TELECOM SERVICE PROVIDERS IN THE VILLAGES

Aniruddha Bhagwat Roll No. 148

Penaaz Shaikh Roll No. 70

Chaitra Desai Roll No. 117

Charu Gupta Roll No. 145

RURAL MARKETING

AN OVERVIEW

The expansion of India's telecom industry has led to an "all-inclusive growth" of the Indian economy in terms of GDP

In the 2006/07 the country saw the growth rate hit 9.6 percent-Majorly due to telecom sector.

The demand for telecommunication services are surging across rural India, as middle class and upper classes are growing in most villages

OPPORTUNITY IN RURAL INDIAA huge population – 720 million people in

630,000 villages across 3.2 million square miles.

A massive economy – over 50% of India’s total GDP. There are almost same number of middle to high income households in rural areas (21.16 mn) as urban India (23.22 mn).

A booming economy – with the consumer durables market, for example, growing at 25% per year (vs 10% nationally).

A parallel economy – with the same needs as developed markets but a reduced ability to pay.

GAP BETWEEN URBAN AND RURALNo celebrities will workNo mass media coverage-Due to lack of access to technologyRural market lies in the bottom of the

Pyramid. The 4 A’s work for themAvailabilityAffordabilityAcceptability Awareness

COMMUNICATION HELPSLack of transportation-Coordinated rural transportation based on mobile

information delivery, will increase convenience and allow users to find reliable, regular and affordable transportation ‘on-demand’.

Difficulties in managing commercial transactions

-Micro-commerce ventures like mobile ordering, payments and delivery requests can all help isolated small-scale entrepreneurs in remote locations.

Lack of healthcare services-Telecom and broadband intervention will allow doctors,

nurses and midwives to stay in closer contact with patients.

Ignorance of governance policies-Rural governance services giving access to citizen data

will allow the rural population to be more informed about national level developments and reduce the urban-rural divide.

IDEA

The most favorable service provider in one of the 2 villages

Has good network in the villageAvailability is high but the distribution is

not well channelizedBranding is seen in and around the village-

not extensiveThe amount that people spend is Rs 10/- to

Rs.150/-

AIRTELIs favored in one village and not in the restThe network is good in Sonwadi because of

the existence of a towerAvailability is high, but distribution is poorVery poor branding around the villagesThe spending of the people remain the

same irrespective of the network

VODAFONENot favored by the villagersUsage rate of Vodafone is extremely low

because of poor networkAvailability is not as high as that of Idea

and Airtel. This is because of low demandHuge amount of branding is done all

around the villages and district

NEED GAP ANALYSIS

No direct distribution of sim cards and recharges

People hesitate to buy a cellphone because of discomfort with usage

Network: Only Idea and Airtel have good network

Nominal women usersFew purchase location: only 2 outlets in one

bazaarNo initiative taken by the companyInadequate branding (except for Vodafone)

DISTRIBUTION

Well channelized distribution- Direct distribution to the rural marketTrade discount and trade promotions- Incentives to the shopkeepers for branding

and meeting sales target- prizesTie-up with a mobile company for low cost

phones to be distributed

PROMOTIONSWomen’s initiative- Educate them in the village to encourage sales- Special schemes , e.g. speak to the ancestral

home free of cost- Interaction with women on MondaysFestival branding- The service provider can brand the pandals- Built kiosksCultural fairs, dramas and respected

community eldersFairs and weddings

PROMOTIONAL STRATEGIESCommunicating and changing quality

perception- Value for moneyCommunication in Indian languageExploit social and cultural values- Sensitive peopleTalking about a normal Indian- Base advertisements and interactions on

normal Indian familiesMarathi names for the schemes

BRANDINGUmbrellasRooftopsRun down buildingsInterior branding- Inside storesInitiatives in college and high schoolsCommunication- Focus on network

Increase towers for better network- e.g. Vodafone- Create awareness about the towerMore shops needs to have the products- Only two shops in the entire bazaar had the

productsCompanies need to come and show

initiative in the villages

CSR ACTIVITIES

Workshops to educate the children in the villages

- The best performer gets a mobile phone with sim card

Sponsor cricket tournaments- The target audience is the youthMedical check ups twice in a year- This will help the villagers to connect with

the brand

THANK YOU

Submitted by:Penaaz Shaikh (70)Chaitra Desai (117)Charu Gupta (145)

Aniruddha Bhagwat (148)