Research on rural India’s consumers has shown that ‘first generation’ consumers of urban consumer products are increasing in large numbers.

In states like Bihar, more than 60 per cent of the rural people are ‘first generation’ consumers of urban products, says V. Mukunda Das, director of Patna-based Chandrapur Institute of Management.

‘POSITIVE THING’

This is very positive thing highlighting the changing consumption pattern in rural areas , he says in a recently authored paper.

Companies slowly entering such States are gaining through this increased sale, mainly from fruits of development.

Many of them are planning to get into rural areas of these states, getting signals from rural development-induced changes to tap the first-mover advantage.

Micro technologies/products which can purify water will be a great market in rural areas.

Micro processing technology in agri-processing is another likely market winner in future in the rural market, says Das.

LIFESTYLE CHANGE

Das’s paper highlights dimensions of these changing contours of development impacting the lifestyle of rural people of some states, especially rural Bihar, and the change in perceptions of these consumers.

There are many psychological factors affecting the positive valence in consumers as a result of increased access to cash income and better awareness.

Growth of rural market is a matter of special interest for marketing researchers all over the world.

With around 85 per cent of the population in rural areas, Bihar is among the fastest growing rural market showing a paradigm shift in rural consumption.

RAISED INCOME

Increased cash income, made available through rural development programmes, is substantially changing consumption pattern of rural people.

These are manifested in their increased purchase of consumer products, including national brands.

It has been found that every increase in cash income generates an impetus among rural consumers to go in for urban-based consumer products, Das said.

> vinson.kurian@thehindu.co.in