Rural Connect is boon for Indian MNCs

Seven countries in Asia (India, China, Indonesia, Pakistan, Vietnam, Bangladesh and Philippines) and three in Africa (Nigeria, Egypt and Ethiopia) collectively include about 2.2 Billion rural consumers out of more than 3.4 Billion rural consumers in the world and 3 Billion rural consumers in Asia and Africa. In India, more than 800 Million consumers live in rural markets and more than 150 Million rural migrants living in urban centres maintain links with their families, visiting them during festivals, weekends, and other occasions.

Rural Migrants living outside India are connected with their families through Skype and mobile phones. In BRIC countries Brazil and Russia are most urbanized with less than 15% and 26% of their population living in rural areas. Brazil is more urbanized than USA. USA urban population size is more than 80%. India and China are far away from USA. Now, it becomes very difficult for a company to grow in these markets. In India, progressive company grows by having an inclusive strategy that focuses on both on Urban and Rural consumers. It is in their DNA.

Consider HUL, although it is a European MNC but its DNA in India is rural along with Pakistan and Bangladesh. HUL caters need of more than 1 Billion rural consumers. Reaching Rural Consumer by “Missed Call” is the new thing adapted by companies in India. Even the Indian TV Industry is using Rural or semi-rural settings and stories to create successful TV serials. Many NGOs are helping rural people to connect them with urban areas and inclined them towards technology.

In my Opinion, the rural DNA of Indian MNCs is their biggest strategic asset that will be hard for any other country to match. They understand how to appeal to the aspirations of rural consumers amidst lack of infrastructure, economic and language diversity, and unorganized retail markets. Technology will drive Indian MNCs and rural consumers to connect with each other and make India a better country in the world.

New Government vision of 100 smart cities will turn out to be positive factor and Indian MNCs will grow more. Their strategy of connecting with people will shift more towards consumer aspirations and service, not to build awareness. To make a better future and country Round Robin work has to be done, and then only we will be counted as citizen of developed nation.