4P’S OF ARKETING MIX- BACKGROUND STUDY

FOR RURAL MARKETS

PRODUCT:

1. Small unit size and low priced.

2. New product designs- sturdy products

3. Brand name.

4. Avoid sophisticated packing – Refill packs,

Reusable packaging

Factors to be considered while designing the product:

➢ Specific requirements of Rural consumers.

➢ Habits of usage and purchase

➢ Income levels

Customs, beliefs and taboos

PRICE:

1. Low priced products

2. Application of value engineering (milk-soya protein)

3. Small sized utility packs

PLACE:

• Segmentation

• Coverage of villages with 2,000 and above population

• Distribution up to flea markets/ Mandi/shanties/ Melas.

• Direct Contact with rural Retail

PROMOTION

• Television

• Radio

• Haats, Melas, Fairs.

• Print media

• Cinema

• Hoarding/ Wall Painting

• Rural van

Examples of Innovations in
Rural Marketing Mix

• ICICI BANK customized their rural ATMs, so they can operate biometric authentication. ICICI
rural ATMS are battery operated so that power failure is not issue.

• Nokia develop affordable Mobile phones for rural markets with unique features such as local
language capabilities, present time/ call limits.

• Philip develop a TV ‘ Vardaan’ for rural markets. This TV work on the voltage 90-270 volts.

• Philips developed ‘ Free Power radio’ this radio do not require power and battery also. it run on
simple winding of level provided in the set. The price of this attractive set is Rs. 995.
 4P’s of Marketing of VANI TEA

Product:
Bulk Tea
All grades of CTC Teas

All grades of Orthodox Teas

 Organic Tea - Orthodox grades Teas
are supplied in packaging as per ISO norms as well as customer requirements viz.
4-ply Kraft Paper Sacks, Multiwall Paper Sacks, Rigid T--Sacks, Polywoven
Sacks, Currugated Fibre Carlons, Polylined Jute Bags etc.

Instant Tea
Instant Tea Division caters to customer specific product and are used for light
density 100% Teas, Iced Tea Mixes and in the preparation of Ready to Drink
(RTD) beverages. Instant Tea powder is packed in bulk packages of 20/25/35 kg
each.

Intant tea powder - heavy density

Instant tea powder - institutional density

Instant tea powder - grocery density

Micro milled instant tea powder

Price:
Marketers need to understand the psyche of the rural consumers and then act
accordingly. Rural marketing involves more intensive personal selling efforts
compared to urban marketing. Firms should refrain from designing goods for the
urban markets and subsequently pushing them in the rural areas. To effectively tap
the rural market a brand must associate it with the same things the rural folks do.
This can be done by utilizing the various rural folk media to reach them in their
own language and in large numbers so that the brand can be associated with the
myriad rituals, celebrations, festivals, “melas” and other activities where they
assemble.
All the prices of the products depend upon the package ie 50gms or 100gms.
Normally a Penetrating Strategy is used frequently
Place: (Distribution)
One of the ways could be using company delivery vans which can serve two
purposes- it can take the products to the customers in every nook and corner of the
market and it also enables the firm to establish direct contact with them and
thereby facilitate sales promotion.
However, only the bigwigs can adopt this channel. The companies with relatively
fewer resources can go in for syndicated distribution where a tie-up between non-
competitive marketers can be established to facilitate distribution. Annual “melas”
organized are quite popular and provide a very good platform for distribution
because people visit them to make several purchases. According to the India n
Market Research Bureau, around 8000 such melas are held in rural India every
year.
Rural markets have the practice of fixing specific days in a week as Market Days
(often called “Haats’) when exchange of goods and services are carried out. This is
another potential low cost distribution channel available to the marketers. Also,
every region consisting of several villages is generally served by one satellite town
(termed as “Mandis” or Agri-markets) where people prefer to go to buy their
durable commodities. If marketing managers use these feeder towns they will
easily be able to cover a large section of the rural population.

Promotion:
Firms must be very careful in choosing the vehicle to be used for communication.
Only 16% of the rural population has access to a vernacular newspaper. So, the
audio visuals must be planned to convey a right message to the rural folk. The rich,
traditional media forms like folk dances, puppet shows, etc with which the rural
consumers are familiar and comfortable, can be used for high impact product
campaigns.
STP FOR THE VANI TEA
1. Segmenting: Buyers behavioral segmentation
All variables are in some way or the other related to buyers behavior, which vary
often confuses marketers. There is a difference between the buyers characteristics
reflected in there geographic, demographics and psychographic profiles, and there
buying behavior. Buyer behavior involves many elements like purchasing occasion
benefits, user status, rate of product usage, loyalty rate, and attitude towards the
product
2. Targeting: -
The company targets the whole family ie anyone in the family can drink the tea.
Also special for farmers as it also contains herbs which will refresh farmers
3. Positioning
A Marketer can position his product in various ways to develop or enhance it’s
value to the consumer. He also do it according to :
• Product Characteristics / Consumer Benefits
• Price Quality
• Use or Application
• Product User
• Product Class
• Culture Symbols
• Competitors
Your company positions it’s products as a Quality product at fare prices and
consumer benefits which is a herbal tea