Exploring Consumer Behaviour Differences in Urban and Rural Settings: A Case Study of Branded FMCG Products

Abstract

The research study aimed to compare the perceptions of urban and rural consumers regarding
various aspects of consumer behaviour—namely, buying behaviour, brand preference,
willingness to pay extra for branded products, and purchase intention—within the context of
branded FMCG products from companies like HUL, P&G, ITC, and Dabur. The sample size
was set at 500, with 267 urban and 233 rural consumers ultimately sampled, by using adapted
items on a five-point Lickert scale. The analysis focused on whether significant differences
exist between urban and rural consumers across these dimensions. The findings reveal that
urban and rural consumers share some common perceptions, particularly regarding the value
of branded products, but also show significant differences in areas such as buying behaviour
and brand preference. Urban consumers are generally more influenced by convenience,
promotions, and brand loyalty, while rural consumers, though less inclined towards brandspecific
loyalty, exhibit similar levels of willingness to invest in quality and status through
branded products. This comparative analysis highlights the nuanced ways in which residential
environments shape consumer behaviour and preferences in the FMCG sector.