Admark’s Weblog

After the paanwaalah, who?

Posted on: November 11, 2008

Earlier I had mentioned about the 5th P of marketing, the paanwaalah. Sample these statistics about a company which tapped into the rural market in Uttar Pradesh avoiding the harsh words –

You need large investments and the creation of a feasible infrastructure. From here

Earlier –

Number of retailers – 50,000

Number of distributors – 500

Years taken to build this – 20 YEARS

Now –

New retailers added – 20,000

New distributors added – 500

Years taken to achieve this – < 1 year

This is the story of Tata Tea’s “Gaon Chalo” (Hit the villages) campaign. They tapped into the reach of the NGOs to reach the rural market. What happened then?

Consolidated market share change for Tata Tea – 6% points from 18 % to 26%

Consolidate market share change for HUL – > 6% down from 23%

After the paanwaalah it seems to collaborate with the NGOs. Interesting space to watch. Read on at BusinessWorld.

-egghead

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