People having less knowledgeLess quality conscious peoplePeople striving for value for money productsIndulge in less pre-purchase analysis
43. Others-(includes soaps ,local brands etc)PROBLEMS IN DISTRIBUTION Communicating in an environment of low literacyLooking beyond conventional mediaThe rural market may be alluring but it is not without its problemsLow per capita disposable incomes that is half the urban disposable incomelarge number of daily wage earners poor roadsand inaccessibility to conventional advertising media.
45. HAAT & MELASIn rural India, annual melas organised with a religious or festive significance are quite popular and provide a very good platform for distribution.Rural markets come alive at these melas and people visit them to make several purchases.According to the Indian Market Research Bureau, around 8000 such melas are held in rural India every year.Also, one satellite town where people prefer to go to buy their durable commodities generally serves every region consisting of several villages. Melas are organized after harvest season, so the villager has enough money, which he will be ready to spend. Demonstration at Haat is essential to convert customers at haats since their attitude is far more utilitarian than that of visitors to a fair.
46. KIRANA STORES strength of kirana stores: Wide spread across the rural areas at convenient locations.Operate on extremely low cost model where they pay little or no tax to family owned properties.Caters to impulse needs on short notice.Early opening and late closing time which suits many families.Kirana stores inherently possess warmth. Kiranas have a clear understanding of their customer needs, wants and preferances.Kirana stores also provide credit facility to its customers for 1 -3 months
47. SELF HELP GROUPSSHGs will help in promotion of super shampooIt will also help in sales facilitation of super shampoo
48. RETAILER STRATEGYGive special discount to retailers if sell more products in a specific seasonDiscount on bulk purchasingPlacing products at public placesPlacing product at public places like post offices,