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• By Sundari Divakarla
• Factors affecting consumer behaviour
• Consumer buying process • Opinion leadership process
• Diffusion of innovation
• Brand loyalty
Factors affecting CB • Culture • Subculture • Social factors • Technological factors • Economic factors • Political factors .
This norms dictate the ways and means of behaving . • In rural India these norms are strong and rigorously followed too. . • Violation of these norms can even lead to cast out of the society.working addressing and conducting ourselves in society.Culture • Collective social sanction: • Societies are bound by definitive norms being followed by set of the people .
Eg. .In urban India due to due to course of time customs are fading away . • Rural people are staunch believers in traditions. • Eg. washing hair and leaving open calls evil spirits. touching feet of elders • Traditions • Traditions are the long standing beliefs that are believed to be true in nature and often practiced in a ritualistic manner. without knowing the origin or questioning the need to do so.Influence of social customs • Social custom • Customs are socially accepted norms that have been in practice over a long time .
two areas . • There is a clear demarcation in the villages for house making. interaction based on economic status and vocations rather than on basis of caste leads to an absence of such division. In rural India .the upper caste and lower cast differences still continue and are considered an important facet of everyday life. • In urban limited physical space and pressure on limited available natural resources .Influence of caste • Cast play a key role in behaviors of community . . including natural resources such as drinking water and grazing land for cattle.
Funeral in rural India .
SOCIAL CLASS Socio Economic Classification (Urban) •Unskilled/Skilled workers •Shop owners/Industrialists •Self-employed professionals •Clerical/salesman •Supervisory level •Junior level Officers/Executives •Senior level Officers/Executives .
agricultural labour. manage small savings. . • 2-5 acres land. with friends and relatives in urban and consult them for technology adaptation. opt for time tested technology. technology adapters. owns tractors. educated. status conscious. two wheelers. exposed to urban environment. owns tractors. music system.Socio Economic Classification (Rural) • Landlord farmers. TV. owns TV. • Little or no land. tractors. aspiring to match urban lifestyle. two wheelers. • Rich farmers with about 5 acres of land. may not be educated. living below poverty line .
Occupation.Social standing or Material wealth • Rural. Caste .CHANGING BEHAVIOUR • Return of people from urban • Information technology • Communication • Explosion of Media FAMILY • Individualized Joint Family ROLES and STATUS • Urban.
PRODUCTS AND STATUS SYMBOL • Urban.Ease of operation SOCIABILITY TECHNOLOGICAL FACTORS ECONOMIC FACTOR .Features • Rural.
Characteristics of Rural Consumer CHARACTERISTICS OF RURAL CONSUMER .
occupation. lifestyle and geographical location. • Using a single factor would be misleading. education.• Consumer behaviour is a complex phenomenon that is influenced by various factors such as income. .
Personality & Psychological Factors Perception & Brand belief Characteristics of Rural Consumer Age & Stages of Lifestyle Economic Circumstances Personality & Self-concept Lifestyle Occupation & Income .
• Tendency to buy the products which suit our personality. • Self image is the way we perceive ourselves in a society.Personality • Sum total of unique individual characteristics that determine how a person responds to the environment. Popcorn in urban .eg. Pan Masala in rural. • In the rural market. purchase depends on situation and person.
. • Persuasion necessary to convince a customer.• The rural customer is content to satisfy basic needs. • Peer pressure not very relevant • High esteem but content with everyday life.
• Quality and price influence the perception of the consumer.Perception and Brands • Perception plays a major role in purchase behavior for the rural consumer. • Barrier to level of trial and acceptance of products • Rural customer trusts government services .
• For high involvement products.Information Search and Pre Purchase Evaluation • Prefers getting information from opinion leaders rather than media. information may be obtained by visits to company outlets • Touch and Feel experience is very important in the current scenario .
Rise of Consumerism • Rural people working in urban India increasing • Gifts from urban people • Migrated village folk – New Class of Opinion Leaders • Rural Consumer – Ready to buy products that are not basic necessities .
Wristwatch. Medical Services . Cereals and Pulses.Consumer Buying Process • Level of involvement depends on factors like • Price • Availability • Variety • Knowledge • Purpose Eg.
Stages in Buying Process • Problem Recognition – NA for rural consumers • Information Search – NA for rural consumers • Evaluation of Alternatives • Purchase Decision • Post Purchase Behaviour .
Friends The Young Man USER Father.Buying Roles URBAN RURAL Young Man Colleagues INITIATOR Son INFLUENCER Urban Relatives The Young Man The Young Man DECIDER BUYER Father Relatives.Son .
Alwar (John Dheere) • School teacher restricted among school going student .• Power to influence other • Can be non verbal OPINION LEADER PROCESS • Urban OL having specialized knowledge • Gram Pradhan or Sarpanch. Ex.
• Mainly in rural area OL influence about product which have direct impact their occupations and sources of livelihood . awareness of technology has given new power to youth.• Influenced college going student by urban life style • Increasing exposer to education. the media.
introducing new idea of farming.Rural Opinion Leader • Sarpanch/Gram Pradhan-Village administration. TVs. resolving social & family conflicts. motorcycles . purchase of new products on farming. • College educated youth/villagers working in urban centersInfluence in family and neighborhood. on purchase of durables like refrigerators.
Understanding rural youth • Literacy level rising • Education not considered to be a learning process but a gateway to a job or livelihood • Government job is a dream • Job security. power. less work responsibility. higher social status & post retirement benefits • Migrated person from his own community and made it big is a role model for rural youth .
• Younger generation prefer trouser. shirts & t-shirts instead of traditional Dhotti & Kurta • Youth prefer simple sober colours. serials & music programme are most watched • During playing cricket consumption of cold drinks & bubble gum is more . branded clothes now taking place • Action movies. cricket match.
pepsodent) soaps (Lux. Lifebuoy) • In vehicle category motorcycle commonly used because of macho style . (Colgate. like toothpaste.• Cold drinks is taking place instead of Nimbu Pani & Lassi • Easily recall action involve & personality driven commercials • Home made wafers & sevaiah are preffered as snacks • High awareness of FMCG product.
but the role played by different consumers in different stages varies .Diffusion of innovation • Due to a long chain rural consumer are less exposed to product & services evolving regularly in the market • Due to low level literacy consumer is also limited in his or desire to adopt innovations • The concept of adoption of innovation is same in urban & rural.
disposable income. in service/self employed. in business. fun loving. self employment/in service Middle aged. member of cooperative society. agent Rich farmer. public-school educated. adopt only time tested technology Early adopter Early majority Late majority Middle aged. shops in Laggard neighborhood Marginal farmer using traditional forms of cultivation . opts for consumer schemes Type of consumer Innovator Rural profile Young progressive farmers. educated. member of cooperative society. employed in MNC. high disposable income. high social status Mediocre farmer. additional income (part time service. married. willing to adopt technology products Hesitates to take agri-loan.Urban profile Young. urban exposure. exposure to media Young. credit card holder Young. in service. urban exposure.
Colgate • Ghari gives customer satisfaction and solve primary objective of the consumer • Mahindra village. Escort village • Relation building concept lacking in rural market .Brand loyalty (Stickiness) • Due availability of more choice now evaluation parameters increasing for making choice • 80% of FMCG sold in rural markets are branded either national or regional (less than 50% availability) • Ex. Ghari. Parle-G. Lux. Fair & Lovely.
Veldanda village in Andra Pradesh • Customer relationship maintained by social interaction & extension of credit • Ex.• Brands like “Kala Ghora” in Rajasthan & “Lamsa” in Maharashtra convince their regional customer • Ex. In small town shopkeepers gives “freebies” .
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