Rural Consumer Behavior

In: Business and Management

Submitted By ani091190
Words 4149
Pages 17
Reaching out to Rural
India: A Study of
Consumer Durable

Anirudh Sharma

A Management Project Report

Reaching out to Rural India:
A Study on Consumer Durable


Prof. Dhananjay Singh

15st Oct. 2015



I would like to thank my faculty guide Prof. Dhananjay Singh for their guidance and constant supervision as well as for providing necessary information regarding the project & also for their support in completing the project.
My sincere thanks to all the rural respondents’ family who take out there time and help me in understanding their buying behaviour. This enabled me to study buying behaviour of rural consumer towards consumer durable products.
I would also like to express our gratitude to all the retail store owners who take out time from there busy schedule and answered my questions and help me in providing data and their knowledge about the research.




Page no.





Consumer durable industry in India



Major players



Strategies implemented by some companies



Distribution channel




Literature review


Research methodology











Reaching Out to Rural India – A Study of Consumer Durable

In past few years, rural markets have acquired significance, as the overall growth of the economy has resulted into massive increase in the purchasing power of the rural communities. The rural areas are consuming a large quantity of industrial and urban manufactured products.
Census India defines “rural as any habitation having a population…...

Similar Documents

Consumer Behavior

...Consumer behaviour is the study of individuals, groups, or organizations and the processes they use to select, secure, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.[1] It blends elements from psychology, sociology, social anthropology and economics. It attempts to understand the buyer decision making process, both individually and in groups. It studies characteristics of individual consumers such as demographics and behavioural variables in an attempt to understand people's wants. It also tries to assess influences on the consumer from groups such as family, friends, reference groups, and society in general. Customer behaviour study is based on consumer buying behaviour, with the customer playing the three distinct roles of user, payer and buyer. Research has shown that consumer behavior is difficult to predict, even for experts in the field.[2] Relationship marketing is an influential asset for customer behaviour analysis as it has a keen interest in the re-discovery of the true meaning of marketing through the re-affirmation of the importance of the customer or buyer. A greater importance is also placed on consumer retention, customer relationship management, personalisation, customisation and one-to-one marketing. Social functions can be categorized into social choice and welfare functions. Each method for vote counting is assumed as social function but if Arrow’s......

Words: 331 - Pages: 2

Consumer Behavior

...1. Introduction “I don’t know the key to success, but the key to failure is trying to please everybody.” (Bill Cosby) The reason is because there are no two people that have exactly same likes and dislikes. Everybody in this world is different. Hence trying to make everyone happy at the same time merely blow the pleaser’s mind off. Taking that quote into consideration, it is not only true to an individual but also to every industry. A business cannot aim to sell their products to the whole market, because every customer has different wants and needs. Only a group of similar consumers that suites the products’ property best should be considered, so the business can use the right marketing strategy. In other words, business should segment their market in order to have clear image about their customers. Thus the business would make high profit by selling right product to right customers. 2. History of Cartier Started in 1847 when Louis-François Cartier took over master-craftsman Adolphe Picard jewelry workshop. Owing to Cartier’s great quality of manufacturing, they were trusted and selected to be many royal family official purveyors, including: King Edward VII of England, King Alfonso XIII of Spain, King Carlos I of Portugal, Tsar Nicholas II of Russia, King Paramindr Maha Chulalongkorn of Siam, King Peter I of Serbia, Duke Philippe of Orleans, King Albert I of Belgium, Duke of Windsor (Prince of Wales, future King......

Words: 2836 - Pages: 12

Consumer Behavior

...Activia Essay Consumer Behavior   Look at the site for the United States and another country; what differences do you notice? In the United States, the type of consumer behavior I see being targeted would be psychological side. Their target group seems to be women in there50s of 60s that are concerned or may have problems with their digestive system or how frequently they do or do not have a bowel movement. As people get older these things can become detrimental to their health because the toxins that are stored in your by from the processing of foods through the digestive system. And people are not able to have frequent or normal bowel movements there could be serious health issues because of this. The group of people Activia seems to be targeting is those who are up in age concerned about their health and willing to eat this type of product for the health benefits, therefore if it can help with internal cleansing of their intestinal tract to help rid their bodies of toxins, and then they will welcome the product with open arms. Look at the site for the United States and another country; what differences do you notice? The China site seemed to target a younger crowd and was more animated in the cause and effect of their digestive system. The add seemed to promote a more slimmer and happy persona, that the product will provide for the individual who consumes Activia. The product containers (packaging) is different from the American type, probably due to the......

Words: 672 - Pages: 3

Consumer Behavior

...two others. One day, with his savings he bought a pair of second-hand Nike shoes from flea market. Sunder Singh is not unique among low-income consumers, especially in large cities, in wanting and buying Nike shoes. Some experts believe that low-income consumers too want the same products and service that other consumers want. The working poor are forced to spend a disproportionate percent of their income on food, housing, utilities, and healthcare. They solely rely on public transportation, spend very little on entertainment of any kind, and have no security of any kind. Their fight is mainly day-to-day survival. QUESTIONS 1. What does the purchase of a product like Nike mean to Sunder Singh? Ans :   Sunder Sing, just escaping homelessness is clearly proud that he was able to save and buy a pair of Nikes. He could undoubtedly have purchase a different brand that would have met his physical needs as well for much less money which he does not say why he bought the more expensive Nikes, a reasonable interpretation is that they serve as a visible symbol that Sunder Singh is back as a successful.       Sunder Singh is not Unique among low-income consumer in wanting and buying items such as Nike shoes. As one expert says. “The low income consumer wants the same product and services other consumer want”. He suggests that marketing efforts reflect those desires. Another expert state. There’s this stereotype that they don’t have enough money for......

Words: 11624 - Pages: 47

Consumer Behavior

...*CONSUMER BEHAVIOR: *THE PSYCHOLOGY OF MARKETING Introduction The study of consumers helps firms and organizations improve their marketing strategies by understanding issues such as how The psychology of how consumers think, feel, reason, and select between different alternatives (e.g., brands, products); The psychology of how the consumer is influenced by his or her environment (e.g., culture, family, signs, media); The behavior of consumers while shopping or making other marketing decisions; Limitations in consumer knowledge or information processing abilities influence decisions and marketing outcome; How consumer motivation and decision strategies differ between products that differ in their level of importance or interest that they entail for the consumer; and How marketers can adapt and improve their marketing campaigns and marketing strategies to more effectively reach the consumer. One "official" definition of consumer behavior is "The study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society." Although it is not necessary to memorize this definition, it brings up some useful points: Behavior occurs either for the individual, or in the context of a group (e.g., friends influence what kinds of clothes a ......

Words: 892 - Pages: 4

Consumer Behavior

...CONSUMER BEHAVIOR PART ONE CONSUMER BEHAVIOR INTRODUCTION As the twentieth century has come to a close and we have moved into the third millennium, we can see many developments and changes taking place around us with all the industries and firms within each industry trying to keep pace with the changes and diverse needs of the people. Though for decades together, marketers have regarded ‘customer’ as the king and evolved all activities to satisfy this concept is gaining more momentum and importance today. This can largely be attributed to the prevailing market situation. Not only competition has become intense but over an above with the market being flooded with many products. The challenge before the marketers is to understand the diversity of consumer behavior and offer goods and services accordingly. Today the company image is built and made known by its customers. Thus the success of the firm will be determined by how effective it has been in meeting the diverse consumer needs and wants by treating each customer as unique and offering products and services to suit his needs and creating a life time value and relationship with him. (Nair 2004; 3) Marketers have come to realize that their effectiveness in meeting consumer needs directly influences their profitability the better they understand the factors underlying consumer behavior, the better able they are to develop effective marketing strategies to meet consumer needs. (Assael 2001; 3) Today, the digital......

Words: 37134 - Pages: 149

Consumer Behavior

... |Page no. | |Introduction |01 | |Model of consumer behavior |02 | |Physical influences within an individual |03 | |Motivation |04 | | Perception |05 | |Learning |06 | |Attitudes |06 | |Lifestyle |06 | |Social influences affect consumer behavior |07 | |Family ...

Words: 2501 - Pages: 11

Consumer Behavior

...products Market Offering-some combination of products, services, information, or experiences offered to a market to satisfy a need or want Needs-states of felt deprivation Partner Relationship Management-working closely with partners in other company department and outside the company to jointly bring greater value to customers Product Concept-the idea that consumers will favour products that offer the most quantity, performance and features and that the organization should therefore devote its energy to making continuous product improvements Production Concept-the idea that consumers will favour products that are available and highly affordable and that the organization should therefore focus on improving production and distribution efficiency Selling Concept-holds that consumers will not buy enough of the firm’s products unless it undertakes a large-scale selling and promotion effort Share Of Customer-the share they get of the customer’s purchasing in their product categories Societal Marketing Concept-questions whether the pure marketing concept overlooks possible conflicts between consumer short-run wants and consumer long-run welfare Wants-form human needs take as they are shaped by culture and individual personality 13th EDITION Marketing-The process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return Needs-states of felt deprivation Wants-The form human needs take as......

Words: 50597 - Pages: 203

Consumer Behavior

...calling the ad regressive. * Threat from future new entrant to compete with them in such a cut-throat market condition * Challenges to deal with competition and consumer choice and buying behavior Sales and distribution Emami covers all the states with 29 depots across India and enjoys a wide distribution network comprising 2500+ distributors and a direct coverage of 4.15 lacs outlets. To felicitate this distribution strength, Emami has1200+ strong and motivated Sales Force are including both direct & indirect manpower operating in the market. Modern Trade: With the change of scenario in retail market the Company has drawn an extensive coverage plan for targeting customers in modern format outlets effectively selling in the market directly or through exclusive distributors. A specialized Sales Force has also been developed to service these ever growing Modern Retail outlets. Currently, the Company is covering over 4000+ key accounts and is expected to double the sales in 2008-09. In order to bring in complete retail focus to the business through direct reach and distribution, the Company has also undertaken an aggressive plan to identify Focus Sates in the country. The objective behind this is to increase strong numeric distribution, reduce dependency on wholesale, initiate extensive BTL activities, strengthen rural coverage and introduce smart sales force to counter any competition. Marketing mix PRODUCT Core Product The hugely successful women's beauty......

Words: 2786 - Pages: 12

Consumer Behavior

...Effects of September 11 on Consumer Behavior The world has never been the same since September 11 2001. Even though some people claim consumer behavior was not affected by this tragic event. They say almost no measurable changes have affected consumerism, and that otherwise businesses run under their usual gains and losses. I believe that business has indeed seen effects from the September 11 event. Several types of businesses have benefited from the increase of fear this incident created in people. Businesses such as insurance companies, weapons retailers, as well as real estate agencies have been somehow impacted positively. I believe that the insurance companies have seen an increase in their sales, because they have sold probably a higher amount of insurance during these times. As mentioned also, people started to buy more weapons than what they did before for greater sense of security for their families. A lot of movement has also happened for real estate, since a lot of people have decided to leave larger urban areas towards more rural locations. Other types of businesses have not been so lucky, either taking heavy losses or having to close down permanently. One example is our local downtown business, which used to be booming with business but now it has declined Border crossing security has been greatly augmented. As a result people from across stop coming across as often so a lot of business have closed, I believe these got to show that business did become......

Words: 264 - Pages: 2

Consumer Behavior

...explains the manner in which the data its collected, classified tabulated and analysis so as to reach to conclusive results. THE PROJECT : The topic undertake is "To Study the Consumer Buying Behaviour towards Fairness Creams in __________ region." Keeping in view the fairness creams market which is very crowded and becoming competitive day by day, we decided to study the current scenario of the market. DATA COLLECTION The following techniques were adopted for data collection 1. PRIMARY DATA Primary data collected through face to face interviews while filling up questionnaires. 100 RESPONDENTS from ________City. 2. SECONDARY DATA Relevant information gathered from magazines , newspapers and project reports that formed the secondary data. 3. COMMUNICATION APPROACH Face to face interviews taken as the communication approach since it is a better method in cases where slight probing is required. OBJECTIVES OF THE STUDY BUYING BEHAVIOUR TOWARDS FAIRNESS CREAMS 1. To study the current Indian market for fairness creams. 2. To analyze the relationship between a specific brand and its buying behavior . 3. To assess whether advertising is influencing the buying behavior of the consumers. 4. To study the impact of the brands of fairness creams on the consumers buying behavior. SCOPE OF THE STUDY The scope of the study covers almost all categories of fairness creams. The whole appraisal of fairness creams will be angle of customer......

Words: 728 - Pages: 3

Consumer Behavior

...Children as Consumers: Advertising and Marketing Children as Consumers: Advertising and Marketing Sandra L. Calvert Summary Marketing and advertising support the U.S. economy by promoting the sale of goods and services to consumers, both adults and children. Sandra Calvert addresses product marketing to children and shows that although marketers have targeted children for decades, two recent trends have increased their interest in child consumers. First, both the discretionary income of children and their power to influence parent purchases have increased over time. Second, as the enormous increase in the number of available television channels has led to smaller audiences for each channel, digital interactive technologies have simultaneously opened new routes to narrow cast to children, thereby creating a growing media space just for children and children’s products. Calvert explains that paid advertising to children primarily involves television spots that feature toys and food products, most of which are high in fat and sugar and low in nutritional value. Newer marketing approaches have led to online advertising and to so-called stealth marketing techniques, such as embedding products in the program content in films, online, and in video games. All these marketing strategies, says Calvert, make children younger than eight especially vulnerable because they lack the cognitive skills to understand the persuasive intent of television and online......

Words: 14381 - Pages: 58

Consumer Behavior

...Lahore LEARNING OBJECTIVES 1. Describe the factors that influence consumer behavior online. 2. Understand the decision-making process of consumer purchasing online. 3. Distinguish online consumer from traditional consumer. Page 2 of 36 Maria Khan, Lecturer UET, Lahore A consumer is a person or group of people, such as a household, who are the final users of products or services. The consumer's use is final in the sense that he or she used the product by his or herself. OR A person who acquires goods and services for his or her own personal needs. Page 3 of 36 Maria Khan, Lecturer UET, Lahore The way in which one acts or conducts Behavior can be described as oneself, especially towards others. OR “The action, reaction, or functioning of a system, under normal or specified circumstances. Page 4 of 36 Maria Khan, Lecturer UET, Lahore …. In management, behaviors are associated with desired or undesired focuses. Managers generally note what the desired outcome is? Page 5 of 36 Maria Khan, Lecturer UET, Lahore Consumer behavior is the study of individuals, groups, or organizations and the processes they use to select, secure, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society. Page 6 of 36 Maria Khan, Lecturer UET, Lahore The behavior that consumers display in searching for, purchasing, using,......

Words: 1056 - Pages: 5

Consumer Behavior

...distributors entering market as competitors, such as Wal-mart and Target Target Consumer Analysis | Age 18-34 w/kids | Age 18-34 no kids | Age 35-54 w/kids | Age 35-54 no kids | Age 55-64 | Above age 65 | UpscaleSuburbs | | TargetJewel-Osco | KmartJewel-OscoTargetWal-MartDominick's | Jewel-OscoTargetWal-MartJewelDominick's | KmartJewel-OscoDominick's | Jewel-Osco.TargetWal-mart | Traditionalfamilies | Wal-MartJewel-Osco | Target | KmartTargetJewel-OscoDominick's | Wal-MartJewel-Osco | Wal-martJewel-Osco | Jewel-OscoDominick's | Mid/upscalesuburbs | | | Jewel-OscoWalgreenCVSDominick's | Jewel-OscoWal-Mart | Jewel-OscoDominick’s | TargetDominick’s | Metro elite | Kmart | Target | Jewel-OscoWalgreenCVS | Dominick's | TargetWal-MartDominick's | Jewel-OscoDominick’s | Working classtowns | KmartTargetWal-Mart | | KmartWal-Mart | KmartJewel-OscoTargetWal-Mart | KmartWal-MartJewel-Osco | TargetWal-martDominick’s | Rural towns& farms | | | KmartWal-MartJewel-Osco | Wal-Mart | KmartWal-martWalgreenCVSJewel-Osco | KmartWal-martJewel-Osco | Mid urbanmelting pot | Jewel-Osco | Dominick’s | KmartTargetWalgreenCVS | | KmartJewel-Osco | Jewel-Osco | Downscaleurban | | | Walgreen,Jewel-Osco | Dominick's | Jewel-OscoWalgreenCVS | Jewel-Osco | Source: Spectra COPYRIGHT 2008 Gale, Cengage Learning According to the table, we can find that the target consumers of Dominick’s pharmacy are 35-54 with kids or no kids, age 55-64 upscale......

Words: 869 - Pages: 4

Consumer Behavior

...8. Example of research question that following Lickert scale is: * Are you satisfied with our online banking service: 1. Very satisfied 2. Somewhat satisfied 3.Neither satisfied nor dissatisfied 4. Somewhat dissatisfied 5. Very dissatisfied 9. Examples of opened questions. Omachi b. What is your favorite noodles brand right now? c. Over the years, has your favorite noodles changed? In what ways? d. How would you different the taste between fresh noodles and instant noodles? 10. Products/ service that benefits from non-random sampling for primary research. Chapter 3 11. Differences in consumers’ behavior between Hanoians and Saigoneses are: a. Advertising is critical to Hanoians and it is not appealing to Saigoneses b. Opinions affect Hanoians purchasing behavior whereas Saigoneses only ask opinions for preference c. Saigonese earn 10 spend 11 where as Hanoians earn 10 spend 1. 12. VALs personality: * Innovators: are successful, sophisticated and take-charge people with high-self esteem. They are changed leaders and the most receptive to new ideas and technologies. Their purchases reflect cultivated tastes for upscale niche products or services. * Thinkers: motivated by ideals, high resources. Thinkers are mature, satisfied, comfortable and reflective. They tend to be well educated and actively seek out information during decision making process. They favor durability,......

Words: 2692 - Pages: 11