Preference of Retailers - A Comparison of Rural and Urban Households

Abstract

India is one of the prominent markets now days. Besides urban and semi-urban areas, rural India has a huge potential. Marketers need to understand the rural India in contrast to urban India. The study has been carried out with a view to understand differences between rural and urban households in terms of their preference for retail outlets, and preference for local vis-a-vis out-of-town retailers. Three durable goods from three different product categories; Television (entertainment product), Refrigerator (home appliance), and an Automobile (two-wheeler, motorcycle and car/jeep) have been selected for study. A sample of 411 (204 from urban and 207 from rural areas) households across the Punjab state (India) have been selected on the basis of non-probability convenience sampling. No significant differences could be observed between the habitant groups for their preference of retailers. However there had been significant differences between these groups for their preferences for local vis-a-vis out-of-town retailers.

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