Write short notes on problems in Rural Marketing.
Answers
Large and scattered market: According to 2001 census rural population is 72% of total population and it is scattered over a wide range of geographical area.
Diverse socio-economic background: This is different in different parts of the country and brings diversity in rural markets.
Changing demand pattern: Demand pattern of rural customer is fast changing due to increasing in income and credit facilities offered by banks like ‘kisan credit card’.
Major income comes from agriculture: About 60% of the rural income is from agriculture and hence the demand for consumer goods is high during harvesting season.
Saving habits: Rural consumer is now having saving habits due to the efforts of co-operative and commercial banks.
Traditional outlook: Rural customer values old customs and traditions.
Low standard of living: Rural consumer have low standard of living because of low literacy, low per capita income and social backwardness.
Poor infrastructure facilities: Facilities like roads, warehouses, communication system, etc. are inadequate in rural areas. Hence physical distribution becomes costly.
Media reach: The reach of pint media is 10% followed by TV 31%, radio 31% and cinema 33%.
10. Communication: As per Indian Express report about 6 lakhs villages are without telephone facilities.
11. Electrification: About 88% of villages have been electrified and rest will soon get electricity by “Rural Electricity Corporation”.