Rural Consumer Behavior

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18 Questions

What is one of the reasons for the low standard of living in rural areas?

Low per capita income

Why do rural consumers often value old customs and traditions?

They are resistant to change

What has led to a fast-changing demand pattern among rural customers?

Introduction of kisan credit card by banks

Which factor contributes to the high cost of physical distribution in rural areas?

Inadequate infrastructure facilities

What has encouraged rural consumers to develop saving habits?

Efforts by cooperative and commercial banks

How does the availability of basic facilities affect the demand for products in rural areas?

Depends on availability of basic facilities like electricity, transportation, schools, hospitals, etc.

What is the main reason why direct delivery of goods to villages is costlier compared to urban markets?

Villages are spread over vast distances

Which company views rural India as a future growth driver and has implemented a hub-and-spoke distribution model to reach villages?

Coca Cola

What percentage of the rural population constitutes the lower income group according to the text?

65%

How have some companies addressed the issue of affordability in rural marketing?

By introducing small unit packs

What is the primary source of income for the majority of people in rural regions?

Agriculture and related activities

Why is reaching products regularly to far-flung villages considered a greater challenge?

Challenges in segmenting the rural population

What feature helped LG Electronics in successfully selling 100,000 sets of their customized TV in the rural market?

Customized design for rural consumers

What basic amenity was lacking in rural areas that led Coca-Cola to provide low-cost ice boxes?

Electricity

What has been highlighted as a challenge regarding brand awareness in the rural market?

Limited promotion in rural areas

For rural consumers, consumption of branded products is seen as:

A luxury or special treat

What is a common unit of identity for both urban and rural consumers?

Family

Which type of outings are common for the rural consumer compared to their urban counterpart?

Local fairs and festivals

Test your knowledge on the behavior of rural consumers, including their low standard of living, traditional outlook, and changing demand patterns.

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