rural marketing initiatives by companies in india.pptx

8/14/2019 Rural Marketing Initiatives by Companies in India.pptx

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Rural Marketing Initiatives

by Companies in India

Presented By:

Akash Kumar Rajput


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ContentRural Marketing Initiatives discussed in detail :

HUL Coca-Cola

Britannia

ITC

Hero Honda

LG

Thomson Reuters

Rural Marketing Initiatives discussed in brief :

Nokia

P & G GM

Hyundai

Dabur

Marico

Tata


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Rural India in FMCG

Rural India constitutes 70% of Indias total population. It accounts for 56% of national income.

It contributes to 1/3rdof Indias total savings.

It accounts for 64% of total expenditure.

Rural economy is estimated to reach a size of $340 bnby 2012-2013 as against $250 bn in 2007-2008.

They account for 70% of toilet soap and 50% of TV, fans,bicycles, tea and wrist watch consumption.

The share of rural India in the FMCG market is around53% and is expected to reach $100 bn by 2025.

Rural consumers spend about $9 bn per annum onFMCG items .


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HUL Hindustan Unilever Limited (HUL) is India's largest

consumer goods company based in Mumbai,Maharashtra.

It is owned by the British-Dutch company Unilever whichcontrols 52% majority stake in HUL.

It has over 16,500 employees and contributes to indirectemployment of over 65,000 people.

Hindustan Unilever's distribution covers over 2 millionretail outlets across India directly and its products are

available in over 6.4 million outlets in the country. HUL products include foods, beverages, cleaning agents

and personal care products.

As per Nielsen market research data, two out of three

Indians use HUL products.


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Rural Marketing Initiatives

Rural Marketing Initiatives by HUL-

Operation Bharat

Project Streamline

Operation Harvest

Cinema-van Operations

Project Shakti

Lifebuoy Swasthya Chetna

Khushiyon Ki Doli ( Caravan of happiness)


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Operation Bharat

The pioneering effort of HUL to reach rural homes andincrease awareness among rural customers wasOperation Bharat.

It was launched by HULspersonal products division in

1998. It was a Rs.13 Crore direct-consumer reach program

which reached an estimated 2.2 Crore homes across 12states over a period of 2 years.

Under this project each home was given a boxof products, at a special price of Rs.15, comprising lowunit-price pack of different categories of products.

These categories included :

Dental-care (Pepsodent toothpaste)


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Operation Bharat Skin-care (Fair & Lovely cream)

Hair-care (Clinic Plus shampoo)

Body-care(PondsDream flower talcum powder)

These products were distributed along with educationalleaflets, audio-visual demonstrations, film songs and

mythological serials interspersed with ads of Unileverproducts.

Almost 160 vans, each equipped with a TV and VCR, wereused in this operation with over a thousand promoters(which included distributors and other private operators).

The project strengthened the visibility of both the particularbrands and their respective categories and helpedeliminate barriers to trial by increasing awareness amongpotential rural customers.


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Operation Bharat

Under Operation Bharat, HUL introduced sachets ofclinic-plus, ponds, close-up and fairness cream to makesachet buying a habit for these consumers.

Seeing that the rural retailers sell the cut lifebuoy cakes

to the consumers, HUL came up with 75 gm soap cakeand later launched 18 gm lifebuoy soap, priced at Rs 2.

Rural customers used the same soap for hair and skin.HUL, having taken a cue from this insight, introducedBreeze 2 In 1, a multipurpose soap for hair and skin.

HUL carried its operations in the high potential districts ofthe country.


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Project Streamline

In 1998, HUL launched Project Streamline to extend theirdistribution network in the rural markets.

The goods are distributed from the C&F Agents to the Re-distributors, who in turn pass it on to the Star Sellers who

sells everything from detergents to personal products. Through Project Streamline, it created a hub and spoke

system and appointed sub-dealers who had theopportunity to serve villages in their vicinity.

Smaller regional brands would come along, offer bettermarkups and sell goods on credit and take away asignificant portion of business in a short span.


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Project Streamline

The project opened up a new distribution channelbeyond the territories that were covered by HULs 7,500odd distributors.

In less than two years, it doubled the companys reach inrural India. HULs distribution network now covered 60%

of the villages with population greater than 2,000 andhaving motorable roads.

To service the additional villages the company created asuper-stockist, sub-stockist hierarchy with the sub-

stockist essentially being the stock-point for servicingretailers in his area.

The ultimate aim of this program is to have a SingleDistribution Channel for rural markets by consolidatingacross categories.


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Operation Harvest

Since the reach of conventional media in rural markets islow, awareness of different products was weak.

Although it was not feasible for the Redistribution-stockistto cover all these markets due to the high costs involved,

these markets were heavily important due to theiruntapped potential.

Therefore this operation was launched to supplement therole of conventional media in rural markets and in theprocess increase awareness and forge loyalty with rural

customers. To do so the company initiated mobile van operations in a

focused manner to create awareness and point-of-purchase access.


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Operation Harvest

As the company demonstrated with Operation Harvest,such an exercise whose primary aim was to increasebrand awareness, is best done through van operations.

During this exercise, vans from HUL and its distributors

did the rounds of 30,000 villages giving promotionalpacks, showing products ads and identifying key retailand distribution points.


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Project Shakti In 2001,with partnership of self help group of rural

women & covers 5000 villages in 52 districts in differentstates.

Shakti targets small villages with the population of lessthen 2000.

Shakti also includes health and hygiene educationthrough the ShaktiVani programme, which now covers15 states in India with over 45,000 women entrepreneursin 135,000 villages & generating Rs.700-1000 per monthto each women.

By the end of 2010, Shakti aims to have 100,000 Shaktientrepreneurs covering 500,000 villages, touching thelives of over 600 million people.


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Project Shakti

Project Shakti has three initiatives-

The Shakti Entrepreneur, a microenterprise initiative

The Shakti Vahini program which translates as the voiceof Shakti, training women to be communicators in thevillages

IShakti, a group community portal that enables users toaccess information in a variety of areas. The software isvoice enabled for illiterate users.


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Shakti Entrepreneur

The Shakti Ammas are the wealth creators for theirvillages.

They learn about products, prices, returns, and act asadvisor and helper to their customers in the village.

Often they have simple goals for their earnings wishing

to buy a telephone, a scooter for transportation, oreducation for their children.

Nearly as important as the money they are earning is theimproved social standing for the women.

As a Shakti Amma, each woman is looked up to byvillagers, approached for advice, and fulfilled by theknowledge that she is helping other people as well asher own family.


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Shakti Vani Fair And Lovely (FAL) Vani operates under the aegis of

Hindustan Unilevers Project Shakti, a network spreadacross 18,624 villages in the states of Tamil Nadu,

Andhra Pradesh, Maharashtra, Uttar Pradesh, Bihar andWest Bengal.

FAL Vani is engineered to empower rural women inearning a livelihood, while improving the distribution andreach of FAL.

The job of identifying villages for activation programmes

rests with the HUL sales team. Once a village has been selected, HUL team meets key

opinion leaders (KOLs) like the sarpanch, the schoolprincipal, an important businessman or anyone who is

highly regarded by the villagers.


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Shakti Vani

The KOLs also help the activation team in selecting alocals FAL didi for that particular kasbah or mohalla.

The FAL didi is someone of a friendly disposition, is well-known in the village and in thegood books of mostvillagers. Her role is to help gather the crowd for thepresentation.


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I-Shakti I-Shakti kiosks have been set up in 8 villages in Andhra

Pradesh, and have been functional since August 2003.

The kiosks remain open from 9 a.m. to 7 p.m., six daysof the week.

The kiosks offer information chiefly in the form of audio-visuals in the following areas:

Health & Hygiene

E-Governance

EducationAgriculture

Employment

Legal services


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Lifebuoy Swasthya Chetna

Lifebuoy swasthaya chetna (LBSC) is a rural health &hygiene initiative which was started in 2002.

It spread information on how washing hands can keepdiseases away, targeted a population of 5 crores in

15000 villages. LBSC was initiative in media dark villages in UP, MP,

Bihar, Orissa.

It targets children as they are the harbingers of change

in society and mothers since they are the custodians ofhealth.

The first interaction with students is then replicated withthe women and finally the rest of the community.


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LBSC HUL simultaneously introduced a smaller bar (18

gram)of Lifebuoy soap priced at two rupees, toencourage people with low incomes to use soap.

In a single stroke-

HUL identified itself with the needs of the ruralcustomer where health and hygiene is the primaryconcern.

HUL managed to establish its Lifebuoy soap as the mostpopular soap in rural India.


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LBSC

It applied 2 approaches:

HUL employed Health Development Officers and HealthDevelopment Assistants who went to all the villages andeducated the community through lectures andcommunity meetings.

They returned to the villages after 2 months, offeredtoys, badges and medals to children who had made it ahabit to wash hands regularly ( read saved Lifebuoys

soap wrappers ) and a certificate to the children who hadwon these badges most often.


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Cinema-Van Operations

Cinema Van Operations are typically funded by theRedistribution Stockist and have films and audio cassetteswith song and dance sequences from popular films, alsocomprising advertisements of HUL products.

They have however been used for dual purposes-

to regularly service retailers in deeper and less accessiblemarkets in addition

to making contact with the end customers.

The company literally had to buildup the market, village byvillage in its rural initiative. But in the end-result, itmanaged to achieve penetration in the rural market fargreater in fact that any other company.


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Khushiyon Ki Doli

It is also called Caravan of Happiness Campaign. Khushiyon Ki Doli is the first multi-brand rural

engagement module started by HUL.

The main objective of the campaign was to reach out to

media dark villages with HUL brand messages and toengage with consumers deeply to rapidly change brandadoption metrics.

It involved various personal care and home care brands

of HUL including Wheel, Surf Excel, Fair & Lovely,Sunsilk, Vim, Lifebuoy and Close Up.


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Caravan of Happiness

The process of making contact includes 3 steps:

Awareness:

The first step is achieved through 4-5 teams of

promoters who head to each village and invite theresidents to gatherings that are termed Mohallas tomake them aware of the company and its products.

The events are conducted in the local language for small

focused groups which is supposed to encourage greaterengagement and involvement for the audience-Consumer


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Caravan of Happiness

Engagement: In the second step, post the mohalla activity, the

promoters go door-to-door and conduct consumer homevisits to generate trials where they offer promotions to

the consumers. Retail:

Finally, there is another team which visits all the shops inthe village which ensures improved availability and

visibility of the brands.


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Coca-Cola Coca-Cola is a carbonated soft drink sold in stores,

restaurants, and vending machines in more than 200countries.

It is produced by The Coca-Cola Company of Atlanta,

Georgia, and is often referred to simply as Coke.

Coca-Cola was the leading soft drink brand in India until1977 when it left rather than reveal its formula to thegovernment.

After a 16-year absence, Coke returned to India in 1993


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Different Brands

Cokes popular Indian brands includes: Coca-Cola

Diet Coke

Thumbs Up

Limca Maaza

Sprite

Fanta

Kinley

Citra


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Coke Rural Initiatives Coca-Cola doubled the number of outlets in rural areas

from 80,000 in 2001 to 160,000 in 2003, which increasedmarket penetration from 13% to 25%.

Coke brought down the average price of its productsfrom Rs 10 to Rs 5, thereby bridging the gap between

soft drinks and other local options like tea, butter milk orlemon water.

It doubled the spending on Doordarshan, increased pricecompliances from 30% to 50% in rural markets and

reduced overall costs by 40%. CCI spokesperson Nanto Banarjee said- The real

market in India is the rural areas. If you crack it, there isa tremendous potential.


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Thanda Goes Rural

In early 2002, CCI launched a new advertisementcampaign featuring Aamir Khan.

The creator of commercial Prasoon Joshi, nationalcreative director- McCann Erickson, said Thanda is a

very North India-centric phenomenon. Go to anyrestaurant in the north and the attendents wouldpromptly ask,thanda ya garam?

The advertisement with tagline Thanda matlab Coca-

Cola was targeted at rural consumers.


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Thanda Goes Rural

Commercials showed progression in associating Cokewith Thanda in a rural context.

Ad 1- Tapori- connection of coke with thanda was made.

Ad 2Hyderabadi shopkeeper- shopkeeper equates theword thanda with coke

Ad 3Punjabi farmerwhen one asks for thanda, onewould get coke


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Other Initiatives Coke also tapped local forms of entertainment like

annual haats, mandis and fairs. Coke launched the Accessibility campaign, introducing a

new 200 ml bottle(Chota Coke) smaller than thetraditional 300 ml bottle and concurrently cutting the

price Rs 5. Rs 5 pricing strategy closed the gap between coke and

basic refreshments like lemonade and tea.

For transporting stock from spokes to village retailers the

company utilized auto rickshaws and cycles. The company put up hoardings in villages and painted

the name Coca Cola on the compounds of theresidences in the villages.

Rural market increased companys sales by 60%.


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Britannia

Britannia Industries Limited is an Indian food-productscorporation based in Kolkata.

The company was established in 1892, with an investmentof Rs. 295.

It is famous for its Britannia and Tiger brands of biscuit,which are popular throughout India.

Britannia has an estimated 38% market share.

The Company's principal activity is the manufacture and

sale of biscuits, bread, rusk, cakes and dairy products. At present, 90% of Britannias annual revenue of Rs2,200

crore comes from biscuits.


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Major Brands

The major brand names include : Vita MarieGold

Tiger

Nutrichoice Junior

Good day 50-50

Treat

Pure Magic

Milk Bikis Bourbon

Little Hearts


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Britannia in Rural Market

Britannia and Colgate, apart from HUL, are the onlyFMCG companies in India that derive over 30% of theirrevenue from rural markets.

Britannia has rejuvenated its rural thrust by the launch of

Tiger biscuits. In rural areas, people are fond of eating biscuits with tea

and they have tea 3-4 per day.

Britannia exploited this fact and used pricing strategy topenetrate rural market.

Tiger was available from Rs 1 sachet that attracted ruralcustomers as well as it provided many flavors and creambiscuits.


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Cricket Campaigns

World-Cup 1999 Campaign:A three month promotion campaign that promises a free 3-day trip to UK for 100 lucky consumers of Britannia.


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Lagaan Campaign

Britannias Lagaan campaign was launched to pushTiger to the number one slot past Parle G.

A Rs 6 crore promotional campaign was kicked off byBritannia Industries Limited along with Aamir Khan

Productions, makers of the box-office hit, Lagaan. The bait for those who picked up Britannia Tiger

75g/100g packs from August-December 2001 was achance to play Aamir Khans Lagaan XI in a real cricketmatch in Mumbai in the last week of December 2001.

ITC (I i l T b C )


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ITC (Imperial Tobacco Company)

ITC is an Indian public company (25.4% owned by

British corporation, British American Tobacco)headquartered in Kolkata, West Bengal.

Its diversified business includes four segments:

Fast Moving Consumer Goods (FMCG)

Hotels

Paperboards, Paper & Packaging

Agri Business

ITC's annual turnover stood at $7 billion and marketcapitalization of over $34 billion.

The company is currently headed by Yogesh ChanderDeveshwar. It employs over 29,000 people at more than60 locations across India


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ITC

ITC Limited completed 100 years on 24 August 2010.

ITC was formed on August 24, 1910 under the nameImperial Tobacco Company of India Limited.

Later the name of the Company was changed fromImperial Tobacco Company of India Limited to IndiaTobacco Company Limited in 1970 and then to I.T.C.Limited in 1974.

FMCG


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FMCG Cigarettes:

W. D. & H. O. Wills, Gold Flake Kings, Gold Flake Premium,Navy Cut, Insignia, India Kings, Classic (Menthol, MentholRush, Regular, Mild & Ultra Mild), 555, Benson & Hedges, SilkCut, Scissors, Capstan, Berkeley, Bristol, Lucky Strike

Foods:

Kitchens of India, Aashirvaad, Minto, Sunfeast, Candyman,Bingo, Yippee, Sunfeast Pasta brands in Ready to Eat,Staples, Biscuits, Confectionery, Noodles and Snack Foods

Apparel:

Wills Lifestyle and John Players

Personal care: Fiama di Wills; Vivel; Essenza di Wills; Superia; Vivel di Wills

brands of products in perfumes, haircare and skincare

Stationery:

Classmate and PaperKraft


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ITC IBD

ITCs International Business Division (ITC IBD) wascreated in 1990 as an agricultural trading company.

It now generates US $150 million in revenues annually.

In 1998, the competition with MNCs forced ITC toexplore the options of sale, merger and closure of IBD.

ITC ultimately decided to retain the business.

The ITC-IBD used Information Technology to face the

challenges and to create a competitive business thatdid not need a large asset base.


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ITC e-choupal

ITC e-choupal was developed by ITC ABC (Agri-business division)

It is the brainchild of S Sivakumar and is promoted by

Y.C. Deveshwar, Chairman, ITC ITC e-choupal was launched in June 2000

It is the largest Internet-based initiative in rural India

It benefits 4 million farmers in 40,000 villages

D it f P i S t


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Demerits of Prior System

h l


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e-choupal ITC followed a direct media strategy which is more

elaborate and extensive in rural marketing so far, whichbenefits both the farmers and the organization.

This strategy used Information Technology and bridged theinformation and service gap in rural India which gives an

edge to market its products like seeds, fertilizers andpesticides and consumer goods.

The e-choupal model required ITC to make significantinvestments to create and maintain its own IT network in

rural India and to identify and train a local farmer tomanage each e-choupal.

e-Choupals serve as both, a social gathering place forexchange of information and an e-commerce hub.

e choupal


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e-choupal The farmers can use the computer to access daily

closing prices on local mandis(government mandated

markets), as well as to track global price trends or anyinformation about new farming techniques either directlyor via the sanchalak .

In addition they can also know about weather

forecast(local) and best practices in the world from e-Choupal website.

They also use the e-Choupal to order seed, fertilizer, andother products such as consumer good from ITC or its

partners, at prices lower than those available from villagetraders;

The sanchalak typically aggregates the village demandfor these products and transmits the order to an ITC

representative.


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e-choupal The computer, typically housed in the farmers house, is

linked to the Internet via phone lines or, increasingly, bya VSAT connection, and serves an average of 600farmers in 10 surrounding villages within about a 5kilometer radius.

Each e-choupal costs between $3,000-$6,000 to set upand about $100 per year to maintain.

The host farmer, called a sanchalak, incurs someoperating costs and is obligated by a public oath to serve

the entire community. The sanchalak benefits from increased prestige and a

commission paid him for all e-Choupal transactions.

h l


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e-choupal At harvest time, ITC offers to buy the crop directly from

any farmer at the previous days closing price; the farmerthen transports his crop to an ITC processing center,where the crop is weighed electronically and assessedfor quality.

The farmer is then paid for the crop and a transport fee.

Principles followed in implementing e-choupal:

Re-engineer, Not Reconstruct

Address the Whole, Not Just One PartAn IT-Driven Solution


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Structure of e-choupal


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H H d


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Hero Honda A joint venture between the Hero Group and Honda Motor

Company was established in 1984 as the Hero Honda MotorsLimited.

Due to rising differences, ranging from Honda's reluctance tofully and freely share technology with Hero as well as Hero'suneasiness over high royalty payouts to Honda, Hero and

Honda split on 16thDecember 2010. Till 2010, Hero Honda, the worlds largest manufacturer of two-

wheelers, generated over 40% of sales from rural areas.

The company built its rural marketing strategy around the roleof influencer groups.

The major rural marketing initiatives by Hero Honda are:

Har Gaon, Har Aangan Program

Waves Marketing Campaigns

Sikhao Baliye Initiative


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Har Gaon, Har Aangan Under this program, 500 sales representatives were initially

hired and given work tasks rather than sales targets. They were required to meet potential customers and opinion

leaders in villages such as teachers and panchayat membersto spread the campaigns message to prospective customers.

With a focus on building enduring relationships with rural

customers, the "Har Gaon, Har Aangan" program included anumber of activities with no direct sales outcome.

The company organized free service and check-up camps,consultations for obtaining driving licenses, safe ridingeducational programs, health check- ups and awareness

camps. By this program, the company covered 1/6thpopulation of rural

India (1,00,000 out of 6,00,000 villages) and sold with anaverage of 16,000 bikes per month.


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Other InitiativesWaves:

Hero Honda has been running a two-month-long marketingcampaign called "waves", that coincides with the pre-harvestseasons of April and October.

This gives the company an early start in influencing andforming purchase intent and opinions.

Each wave has so far resulted in additional sales of 15,000motorcycles per month.

All these waves are led by members of the influencergroups.

Sikhao Baliye :

It was another unique initiative which targeted rural women topersuade them to driving motorbikes.

Promotion Strategies


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Promotion Strategies To help increase its reach to 70 percent of Indias 6 lakh

villages, Hero Honda added a new layer of AuthorisedRepresentatives of Dealers (ARDs) to its distributionnetwork.

Within a district, the companys main liaison is located in

the district headquarters. Under him are authorized representatives- smaller

dealerships where locals can make purchases and alsoget their bikes serviced.

These ARDs are appointed and managed by the dealersthrough a profit-sharing mechanism.

Since Hero Honda avoids directly managing the ARDs,there are no additional investments in the supply chainfrom its side.

H H d


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Hero Honda The Company launched some entry-level products with

trimmings tailored to suit the rural consumer, likeadjustable suspension, strong headlights and goodground clearance.

The most successful product is SPLENDOR in rural

market and the company kept its focus on upgrading theSPLENDOR models.

They came up with SPLENDOR PLUS and SPLENDORNXG which provided extra features and the customers

were satisfied.

LG


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LG LG Corporation is a South Korean Company.

In 1995, to compete better in the Western market, theLucky-Goldstar Corporation was renamed LG.

The company also associates the letters LG with thecompany's tagline "Life's Good".

Since 2009, LG has owned the domain name LG.com.

LG is the worlds leading manufacturer of consumerelectronics.

India, the companys largest market in the Asia Pacificregion, generated 35 percent of the companys Indiarevenues from rural sales.


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LG Sampoorna In 1998, LG developed a television brand specifically for

the rural market, christening it "Sampoorna".

This region-specific branding was unprecedented for amultinational corporation.

A majority of the semi-urban and rural consumers arecomfortable with regional languages but have little or nounderstanding of English, making it impossible for themto read instructions written in English or to operate theproduct.

This need had been overlooked for years, ever sincetelevision became accessible in rural homes.

LG exploited this need and turned it into demand.


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LG Sampoorna

LG spent close to $50,000 in developing a unit with on-screen display options in the regional languages ofHindi, Tamil and Bengali.

LG priced the model with rural affordability in mind at Rs

14,400, still Rs 2,000 more than equivalent productsfrom other companies.

"Sampoorna", with its customized features that gave therural consumer ease-of-use, was a complete hit, sellingmore than 100,000 sets in the first year of its launch.

LG also invested early in building a strong districtnetworking system to drive its marketing efforts, creatinga hierarchy of 45 area offices and 59 rural/remote areaoffices.

LG Sampoorna


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LG Sampoorna With the infrastructure in place, LG mounted a campaign

for distribution penetration. The company has more than 9,000 sales and service

dealers working through different rural sales channels,close to 1,100 distributors and 40 branch warehouses.

The distribution strategy is supplemented by anelaborate customer service initiative Called the "211"initiative or "Service When You Want.

Under this initiative complaints are handled within a

maximum of 24 hours. The IT infrastructure for the "211" program currently

exists in 100 cities and will soon be extended to 200more, deepening the companys ability to service itssemi-urban and rural consumers.

Th R t


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Thomson Reuters Thomson Reuters Corporation is a Canadian media and

financial-data firm based in New York City. It was created by the Thomson Corporation's purchase of

Reuters Group on 17 April 2008.

With $13.4 billion in revenues, Thomson Reuters is the

world's largest multimedia news agency. It operates in 100 countries, has 60,000 employees and is

headquartered at 3 Times Square,Manhattan,New York.

Thomson Reuters focus in India was on finding strong and

differentiated revenue streams. Spotting a business opportunity in rural markets, the

agency decided to launch a personalized informationservice for farmers.

R t M k t Li ht


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Reuters Market Lights RML, a business incubated by Thomson Reuters, is a

pioneering mobile phone-based agricultural informationservice provider.

The service is designed to provide farmers withpersonalized, timely and actionable agricultural

information from pre-sowing to post-harvest stagesthrough SMS on their mobile phones in their locallanguage.

About 1 million Indian farmers from an estimated 50,000

villages have used this service. At present, RML is available in 13 states in India,

covering over 450 crop and crop varieties and more than1300 markets.

R t M k t Li ht


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Reuters Market Lights

The subscription can be bought for a period of three, sixor 12 months at a price of less than $3 per month.

With RML service, individual farmers gained up to Rs200,000 of additional profits, and savings of nearly Rs400,000, marking a significant return on their investment.

RML was conceptualized as a one page idea in 2006 toaddress the needs of farmers.

Following nearly 18 months of market research,prototyping and market trials, RML was finally launchedin October 1, 2007 in Maharashtra by Mr. Sharad Pawar,the union minister of agriculture of India.

Later, RML was launched in Punjab in 2008 by Mr.Prakash Badal, states Chief Minister.

R t M k t Li ht


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Reuters Market Lights RML has its own team of reporters who track 600 mandis

in the country.It also has content sharing partnershipswith agricultural universities.

Those who want the service can buy an RML Direct Cardwhich is available in over 4,000 retail outlets.

Then, they make a phone call to RML center specifyingthe information they need, their geographic location andthe crops they grow.

The user profile system developed by RML captures

such individual farmer details, mobile number andpreferences.

This is then connected to the mobile delivery platformwhich sends the messages based on the user profiles.

Reuters Market Lights


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Reuters Market Lights Each day, over 100,000 farmers in different states of India

receive text messages on their mobile phones, givingthem spot prices for their chosen crops from nearbymarkets, crop-related advice for their region, localizedweather forecasts and prices of supplies, all according totheir individual preferences and in a language of their

choice. Within the first 23 months of its launch, more than 250,000

RML quarterly subscriptions have been bought by over100,000 farmers across 10,000 villages.

The farmers have realized huge financial benefits-rangingfrom Rs 500 to as high as Rs 400,000.

In fact, a grape farmer in Nashik recalls how a RMLweather alert helped him take action to save his crop,

saving him Rs 200,000.

R t M k t Li ht


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Reuters Market Lights For RML, the existing customer base alone turns in

revenues worth Rs 60 million (US$1.3 million). The cumulative impact across a growing subscriber base

can be game changing in terms of both the companysprofitability and overall returns to its subscribers.

Thomson Reuters estimates that its customers couldwell save more than $6 billion.

The unprecedented and pioneering businesses of RMLhas been recognized by and is a case study for the UN,the UK government, leading academic institutions like

Cambridge University and London Business School, andleading publications such as The Economist and theBBC.

Rural Marketing Initiatives by


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Rural Marketing Initiatives by

Companies in brief

Nokia

P & G

GM

Hyundai

Dabur

Marico

Tata

NOKIA


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NOKIA Nokia introduced SMS alerts from Malyalam Manorama

based on the feedback that newspapers dont reach a lot ofvillages and it has received a good response from the ruralareas.

Nokia has also lined up applications meant exclusively for

the non-urban population, which provide entertainment,education (helping people learn English, for example) andagricultural information to subscribers.

The first pilot of these applications, called Nokia Live Tools

(NLT), was rolled out in January 2009 in five districts ofMaharashtra. Many of the applications in NLT help thosewithout access to regular TV and newspapers, with info.

.

NOKIA 1100


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NOKIA 1100 Nokia 1100 was a product which targeted sub-urban and

rural markets. It is sturdy enough to stand roughhandling,has very low price, high battery back-up andalso has torch feature

P t & G bl


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After a two year long push into the hinterland, P&G has

come up with a new addition to its marketing strategy inthe form of a character called Sangeeta Bhabhi, adedicated housewife.

The personality was conceived to push P&Gs leading

brands, Tide and Head & Shoulders as a dualproposition called kamyab jodi (Successful Pair) in ruralareas of the country.

After much deliberation over the eight to nine categories

that P&G operates in, marketers picked the detergentbrand Tide and shampoo Head & Shoulders as the focusin this particular rural initiative.

Procter & Gamble


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Daburs Astra


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Dabur sAstra Shopkeepers selling Dabur India's consumer products

would now learn marketing through role-plays staged byprofessional actors at their shops.

As part of a recent initiative titled Astra, advanced salestraining for retail ascendance, FMCG major has recruited75 sales and HR managers across the country who would

educate over 2,000 distribution channel partners of thefirm about the complexities of sales and distributionthrough the audio-visual medium.

Dabur has a distribution reach of 25 lakh retail outletsacross the country.

About 75 per cent of the company's sales come form ruralareas, hence, it has created the Astra training consultancymodule in five vernacular languages, Bengali, Tamil,Telungu, Malayalam and Kannada

Maricos Parachute Coconut Oil


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With the objective of creating awareness for Parachute

Coconut Oil pouches in sub-urban and rural areas inTamil Nadu, and in order to convert loose oil buyers intoParachute pouch customers, Marico Industries launcheda van campaign.

The communication Strategy focused on getting womenout of their homes to participate in the van campaign,which was aimed exclusively for them and for the firsttime conducted by women.

A study by Marico showed a 25% conversion from loosecoconut oil usage to Parachute Pouch Pack, post vancampaign and a substantial increase in sales from thecampaign areas.

Marico s Parachute Coconut Oil

PHILIPS


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PHILIPS To increase the sales of Electronic Entertainment

products for ex. Stereos and CTVs among the ruralpopulation of Tamil Nadu, Philips launched PhilipsSuper Shows.

Philips Super Shows were conducted in five district

headquarters with the intention of motivating dealers aswell as opinion leaders to generate word-of mouthpublicity, as a first step.

This was followed by extensive van operation in 5000+population areas with audience participation techniquesfor mouthing the brand.

It was supported by mass media campaign in regionalpress, rural cinemas, radio, wall painting and intensivemerchandising activities.

Tata


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Tata Tata Teleservices has launched a new product named

Nano Ganesh, especially for the rural community. For this project, Tata tied up with Pune based company

Ossian Agro Automation.

It was developed by Ossian Agro Engineer Santosh

Ostwal, son of a farmer in 1998. It allows farmers to operate their irrigation pumps from a

remote location.

The application was a Grand Prize winner in the

emerging market category of Nokias Calling AllInnovators contest.

Tata Ganesh


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Tata Ganesh Tata Ganesh is the Combination of Tata Indicom mobile connection

and a mobile modem. The Modem is attached to the starter of the pump set and can be

attached to any existing electrical starter and motor pump.

Each connection has a Unique code number for security purposes.

Farmers can remotely switch on and switch off the pump set.

Farmers can further check On/off status and Power availability.

It was first started at Sojitra in Anand district in Gujarat.

15,000 farmers in Maharashtra state have been using Nano Ganeshsince 2008 and it is expand to UP, Gujarat,Rajasthan and Madhya

Pradesh. The cost of Modem is Rs 2700 and additional charges for desiredhandset.Handset comes with lifetime validity.

All calls made to the pump by the Tata Indicom Mobile are free andother calls are charged as per the tariff plan given to the subscriber.


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Tata


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Tata Tata Chemicals launched Tata Kisan Sansar for rural

markets.

Tata Kisan Sansar is a chain of one-stop resourcecentres for rural people.

All the necessary commodities are available at theseresource centres.

TCS started mKRISHI for farmers.mKRISHI is anew tool for farmers to receive agricultural information.


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Conclusion


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hank You

rural marketing initiatives by companies in india.pptx

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