Communicating to Rural Markets

Embed Size (px)

Citation preview

  • 8/9/2019 Communicating to Rural Markets

    1/44

    Communicating to Rural Markets

    And its challenges

  • 8/9/2019 Communicating to Rural Markets

    2/44

  • 8/9/2019 Communicating to Rural Markets

    3/44

    Rural Market has arrived Some impressive facts about the rural sector

    In 2001-02, LIC sold 55% of its policies in

    rural India

    Of two million BSNL mobile connections, 50%

    in small towns / villages

    Of the six lakh villages, 5.22 lakh have aVillage Public Telephone (VPT)

  • 8/9/2019 Communicating to Rural Markets

    4/44

    Rural Market has arrived

    41 million Kisan Credit Cards issued (against 22million credit-plus-debit cards in urban) withcumulative credit of Rs.977 billion resulting intremendous liquidity

    Of 20 million Rediffmail signups, 60% are fromsmall towns, 50% transactions from these townson Rediff online shopping site

    42 million rural HHs availing banking services incomparison to 27 million urban HHs

    Investment in formal savings instruments: 6.6million HHs in rural and 6.7 million in urban.

  • 8/9/2019 Communicating to Rural Markets

    5/44

    Rural Communication An essential part of Rural Marketing

    Given a step motherly treatment

  • 8/9/2019 Communicating to Rural Markets

    6/44

    Challenges of

    Rural Communication Low literacy level

    Poor media reach

    Heterogeneous and diversely spread

    audience

    Tradition and culture which vary from state

    to state and in many cases from region toregion

  • 8/9/2019 Communicating to Rural Markets

    7/44

    Rural Markets - Heterogeneous

    National

    Languages

    Hindi /

    English

    Scheduled Languages

    Assamese, Bengali, Gujarati,

    Kannada, Kashmiri, Konkani,

    Malayalam, Manipuri, Marathi,

    Nepali, Oriya, Punjabi, Snaskrit,

    Sindhi, Tamil, Telugu, Urdu

    Language with Widespread Use

    47 languages used for primary education. 98 used in

    print media. 71 used on radio, 13 used in films

    17 Major

    LanguagesPlus 1650

    Dialects

  • 8/9/2019 Communicating to Rural Markets

    8/44

    To be Effective in Rural Important to invest in the right

    communication package aimed at specific

    target audience.

  • 8/9/2019 Communicating to Rural Markets

    9/44

    Before that

    Some Ground Realities

    There are states with developed Rural

    AP, TN, Kerala, Punjab, Haryana

    And states which are undeveloped.

    Bihar, Orissa, West Bengal, Rajasthan, etc.

  • 8/9/2019 Communicating to Rural Markets

    10/44

    Ground Realities In spite of multiple sources of communication

    the two step flow of communication continues

    to dominate the communication process. Opinion leaders at the top of the hierarchy

    continue to play an important role in the

    decision making process.

  • 8/9/2019 Communicating to Rural Markets

    11/44

    Opinion

    Leaders

    AspiringMiddle Class

    Bottom of the Pyramid

  • 8/9/2019 Communicating to Rural Markets

    12/44

    Ground Realities However, the composition of the opinion

    leaders has changed varies from product to

    product, issue to issue. Role of educated village youth as opinion

    leaders growing.

    Role of women and children in demandgeneration

  • 8/9/2019 Communicating to Rural Markets

    13/44

    Ground Realities

    You are dealing with two distinct audiences

    in Rural India.

  • 8/9/2019 Communicating to Rural Markets

    14/44

    Ground Realities

    A growing breed of

    educated, upwardly mobile,

    middle class with

    aspirations, exposure to massmedia and with purchasing

    power almost akin to his

    urban counterpart.

  • 8/9/2019 Communicating to Rural Markets

    15/44

    Ground Realities

    A vast majority of

    illiterate masses who are

    poor and who cannot beeasily reached through

    mass media.

  • 8/9/2019 Communicating to Rural Markets

    16/44

    Understanding the Characteristics of

    the Rural Masses

    Very intelligent and clever cannot be easilyhoodwinked.

    Understands symbols and colours better.

    Pahelwan Chap MRF

    Haathi Beedi

    Laal Sabun Lifebuoy Peela Powder - Nirma

  • 8/9/2019 Communicating to Rural Markets

    17/44

  • 8/9/2019 Communicating to Rural Markets

    18/44

    Understanding the Characteristics of

    the Rural Masses

    Very conscious of value for money Does not like to pay extra for frills he cannot use.

    (Eg. Colour TV)

  • 8/9/2019 Communicating to Rural Markets

    19/44

    Understanding the Characteristics of

    the Rural Masses

    Daily activity is routinised

    Plenty of time / No Sundays

    High involvement in any product purchased (eg.)

    durables

  • 8/9/2019 Communicating to Rural Markets

    20/44

  • 8/9/2019 Communicating to Rural Markets

    21/44

    Characteristics Perceptions, traditions, values vary from

    state to state and in some cases from region

    to region within a state.(MRF Bullock Cart

    Tyres)

    Divisions based on caste, community and

    other hierarchical factors continue to exist.

  • 8/9/2019 Communicating to Rural Markets

    22/44

    So how do we communicate with

    the Rural Folks?

  • 8/9/2019 Communicating to Rural Markets

    23/44

  • 8/9/2019 Communicating to Rural Markets

    24/44

    Rural Communication Keep the communication simple

    No scope for gimmicks

    Take time in communicating the message Quickies have no impact.

    Think in the local language to capture the local

    spirit in the communication aimed at specificregion.

  • 8/9/2019 Communicating to Rural Markets

    25/44

    Rural Communication

    The communication must address the specific

    problems, needs, aspirations and hopes of ruralfolks in each region.

  • 8/9/2019 Communicating to Rural Markets

    26/44

    Rural Communication Demonstration - a key element for success.

  • 8/9/2019 Communicating to Rural Markets

    27/44

    Shampoo Demonstration

  • 8/9/2019 Communicating to Rural Markets

    28/44

    DaldaVanaspathi

    Demonstration

  • 8/9/2019 Communicating to Rural Markets

    29/44

    Analogies help in better

    comprehension.

    Examples

    MRF Bullock Cart tyre Tafe Tyres

  • 8/9/2019 Communicating to Rural Markets

    30/44

    Rural Communication

    Television does not distinguish between

    urban and rural

    You may be able to get away with a

    common TVC for both urban and rural

    audience particularly for FMCG products

    provided your communication is not

    gimmicky, suggestive and is easy tocomprehend.

  • 8/9/2019 Communicating to Rural Markets

    31/44

    Rural Communication

    But when it comes to Durables, where rational

    decisions are involved, it is advisable to target the

    opinion leaders first.

    While urban oriented TVC may register withopinion leaders and help create awareness, for real

    impact down the line, a region specific and need

    specific communication programme has to be

    devised which provides for demonstration andtouch & feel of the products.

  • 8/9/2019 Communicating to Rural Markets

    32/44

    Comprehension

    Study Results of 4 TVCs

    by

    The Rural Network

  • 8/9/2019 Communicating to Rural Markets

    33/44

    Communication Comprehension Study

    Tested TV commercials of Babool toothpaste,

    Navaratna hair oil, Samsung TV and Asian Paints

    which were dubbed in regional languages Tested the commercials for overall comprehension,

    believability, association, acceptability, emotional

    involvement, etc.

  • 8/9/2019 Communicating to Rural Markets

    34/44

    Communication Comprehension Study

    Study was conducted in South and North markets

    In both urban and rural markets

  • 8/9/2019 Communicating to Rural Markets

    35/44

    Study Results While the comprehension of the overall

    message was almost 100% for all the spots

    in urban areas, it was only about 50% orless in the rural for every spot

  • 8/9/2019 Communicating to Rural Markets

    36/44

    Study Results Rural people had lot of doubts, questions

    Many of them could not believe the

    messages

    Some of them could not relate to the

    products on offer!

  • 8/9/2019 Communicating to Rural Markets

    37/44

    Responses from Rural - Babool

    Its too quick and unable to understand.

    It could be an ad for toothpaste or shaving

    cream No one will dance simply for a toothpaste

    What is a dog doing in a toothpaste advt.

    Characters are not presenting the product

  • 8/9/2019 Communicating to Rural Markets

    38/44

    Responses from Rural -

    Navaratna The advt. does not explain the use, is it for bathing

    or is it a hair oil.

    If a person is suffering from pain, how can hedance?

    Govinda in North and Ramba in South wererecognised and not vice versa

    Thanda-Thanda understood in North, ice cubesand music gave a chill feeling in South.

    Interesting for North but boring for Southrespondents

  • 8/9/2019 Communicating to Rural Markets

    39/44

    Responses from Rural

    Samsung TV Unable to understand anything, we dont

    know what it talks about

    Why are the couple quarrelling initially

    Unable to understand how flowers cancome from a TV

    This TV is for rich and educated people

    Does not interest, because we dont knowwhat they are saying

    R f R l

  • 8/9/2019 Communicating to Rural Markets

    40/44

    Responses from Rural

    Asian Paints Every one will become old but the house painted

    with Asian Paints will not become old.

    But, a paint will remain for 2 to 3 years and notfor generations, as shown

    Why should the person on the motor cycle cometo his friends house again and again

    If in the end, Asian Paint was not mentioned, wewouldnt have understood.

    Funny, but not clearly understood, its for richpeople

  • 8/9/2019 Communicating to Rural Markets

    41/44

    Learnings

    Rural folks understand simplecommunication better.

    Gimmicky, suggestive and fast pacedcommunication are difficult for them tocomprehend and relate

    Regional and rural ethos need to be kept in

    mind while developing target specificcommunication in the rural.

  • 8/9/2019 Communicating to Rural Markets

    42/44

    Lessons from the Success of

    regional brands in recent times They understand the regional ethos better

    Their communication touches a chord which

    helps in brand acceptance.

    They are flexible

    Adapt to changing market situations

    Eg. Anchor, Gadi, Ajanta, Cavinkare (Chik), Power,Goldwinner

  • 8/9/2019 Communicating to Rural Markets

    43/44

    To Succeed in Rural Markets It is important to be clued to the regional

    specific requirements and cater to the

    typical tastes of the regional consumersboth in terms of product offering and

    communication packages.

  • 8/9/2019 Communicating to Rural Markets

    44/44

    Examples of different treatment forurban and rural

    Ponds Urban & Rural Philips Consumer Electronics Division

    Leprosy Eradication Programme