49101376 Product Strategy

8/4/2019 49101376 Product Strategy

1/14

Challenges to rural

marketing

Availability

Affordability

Acceptability

Awareness


2/14

AvailabilityChallenge

Regularly making the product reach

to far flung areas Indias 627,000 villages are spread

over 3.2 million square kilometers


3/14

StrategiesReach outat Chaupals, mandis, haats, places of

worship

HUL used bullock carts,auotorickshaws, bicycles & boats in

Kerala backwaters to supply tovillagers

Coca colas hub & spoke approach

(weekly supply to distributors)


4/14

AffordabilityChallenge To provide at cheaper price

S

trategy Introduce smaller packages Godrej introduced packages of cinthol

,fair & glow priced at 4-5 Rs. particularlyfor the villagers of M.P., U.P, & Bihar, Chikshampoo, chota coca cola, lifebuoy pricedat Rs.2/- for 50 gms.


5/14

AcceptabilityChallenge To be accepted & adopted

Strategies Better communication (AIDCA model) Demonstrations

Innovative products; thermocoleboxes by coke to counter electricityproblem


6/14

Awareness

Challenge Low literacy rate, less exposure, only

41% villages have access to TV

Strategies Use opinion leaders

One on one trial programs

Melas can be used for: sampling ,demonstrations, retail sale point

HUL uses company organized media

Godre uses re ional radio channels


7/14

Product concept Features & quality

Service mix Appropriateness with price


8/14

Product features Simple

Ease of use

Visually identifiable

Affordable

Relatively longer PLCs


9/14

Some products customized

for rural customers Chocobix by cadburys Ushas big black table fan

LG washing machine with double washcapacity

Videocons Sampoorna television

Jolly TV , capable of running on both250V AC as well as 12V DC battery


10/14

Categories of rural

products-Major players FMCGs ; HUL, Dabur, Marico, Colgate

Palmolive, Nirma, Cavin Care & Godrej

Consumer durables; Usha, Bajaj, Phillips,Titan, Mahindra & Mahindra, Videocon, Tata,LG, Samsung & Maruti

Agri goods; DCM shriram, Rallis India,IFFCO, M&M,Eicher, escorts, Chamabalfertilizers

Services; LIC,BSNL, SBI, Reliance . ITC,

ICICI


11/14


12/14

Rural packagingessentials

Packaging material, safety Pack size ( shampoo sachets, Tiger

biscuits at Rs. 2,parachut hair oil,chik shampoo, Rasna concentrate at

Rs. 5 for a pack of 6 glasses) Packaging aesthetics, ease ofidentification ( Lifebuoy-red soap,tiger biscuits


13/14

Branding Product- brand disparity

Using familiar names

Using identifiable packaging

Using familiar endorsers


14/14

Fake brands Lookalikes

S

pell-alikes DuplicatesStrategies to tackle lookalikes Packaging made complex Increased dealer interface Increased product margins Govt. intervention

49101376 Product Strategy

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