Economics and Marketing - India's Case

Today if you ask any investor in the world that which is the most lucrative market in the world the answer no doubt would be INDIA.
The market is growing like anything and growing market means lots of opportunity and challenges for marketers.
As the context of present discussions is impact of economics on marketing lets start from the early 80ies nd mid 80ies., when the stupid box had only one major channel to reach - national channel or Doordarshan. The way the communications were made to Indian audience was totally different because that time Marketers were looking at the share of pocket that was not for luxury but for the normal living.

Target consumer had very less choices as the spending pattern was also very low. the basic necessities were met and that was the luxury .

But everything changed in 1991 when world third largest country population came into the world market with the immense Knowledge and intellect base.

Economics had changed . We were now a free nation in business terms. People started becoming rich , Money started to be made.Lookout of life started to change . And with all this came the change in Marketing,Change in approaching customer base in India. Change in the product line-up.

And we have grown consistently with 8%,IT , telecoms ,real state , financial market all has grown with the vigor of a young Indian. the change in the personality has taken place.

Economics has redefined the marketing.

We are witness to it . and it is still making the change.

Look at the approach that telecoms use to take to attract a user.BSNL or Nationalized telecoms sector companies.

It was product ,price earlier , now it is service , emotions and total customer experience.

What has changed us. It is the prosperity and the way of thinking.
What has brought change in the style of marketing. It is Economics

Economics and Marketing thus goes hand in hand.
So for any successful marketer it is important that he know and practice economics.

Economics will define the future shape of marketing ..Come what may ..!!!

:)