Tag: village

  • Barriers Faced by Rural Businesses | Different Ways to Sell the Products Made by Villagers

    The article is contributed by Mr. Mahesh Choudhary, Founder & Chairman, Saraswati Global.

    Selling a product is not an easier task. It is an art to convince people to buy their products. While selling the products the buyer has to face barriers, must know about the strategies to sell, and the most significant is to know the differences between selling a product in a rural market and in a global market.

    What is the global market? The goods and services and labor can move freely across the globe. To establish good marketing in the global market a good knowledge of business must be the expertise of the person. Being a good business person we must know how to get consumers hooked with the products. Although it is difficult for all to sell their products and make it a well-known brand. But for villagers it is a demanding practice for them. There are a lot of barriers which they have to face before and during selling their products.

    The Barriers Villagers Face in Selling Their Products

    Reach/Access

    Access is one of the major barriers for the Villagers. It is difficult for the small entrepreneur to reach the consumers, give the information and Sell their products. With the limited electricity and little access to mass media, it is a challenge to reach consumers.

    Transportation

    Rural business people face a lot of lags due to lack of support and services. One of them is transportation. Transportation helps in movement of goods and services which ensure access according to customers, and act as a link between the producers and consumers. Transportation challenge factors include, lack of road maintenance, hike in fuel prices and vehicle services.

    Capital

    Capital, the most mandatory for business, acts as a barrier. The investment, capital amount, and money are significant for the commencement of business. But for rural entrepreneurs, it is the first barrier that they have to face to execute any business idea. Insufficient profit to cover overhead expenses can result from a lack of capital.

    Technology

    Entrepreneurs in urban cities generally use technological methods two manufacture their goods, because it cuts cost and time and gives a complete finish to the goods. But lack of proper knowledge in rural entrepreneurs affects the growth of their entrepreneurship. So they are completely based on labour work and handmade products, which take a lot of time to manufacture.

    Digitalisation

    Along with the lack of technology knowledge, rural entrepreneurs also don’t have a proper understanding of digitalisation which is hitting the global market vigorously. But improper knowledge of digitalisation adversely affects their entrepreneurship development.

    Competition

    One of the key successes to be a good entrepreneur is to beat the competitors in the market. This is the toughest key for the rural entrepreneurs to face existing competitors for their establishment. The existing competitors have good quality of resources and rural competitors lack them.


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    Lack of knowledge creates excessive fuss for rural entrepreneurs. Selling their manufactured products is a challenging task for them. So how can they deal with these? To tackle them rural entrepreneurs need support from NGOs and government as they can help them to promote rural enterprise.

    NGOs can help entrepreneurs by counselling them. By consulting rural entrepreneurs we can get to know resources and the requirements they need for the procedural activities. NGOs can help with their sources by providing them with enough resources to use for their activities.

    Government can help by providing a capital amount to small rural entrepreneurs. So that they could afford the requirements they need. Rural consumers nor rural entrepreneurs are able to operate smartphones which ultimately affects rural entrepreneurs. A counselling program can help them to train in it. Government can also arrange a counselling program to train them in every aspect of entrepreneurship. This can also lead them to digital and technological literacy.

    Lack of support and services can cause no profit in selling the products in the global market.

    Let’s find out the different ways where we can sell the product made by the Villagers.

    Ways to Sell Products Made by Villagers

    Personal Selling

    Face-to-face interaction selling is the best method for the rural marketer. Consumers search for reliable marketers. Here the customers can trust completely because they buy the products with their personal checks. This can lead to gaining trust and the buyers can also become regular consumers.

    Fairs and Exhibitions

    Fairs and exhibitions are like the part of the rural people. This is a great opportunity for entrepreneurs to launch and sell their products. A Lot of people come for entertainment. Through the different entertainment selling methods, consumers can easily attract to watch. With this method sometimes they also get convinced to buy them.

    E-COMMERCE

    E-commerce is on the rise as the trend of online shopping has become a trend in the last few years. E-Commerce is the marketplace where anybody can sell and buy their products. The online platform is not restricted to urban or rural people. Amazon, Flipkart, Etsy, craftvilla, etc are one of the E-Commerce platforms for buying and selling goods and services.


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    Social Media

    Along with e-commerce social media such as Instagram and Facebook are the best marketplace to create, sell and grow a brand. People mostly spend their time on social media. Since these platforms would have a wider reach to consumers.

    Channel Sales

    By channel sales, we know that it is the process of distribution of products to the market. It means the person can sell the product through the collaboration of another company.

  • Top 10 Small Business Ideas for Villages and Rural Areas in 2022

    A village can be a hub of opportunities for an entrepreneur. There are fewer people and more problems to be solved. If you’re settled in a village or got some money to invest, what better way to provide value than to start your own business? These ideas require relatively less investment and can be a great way to start earning locally. The initiative by the government, Atmanirbhar Bharat has only boosted the startup opportunities in rural areas.

    Startups based on local problems and businesses usually do well in villages as they’re trusted by the locals. That being said, here are 10 small business ideas for villages that you can start right now:

    1. Kirana/Retail Store
    2. Rice/Wheat Mill
    3. Organic food supplier
    4. Oil Mill
    5. Arts and Crafts Store
    6. Meat Shop and Poultry
    7. Handmade Soaps and Candles
    8. Tutoring
    9. Internet Cafe
    10. E-commerce Store
    FAQ

    1. Kirana/Retail Store

    Minimum Investment required for Kirana Store – Rs.5 lakhs – Rs.15 lakhs

    Kirana/Retail Store
    Kirana/Retail Store

    Most people in a village have to make a trip to the city just to get essential supplies. This means that a journey has to be made simply to get what is needed for daily life. Even within the village the shops are mostly sparse and spread apart. Starting a Kirana store with essentials can be a well worth investment as people always prefer buying locally.

    For getting essentials like dairy, everyday items, and groceries, it’s considered a blessing to have a good reliable retail store in the neighbourhood. Since you live there yourself, people are more likely to trust your business and buy your products.

    Keep a standard for quality, inventory and supply chain. This will ensure that you get a steady flow of customers for years. A grocery shop can also be a storefront for many other businesses. Mobile recharge, DTH recharge, household items, etc. can be presented as well. This covid crisis proved that how Kirana stores can be a great investment, as when all the stores were shut retail stores were in great demand.

    2. Rice/Wheat Mill

    Minimum Investment required for Rice/Wheat Mill – Rs.10 Lakhs

    Villages are almost certain to have rice plantations. Farmers normally depend on rice mills in the city to process their produce and this can get tedious over time. They have to pay for transportation and labour. Would you rather go to the city or prefer to get the job done in your village? Starting a rice mill business isn’t too much of an investment.

    With the price for machines reducing, you just need a place to set it up and you’re good. Having a rice mill would enable villages to process their product from the village itself. By starting this business you’ll be doing the farmers a favour as well. A trustable mill to get the grains processed will always be welcomed by the people.

    3. Organic Food Store

    Minimum Investment required for Organic Food Store – Rs.10 Lakhs

    If you’ve got the time or hobby to take care of plants then starting an organic food business might be the easiest and profitable business to start in your village. Fresh products are always high on value and in demand. Some people unknowingly grow enough organic vegetables in homes to start a small business. It doesn’t necessarily have to be a farm or large-scale produce.

    Retail shops in cities nowadays have a separate section for organic produce. This is also one of those businesses that require the least investment. If you have some area to plant and time to look after the crops then it’s just a little effort to turn it into a successful business.

    4. Oil Mill

    Minimum Investment required for Oil Mill – Rs.5 lakhs

    Oil is essential to almost any cooking project. The prices are also rising ever so slightly without you knowing it. Some people would prefer to get natural oil with their own supplies. In villages, it’s common for farmlands to have a considerable amount of coconut trees. Peanut, sunflower, and palm oils are products that people desire.

    Starting an oil mill in a village enables its residence to convert products like coconuts into oils. These would normally be discarded and required oils would be bought. This means people wouldn’t have to travel to the city and they have access to it within the village itself. This does require you to buy the machines necessary but it’s sure to be generating revenue soon as you start.


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    5. Arts and Crafts Store

    Minimum Investment required for Arts and Crafts Store – Rs.10 lakhs

    This is certainly one of the more interesting and low investment business ideas on the list. If you’re talented in art or know someone that is, starting an arts and crafts store could be a great idea. Tourists often visit villages and are willing to pay to get well-crafted memorabilia locally.

    It could be pretty pottery, handmade toys, fans, or even handmade jewellery. Although it requires some talent, to begin with, it’s going to run smoothly as long as the place has visitors. Businesses like gift shops, tourist homes, and art stores are usually season-dependent. More people during the holidays will mean more sales. This is something to keep in mind while starting a business of this sort in rural areas.

    6. Meat Shop and Poultry

    Minimum Investment required for Meat Shop – Rs.5 lakhs – Rs.10 lakhs

    In a survey, it was found that 98% of people prefer to buy essential products from a local store. This applies to meat shops as well. Being a mandatory part of the diet, people are meant to make this purchase. Nowadays shops like these sell all sorts of dairy products too. This can be a good business for anyone who sets it up in a rural area.

    Butchers can be hired and poultry can be purchased from a farm. All it needs is good management and strict standards of quality. Once the sales start bumping up, you also have the choice to supply to nearby hotels and restaurants which can add to your source of income.

    7. Handmade Soaps and Candles

    Minimum Investment required for Handmade Soaps and Candles – Rs.1 Lakh

    Another relatively easy-to-start small business is selling handmade soaps and candles. The craft requires no acquired skill and can be learned by another with time. People can be hired to work and eventually, your brand of handmade soaps can become a reality.

    The same goes for candle-making. Handmade candles that are aromatic and cheap can sell fast. You can distribute your product with your own store or through other retailers within the area. Depending on how you perform, this is a scalable business.

    8. Tutoring

    Minimum Investment required for Tutoring – 0.5 – Rs.1 Lakh

    Tutoring
    Tutoring

    If you’re qualified to teach or can hire teachers then starting a tutoring service in a small village is a great business idea. Schools in the area mean students who can use help with their studies. Math and Science are popular subjects for tutoring since students find it relatively difficult. With good intentions and a patient mindset, you can help out many children of all ages.

    Like all businesses, if your services through an educational institute are good, it doesn’t take long before the place is crowded with students through word of mouth. Every year more students are in need and this means the business can sustain itself as long as you pay your bills.


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    9. Internet Cafe

    Minimum Investment required for Internet Cafe – Rs.10 lakhs – Rs.15 lakhs

    Indian Villages are being transformed every day yet some places still lack basic internet connectivity. In a world where everything from booking tickets to paying taxes is done online, internet access is a must. If the village lacks this basic access then starting an internet cafe can be very profitable.

    Cheap hourly prices along with photocopy and scanning will satisfy most needs of the people. In a village without this facility, they would have to travel to the city. This business does require some initial investment for the internet and computers but it will likely be a successful one.

    10. E-commerce Store

    Minimum Investment required for E-commerce Store – Rs.15 lakhs

    E-commerce Store
    E-commerce Store

    No matter where you are if you’ve got a product or an idea the internet grants you a way to turn it into a business. The best part about this business route is the vast array of possibilities. It could be anything from a traditional clothing store to something different like earthen pottery. Technology makes it so easy to start up your online store in minutes.

    If you’re new to e-commerce some of these platforms have guides to help you learn the ropes. You could have a store that sells a single unique product or multiple products. These products once online can be bought by anyone in the world if you choose. CMS software makes this process a lot easier. If you’ve already got a successful physical store in the village, getting an online storefront can breathe new life into your business and bring in more revenue. Customers will appreciate the convenience and take advantage of this facility faster than you realize.


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    FAQ

    Which business is most profitable in a village?

    Poultry Farming, Milk centre, Flour Mills, and Drinking-Water Supply are some of the most profitable small business ideas in a village.

    What are the most successful small businesses?

    Cleaning, Social Media Management, Gardening, and Web Design are some of the most successful small businesses.

    What business can I start in the village?

    Milk Centre, Kirana Store, Electronics, Mobile and Accessories Store, Fertilizers & Seeds Storage Store, and Clothing Store are some of the businesses you can start in a village.

  • What is BharatNet Project and How Startups can participate in it?

    The Rural areas in India are still deprived of the fast internet connections as well as e-services that are available to the Urban population of the country. India has been advocating the concept of Digital India for a very long time and it has been really successful in the Urban areas of the country, whereas there has always been a digital divide between the urban and rural population. In order to solve this problem, the Union Cabinet has come up with a project. In this article let’s look at more information about it.

    Bharat Net – Latest News
    How can Startups participate in BharatNet?
    What is BharatNet Project?
    Advantages in Rural India due to BharatNet
    Advantages bought in through the PPP model
    FAQ

    BharatNet – Latest News

    Bharat Net has recently announced to widen its connection and services to around 3.61 lakh villages in around 16 different states in India. The broadband connection will be offering a high-speed data and enable better access to the rural India towards e-services that are offered by various Government Agencies.

    Bharat Net will also enable the rural population to attend online classes, OTT, e-commerce, skill development, tele medicine and other applications of the broadband service.

    The Union Cabinet had conveyed on 30 June 2021 that it would launch a revised implementation strategy of the broadband service through a Public Private Partnership in 16 states of the country.

    How can Startups participate in BharatNet?

    The Union Cabinet has announced that this expansion procedure is going to be undertaken through a Public Private partnership model, this will enable the startups to take part in the bidding process and provide their services in setting up the connection.

    The revised strategy includes not the creation but also the upgradation, maintenance, operation and utilization of the broadband service. The company which will be receiving the tender will have to undertake everything.

    The tender will be decided based on a competitive bidding process and the estimated maximum viability gap funding that was approved by the Union Cabinet for the public private partnership is INR 19,041 crores.

    What is BharatNet Project?

    BharatNet is said to be connecting all the inhabited villages beyond gram panchayat under this project in the 16 states. The 16 states that are approved by the Union Cabinet include Kerala, Karnataka, Himachal Pradesh, Rajasthan, Haryana, Punjab, Madhya Pradesh, Uttar Pradesh, Assam, West Bengal, Manipur, Meghalaya, Tripura, Arunachal Pradesh, Mizoram and Nagaland.

    As per the estimation, around 3.61 lakh villages will be covered under this project which includes Gram panchayats. The Union Cabinet has also given permission to provide the services to other inhabited villages in different states as well as Union Territories.

    The Department of Telecommunication has announced to work out the modalities for the remaining villages in the other states and the Union Territories.


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    How BharatNet will impact Rural India

    The extension in the reach of the broadband services that is reliable will enable better access to the e-services that are provided by the Central and the State governments.

    The main advantage is that there would a source of revenue that will be generated from the rural India through different sources which include the proliferation of broadband services to individuals and institutions, fiberisation of mobile towers, e-commerce, sale of dark fiber and many more.

    The extension will also enable to reduce the gap between the Urban and Rural divide of digital access and will increase the achievement of Digital India. The penetration and proliferation are also expected to increase income generation as well as direct and indirect employment in the rural sectors.

    Advantages bought in through the PPP model

    The PPP model will bring in a lot of consumer friendly advantages that include the use of innovative technology for the consumers by the private sector, faster development of network and quick connectivity to the consumers, OTT services and other variety of services to the consumers, access to all online resources, faster deployment of network and quick connectivity to consumers.

    The PPP model is also expected to bring an equity investment and is also expected to raise resources towards the capital expenditure.

    Conclusion

    The PPP model towards Bharat Net will improve the quality of service, customer experience, efficiency, entrepreneurship, leverage private sector enterprise and capacities for accelerating achievement for digital India.

    FAQ

    What is Bharat Net project initiative?

    BharatNet project is a project to provide on demand, affordable broadband connectivity in rural areas. BharatNet is said to be connecting all the inhabited villages beyond gram panchayat under this project in the 16 states.

    Who has the largest fiber network in India?

    State-owned Bharat Sanchar Nigam Limited (BSNL) has the largest fiber network which is nearly 8 lakh km long.