Since last Tuesday, when the news hit the streets, most people have been saying the same thing – How Budget 2022 will impact Indian retail.
But the more critical question is – How will Indian retail manage to leverage this future-forward Budget?
It’s being said that the Union Budget will supposedly pave the way for building a stronger base for the next 25 years of Indian retail.
Therefore, FMCG companies who want to enjoy this route, must begin the journey.
Use these three unique strategies to make the most out of Budget 2022 and create a better future for your company in retail.
1. Be Where The Buying Power Is
With this year’s budget focusing extensively on inclusive development, rural India will gain more purchasing power due to more job creation and increased MSP for farmers.
This makes it the prime time for Indian retail companies to charge into the rural heartlands and win this excess income from consumers who still are lacking enough options to splurge their money. While a small portion of the rural population might shop online, the majority of consumers prefer to browse through their favourite local stores and find new products that can spruce up their lives.
FMCGs need to supercharge their market penetration with deep-rooted market intelligence telling them the exact places where the demand lies and for which exact product. Having such critical information at the forefront of sales operations can fasten the speed the market penetration and increase the efficiency of product placements.
2. Tap Into The Connectivity
Carrying the baton for “Digital India”, Budget 2022 will focus on building better network infrastructure in rural areas.
This means, FMCGs who were earlier struggling to find a way to get orders from rural India on time, can now leverage easy-to-use mediums like WhatsApp to take orders from retailers directly and keep the demand undisputed.
3. Gamble Right With Price Rise
Since the Union Budget has made it evident that inflation will continue to drive the rise in product prices, the most logical thing for CPG companies is to monitor the pulse of their products and the pulse of their markets, sincerely.
In a country where the price of a matchbox took 17 years to increase to Rs. 2, even the minutest of price fluctuations in the final product can impact sales volume.
Thus, by monitoring the movement of products and consumers when product prices increase, brands can know which alternative product consumers are switching to, in order to stay unaffected by the price change.
For example, a consumer who previously bought a cupcake for Rs. 10 might not be willing to buy the same cake at an increased price of Rs. 15, and would possibly switch to similar products priced at Rs. 10. They might also choose a different product offering by the same company, like a pack of biscuits worth Rs. 10.
If these numerous instances could be captured at every retail outlet and communicated to the company in the form of insights, the richness of data would be top-notch. But for the hundreds and thousands of travelling salesmen, it’s impossible to find and interpret these insights.
However, with mobile-friendly sales surveys, sales teams can easily get accurate data, which automatically gets stored and analyzed by the system, to render real-time actionable insights for sales managers.
So, to conclude, the progressive Budget 2022 has rightly placed the focus on technology-based development, which will protect India from economic disruptions in the years to come.
If you would like to explore how to build your future in retail and know more about the required retail tech solutions to implement the above strategies, mail us at firstname.lastname@example.org today, to request a free personalized demo of Bizom’s intelligent retail tools.