Rural consumers are exhibiting lack of brand infidelity: RlScape

Rural consumer behavior has changed signicantly over the last 10 years. Better road connectivity, higher education, stronger media reach, increasing penetration of mobile phones and access to social media are just some of the factors leading to behavior change. While we understand what is changing rural consumer behavior, we felt that there is a need to understand its impact on category adoption, purchase and consumption.

This as subject of discussion conducted at rural consumer behavious study titled as 'R|Scape' which is a lead indicator study that understands rural consumer behavior. This study has been conducted by equal partners: IIM-Ahmedabad, MaRs, Decision Point and the Geometry Global | Encompass Network. R|Scape covers 6,000 rural consumers (near equal split of married men, married women, young men, young women), eight states (representative of all regions across India) and over 20 popular categories (deodorant, shampoo, hair oil, lipstick, toothpaste, talcum powder, shaving cream, after-shave lotion, cooking oil, toilet soap, fairness cream, detergent, utensil cleaner, oor cleaner, biscuit, tomato sauce, butter, jam, breakfast cereal, branded aata, shoe, denim, candy, seed, pesticide, banking, life insurance, mutual fund).

The study also stresses that Market prioritization must be the beginning of all rural marketing campaign planning; not the end. Marketers tasked with rolling out rural marketing campaigns often complete their task with identifying end markets. They have little information about how rural consumers in one state are likely to behave dierently from their counterparts in another state. Hence, campaigns are rolled out on a one-size-ts-all basis. We believe that market prioritization is only the start. We needed a study that could help marketers transition smoothly from market to message and media. R|Scape is able to help marketers nd valuable insights and develop campaigns specic to categories, target
audiences and states.

It further added that hile we recognize that rural consumers are dierent from urban consumers, these dierences have not been properly assessed. Therefore, brand positioning and advertising often remain the same across both markets. It is common to nd marketers rolling out their urban advertising campaigns to rural consumers. Brands and categories are at dierent stages of evolution across urban and rural markets. And urban advertising, often ends up being completely irrelevant for rural audiences.

According to findings, conducted by study, Help No 1 national brands become No 1 local brands. National leaders often nd themselves at No 2 or No 3 positions in local markets. Local brands which resonate most with local consumers often beat national leaders, proving that local relevance scores above any sort of aspirational appeal built by big brands. National brands that are able to localize their communication and product oer are more likely to beat local players.

Findings (sneak peak)

The R|Scape dashboard is able to generate category-level adoption, purchase and consumption-related insights based on inputs such as age, gender and region/ state. Here’s a quick look at some ndings.
1. Rural consumer segmentation needs to be a function of adherence to village norms and urban centricity.
2. By-and-large, rural consumers are exhibiting lack of brand fidelity attitudinally as well as behaviorally.
3. Adherence to village social norms have created strong differentiation among rural married women.
4. Reasons for adoption and consumption of categories are very different for rural and urban consumers. Hence, the same brand positioning or advertising does not work across both markets.
5. Rural markets are not homogenous. Reasons to buy and consume categories are often starkly different for consumers from dierent regions.