Rural Marketing Mix in Bhutan : An FMCG Perspective

Almost all large consumer goods companies operating in Bhutan actually operate through their Indian offices since India has a free trade agreement with Bhutan. Bhutan has a unique rural market structure, and the 4Ps (Product, Place, Price and Promotion) and 4As (Awareness, Availability, Affordability and Acceptability) of rural marketing are also governed by unique regulations formulated by the Government of Bhutan. Bhutan is 69.1% rural, and rural marketing becomes the most important subject for marketing in Bhutan — in fact, if Indian census benchmarks were applied to the Bhutan demographics, the percentage of rural population would be beyond 90%. This present study is the most comprehensive ex post facto qualitative and quantitative study of the 4Ps/4As of rural marketing in Bhutan. The research tool used is a qualitative survey of the national distributors operating in Bhutan and of some wholesalers in each district of Bhutan, followed by a quantitative analysis of the associations between the factors. Absolutely no literature is available on rural marketing in Bhutan, and this paper aims to advance that body of knowledge from a practitioner's point of view