Rural India: Think Out of the Box

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Mostly people have misconception about Rural India means "Roti Kapda aur Makan". I will say far more than this concept. Now mostly marketers and MNC's are understanding the potential of this market. According to data Rural India is same as Urban area at some extent, company like Dabur, Mahindra & Mahindra, Procter & Gamble to some extent HUL is getting more from this market. In this post I will analyse the point and display some fact about rural India.

Income Growth- Past five years marketers and Indian economy have seen growth rate and per capita income of Rural market. According to data the per capita income growth rate of rural India and urban India has grown at the same rate. How can you say that there is no potential in this market.
Population- If we talk about population of rural India which is much more then Urban India. More than of 72% population lived in rural India. so, You can see the market here.

Demographic segmentation- According to "we are like that only" book on Indian consumer written by Rama bijapurkar says that we has divided rural consumer in four classes(R1, R2, R3, R4). Hansa research had conducted research on this area and found that In rural area consumer class R3 and R4 has more purchasing power where as they also contributes more pupulation.

According to this book she says 90% of rural consumers are self-employed and generating more from agriculture. She also says over a period of time Indian consumption will be dominated by middle class. So, we can say there is much growth opportunity in Rural India.
Recent trends- Now a days what happens in Rural area people have more income and they are consuming more. As soon as they will see any new product in urban area they try to purchase it and of course once your products satisfied his need than no way they will left you. Mobile industry are totally drive by rural India. Our management guru late C.K. Prahalad he had written a book called"The fortune at the bottom of the pyramid" in this book they says there is much potential and they has also given some clue about how you can enter and sustain into that market. His famous concept is being adopted by various MNC ex- Coca-cola has introduced sachet of cold drink in orissa and in future mostly companies are working on that concept.
At the end I would say being an MNC or marketer this is totally untapped market with high potential to enter into and this is the only right time to go there.

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