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~~

r Value-Added ·Product: An Aborted Idea

I
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t
!
Poor availability of electricity in rural areas _disrupts a~ricultural operations as w .
domestic life. To help overcome this problem, Eicher, a leading _tractor manufacturer,
to fit a 3-KW generator in its 312 model powered by th e engme th rough a Pulley.an~d~
system to produce electricity. be~
ct/~I

Eicher hired MART to conduct a study in Madhya Pradesh and Uttar Pradesh to e .
the suitability and acceptability of this additional feature. · xani1ne
The findings showed that farmers use 5-KW water pumps for irrigation, Which run
· power supply. Hence, the· smgle-pha~e,
. phase · .3KW
- generato_r was ?ot found suitable
ona3.
t
agricultural purposes. Unfortunately, the hm1ted space available m the tractor .or
·ty . engine
compartment cannot accommodate a bigge_r, hig her-capac1 gener~tor. Therefore, the
use of the generator was restricted to domestic use only. .· .
: The initial cost of Rs. 8,000 and the running ~osts:of_ producing tr~ctor-generate~ electrici!y
which were three times higher than other conventional n:ethoqs,}ep to .drop th '
_idea of pursuing the innovative product idea any_further. · '· e
Source: MART Study. .

Philips came up with a range of products designed to address the needs of rural consumers
by achieving a product market fit.

Philips Mahasangram
Consumer. durables major Phillps India,·which Is .aggressively pushl.ng I s, . es..111 t~ .rural/

I semi-urban segment, has designed an, Jnriovative strategy called the.;pm1f

Integrated Marketing Programme. This rural lniti~tJye;,.wJII, be'>take ;< ·Jo~?1j:i,e. Country,
focusing on rural locations with a population of lessthaq .s,ooo · ·
, • f ._ .~
1
• \ · ;. ~
PS Mahasangram
· owns with
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1

• ·'']\/ •i"' •:•~ . •·•;!~i;_t'i/ ) ch•·,. ; , ./ "

populations of between 5,000 and 50,000. This ptdgfan,me i~F. . . ..·. . '. 1'.lC(~~sin9. the rural
consumer's awareness about the company's Pfe>ducts.>To' give 'ao~ '.in~i~atio'r1~:6(tt1e ·.s1z~ of
·• ¾\f\L,
this initiative, Phillps will be spending about '.4~5. per 'cent 'o 't ·· , tom rural a,nq
, · · .• · ··· • · ·. •'1-.· · ...... • •. .· • .H;, ., .- · :·::. i ,r ·.;;. .·~•1,1:v, >·,·. ,.:·.,:..-'> :·/,·· ·.. ·".;.·. , .::•,:f'i:·,:•,; )/ .">··•" •.• ··. •

semi-urban. areas on the Mahasangram 'programm~ "alone. . . .· ,

.• >:': -· ··· .... ·?': ·:..: '.~·:" ;~;~·-'. :~
:,::'-'-t'T";s;t.tff>< ., ' . . . _,,::,:;""·,
Under the rural Initiative; especially designed varue-for-mon.ey ·pro du ...·· .:--ac::r9ss the co.lour
.. . • ¼ :;:.:

television CCTV) and audio product range.::.speclffcaltyJargeted ·at~e,i;;.~{tfan :~n&.ru,ral

f consumers riave been i{ltroducec(,rhese proaucts' h ..,·been,~riced in,sucb:a.· n,~nne(as JO
I make them aff.ordable foi the .target au'dlerice,:Jh cfude·.'speciat ecofrorriy_i)lod~ls In
the 14-lnch· CTV segment,;starting'at:a pri~,ej o, ·" ?a,OOQ.(Qthet;'heV\l'.,ruod~ls·.tq.~e
introduced w,m !~elude f~atur.e(~~~~
Improvement In anv cable· slgnal condJtlon~ &
}l~/ ,j_
econo
toe r;,/IOIOQY, v.thif,~.)Uo#s: p.1cr~re
·
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consumption~and ,gry·
•· · . ·" '· . ..._., ·•··-~ ·.>_1' .: ;,,:··. . , ~-. / ,,;.,~....... :>.1-., ~-... . • . ., . . .· ' ....,· ,·,, ,. ,-<,,., •.. ··•···•·.'·'.- ·.•

screen d1spJay In the regional_lang:uage,7aroo~g·tithe '~, \.'.

Another.product that' WIii be ·tu;h~d·aJr1~i't6~'1.}N; d'Free
. Power Radio,· Which does not reqi.lfri batterfes"of:' or
operatl~,n. . . ·, ,. : ./ .,
In 2004, Phlffr?S launched ·a .crv.exdusiveJy,fo'r'.trie '
· priced at Rs. 6,soo. · ·•·· ·'-. :-'.'-f1. '-': ,c,:z;:-f:1 :."'t:
. ~-~\: ~:~':_:;<~.~·)}:~_;\ ::•,(~~--::y~._\,