Saturday, January 11, 2014

FAKE BRANDS/ SPURIOUS PRODUCTS- Rural Marketing Challenges


One of the most crucial challenges for every FMCG company in india  is the presence of spurious/Fake products. Selling of spurious products does not only create negative impact on the business of the branded FMCGs but also lessen the value and Image of the brand .Rural markets are more affected by spurious products because of illiteracy and unawareness of rural consumers is much higher than their urban counterparts. Role of retailer is also plays an important role in selling of Fake brands in the rural market mostly due to un awareness and high margin of profit .
Fake brands exist in rural as well as urban locations. But the problem is more acute in rural areas especially the deep pockets which are less accessible and people have very little knowledge about the original brands. “Most people in rural India can recognize alphabets but not complete words, 
. Spurious products are broadly divided into three categories:

1.Fake/Duplicate products:
Manufacturer of fake or duplicate products uses the identical name of the product, packaging, color scheme, logo and even the same name and address as the genuine manufacturer.

2.Look alike products:
Look a like products are those products where manufacturer other than original producer cleverly uses the similar looking packaging or color or design or logo scheme to deceive the customers.
3.Spell a like products:
Spell alike products use names which are similar sounding or similar in spelling

How to identify spurious product?
It is a difficult task to identify spurious/Fake product/Brands for rural consumers, who are not much literate and unaware. There are some measures companies’ can take to 
educate and aware rural consumers in identifying original branded products from spurious/ fake  products/Brands .the concept of AALAP strategy can counter the problem of spurious/fake products/Brands  specifically in the rural market. AALAP strategy is all about scanning the market environment and then takes action according to the need of the company. AALAP is stands for Analysis, Awareness, Legal Action and Protection.
Awareness  -

Awareness amongst the rural customers and consumers is one of the key Counter attacks on these profit eating enemies of Indian FMCG companies and should be one of there top priority objective of Marketing Communication Programs . A carefully Designed Communication with right media vehicle( static as well as interactive ) at the most strategic touch points can counter these profit eating dragons .

·        AwarenssPrograms through NGOs under CSR activity and joint venture withlocal/Govt. schools to aware rural consumers about the issue and harmful effects of spurious products. Live demos by showing original products and spurious products with differentiating features and to help rural consumers in identifying the differences in between .

·        Awareness through Promotional campaigns at Strategic touch points of Rural India e.g Hats,Melas,schools,colleges,PHCs,Nukkad,clubs,village chaupals,railway stations,bus stops,etc etc ...

·        Awareness through Folk Shows , nukkad nataks, Street Plays ,A/v Shows at the important touch points of rural Consumers.

·        Awareness through visual or static medium Advertising like wall paintings / jharokha/point of sale branding/point of consumption Branding etc.

·        Addressing the issues in front of people during Panchayat  Sabha.
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·        Retailers are the key influencers, so to provide them better services and instruct them about harmful effects of spurious products to health of people and also economy of the country.


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