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Objectives of the study

The main purpose of the study is to know the rural marketing strategies in ghazipur city.
In the present competitive environment it is very crucial to every business firm to ensure
satisfaction to its customers and made growth in business. According to one survey it was
found that it costs five times more to attract a new customer than to retain an existing
customer. So with all these parameters taking into consideration one can say that it is very
important to provide goods and services that satisfy customers needs or wants irrespective
of the industry or scale of the business in which a firm is operating.
Here the main purpose of the report is to know the various factors ust like
promotional activities! pricing strategy! easy to access and also "#$ that are very
important in satisfying the customer%s needs and to know how companies are ensuring its
The following are the obectives of the report
 "ural marketing of &'() (ompanies * +resent and future.
 &uture growth potential of rural marketing of &'() (ompanies in ghazipur.
 $ifferent Strategies adopted by different &'() companies to increase our rural
market share.
 (hallenges faced by different &'() (ompanies..
 ,arious opportunities for &'() (ompanies in the future.
Importance of the study
The importance of a proect report is following.
 The study will help to know that what additional features # what stretagies should
be choosen for rural marketing.
 (ustomer is satisfied with the product and services provided by companies or he
is dissatisfied.
 It helps in identify reason behind dissatisfactions.
 The importance of study is that it is helpful to make future policy of the company.
 It is important to create a new plan for products # services in future with uni.ue
.uality # facilities that will be preferred by the fmcg company.
 To know the recent strategies and growth rate of fmcg in rural area.
Scope of the study
The Indian rural market with its vast size and demand base offers great opportunities to
marketers. Two0thirds of countries consumers live in rural areas and almost half of the
national income is generated here. It is only natural that rural markets form an important
part of the total market of India. 1ur nation is classified in around 234 districts! and
approximately 564444 villages which can be sorted in different parameters such as
literacy levels! accessibility! income levels! penetration! distances from nearest towns! etc.
The success of a brand in the Indian rural market is as unpredictable as rain. It has always
been difficult to gauge the rural market. 'any brands! which should have been
successful! have failed miserably. 'ore often than not! people attribute rural market
success to luck. Therefore! marketers need to understand the social dynamics and attitude
variations within each village though nationally it follows a consistent pattern. 7hile the
rural market certainly offers a big attraction to marketers! it would be naive to think that
any company can easily enter the market and walk away with sizable share. Actually the
market bristles with variety of problems. The main problems in rural marketing are8
• +hysical $istribution
• (hannel 'anagement
• +romotion and 'arketing (ommunication
The problems of physical distribution and channel management adversely affect the
service as well as the cost aspect. The existent market structure consists of primary rural
market and retail sales outlet. The structure involves stock points in feeder towns to
service these retail outlets at the village levels. 9ut it becomes difficult maintaining the
re.uired service level in the delivery of the product at retail level. 1ne of the way could
be using company delivery vans which can serve two purposes0 it can take the products to
the customers in every nook and corner of the market and it also enables the firm to
establish direct contact with them and thereby facilitate sales promotion. However! only
the bigwigs can adopt this channel. The companies with relatively fewer resources can go
in for syndicated distribution where a tie0up between non0competitive marketers can be
established to facilitate distribution.
1ne very fine example can be .uoted of :scorts where they focussed on deeper
penetration .In September0;< they established rural marketing sales. They did not rely on
T., or press advertisements rather concentrated on focused approach depending on
geographical and market parameters like fares! melas etc. =ooking at the >kuchha% roads
of village they positioned their mobike as tough vehicle. Their advertisements showed
$harmendra riding :scort with the punch line >?andar Sawari! Shandar Sawari%. Main
scope is Ghazipur city.
Research Methodology
"esearch in a common language refers to a search of knowledge. "esearch is scientific #
systematic search for pertinent information on a specific topic! infect research is an art of
scientific investigation. "esearch 'ethodology is a scientific way to solve research
problem. It may be understood as a science of studying how research is don%t
scientifically. In it we study various steps that are generally adopted by researchers in
studying their research problem. It is necessary for researchers to know not only research
method techni.ues but also technology. The scope of "esearch 'ethodology is wider
than that of research methods.
The research problem consists of series of closely related activities. At times! the first step
determines the native of the last step to be undertaken. 7hy a research has been defined!
what data has been collected and what a particular methods have been adopted and a host
of similar other .uestions are usually answered when we talk of research methodology
concerning a research problem or study. The proect is a study where focus is on the
following points8
Research Design!
A research design is defined! as the specification of methods and procedures for ac.uiring
the Information needed. It is a plant or organizing framework for doing the study and
collecting the data. $esigning a research plan re.uires decisions all the data sources!
research approaches! "esearch instruments! sampling plan and contact methods. "he
study #as descriptive $ind of research.
"esearch design is mainly of following types8
%!:xploratory research.&!$escriptive studies.'!(ausal studies@:xperimental studies
%. ()ploratory research!
The maor purposes of exploratory studies are the identification of problems! the more
precise &ormulation of problems and the formulations of new alternative courses of
action. The design of exploratory studies is characterized by a great amount of flexibility
and ad0hoc veracity
.&. Descriptive research!
$escriptive research in contrast to exploratory research is marked by the prior
formulation of specific research Auestions. The investigator already knows a substantial
amount about the research problem. +erhaps as a "esult of an exploratory study! before
the proect is initiated. $escriptive research is also characterized by a +replanned and
structured design.
'. *ausal studies+()perimental studies
A casual design investigates the cause and effect relationships between two or more
variables. The hypothesis is tested and the experiment is done. There are following types
of casual designs
a. After only with control design
b. 9efore after with control design
c. 9efore after without control design
d. (onsumer panel design
e. :x0post facto design
"esearch $esign has been classified into four subsections they are8
%.Sample selection and size&.Sampling procedureB'.$ata collectionB and Analytical tools
Sampling ,rocedure
There are basically two methods of sampling80
,robability sampling
It is also known as random sampling. Cnder this sampling design every item of the
universe has an e.ual chance of inclusion in the sample. It is! so to say! a lottery method
in which individual units are picked from the whole group not deliberately but by some
mechanical process. Here it blind chance alone that determines whether one item or the
other is selected. The results obtained from probability sampling can be assured in terms
of probability.
-on ,robability sampling
Don +robability sampling is that sampling procedure which does not afford any basis for
estimating the probability that each item in the population has been included in the
sample. In this type of sampling! items for the sample selected deliberately by the
researcherB his choice concerning the items remains supreme.
.or the study the consumers are selected by the convenience sampling
method. The selection of units from the population based on their easy availability and
accessibility to the researcher is known as convenience sampling
Data *ollection method
Data *ollection Method
,rimary Secondary
$irect personal Interview
Indirect personal Interview )ovt. publication
Information from correspondents "eport (ommittees
'ailed .uestionnaire # (ommissions +rivate +ublication
Auestion filled by enumerators "esearch Institute
The task data collection begins after research problem has been defined. There are two
methods for data collection.
,rimary data
+rimary data may be described as those data that have been observed and recorded by the
researcher for the first time to their knowledge.
+ublished Sources Cnpublished Sources
Secondary data
Secondary data are those data which have been already collected and analyzed by some
earlier agency for its own useB and later the same data are used by a different agency.
&or the present study! the survey method was used for collecting primary data. A
structured .uestionnaire was used for the purpose. The .uestionnaire included multiple
choice .uestions.
/nalytical Data
The data thus collected! was tabulated! interpreted and analyzed with a view to make the
study meaningful. In the present study! hypothesis testing! percentage! fre.uency and
cross tabulation methods have been used for analysis.
0imitations of the Research
The study is based totally on the primary data as well as secondary data and such data
relates to something of the past and not the exact present scenario. Hence totally
depending on such given data could at times be misleading! that is no matter how good
the report is one has to do certain amount of homework before umping to conclusions on
the basis of such study.
'arketing activity is something that is never stable and is constantly changing with
the changing circumstances! ever changing rules and regulations that control these
activities. Hence something which is very up0to0date as of now might become obsolete in
a very short span of time. 1ne has to be very cautious before taking any decision based on
such data and has to think beyond what is given. Do amount of data can be accurate
enough to give the desired results.
Another maor drawback with respect to the study of Scope 1f "ural 'arketing &or
&'() (ompany In India is that it is something that has been here for the past few years
only and hence trying to get much information regarding it is also difficult! and whatever
little that is available has to be taken note of and believed into. 1nly a few studies on the
topic are available and hence very few facets of it can be seen.
A lot more can be known about it but at a later stage when it has grown in
proportions and is more fre.uently used by the various 'D(%s for increasing their market
share and lot of competition increases among the 'D(%s and the urban market is