- India is the fastest growing free market
democracy. For a population of 1.1 billion, the economy is
worth $ 3 trillion and GDP is growing at 8-9 %. India would
be the fifth largest market by 2025.
- Rural India has a population of 790 million and contributes 50% of India’s income nearly 100 million have pulled out of poverty in the last 10 years.
- Rural people earning $ 2 / day will grow 9 times to 200 million by 2025.
- By 2017 rural consumption levels will equal current urban level.
- In understanding rural India , 4 'A's –
AWARENESS
AVAILABILITY
AFFORDABILITY
ACCEPTABILITY
AWARENESS---
- About 40 % of the population is illiterate while 50% of the population lives in media dark areas. There are 16 language and 432 dialects .
AVAILABILITY---
- Availability is assured through 47000 periodic
markets. Other touch point include 25000 fairs and festivals
and 7000 agricultural markets.
- Out of 600000 village 50 % are not connected by memorable road.
AFFORDABILITY---
- Average per capita income is less than $
1 / day. Mostly this irregular income comes through wage labors.
- Moreover rural population has limited access to institutional fiancé.
- Solution lies in low unit packs at low price point or equated monthly installments (EMIs) offered by the market.
ACCEPTABILITY ---
- More than 50% households are without electricity. Rural marketers
have limited understanding of the need of rural consumer.
- The solution lies in global product with
local customization. For example color television with battery
backup, mobile phone with menu in local language, dust cover
and torch.
