Rural Marketing

MASS MEDIA (Tabloid)

Biplab mahato
 Vision and Mission

To establish leading medium of

communication addressing socio-
economic subjects of rural India
 Objective
• Inform and educate rural population
addressing subjects that can impact their
life at peasant or feature.
• To provide a platform to go rural.
 Product

• Tabloid addressing news and socio-economic subjects that

impacts and could improve the quality of life of rural India.
• Higher quality of paper, color: but Subjected to financial
decision.
• It would generate and induce new idea’s to benefit the readers.
• It would give more facts on news and its different perspectives.
• It would publish progress report of state government and
districts.
• It would provide a platform for readers to share ideas.
• Regional language
• Customize
 Price

• Readers must get high value for money.

• Discounted pricing for yearly subscription.
• Competitive pricing Rs-5
Place
• Rural areas of Bengal, Assam, non Hindi
zone where national players have not
made their mark
 Promotion

• Innovate new strategies

• Regional strategy
• Initially free samples could be distributed to
induce reading habits??
• Organize events in schools, colleges
Mandies Hats.
 Potters Five Forces

Market competition
• A few local players: weekly news
• Few regional players: daily news
• A few national players: daily news, magazine
Threat of New Entrants
• There is no entry or exit barrier.
• Brand loyalty could be an entry barrier. Thus
early starters will get added advantage.
 Potters Five Forces

Bargaining Power of Buyers

• Readers: power to accept or reject
• Media buyer: they are highly power full, and key
factor for business.
Exit barrier
No exit barrier
Bargaining Power of Suppliers
• They are less power full. Suppliers can be
changed.
 SOWT

Strength
• High degree of customization
• Addressing the niche
• Differentiation

Opportunities
• Large no of customers and market is growing. Large variation in customers tastes
making it difficult for national players.

Weakness
• Management does not have experience of the industry.
• Management does not have any relationship with buyers, who are highly, power full.
• Capital to build the brand.

Threat
• Since entry barrier is low, any new player can come at any time.
 
CUSTOMER SEGMANTATION
CUSTOMER SEGMANTATION
Readers
• X> 40 years
well recognized
respected in the society.
80% of the segment has regular news reading habit.
• 29<X<41
 well recognized
influence
acts as a source of information.
CUSTOMER SEGMANTATION
• 98% of Age less than 20 years: has gone to
primary school
• 64% passed middle school,
• 60% appeared in matriculation exam.
• They are influenced by urban culture. Their
parents have aspiration for them. Those passed
matriculation are carrier oriented and looking for
job oppurtinities. Only 40% of students appeared
in matriculation goes to college. There is large
number of collage drop outs.
TARGET MARKET

2001 CENSUS
 TARGET MARKET

• Anandabazar patrika circulation 1158478

Daily
• Population 9.18 corer
• ABP Sales 1 Daily\79.23 person (1.26%)
• Target half of the state and 1 magazine \
500
• Total sales of one lakh in next 1 year
 Customers

• Media buying house

• Advertising house
• FMCG Companies
• Service sector: DTH, Telecom, banking,
cooperative
• Agricultural product
• Government
 Generic Strategy
• Differentiation : customers involvement
• Focus : regional
• Cost Leadership:
• Speed : (-)t to t15
 Grand Strategy
• Innovation
• Concentric Diversification
• Strategic Alliance
• Horizontal Integration
 Marketing Strategies

• Informative & persuasive

• MOU with existing daily: advertisement, free samples
• Promotional events in schools and collages
• Organize competition on current affairs, article on any
idea. The winner would get chance to be a local
correspondent, and a marketer.
• Magazine will have special space in for local
correspondents and local news to which readers
associate.
• Marketing through pan shops (existing marketing
channel)
 Marketing Strategies

• Built a team of experts to guide and

formulate strategies.
• Outsource the function to marketing
organization.
• Personal sales force of highly experienced
people
• Interactive web page
 Distribution strategy

• Distribution Strategy is subjected local

environment
• MOU with existing daily news paper who does
not have monthly issue. And use its distribution
network.
• Directly use the existing distribution network of
daily news at district level and state level.
• Direct mail
• Use public transport
 BUDGET
• Cost of manufacturing depends on paper
quality size quantity.
• Revenue depends sale of advertisement
and marketer.
• We expect to come to profit in three to four
year.
INVEST=100 15th jan 15th may 15TH 15TH DIC
000 Q1 Q2 sapQ3 Q4

Fixed 3 2 1.5 1.5

cost\Unit
Operational\U 2 2 2 2
nit
Marketing\Uni 1 .5 .5 .5
t
Cost per unit 6 4.5 4 4
Total sales 50000 70000 90000 100000
 FINANCING
• Equity: 500000
• Debt :500000@20% interest to be paid
after 1 year redeemed after 3rd year.
• Revenue : 1200000 to grow @15%
 Limitation
• Data given in the case are extrapolation of
2001 census and limited primary source
information
• Research need to be conducted to identify
details.
• Expanses
• Revenue
• Total area of coverage
• Present size of market
• Market share, turnover, and profitability of each player.
Conclusions