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INSTITUTE OF MANNAGEMENT AND COMPUTER STUDDIES

SUB.-:TAPPING THE RURAL MARKET


NAME-: TUSHAR G. INGAWALE. ROLL NO -:19 SUBMITED TO PROF : SWPNIL SIR

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Profile of the Rural Consumer

Low Literacy Levels Low Income Levels Location Pattern of Rural Consumers Reference Groups Occupation Media habits

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NEED FOR TAPPING THE RURAL MARKET


RURAL MARKETS ARE GROWING FASTER THAN URBAN :

Rural markets are growing at five times the rate of urban markets.
IN MAJOR URBAN MARKETS, THERE IS SEVERE COMPETITION:

Intensive competition in urban market has resulted in increase in cost but not high market share and profit.
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TO CHANGE THE ATTITUDE OF THE FARMERS SO THAT THEY WILL TREAT AGRICULTURE AS A BUSINESS:

Traditionally farmers have treated agriculture as a way of living and they produce just enough quantities to meet their family requirements. Many progressive farmers have increased the yields of crops by following modern agricultural practices.
INCREASE IN RURAL INCOME & SAVINGS:

Modernization of agriculture e.g. Green house cultivation of flowers & veg., mushroom cultivation, Paddy processing units etc.
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How to identify Potential:


The rural markets are highly scattered over a wide geographic area so the marketer has to identify the most potential markets on the basis of: Irrigation facilities Crops grown under irrigated conditions give higher yields and this enables the farmer to increase farm income. Electricity Electric power is used for pumping water for irrigation. The market of electric products depends on the availability of electricity in villages.
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Size of land holding -- A farmer with a large land holding is able to grow variety of crops and earn more. Types of Crops Cash crops like cotton, chillies, vegetables and fruits gives higher returns compared to crops like jowar and maiz. Use of farm implements and agriculture inputs Infrastructure Facilities such as all weather roads, bus service, banks, tele services etc. enable the marketer to reach the rural markets through distribution channels to offer their products & services.
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Small Scale Industries Development of industries provides employment and increases the rural income. Availability of sales outlet The village retailer is the link between the rural consumer and manufacturer. He plays a major role in introducing new products in rural market.

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THOMPSON RURAL MARKET INDEX

A successful attempt in the direction of assessing the potential or rural markets has been made by Hindustan Thompson Associates Limited. They have developed the Thompson Rural Market Index as a guide to the rural marketing men in the year 1972. They collected the data available at district level for 334 districts and identified 11 factors to assess their potential.
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In 1986 the no. of factors was increased to 26 and Districts to 412


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Factor considered are:

1) Area of the district in Sq Km.


2) Population

3) No. of males
4) No. of Females

5) Density per Sq Km
6) % distribution of population

7) No. of Villages in the district


8) %distribution of villages
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9)Literate Rural

10)% of literacy
11)Literate males

12)Literate females
OCCUPATION

13)No. of Cultivators
14)Agricultural Laborers

15)Non- Agricultural Laborers


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AGRICULTURAL RELATED DATA


16)Gross cropped area in hectares 17)Gross irrigated area in hectares 18)Area under Non-food crops in hectares 19)Avg. size of operational holdings in hectares

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THANK YOU
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