ASPECTS INFLUENCING PURCHASE OF FAST MOVING CONSUMER GOODS BY RURAL CONSUMERS IN DHARMAPURI DISTRICT

J. senthil Kumar

Abstract


The Fast Moving Consumer Goods (FMCG) sector is a corner stone of the Indian economy. This sector touches every aspect of human life. The FMCG producers now realize that there is a lot of opportunity for them to enter into the rural market. The sector is excited about the rural population whose incomes are rising and the lifestyles are changing. There are as many middle income households in the rural areas as there are in the urban. Thus the rural marketing has been growing steadily over the years and is now bigger than the urban market for FMCGs. Globally, the FMCG sector has been successful in selling products to the lower and middle income groups and the same is true in India. Over 70% of sales are made to middle class households today and over 50% of the middle class is in rural India.

In this process, they need to understand crucial issues relating to rural consumer behaviour and more specifically relating to different geographic regions of the country. This paper focuses on understanding factors that affect the rural purchase of FMCG in Tamilnadu India. study was conducted in 4 districts of Tamilnadu to identify the key influencing variables. Factor analysis was used to form 24 key variables into five groups (influencing Aspects). Influence of retailers’ recommendations has emerged as the most significant variable in the trust Aspects. According to the study, rural consumers in Dharmapuri district consider that usage of FMCG contributes to their lifestyle.


Keywords


Trust Aspect, Price points, Brand visibility, Value for money, Rural purchase, Product education

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References


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