Challenges In Rural Marketing

Challenges In Rural Marketing


Our nation is endowed with an excellent diploma of ethnic and regional variety. About three-fourth of the overall inhabitants resides within the rural areas and majority of them are dependent upon agriculture for his or her subsistence. Agriculture contributes about 24.7% to the Gross Home Product (GDP) of the nation. It additionally contributes about 13.1% to the overall Indian exports. This sector gives employment to 58.4% of the nation’s workforce and livelihood to greater than 650 million individuals. Regardless of this reality, the situation of those individuals has not proven any important enchancment.

The event of the nation largely relies upon upon the event of the agricultural inhabitants. Mahatma Gandhi had as soon as stated: “India’s approach isn’t Europe’s. India isn’t Calcutta and Bombay. India lives in her a number of lots of of villages”.

Rural Market Potential

India is an agro-based economic system and the expansion of many of the different sectors of economic system is pushed by rural demand. City market is reaching in the direction of the saturation level, thus bringing in and pressing have to give attention to rural growth. Furthermore, greater than 70% of India’s inhabitants lives in villages and constitutions an enormous marketplace for trade due to rising disposal incomes and consciousness degree.

Compared to simply 5,161 cities in India there are 6,38,365 villages in India. This in itself is an indicator the place the actual India resides. Firms are realizing slowly however certainly that the important thing to achieve true market management lies in tapping the agricultural potential. Nonetheless, the agricultural sector in India suffers from completely different sorts of issues. Some areas are having sufficient cash however their degree of consciousness and therefore consumerism could be very low. However there are a lot of areas the place financial empowerment, schooling, well being and so on., are main issues.

What’s rural advertising and marketing

Whereas there’s a massive progress within the city market, the agricultural or latent market is but to be tapped, and has an unlimited potential for progress. A rural market may be outlined as any market that exists in a space the place the inhabitants is lower than 10, 000. The agricultural market in India is scattered and unfold over a large geographical space. Indian market is split into city and rural markets.

o City market is flooded with low demand.

o Rural market witnesses a excessive demand It is the agricultural phase of market that contributes extra revenue than its city counterpart. Rural advertising and marketing broadly entails reaching clients, understanding their desires, provide of products and companies, and in the end satisfying shoppers, resulting in extra gross sales. The final impression is that solely agricultural inputs like seeds, fertilizers, pesticides, cattle feed and agricultural equipment have a possible for progress within the rural market. Nonetheless, there’s a rising marketplace for shopper items now. It has been estimated the agricultural market is rising on the charge of 5 instances its city counterpart.

Challenges in Rural Advertising and marketing

Although rural markets are an enormous attraction to entrepreneurs, it’s not simple to enter the market and take a sizeable share of the market, within the quick time because of the following causes.

Low Literacy

There aren’t sufficient alternatives for schooling in rural areas. The literacy degree is as low (36%) when in comparison with all- India common of 52%.

Seasonal Demand

Demand for items in rural markets relies upon upon agricultural state of affairs, as agriculture is the primary supply of earnings. Agriculture to a big extent relies upon upon monsoon and, due to this fact, the demand or shopping for capability isn’t secure or common.


Many rural areas aren’t related by rail transport. Kacha roads turn into unserviceable through the monsoon and inside villages get remoted.


An efficient distribution system requires village-level shopkeeper, Mandal/ Taluka- degree wholesaler or most popular supplier, distributor or stockiest at district degree and company-owned depot or consignment distribution at state degree. The presence of too many tiers within the distribution system will increase the price of distribution.

Communication Issues

Amenities equivalent to phone, fax and telegram are slightly poor in rural areas.

Conventional Life

Life in rural areas continues to be ruled by customs and traditions and other people don’t simply adapt new practices. For instance, even wealthy and educated class of farmers doesn’t put on denims or branded footwear.

Shopping for Choices

Rural shoppers are cautious in shopping for and selections are gradual and delayed. They like to offer a trial and solely after being personally happy, do they purchase the product.

Media for Promotions

Tv has made a terrific affect and huge viewers has been uncovered to this medium. Radio reaches massive inhabitants in rural areas at a comparatively low price. Nonetheless, attain of formal media is low in rural households; due to this fact, the market has to undertake particular gross sales promotion actions in rural areas like collaborating in melas or gala’s.

Profession in Rural Market

Whereas rural advertising and marketing affords a difficult profession, a rural gross sales particular person ought to require sure {qualifications} and specialised expertise.

Cultural Components

Tradition is a system of shared values, beliefs and perceptions that affect the conduct of shoppers. There are completely different teams based mostly on faith, caste, occupation, earnings, age, schooling and politics and every group exerts affect on the conduct of individuals in villages.

There’s a perception amongst rural individuals that have is extra vital than formal schooling they usually respect salespersons who can supply sensible options to their issues. Subsequently, it’s fascinating that gross sales individuals, particularly those that have been introduced up in cities are given a radical coaching consisting of each idea and sensible elements of village life. The coaching will assist these gross sales individuals to align themselves with the market realities and cool down easily of their jobs.

Rural market has an incredible potential that’s but to be tapped. A small enhance in rural earnings, ends in an exponential enhance in shopping for energy.

Future Traits

Markets which aren’t capable of face the stiff competitors posed by MNCs, can restore their income within the rural sector. The market share of city market when in comparison with the agricultural market is low, therefore if Indian industries think about rural markets their gross sales will enhance. If rural markets are introduced into the limelight of growth, they pave approach to prosperity. Prosperity of India lies within the prosperity of each Indian, therefore no rural phase needs to be left untapped.

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Source by Dr. Gomathi Viswanathan




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