Rural Retail Management

Abstract

The rural buyer represents a separate and distinct category. Separate, because of his isolation and remoteness, which call for special distribution strategy and channel management. Distinct because of his specific needs, habits, literacy level, which in most respect are different from those of urban consumers. The rural market calls for extra efforts to ensure timely supplies, user training and the entire gamut of pre-sale services. Rural distribution is considered a nightmare because of the six-lakh odd villages in the country plus low off-take per retailer, high distribution cost because of the geographical spread and low volume of purchase. Here distribution cost should be treated as an investment in the long-term gain and not as expenditure in the short run. Rural marketing is described often as challenging, fascinating, expanding and highly profitable. Retailnetwork enjoys a significant position in the entire rural marketing system. It serves as last link in distribution system. Wide range of activities performed by him such as determining out consumer need, finding supplier, buying, transporting, pricing and promotion exercise. Generating awareness pays dividends only when steps are taken to ensure constant availability of products. In rural India particularly, availability determines the volume and market share, because the consumers usually purchases what is available  at the outlet, influenced largely by the retailers For most companies wanting to enter the rural markets, distribution poses a serious problem. Distribution costs and non-availability of retail outlets are major problems faced by the marketers. But if one takes a closer look at the characteristic features of the rural market, it will be clear that distribution in fact, is no problem at all. In the absence of market places, shopping complexes and malls, marketers will have to abandon the known and the familiar and instead understand where rural consumer buy their goods, services and products. This is an attempt on the challenges of rural distribution via an important link called rural retailing with the following objectives: To ensure that the product reaches the rural retail outlet , To motivate the retailer to stock a product or a brand , To ensure that sufficient stocks will available at retail shelf, so it generates higher reach among the rural consumers, To understand the rural purchase.