RP 1 - Role & Effectiveness of Promotion Mix in Influencing Rural Consumers

8/16/2019 RP 1 - Role & Effectiveness of Promotion Mix in Influencing Rural Consumers.

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Role & Effectiveness of promotion mix in influencing rural

consumers.

Authors Detail:

• Prof. Virendra Chavda, Asst. Professor, Manish Institute of Management, Visnagar –

384315, Emai! "havdavirendra#gmai."om

• $r. %a&aashish 'ethi, $ire"tor, Manish Institute of Management, Visnagar – 384315,

Emai! sethi(a&aashish#&ahoo."om

• Prof. )havesh Parmar, Asst. Professor, $e*artment of )usiness Management, ' P Coege

of Engineering, Visnagar – 384315. Emai! "a+havesh#gmai."om

ABSTRACT:

It is often said that marets are made, not found. $ue to "ut throat "om*etition in ur+an areas,

no- "om*anies are "reating ne- areas -hi"h the& never attem*ted. oda&, ever& "om*an&

found the Indian rura maret ver& u"rative as -e as ver& "haenging at the same time. $ue to

its sheer si/e and *otentia it offers arge s"o*e to the "om*anies. 0o-, more and more

"om*anies are entering into rura maret -ith various t&*es of *romotiona strategies to ure the

rura "onsumers. ura "onsumers no- understand the various fa"tors of *romotiona mi2 -hi"h

in"reases the saes of a *arti"uar "om*an&. he various eements in the *romotiona mi2 have its

o-n im*a"t on rura "onsumers. hose "om*anies -ho are *ioneer in the maret are getting the

advantage of their ear& entr&, and others are "onstant& modif&ing their *romotiona mi2 to ure

the rura "onsumers. his *a*ers deas -ith the +ehaviour of rura "onsumers to-ards MC

*rodu"ts and ho- the various *romotiona mi2 strategies deveo*ed +& "om*anies affe"t the rura

"onsumers.

KE !"RDS:

ura Consumers, )u&ing )ehaviour, Promotion Mi2

#$TR"D%CT#"$:

Advertising not (ust a+out o+(e"ts to +e "onsumed it is aso a+out the "onsumers of those o+(e"ts

6-it"he, 1779. Advertising in a its forms, inside and outside of the has of edu"ation, has a

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*rofound infuen"e on the -a& "onsumers *er"eive the -ord and ea"h other and it is unie& to

"hange, sin"e advertisers: fo"us on the &outh maret has geaned great *rofits for the industr&

6Veige, 17779.

he media is a around us, infuen"ing most of our thoughts and

+u&ing ha+its. Most of the media +ases its sho-s to-ards man& diverse

demogra*hi"s as to +ring in the most vie-ers to -at"h "ommer"ias +et-een the

sho- "ontent. )ut out of a the media, eevision is ; re*utation. $ifferent segments of the

so"iet& "an +e "a*tured +& s"heduing time for advertisements ie "hidren "an +e rea"hed

during "artoon *rogramming, farmers during the morning agri"utura re*orts and house-ives

during the afternoon soa* o*eras. V offers the greatest *ossi+iit& for "reative advertising +&

taing the audien"e an&-here and sho-s them amost an&thing through the magi" of a "amera.

eevision has +een used as an advertising medium near& sin"e the da& the devi"e -as

introdu"ed at the 0e- ?or @ords air in 1737. he first teevision advertisement -as

+road"ast in the Bnited 'tates on %u& 1, 1741. he -at"hmaer )uova *aid 7 for a *a"ement

on 0e- ?or station @0) +efore a +ase+a game +et-een the )roo&n

$odgers and Phiade*hia Phiies. he 1Dse"ond s*ot dis*a&ed a *i"ture of a "o"

su*erim*osed on a ma* of the Bnited 'tates, a""om*anied +& the voi"eover FAmeri"a runs on

)uova time. 6@aer > o+ert, 17419.

eevision advertising in India has is one of the fastest gro-ing marets in the Asia Pa"ifi"

regions of the go+e. )e"ause of the in"reased intera"tivit& in "ontent and ni"he *rogramming

st&es "atering to ver& s*e"ifi" target grou*s, advertising on teevision too is going to +e morefo"used and -i definite& dra- more e&e+as. Moreover, toda&, V ena+ed mo+ie handsets

are gaining *o*uarit& in India. his might "hange the nature of V advertising. )harti,

Amost a eevision advertisements "onve& Guait& message -ith an e2"eent a**ea. he

advertisers have the advantage of a"tua& demonstrating or e2hi+iting various de"isive features

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of their *rodu"t. his he*s them to rea"h out to a ma2imum num+er of audien"es -hi"h is

near& not *ossi+e -ith other mediums of advertisements in"uding the internet. Infuen"ing

audien"e turned "onsumers in an effe"tive manner is another signifi"ant attri+ute of eevision

advertising. his as*e"t of eevision advertising he*s the advertisers to "hange the *ur"hasing

"hara"teristi"s of *eo*e -ho -at"h su"h Ads. An e2"usive advantage of advertising &our

*rodu"ts through eevision is that &ou are itera& entering the iving rooms of a miion homes

and maing them understand or if needed "hanging the -a& the& thin a+out &our *rodu"t and in

turn seing &our *rodu"ts to them. his is definite& not *ossi+e through an& other medium.

Man& studies > theories have +een *resented to e2*ain the *henomena su""ess of teevision as

entertainment media. A""ording to eoffre& )eattie in his *a*er, ;Maing hought Visi+e! he

0e- Ps&"hoog& of )od& Hanguage=, the su""ess of teevision might +e the resut of anevoutionar& *ro"ess of our +rain, -hi"h favored media "om+ining sound and video. eevision

-oud not have +een so su""essfu if it -oud have "ome eGui**ed of a e&+oard instead of

+uttons to "hange the "hanne. Man& vie-ers "om*ain that the atest remote "ontros are too

diffi"ut to use, and often devi"es seem to forget -hat rea& vie-ers -ant, the sim*i"it& that has

he*ed teevision to +e"ome one of the most -e a""e*ted media of our times.

eevision advertisements sti remain as the most advantageous among a advertisement

mediums avaia+e in the maret. his statement has +een su+stantiated +& severa mareting

surve&s and resear"h re*orts -hi"h assert the fa"t that eevision vie-ers has on& in"reased over

the &ears and it is no- regarded as the most "ommon t&*e of eisure o*tions. 0o matter the

message an advertisement "onve&s, it is a-a&s -at"hed +& a miion vie-ers.

Rural ar'ets:

he rura maret of India started sho-ing its *otentia in the 17Ds. he Ds and 8Ds -itnessed

its stead& deveo*ment. And, there are "ear indi"ations that the J1st "entur& is going to see itsfu +ossoming. a"ts state that Indias D *er "ent of the *o*uation resides in hinterands and 5

*er "ent of the overa "onsum*tion "omes from there. ura Indians are no more inferior to the

"ountr&s ur+an "an. In"rease in in"omes, rising nonfarm em*o&ment o**ortunities, higher

as*irations and the overnments fo"us on rura sustaina+iit& s"hemes are ma(or fa"tors that

have +een driving the rura marets gro-th. ura s*ending -as signifi"ant& higher at s

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3,5,DDD "rore 6B' .5 +iion9 than ur+an "onsum*tion at s J,77,4DD "rore 6B' 53.75

+iion9 +et-een JDD71D and JD111J -herein rura "onsum*tion *er *erson out*a"ed its ur+an

"ounter*art +& J *er "ent, a""ording to a stud& +& CI'IH and *reiminar& data reeased for

JD111J +& the 0ationa 'am*e 'urve& Krganisation 60''K9.

oda& mareters have reai/ed the *otentia in the rura maret, +e it for a +randed sham*oo or

an automo+ie. Earier, van "am*aigns, "inema "ommer"ias and a fe- -a *aintings suffi"ied

the *ur*ose of the mareters to enti"e rura fos under their fods. )ut toda&, teevision has

made the rura "onsumer Guite iterate a+out "ountess *rodu"ts that are on offer in the maret

*a"e. ura marets are aso ver& via+e targets for mareters as a &oung *o*uation rising

in"ome and o- *enetration of man& "onsumer dura+es im*& that the& are a strong sour"e of

demand. Moreover, the "onsum*tion *attern in rura areas is -itnessing a shift from ne"essitiesto dis"retionar& *rodu"ts. Another stud& made +& the )oston Consuting rou* 6)C9 has found

that sma to-n "onsumers 6those residing in tier4 to-ns9 are s*ending higher on *remium

*rodu"ts as against their *eers in ur+an ands. 'u"h "onsumers moved u* the vaue "hain during

3 *er "ent *ur"hase o""asions as against 31 *er "ent in metros in JD111J. India In" is definite&

determined to ta* higher as*irations and the ur+anising "onsumer in smaer to-ns.

(romotion ix:

Promotion mi2 is a s*e"ifi" "om+ination of *romotiona methods used for one *rodu"t or

a fami& of *rodu"ts. A +usiness to +e su""essfu, shoud not on& have good *rodu"ts -ith

attra"tive *ri"es, to generate saes and *rofit, +ut shoud aso +e a+e to effe"tive& "ommuni"ate

the detais of the *rodu"ts to the "ustomers. he term *romotion is *refera+& used interna& +&

the mareting "om*an& rather than in *u+i" and to the *u+i" or maret – *hrases ie ;s*e"ia

offer= are more "ommon. Promotion is the e& to the su""ess of a "om*an&, so -hie going dee*

into it, -e find that a *romotiona mi2 is essentia to get the -or done in a s&stemati" manner.

Promotiona mi2 invoves foo-ing as*e"ts.

• A)vertising * Presentation and *romotion of ideas, goods, or servi"es +& an identified

s*onsor. E2am*es! Print ads, radio, teevision, +i+oard, dire"t mai, +ro"hures and

"ataogs, signs, instore dis*a&s, *osters, motion *i"tures, @e+ *ages, +anner ads, and

emais. 6A-a&s in Paid orm non *ersona9

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• (ersonal selling * A *ro"ess of he*ing and *ersuading one or more *ros*e"ts to

*ur"hase a good or servi"e or to a"t on an& idea through the use of an ora

*resentation. E2am*es! 'aes *resentations, saes meetings, saes training and in"entive

*rograms for intermediar& saes*eo*e, sam*es, and teemareting. Can +e fa"etofa"e

or via tee*hone.

• Sales promotion * Media and nonmedia mareting "ommuni"ation are em*o&ed for a

*redetermined, imited time to in"rease "onsumer demand, stimuate maret demand or

im*rove *rodu"t avaia+iit&. E2am*es! Cou*ons, s-ee*staes, "ontests, *rodu"t

sam*es, re+ates, tieins, sefiGuidating *remiums, trade sho-s, tradeins, and

e2hi+itions.

• (u+lic relations * Paid intimate stimuation of su**& for a *rodu"t, servi"e, or +usiness

unit +& *anting signifi"ant ne-s a+out it or a favora+e *resentation of it in the

media. E2am*es! 0e-s*a*er and maga/ine arti"esLre*orts, Vs and radio *resentations,

"harita+e "ontri+utions, s*ee"hes, issue advertising, and seminars.

• Direct ar'eting is a "hanneagnosti" form of advertising that ao-s +usinesses and

non*rofits to "ommuni"ate straight to the "ustomer, -ith advertising te"hniGues su"h as

mo+ie messaging, emai, intera"tive "onsumer -e+sites, onine dis*a& ads, fiers,

"ataog distri+ution, *romotiona etters, and outdoor advertising.

,#TERAT%RER RE-#E!:

Kver the *ast fe- &ears s"hemes ie ICs e"hau*a, HHs *ro(e"t 'hati, sham*oo sa"hets

aun"hed +& Chi", )'0Hs rura s"hemes have made a mar in rura India. Man& retai hu+s ie


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demand for *ersona "are *rodu"ts gre- faster in rura areas than ur+an areas during the *eriod

A*ri'e*tem+er JDD7. 'evera MC "om*anies su"h as odre( Consumer Produ"ts, $a+ur,

Mari"o have in"reased their mareting efforts in rura India and sma to-ns in order to esta+ish

a o"a distri+ution net-ors and in"rease visi+iit&. ura meas are +eing organi/ed +& odre(

in order to a""ess *otentia rura "onsumers. Ma(or domesti" retaiers ie AV )ira, IC, odre(,

eian"e and man& others have aread& set u* farm inages. ari&ai ‟s s

JDD Crore detergent +usiness in the "ountr& and its share in the Indian detergent maret has

in"reased from 1DN in JDD3 to over 11 N6 )onnet."on JDD49

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In "ase of "ini" *us and 'unsi, the ratio is se-ed more to-ards sa"hets, -hi"h "ontri+ute

DN to overa sham*oo saes. In the rura maret , the ratio of sa"het to +otte is sti at a stee*

7D!1D6'ingh,JDD49.A "onsumer dura+e "om*an&, Phii*s India has a"hieved a 3N (um* over

its *revious &ear:s saes of Coor .V +& aun"hing a o- "ost ;Vardan= range of CV aimed at

the rura maret6)usiness 'tandard,JDD49. oo-ing the trend, Airte the "euar servi"e of

)harati grou* is no- offering re"harges in o-er denominations of s 5D,s1DD and s JDD

.unti no- ,the avaia+e re"harge "ou*on -as s 3DD6+usiness ine,JDD4.here are "ertain

disadvantages asso"iated -ith the sma *a"s, taing the e2am*e of sham*oos and detergents

-here the *er unit "ost is o-er for sma *a"s "om*ared to arger *a"s, "ustomers have

gradua& started +e"oming a-are of this fa"t and are shifting to o-er *er unit o*tion ,for

e2am*e 6as *er the *ri"es in %anuar& JDD4,9HH Charges 8N *remium on a5DDgm fami& *a"

of surf e2"e "om*ared -ith the same amount *a"ed in sa"hets, -hie P> ses a 5DDgm *a"

of tide at an 8DN *remium "om*ared -ith sa"hets6he E"onomi" imes,JDD49 these saes ma&

have a serious im*i"ations on the maret revenue of these "om*anies

Another interesting fa"t is out of the tota rura *o*uation near& 33N +eong to the age grou* of

15 to 34 &rs J1N of the *o*uation is in the age grou* of 35 57 57 &rs 60ationa fami& heath

surve& 177J 17739. Again our o+servation method, *eo*e -anted the good *rodu"ts at the

eGuivaent *ri"es of un+randed *rodu"ts. 0o-, here on& the rea *ro+em had +een identified

vi/. o- a mareter "an "ater to this maretO As -e "an easi& o+serve, mareting "ost to +e a

huge "om*onent for him. Kff "ourse it "annot +e denied. o- far "atering to this segment -i +e

-orth-hie for the "om*an&O

An attem*t to design an a**ro*riate *romotion me"hanism to -oo the rura "onsumers and

infuen"e their +u&ing +ehaviour -as made +& 6'athive, JDD9. e "on"uded that the

strategies ought to +e designed a""ording to the fa"tors infuen"ing the rura "onsumer +ehaviour

su"h as *ri"e, o*inion eaders, eas& finan"e s"hemes, +enefits and *ersona +onds. he rura

maret is a mi2 of muti*e "om*e2ities, -hi"h has *roved to +e -ateroo for man& e2*erien"ed

mareters. he "om*anies have started their (ourne& to rea"h ;destination rura "onsumer=.

he rura marets in India have +e"ome an area that "or*orates (ust "annot afford to ignore -as

o*ined +& 6Vaish, JDD9. he *rodu"t offered to rura "onsumers ma& or ma& not +e different +ut

the -a&s these *rodu"ts are mareted ought to +e different. Mareters a-a&s oo for innovative

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-a&s to mae their *resen"e fet. $ue to regiona dis*arities, "ustomi/ed "ommuni"ation strateg&

for ea"h region is need of the hour. he author is of the vie- that an effe"tive "ommuni"ation is

one that eads to *ur"hase de"ision, +rand registration in "onsumer ‟s mind, +rand re"a and right

+rand asso"iations. Inter*ersona "ommuni"ation a""ounts for a+out 8DN of the rura

"ommuni"ation *ro"ess. he "ommuni"ation *a"age shoud generate ot of ;-ord of mouth=

*u+i"it&, so that the +rand a"Guires ;to* of the mind= re"a vaue. Mareters "an use a mi2 of

+oth "onventiona and un"onventiona media. he "ommuni"ation shoud +e su"h so as to mae

the *rodu"t "ategor& reevant to rura fos.

A stud& -as designed to e2tend no-edge of "ognitive *ro"essing of advertising messages +&

ur+an "hidren in India. 6Pan-ar and Agnihotri, JDD9, "oe"ted data from J5D "hidren aged

+et-een and 1J &ears, dra-n in the sam*e from five ma(or to-ns of the reative& affuent

-estern state of u(arat 6India9 +& using the "uster sam*ing a**roa"h. A sim*e Guestionnaire

using three *oint rating s"ae -as administered -ith the he* of moderators. $ata -ere ana&/ed

using the 'P'' soft-are. It -as found that so"ioe"onomi" +a"ground of the fami&, medium of

instru"tion at the s"hoo, "hid:s a+iit& to understand advertising "ontent *a&s a signifi"ant roe

in the understanding of advertising intents +& "hidren.

A""ording to the stud& of 'erra In"i ee+i, JDD on investigate the "redi+iit& of advertising

verses *u+i"it& and to e2amine the "redi+iit& of advertising in"uding a *romotiona endorser and *u+i"it& in"uding a *romotiona endorser. he author aso "om*ared the "redi+iit& of

advertising a"ross the different demogra*hi" segments and e2*ored the im*ortant fa"tors

affe"ting "onsumers sho**ing "onsiderations of MC in ure&. he data -as gathered +& a

tee*hone surve& from a sam*e of 1 of -hi"h 348 res*ondents -anted to *arti"i*ate from

three of ure&s argest "ities, Istan+u, Anara, and I/mir. he s&stemati" sam*ing -as

e2er"ised to see"t the sam*e. Chi 'Guare and ttests -ere "om*uted and the resuts of them

-ere signifi"ant at D.D5 eve. or announ"ing ne- MCs in ure&, advertising -as found to

+e more "redi+e +& the *arti"i*ants -ith higher in"ome. es*ondents sho**ing de"isions of

ne- MCs -ere affe"ted +& *ri"e and Guait& more than the other fa"tors. Consumers tended to

re& on *u+i"it& more than advertising.

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a( and 'evara(, JDD taed a+out the ast Moving Consumer oods 6MC9 se"tor as a

"orner stone of the Indian e"onom&. he *a*er +asi"a& "overs the attra"tions for the MC

mareters to go to rura, the "haenges, the differen"e +et-een the rura and the ur+an maret

and the suita+e mareting strateg& -ith the suita+e e2am*e of "om*anies and their e2*erien"e

in going rura. he authors "on"uded that it is "ertain that MC "om*anies -i have to rea&

gain inroads in the rura marets in order to a"hieve dou+e digit gro-th targets in future. here

is huge *otentia and definite& there is ot of mone& in rura India +ut the smart thing -oud +e

to -eigh in the road+o"s as "arefu& as *ossi+e. he "om*anies entering rura maret must do

so for strategi" reasons and not for ta"ti"a gains as rura "onsumer is sti a "osed +oo and it is

on& through un-avering "ommitment that the "om*anies "an mae a dent in the maret.

Btimate& the -inner -oud +e the one -ith the reGuired resour"es ie time and mone& and aso

-ith the mu"h needed innovative ideas to ta* the rura marets.

'ehra-et, M. and


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Research ap:

he iterature revie- that -e have gone through suggests that different studies -ere "ondu"ted in

the rura maret different *a"age si/es, demogra*hi" surve&s and studies on *erforman"e of fastmoving goods of different "om*anies and maret *enetration strategies in rura marets +ut none

has suggested the varia+es that determine *romotiona mi2 and roe > effe"tivenss of

*romotiona mi2 in infuen"ing rura "onsumers.

RESEARC/ "B0ECT#-ES A$D ET/"D",":

Research "+1ectives:

• o stud& the roe of V advertisements on ife of rura "onsumers.

• o identif& the various eements of the Promotion Mi2 -hi"h he* in in"reasing the saes

of a "om*an&.

• o no- the rura "onsumers: eve of trust-orthiness to-ards various *romotion mi2

eements.

• o identif& main fa"tors -hi"h de"ides o*tima *romotion mi2.

RESEARC/ ET/"D",":

Research Approach & $ature of Data:

or gathering *rimar& data, surve& a**roa"h -as used

Research #nstrument:

or this resear"h Guestionnaire -ith set of 13 Guestions -as used.

2uestionnaire )esign:

or fufiing the o+(e"tives Questionnaire -as designed on 5 *oint Hiert s"ae 6-here 1 is

'trong& Agree and 5 'trong& $isagree9.

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Sampling Surve3:

Sample unit: ura res*ondents

Sample Si4e: ota 4DD res*ondents of Mehsana distri"t 6ie, Visnagar, Bn(ha, et".,9 region of

u(arat.

Sample (roce)ure: 0on *ro+a+iit& Convenien"e 'am*ing

Time of stu)3: J @ees 6rom J4.1J.JD1J to 5.1.JD139

Anal3sis of Data:

he *rimar& and se"ondar& data "oe"ted -i +e ana&/ed through 'tatisti"a Method. 'P'' -i

+e used for ana&/ing the data "oe"ted. 'ome ana&ti"a te"hniGue ie Median, a"tor ana&sis,


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RInde2 for "om*aring the magnitudes of the o+served "oreation "oeffi"ient to the magnitude of

the *artia "orreation "oeffi"ients. It is an inde2 used to e2amine the a**ro*riateness of fa"tor

ana&sis. igh Vaues 6+et-een D.5 and 1.D9 indi"ate adeGua"& of data for the use of fa"tor

ana&sisS rom the a+ove ta+e, ere the "om*uted vaue of


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Eigen Vaues 3.838 1.18 1.18 .3

Per"ent of Variation J7.5J 1J.444 7.D7

Cumuative Variation J7.5J 41.73 51.D43

he set of 13 statements regarding the fa"tors that re"ogni/e the roe *a&ed +& V advertising

on the -a& of ife that is ed +& rura "onsumers -ere su+(e"ted to a"tor Ana&sis. Prin"i*a

Com*onent Ana&sis 6PCA9 -as used for e2tra"tion of fa"tors and the num+er of fa"tors to +e

retained -as on the +asis of Hatent oot Criterion 6Eigen Vaue Criterion9. An Eigen vaue

re*resents the amount of varian"e asso"iated -ith the fa"tor. hus, on& the fa"tors having atent

roots or Eigen vaues greater than 1 are "onsidered signifi"ant a the fa"tors -ith atent roots

ess than 1 are "onsidered insignifi"ant and are disregarded 6air, JDD, *.1D39. herefore,

fa"tors -ith Eigen vaues more than one shoud +e see"ted. hree "om*onents -ere found to

have Eigen vaues greater than unit& and tota varian"e a""ounted for +& these fa"tors is 51.D43

*er"ent and remaining 48.75 *er"ent -as e2*ained +& other fa"tors. hen, in the ne2t ste*, -e

orthogona& rotated the *rin"i*a fa"tors using Varima2 otation. his method minimi/es the

num+er of varia+es that have high oading on a fa"tor and there+& enhan"ing the inter*reta+iit&

of fa"tors 6Mahotra, JDD, *. 5759. otation does not affe"t the "ommunaities and the

*er"entage tota varian"e e2*ained. o-ever, the *er"entage of varian"e a""ounted for +& ea"h

fa"tor does "hange. he varian"e e2*ained +& the rotated fa"tors is redistri+uted +& rotation.

he fa"tor oadings greater than D.45 shoud +e retained 6ignoring signs9 +e"ause oadings +eo-

it are "onsidered to +e *oor 6)haduri, JDDJ9. he stud& has aso foo-ed the same "riterion for

fa"tor oadings. he Varima2 otated a"tor Hoading Matri2 has +een *resented in a+e J.

'"rutin& of a+e J reveaed that there are three fa"tors -hi"h together a""ounted for 51.D43

*er"ent varian"e. It sho-s that 51.D43 *er"ent of tota varian"e is e2*ained +& the information

"ontained in the fa"tor matri2. hus, a mode -ith these three fa"tors is e2*aining 51.D43

*er"ent varian"e. Communait& sho-s the amount of varian"e a varia+e shares -ith a the other varia+es +eing "onsidered. It "an aso +e treated as the *ro*ortion of varian"e e2*ained +& the

"ommon fa"tors. he si/e of "ommunait& is the inde2 for assessing ho- mu"h varian"e in a

*arti"uar varia+e is a""ounted for +& the fa"tor soution. Harge si/e of "ommunaities indi"ates

that a arge amount of varian"e in a varia+e has +een e2tra"ted +& fa"tor soution -hie sma

si/e of "ommunaities sho-s that a signifi"ant amount of varian"e in a varia+e has not +een

Page | 13


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a""ounted for +& the fa"tor soution. Communaities are "onsidered high if the& are a D.8 or

greater +ut this is unie& to o""ur in rea data. enera& a""e*ted "ommunaities ie +et-een

D.4D to D.8D 6Costeo and Ks+orne, JDD59. In our stud& most of the "ommunaities -ere a+ove

D.4D and man& of them -ere a+ove or ver& "ose to D. aso. @e fina& found that the varia+es

U1, UJ, U3, U4, U5, U oaded on fa"tor 1, the varia+es U, U8, U7 and U1D -ere oaded on

fa"tor J and varia+es U11, U1J and U13 -ere oaded on fa"tor 3.

Ta+le :

D.48After -at"hing the eevision advertisements, -e have +e"ome variet& seeing 6U19

.D.8DJ

Kur +u&ing +ehaviour has shifted from *anned *ur"hase to

im*usive *ur"hasing after the vie-ershi* of V ads 6UJ9

D.53Jhe V ads have made the "onsumers a-are and "onfidenta+out the *rodu"t, -hi"h in turn has redu"ed the im*a"t ofo*inion eaders in *ur"hase of toietries 6U39

D.1Consumers *rofie has "hanged and is "at"hing u* -ith ur+an"onsumers due to V advertisements 6U49

D.1V advertisements have +rought a+out the "hange in "on"e*tof Guait&, from usefu and o- "ost maintenan"e *rodu"ts tohigh te"hnoog& *rodu"ts 6U59

D.5 V ads have made the &outh +rand and trend "ons"ious 6U9

Effect of T-

A)vertising on

Econom3 =;>

D.J4 V ads have in"reased the s*ending ha+its among man& 6U9

D.8Consumers have +e"ome a the more materiaisti", +& Vads, -hi"h has in"reased the "orru*tion rate in the e"onom&6U89

D.14@e have "hanged to stereot&*es as *ortra&ed in the Vadvertisements 6U79

D.587Advertisements "ose to the reigious sentiments are moreauthenti" and genuine 6U1D9

#mpact of T-

A)s on

,ifest3les of

Rural asses

=;

D.83V advertising *ersuades +oth the senses of sound and sight6U119

D.84

he "hara"ters "reated in teevision advertising +e"ome as

mu"h a *art of ife as other -e no-n fi"tiona "hara"ters6U1J9

D.J1eevision advertising is the dominant driving for"e -hi"hmaes "onsumers &earn for im*rovement in their ifest&es6U139

Page | 14


15/18

A fa"tor oading re*resents the "orreation +et-een varia+e and its fa"tor. heir signs are (ust

ie an& other "orreation "oeffi"ient. Hie signs mean the varia+es are *ositive& reated and

o**osite signs mean the varia+es are negative& reated. In fa"t the varia+es "arried out in this

resear"h stud& do not revea an& negative reated fa"tor oading. a"tors "an +e a+eed

s&m+oi"a& as -e as des"ri*tive&. '&m+oi" tags are *re"ise and he* avoiding "onfusion

6umme, 17D9. Present stud& has aso given s&m+oi" a+es to the fa"tors. he fa"tors aong

-ith their "odes and fa"tor oadings are given in a+e 3.

Transformation in Rural Bu3ing Behavior an) Consumer (rofile =;5>: Perusa of a+e J

reveas that it is the most signifi"ant fa"tor -ith J7.5JD *er"ent of tota varian"e e2*ained. ota

si2 varia+es have +een oaded on this fa"tor. In this fa"tor, a transformation in rura +u&ing

+ehaviour has +een iustrated. he fa"tors sho- that rura "onsumers have +e"ome variet&

seeing, and have s-it"hed over to im*usive *ur"hases from *anned *ur"hases. V ads have

made the "onsumers ver& rationa -hi"h in turn has redu"ed the im*a"t of o*inion eaders. he

rura "onsumer of toda& has "hanged its *rofie and is mat"hing u* -ith its ur+an "ounter*arts.

Effect of T- A)vertising on Econom3 =;>: Ana&sis of a+e J sho-s that it is the se"ond

im*ortant fa"tor -ith 1J.444 *er"ent varian"e e2*ained tas a+out the effe"t of V advertising

on the e"onom& as a -hoe. he indu"ing nature of V ads have in"reased the s*ending ha+its of

*eo*e, *eo*e have turned themseves to stereot&*es and materiaisti"s, -hi"h has a"ted as a"ata&st to the "orru*tion rate.

#(ACT "; T- ADS "$ ,#;EST,ES "; R%RA, ASSES =;: E2amination of a+e

J sho-s that it is the third im*ortant fa"tor -ith 7.D47 *er"ent varian"e e2*ained, tas a+out the

teevision advertising +eing the im*ortant "om*onent -hi"h affe"ts the *h&si"a a**earan"e and

ifest&e of the rura res*ondents. )& *ersuading the senses of sight and sound, V advertising

has ended u* in infuen"ing the rura "onsumers, -ho imitate the V "hara"ters and thus,

im*rove their iving st&es.

Conclusion to the Stu)3

Page | 15


16/18

Changes in ifest&e, rising in"omes and a fo"us on vaue, are *ushing u* gro-th for different

*rodu"t "ategories in the rura areas. Indi"ations of arger dis*osa+e in"ome and a *er"e*ti+e

shift in "onsum*tion *riorit& in the rura se"tor aso a**ear to +e favouring the MC

organi/ations. )ut, in order to +e su""essfu, organi/ations need to deveo* +usiness modes and

mareting mi2 strategies that are deveo*ed in a""ordan"e -ith this "hanged s"enario in the rura

marets of India. It is the res*onsi+iit& of the "om*anies to su**& a right *rodu"t to the right

"ustomer at right time at the right *a"e at the right *ri"e. he "om*anies sha no onger de"ide

the mareting mi2 for rura maret in a""ordan"e -ith the ur+an "onsumer aone +ut the rura

"ustomer sha de"ide it. he resear"h "on"uded that V advertising he*s in transforming the

rura masses in a signifi"ant manner. hough, a the eements of Promotion mi2 *a& an

im*ortant roe in infuen"ing the rura "onsumers, +ut *ersona seing and saes *romotion -ere

"onsidered to +e the most im*ortant ones.

References:

1. Advertising E2*ress ICAI %ourna %an JDD )randing India.

J. )haduri, 'aumitra 0. 6JDDJ9, ;$eterminants of Cor*orate )orro-ing! 'ome Eviden"es

from the Indian Cor*orate 'tru"ture=, Journal of Economics and Finance, Vo. J, Issue

J, 6---.(eandf.+i/and."omLsummerDJLsummerDJ.htm a""essed on D7L7LJDD59.

3. Chunna-aa, '.A. and 'ethia,


17/18

7. %ose*h, . %r., Anderson, E.., atham H.., and )a", C., @iiam 617759, Multivariate

Data Analysis, 4th Edition, Pearson Prenti"e a Pu+ishing ouse, 0e- $ehi.

1D.


18/18

J3. ura Mareting, avindranath V. )adi and 0aran&ansa V. )adi, imaa&a Pu+ishing,

JDD4, 0e- Pers*e"tives in ura and Agri"utura Mareting, Case 'tudies, amishen

?, %ai"o Pu+i"ations, 'e"ond EditionJ4. ura Mareting! argeting the 0on Br+an Consumer, 'ana

Documents

RP 1 - Role & Effectiveness of Promotion Mix in Influencing Rural Consumers