As a marketing consultant, you need to highlight any emerging Demographic Trend either in Urban or in Rural India during Covid-19 pandemic. How should FMCG companies such as Hindustan Unilever take advantage of this trend & make changes to their advertising or new product development strategies?
Emerging Demographic Trend
There was a significant change when the pandemic began. The pandemic led to the movement of people from urban to rural areas because the lockdowns would lead to layovers. Some of the people in the urban areas lost their jobs, while those in the rural areas would go on with their lives. Generally, there was a shift in the market. The people in the urban areas preferred to stay n their homes and purchase goods, especially food products, in great quantities to last for long. Those in rural areas would also maximize on the food to ensure that they had adequate stores, (Baker, 2014). Overall, the market shifted. The increase in the number of people in the rural areas would further lead to an increase in food products in the areas. In marketing, it is important to understand demographics to know where there is more demand. If people buy products more in the urban areas, the company can consider extending its goods and services in the area and vice versa. The pandemic has caused a major shift in consumer buying patterns, and most people are greatly affected. There are places in India that are also populated with the richer in society, and other places have poorer people. Either way, companies need to focus on buying behavior and come up with products that accommodate everyone despite their social status.
The FMCG product needs to analyze the market before adjusting any strategies. First of all, it is important to note that the customers were either shifting to the more affordable goods or some were upgrading by buying the value packs that would last longer and at the same time save the most money, (Baker, 2014). The new strategies need to include the fact that the market shift is there, and the changes in the advertising should include the changes in the purchase. For example, Hindustan Unilever should consider what matters most to the people. Currently, people are worried about prices. The economy is hit hard, and the country is still experiencing lockdowns and restrictions. One strategy is to lower the price, which will increase the demand (Baker, 2014). Another thing is to provide products in large value packs. The customers want products that they can buy in bulk and save more money. The company would therefore consider this. Another thing is for the company to prioritize fast-moving products or the products that are mostly selling. When the shift happens, the company will be able to adjust to the new market and increase its profitability. Companies should also consider changing the packaging and improving the current products for more sales.
Baker, M. J. (2014). Marketing strategy and management. Macmillan International Higher Education.