Top 3 Rural Strategies every leader should be adopting

Interview with Arun Kumar, Senior Director – Consumer Sales, Signify Innovations India Ltd (formerly Philips Lighting India Ltd)

We, at ET-Insights spoke with Arun Kumar, who shares his perspective on the rural strategies, more specifically the top 3 strategies every leader should adopt, and a lot more.

ET Edge: What is your view on “Transforming Rural Strategies” & what is the next big thing you see in rural India?

Arun Kumar: The penetration of smart phones and Internet is the next big thing that could transform rural India.  This would revolutionise the way they communicate, shop and also give the rural consumers quick access to latest products and market. There are many start-ups looking at transforming rural lives. They have the potential to and small scale industries.

ET Edge: What are the top 3 strategies every leader should be adopting?

Arun Kumar:

  1. Made for rural products

It would be a wrong assumption that price is the only factor that drives success in rural markets. The challenges in rural markets are different. Companies need to invest time and resources in gaining deep customer and market insights. Hence the Product specs and packaging are to be thought differently.

  1. Plan a committed long term  GTM strategy

Identification of the pop strata that one needs to cater and then get right business partners. Establishing strong trust with the local partners would be key to win in the long term.

  1. Use technology to win

Getting the products on time would be key to success . Sales force automation / Distribution management system is a key differentiator once executed well.

ET Edge: How technological disruption can bring in efficiency in rural marketing? Your thoughts on this?

Arun Kumar: There are 200 million active internet users in rural India. That is 35% growth over last year.  Increased availability of bandwidth and lucrative data plans and government awareness programs have rapidly bridged the gap between urban and rural areas. Besides becoming more rural, the internet is also becoming more vernacular. This combination is extremely useful for marketeers to reach out to rural consumers and establish pull and loyalty.  Sales force automation when executed well, can be used to improve operational efficiencies.

ET Edge: What are the myths & realities that marketers need to understand while developing strategy to penetrate rural markets?

Arun Kumar: Three myths that need to be shunned to be successful in rural markets

  1. Rural consumers are concerned only about pricing
  2. All rural markets are the same
  3. Same strategies to win in urban can be used to win in rural markets

Disclaimer: The views expressed in this article are those of the author and do not necessarily reflect the views of ET Edge Insights, its management, or its members

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