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CAPTURING RURAL MARKET WITH CUSTOMIZATION OF MARKETING MIX VARIOUS MARKETING MIX STRATEGIES TO CAPTURE RURAL MARKET: @BULLET Product strategies

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Rajat Katna

There is a great opportunity for the marketers in the rural areas. Two-thirds of countries consumers live in rural area. Naturally the rural markets form an important part of the total market of India. Our nation have around 450 districts, and approximately 630000 villages with different parameters such as literacy levels, accessibility, income levels, distances from nearest towns, etc. Around 700 million people, or 70% of India's population, live in villages in rural areas. 90% of the rural population is concentrated in villages with a population of less than 2000. Going rural can be said as the new marketing mantra. In recent years, rural markets have acquired significance, as the overall growth of the economy has resulted into substantial increase in the purchasing power of the rural community .On account of green revolution; the rural areas are consuming a large quantity of industrial and urban manufactured products. In this context, a special marketing strategy, namely, rur...

International Journal for Research in Applied Science & Engineering Technology (IJRASET)

IJRASET Publication

The aim of this research is to study the current scenario of Rural Marketing in India, the rural market presents with its various opportunities and challenges, given how diversely populated the rural consumers in India are. The rural market consists of 83.3 crore people and this is what attracts marketers to enter in this market. To market in the territory of rural marketing cqorporations must understand the rural consumer. There is a shift incoming from urban to the rural marketing as the development and levels of literacy and awareness among the rural consumers is rising and these consumers want value for their money. Marketers when catering to rural consumers need to connect with them and also undertake demonstrations for the better understanding of the rural people. Many innovations in the strategy to market into the rural markets have been undertaken in the past years. This paper aims to understand these innovations and strategies and to understand the rural consumer of India. The future of rural marketing and the development in rural areas is promising in development of rural economies and for the people living in these rural areas a better life.

Pratik Modi

Edited by: Pratik Modi, Institute of Rural Management Anand (IRMA) “These unhappy times call for the building of plans that rest upon the forgotten, the unorganized but the indispensable units of economic power...that build from the bottom up and not from the top down, that put their faith once more in the forgotten man at the bottom of the economic pyramid.” – Franklin D. Roosevelt in his April 7, 1932 radio address. Most of the emerging economies of the world are predominantly rural in characteristics. This rural context poses several challenges, such as low-income, absence of basic marketing infrastructure, subsistence living, irregular income and demand patterns, dependence on agriculture, high social stratification, lack of social mobility, and traditional value orientation, to marketers. These challenges may require new marketing thinking to deal with the issues and to realize vast potential of thus far ignored rural markets. This is an emerging area and studies that try to understand the challenges and issues involved in marketing to rural are far and few. In this special issue, we invite contributions from scholars and practitioners on the issues pertaining to rural marketing. The indicative list of topics is mentioned below; however, they are by no means exhaustive or restrictive. • The scope, domain, definition, or interpretations of rural marketing. • Research or methodological innovations related to rural marketing. • Theoretical contributions related the various aspects of rural marketing • Consumer behaviour in rural markets. • Adaptation of the 4Ps of marketing in rural markets. • Rural distribution including public distribution system (PDS). • Rural retailing. • Communication strategies for rural markets. • Segmentation, Targeting, and Positioning issues in rural markets. • Branding decisions in rural markets. • Impact of marketing activities on the lives of the rural poor. • New product development and innovations for rural markets. • New product development and Innovations from rural markets. • Rural tourism. • Case studies on marketing to or its impact on rural, poor, or disadvantaged consumers. • Developmental aspects of rural marketing. Submit your contributions via email to the special issue editor by 31 December 2011 (Email: [email protected] Alt Email: [email protected]). All papers will be subject to double-blind peer review. The selected papers shall be published in the first issue of 2012. Your manuscript and all editorial correspondence should be addressed to: Pratik Modi, The Special Issue Editor, International Journal of Rural Management, IRMA Campus, Anand – 388001, India. Email: [email protected] Alt Email: [email protected]. Mention clearly in the subject field that the submission be considered for the special issue. The author guidelines can be requested from the special issue editor or can be accessed on the journal website (http://irm.sagepub.com/). Special Issue Editor Pratik Modi Assistant Professor of Marketing Institute of Rural Management Anand Anand – 388001 India. E-mail: [email protected] Fax: +91 2692 260188 Phone: +91 2692 221634

Chandrashekhar Singh

International Journal of Rural Management

Murlidhar Lokhande

Everybody of us is a consumer. We need a variety of goods and services right from our birth to death. Because of marketing, we can have what we need. Marketing is a process through which both the buyer and seller give something (e.g. goods, services, money etc.) to each other for maximum possible satisfaction. Nowadays Rural Marketing is gaining importance. All the FMCG companies viz HLL, Pepsi, Coca cola, Britannia, Colgate, Palmolive, Samsung etc. are concentrating their marketing activities in rural markets. Why? Because of socio-economic changes and huge market of more than 80 million households which will increase to 111 million households by 2007 (NCEAR Report). Rural consumer has become enough aware about his needs and up gradation of his standard of living. Information technology, Govt. Policies, Corporate strategies and satellite communication are the factors responsible for development of Rural Marketing. Let us look at the potential of rural markets. Rural consumption share in popular soaps is 48%, tooth pastes-24%, talcum powder-17%, cold medicines-42%, Battries-52% etc. The market for packaged food items of Rs. 20,000 crores, is growing at 2.5% per year.1 It is interesting to understand the various aspects of the rural markets and consumption patterns.

Bilas S . Kale

Indian rural market is attractive as well as challenging. It offers s huge opportunities to the marketers as it is in developing stage and account 80 per cent consumers. The lifestyles of rural consumers have undergone wonderful changes due to growing incomes, increasing literacy rate, exposure TV and interaction with the urban counterpart. Liberalization of trade, on one side, opened up new vistas to the marketers and on the other side, posed stiff competition. The present paper is an attempt to understand changing consumption habits of rural consumers, significance of rural marketing, its problems and prospects and to make some possible suggestions. Rural marketing has certain problems. Poor and inadequate infrastructure i.e. roads, storage facilities, communication facilities, small size of outlets etc. badly affect the distribution of products to rural consumers. In addition, the literacy rate in rural India is much lower which creates communication deficiency. Illiterate consumers are more prone to fraudulent tactics of greedy marketers. The degree of consumer awareness in rural areas is too lower. Rural economy still depends on gambling of monsoon and there are considerable fluctuations in income which have deep impact on purchasing power of rural people. Rural indebtedness has been serious problem which enforced more than 5000 farmers to embrace suicidal deaths in the last five years. This is clear indication towards faulty rural credit supply system. Rural women still has no major role in purchasing. Rural marketing in India is meant considering the needs and requirements of 80 per cent population and fulfilling their needs timely, adequately and at the price affordable to them. In recent years, demand for agriculture inputs has grown significantly. Special efforts are made to boost industrialization in rural areas. Rural development programmes and welfare schemes have been contributing significantly in upgrading the standard of living of rural people. Information and communication technology (ICT) is instrumental in disseminating the information about various products in remote rural areas, albeit the process is slow. Rural consumers are adopting urban lifestyles. It has resulted in ever increasing demand for white goods in rural areas. There is shortage of drinking water but you can find Pepsi soft drinks in tiny rural outlets. Dhoti – Kurta has been replaced by pant shirts. Cosmetics are in great demand in rural markets. Modernization of agriculture and rapidly growing rural industries are responsible for increased demand for capital goods. In the changing business scenario world over, rural marketing is the most preferable destination to the marketers.

Journal ijmr.net.in(UGC Approved)

Rural marketing determines the carrying out of business activities bringing in the flow of goods from urban sectors to the rural regions of the country as well as the marketing of various products manufactured by the non-agricultural workers from rural to urban areas. Number of strategies like product, price, promotion, distribution, marketing and sales strategies can help various organizations to capture large market share of rural India. However, it is not that easy to operate in rural market because of several problems such as underdeveloped people and underdeveloped markets, Inadequate Media coverage for rural communication, Multi language and Dialects, Traditional Values, Lack of proper physical communication facilities. But every problem has its solution. So, the problems of rural marketing can be solved by improving infrastructure, transportation, communication, warehousing and packing facilities.

Anveshak International Journal of Management

Nitin Zaware

Rural markets are complex and dynamic in nature. India’s population is 1.21 billion*1. The spread of population is in 5161 cities and towns and 6, 38,588 villages speaking 33 languages, 1652 dialects and having sub cultural and diverse requirements. The growth rate of population for India in the last decade was 17.64%. The growth rate of population in rural and urban areas was 12.18% and 31.80% respectively. As rural consumers are very hefty in number it is necessary to consider different product mix for them. In India ever since independence, marketing acquire a largely urban bias. Hence, there were very less attempt on the part of marketers to develop product tosatisfy their needs. An apathetic attitude also due to the assumption that the rural consumer are economically poor and had no purchasing power to buy expensive branded products. Besides such, lack of transportation and communication links and limited reach of mass media were also responsible for neglect of the rural consumer by the business firms.

Nishu Raina

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Call for papers on “E-commerce for Rural and Agricultural Development”

• Published: 07 May 2024

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Journal of marketing accepts co-authored paper by jia li linking two key executive concerns: brand strength and sales incentives.

Should a brand adopt group or individual sales incentives for its retail sales force? This pivotal question lies at the heart of a study recently accepted by the esteemed Journal of Marketing, where Wake Forest School of Business Associate Professor Dr. Jia Li collaborated with co-authors to examine the above question in the context of brand-managed retail (BMR) settings.

BMR encompasses various formats, including brand-managed stand-alone stores like Lululemon or Warby Parker, as well as stores-within-a-store (SWAS) such as Louis Vuitton in Saks Fifth Avenue and Apple in Best Buy. In fact, the cosmetics sections at almost all major U.S. department stores (e.g., Bloomingdale’s, Macy’s, Neiman Marcus, Nordstrom, and Saks Fifth Avenue) are managed under SWAS arrangements (Li, Chan, and Lewis 2016). These settings are typically staffed by the brand rather than the retailer, with the brand also having autonomy over inventory and pricing decisions for its products.

Industry experts have noted a rising trend: more retailers are incorporating BMR offerings in the current new era of retailing (e.g., Marsh 2023). This shift underscores the importance of the study – in their exploration, the research team recognizes that salespeople serve a mix of consumers, including some fully informed ones who are ready to make a purchase (e.g., a repeat customer), and others who are uninformed about the brand’s value proposition and need to be convinced by the salesperson. In designing incentives, the firm would ideally like to offer incentives only for sales to uninformed consumers, as only these sales require salesperson effort. While the firm cannot usually observe whether a sale made by an individual salesperson is to an uninformed consumer, it has better information on whether the sales team as a whole sells to the uninformed consumer because the group output in this case would be higher than otherwise.

Their theoretical analysis reveals a compelling insight: the information advantage of group incentives is particularly pronounced for weaker brands. Consequently, weaker brands may realize greater profitability through group incentives, while stronger brands are better positioned to enhance profitability and performance by utilizing individual salesperson incentives.

“Our findings underscore the efficiency implications of aligning sales incentives with brand strength,” explains Li. “To implement the findings of our research, managers of BMR sales operations may use brand equity metrics to form brand strength assessments and confirm the validity of the incentive type recommended by our findings through experimentation. Overall, our research shows that executives and managers, particularly those who run BMR sales operations, should factor in their brand’s strength when deciding on the optimal salesperson incentive compensation.”

One distinctive aspect of this study is its comprehensive approach, which combines rigorous theoretical modeling with empirical validation. Following their theoretical analysis that extends the classic principal-agent model, the research team applies cutting-edge machine learning techniques (e.g., Double Machine Learning) to test their theoretical predictions using data from multiple industry sections. They found that the data universally supported their theoretical predictions, highlighting the practical relevance of their theoretical propositions.

As a paper with complex models (the accepted paper includes 48 pages of Web Appendices providing theoretical model proofs and data modeling details), the research team takes pride in its acceptance by the Journal of Marketing. Renowned for its emphasis on real-world application, the Journal serves as a premier outlet with a particular focus on developing knowledge about practical marketing questions that are beneficial not only to scholars but also to practitioners. Boasting the highest Impact Factor (12.9) among all marketing journals, the Journal of Marketing is widely recognized as one of the foremost in marketing and is included in both The University of Texas at Dallas 24 (UTD 24) and the Financial Times 50 (FT 50), two prestigious business research journal lists.

“We have put a lot of effort into improving the readability of the paper,” Li said. “The acceptance illustrates that rigorous academic research with complex models and real-world application is not always met with resistance.”

Li also highlighted how the study reflects the value of working at Wake Forest, which cultivates a strong sense of community. “As we neared the end of the paper revision process, we sought input from industry professionals to enhance the real-world relevance of our research. Stacy Owen, the Executive Director of Alumni Engagement at the Wake Forest School of Business, promptly connected me with multiple alumni who generously shared their insights on the BMR setting,” Li explained. “I’m truly grateful for the support and assistance of Stacy, as well as our alumni Wendy Eavenson, Annie Eavenson, John Hoskins, and Lauren Key. Their willingness to engage and share expertise underscores the collaborative spirit at Wake Forest.”

When asked to summarize the paper’s insight in one sentence, Li referred to what the Journal of Marketing posted on their Twitter (X) account; “Brands must factor in brand strength when designing sales incentives: group incentives for weaker brands and individual incentives for stronger ones!”

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• Journal of Marketing Accepts Co-Authored Paper by Jia Li Linking Two Key Executive Concerns: Brand Strength and Sales Incentives 5.15.2024
• 2024 Alumni Award Winners Recognized 5.15.2024
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Hamilton Health Box Raises $10 Million in Series A Funding to Accelerate Rural Market Expansion

Series A Funding Expedites Expansion Into Rural America to Help 98 Million Americans Living in Health Professional Shortage Areas (HPSAs)

HOUSTON, May 14, 2024 (Newswire.com) – Hamilton Health Box (HHB) announced today the successful completion of a $10 million Series A funding round led by 1588 Ventures, with participation from Memorial Hermann Health System, Impact Ventures by Johnson & Johnson Foundation, Texas Medical Center Venture Fund, and the Sullivan Brothers.

Established in 2019 and headquartered in Houston, Texas, at the TMC Innovation Factory , HHB has pioneered a proprietary “small footprint” primary care delivery model suitable for various settings, including rural markets, employer worksites, office buildings, schools, and university campuses.

The Company’s mission is to build a premier value-based care platform, offering affordable primary care services accessible in communities and workplaces at any time, including after hours and weekends. HHB aims to provide excellent, yet cost-effective, essential primary care in locations where sustainable healthcare services have been lacking, catering to rural, underserved, and time-constrained populations.

Hamilton Health Box’s innovative de novo microclinics are cost-effective, prefabricated facilities specifically designed for primary care services. These microclinics employ a hybrid in-person and telemedicine care approach to enhance accessibility and convenience. Initially focusing on employer worksite clinics, the company is now extending its reach to rural markets. In rural areas, HHB has forged partnerships with leading Federally Qualified Health Centers (FQHCs) to provide primary care services both at existing FQHC centers and through new sites for broader coverage and impact.

Founded by Dr. Toby R. Hamilton, a board-certified emergency physician and native West Texan, HHB benefits from his experience as founder, CEO, Board Chairman, and Chief Innovation Officer of Emerus Hospital Partners, where he pioneered the concept of “micro-hospitals.” These capital-efficient acute care facilities have set operational excellence standards, improving access to hospital care in underserved communities.

The Series A funding will expedite the company’s expansion into rural markets, bringing its distinctive small footprint and high-touch care model to rural America and the 98 million Americans residing in Health Professional Shortage Areas (HPSAs). Vault Advisors acted as the financial advisor and Michael Best & Friedrich LLP served as legal counsel to the company for this transaction.

For more information about Hamilton Health Box, visit https://www.hamiltonhealthbox.com/ .

About Hamilton Health Box

Hamilton Health Box’s unique, microclinic operating model means we can offer excellent, yet cost-effective, essential primary care in places it has never sustainably existed before. We fill care voids for rural, urban, underserved, and time-poor populations, operating in the community or the workplace — wherever access to healthcare is lacking and sorely needed.