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Challenges of rural market

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                                                                         Pls read this book 1.Number of outlets are low .   You will not find so   many outlet like   urban area, due to low population ,the number of retail or wholesale   outlet are also low . In some places you will find even 2 or 3 outlet.   2.Stock supply problem   . In rural area stock supply creates a problem. Due to low business volume ,stock supply from nearest town becomes difficult . Distributor or super stockist from nearest town face   difficulties while sending small quantity.   3.High margin product.    FMCG rural visibility Asking for high margin is common in rural area.   It may be retailer , who...

FMCG sales in rural market

Pls read this e book Definition of rural area. As per census govt. of India 2011,rural area means all the area or location except the following                 A.A place where minimum   population is 5000                                                                  B. At least 75% of male working population are engaged in non agricultural sector.              C. Density of population is at least   400 per square KM. Working in rural area. Rural market working is not like urban market . In rural market there are many...

Benefits of wholesaler.

1.Reduce overhead  cost .                                                                                                          Wholesaler purchase in bulk quantity and sell at their own effort. Hence manufacturer’s overhead   cost are saved.   Once a product is supplied to a wholesaler , it will be distributed in different location. Manufacturer need not to take any headache.   So   it is cost effective for manufacturer. 2.Supply to interior  place.  Manufacturer cannot reach to all the spread out and interior location, here wholesaler plays a vital role . Retailers from these interior location comes to whole sell market for their purchase. Wholesalers  are also get...

Characteristics of wholesaler.

Characteristics of    wholesaler .                                               Pls go through the e book 1.They sells on trade price .                                They sell on trade price , ( Trade price is the retailer’s purchase price fixed   by the manufacturer) and earn a margin on it. In general manufacturer decides trade price   of a product and all the calculations of   FMCG are done on trade price only. Wholesaler gets a discount or margin on trade price. Normally wholesaler sells to retailer on trade price only.   2.Get together point of retailer .                               Retail...

FMCG sales in Wholesale market.

FMCG sales in Wholesale market.                                                          Pls go through this book Working in urban wholesale market is a little bit different than retail market. Ideally you should start your working in wholesale market in second half of the day . In first half wholesaler remains busy with their customer , in this time you will not get   proper time to speak with wholesaler . So best time is second half of the day. Generally wholesaler looks for two things either high margin or high retailer   demand. If your products has any one of these then no problem at all, you can penetrate   easily   in urban wholesale   market.   But if your product can’t give neither high margin nor high retailer demand then there is some problem for penetration. You have to do tremendous hard wor...

Characteristics of retailer

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        Pls read this book                                                                                                                                               1.Retailer is the last point of FMCG channel .          In FMCG distribution channel, retailer is the   last   point . From this point products goes to consumer’s hand for their end use.   Consumer comes for their day do day purchase according their requirement.    2 .Business to consumer. This is the business to consumer point, all the product purchased by the consumer are gene...

Definition of a retailer

I invite you to read this e book Retailer   is a businessman who purchase from wholesaler   or distributor and sell to consumer for end use of a product. It is the last channel of    FMCG product. It is the point from where the end user purchase for non commercial use.          According to American Marketing Association –   “Retailing consists of activities involved in selling directly to ultimate consumer for personal or non-business use. It embraces the direct to customers sales activities of the producer, whether through his own store, by house to house counseling or mail order business” .             According to Philip kotler , “Retailing includes all the activities involved in selling goods or services to the final consumes, for personal, non-business use. A retailer or retail store is any business enterprise wholesales volume comes primarily from ret...