Market Skyline of India - Districts

8/14/2019 Market Skyline of India - Districts

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All India, Each State, Each DistrictAll India, Each State, Each District


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What, Why, How and ForWhat, Why, How and For

WhomWhomIndias vast market is one of the most complex in the world More than a billion consumers spread out over

More than 600,000 villages

More than 4,000 townsMore than 400 cities

More than 35 urban agglomerations

Reliable Data is difficult to get

Large scale primary research is not feasible Marketers and strategists have to rely on proxies

and shortcuts

These are increasingly unreliable as the focus

goes more micro


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WhyWhy

Surveys vs. Estimations:The problems and pitfalls of overdependenceon surveys

Surveys lie at the core of all economic and market estimates. However,

surveys have certain flaws that serious researchers are aware of. Some of

the more common problems are:

Under-reporting when information on certain segments is less than

its importance/share in the population

Over-reporting when information on certain segments is more than

its share/importance in the population

Mis-reporting when information is not correctly reported/enteredInappropriate sampling when sample is not representative of the

population characteristics

Weighting when incorrect proportions are imposed on certain

segments in the sample to get the population averages/levels


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HowHowThe Indicus Methodology:

Follows techniques of

economic research

as well as the latest in small

area estimation techniques

to develop robust estimates.

What differentiates Indicus from

others is our focus on economic

research and an understanding of

Indias economic structure at the

micro level. This enables us to

drill down to finer and finereconomic-geographic-demographic

cuts.


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HowHow

Access to raw

databases that containinformation on socio-

economic characteristics

and economic activities ofhouseholds - Income,

Expenditure, Saving,

Demography, Asset,

Gender, Education,

Employment, Trends, Age,

Family, etc.

Raw Primary Data

Indicus proprietary,

National Sample Survey,

National Family and

Health Survey, DistrictLevel Household

Survey, etc.

Basic Database

Contains information on all

household types acrossgeographic and demographic

segments.

Final Products

Market Skyline Districts,

Towns, Rural blocks

Consumer Spectrum SEC,

Life Stage, Combinations

Expenditure Spectrum

City Skyline - Neighbourhood

Find Patterns withEconometricsFind relationships between

individual and household

characteristics. Estimate under

and unreported information

using these relationships.

The full range of household and individualtypes is available for further analysis. This

requires that for each district and sub-district

geographical unit of interest there are enough

data-points for robust results..

The internal structure of the database is

synchronous with the economic structure of

the location; moreover, the better weighting

scheme ensures representative-ness across

fine geographic and consumer segments.

Representative Fine

Segments

Robust and up-to-date

Validated with

all known info on

Indian economy andconsumer markets

Core Database

Augmented Database

With appropriate weights

relevant at national,state, district,

sub district, city and

neighbourhood level.

Calibration & Distribution

AnalysisEconomic and socio-economic

distributions are comparable with credible

known information - National Accounts,Registrar General of India, etc.

Cluster using Neural NetworksFind common patterns across geographical and

consumer cuts; validate with Indicus data on

district economic structure to derive appropriate

weights.


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Users and UsesUsers and Uses

Marketing Managers Identify appropriate markets to target

Sales Teams Distinguish between new markets where networks need

to be built and old ones where channels need to be strengthened

Market Strategists Prioritize locations for more effective consumer

targeting

Banking Find areas with poor credit penetration and unmet credit

demand.

Insurance Identify locations that have the most appropriate socio-

economic and income profile for different insurance productsAsset Management Companies Locations and consumer groups

there-in with rapidly growing incomes and with best savings profiles

Real Estate Developers Focus on areas with unmet housing demand


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CoverageCoverage

.

Market Size:

Aggregate expenditure by households

in 5 broad categories that include

Food, FMCG, Consumer Durables,

Clothing & Footwear, Miscellaneous

Goods and Services-available for all the geographical,

income, and demographic cuts.

For a selected set the data can bedrilled down to about 20 categories

Socio-Economic Classification:

We provide the full distribution of urban SEC A to E

households for each district in the country.

In a complementary product (Consumer Spectrum of

India) we have further sub-divided SECs on the basis

of life stages (young, middle, and senior),

making an overall 15 cuts.

For those who are interested in finer segmentation,

Indicus has used the latest in neural networks

and statistical algorithms to generate 33 homogenous

Segments of urban consumers.

A similar segmentation of the rural SEC R1 to R5

households have been done creating a set of 50 cuts

(on the basis of 10 life stages and SEC).

Income Distribution:

Urban and rural households classified

by income in six brackets ranging fromless than Rs 75,000 to greater than

Rs 1,000,000 (ten lakh).

Households and population

Income, saving and expenditure

Growth rates


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Geographical CoverageGeographical CoverageGranularity:

The Market Skyline provides data separately for rural and urban areas

for all districts of India. Other database products from Indicus provide

information at even finer geographical granularity.

Block level there are nearly 5,500 (5464 to be precise) blocks spread

over nearly 600 districts as per Census 2001 figures. Income distribution,expenditures and savings are available for each of these.

Town level Information on all 450 odd towns with a population of

greater than 100,000 in 2001.

Neighbourhood level - For all the major metros an even finer geographical

segmentation at the neighbourhood level is also available.

Rural or urban, drilled down to the finest level


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ParametersParametersConsumer Demography

PopulationHouseholdsHouseholds in each income bracket.Population in each income bracket.Socio-Economic Classification for

Urban Households

Geographical Area

Consumer Markets

Annual Household ExpenditureAnnual Market Size across

Food Products, FMCG products, Durables,Clothing & Footwear, MiscellaneousGoods & Services

Per Capita Income

Per Capita SavingPer Capita Expenditure

Sector wise Growth Rates

GranularityCountryStateDistrict

Separated forUrban and Rural

segments

A total of 150

parameters attwo points in

time


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Insights from ProductInsights from Product

Suburbs have come to be independent

economic entities:Internationally, the term suburb conjures up images of a relativelyunspoilt, less densely populated and predominantly residential

community close to a city. In India, it is difficult to find such

conditions.

The lack of office space in New Delhi, the lack of new residential

areas in Kolkata and expensive real estate in Mumbai have

contributed to the growth of Salt Lake, Gurgaon, and Navi Mumbai.

Now all threeare more than just real estate alternatives to larger neighbours.

Middle class accounts for bulk of urban

spending:About 61% of total urban income comes from households

that can be classified as middle class earning between Rs

75,000 and Rs 5 lakh a year.

This segment comprises the lower middle class earning

between Rs75,000 and Rs 1.5 lakh a year (10% of total

urban income is from this category), the middle class

earning between Rs 1.5 lakh and Rs 2 lakh a year (29% of

income share) and the upper middle class earning between

Rs 3 lakh and Rs 5 lakh a year (22 % of urban income).


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Urban Households earning over INR 300,000 pa

Surat, highest number of millionaire

households in Western India (excluding

the Mumbai region)Chandigarh, Indias richest city, 21% of

households earn more than Rs. 1 million

a yearBelgaum is Karnatakas second largest

consumer marketGurgaon, Surat, Ludhiana and Waynad

are Indias richest rural districts


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Ever-expanding Districts - anaggregate Market Size of almost Rs 26

trillion

49% of Indias market lies in

UP, Maharashtra, West

Bengal, AP and Gujarat

alone

Urban Millionaire Districts:Faridabad (3rd largest)

Ludhiana (4th largest)

Largest Rural BOP Markets

Medinipur, South 24 Pgns,

Murshidabad, East Godavari

Belgaum is the second largest

market in Karnataka

Surat ranks top in terms of

rural millionaire households

in Western Zone


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21% of total households in Chandigarh(richest market in India) earn more than

10 lakh a year

Top 2 Urban districts based

on Income Growth rate-D &

N Haveli (23%),

Gandhinagar(22%)

Rural districts with max no.

of millionaires-Gurgaon,Ludhiana, Surat, Waynad

Ganjam : Largest market in

Orissa

Upcoming districts based

on absolute increase in

income- Thiruvallur,

Vadodara, Barddhaman,

Rangareddi, Faridabad,

Medinipur

Potential Rural Markets:

Alappuzha, Thrissur, Ernakulam,

Pathanamthitta, Kottayam - high

per capita income but low per

capita expenditure.


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For query or placing orders please contact

Indicus Analytics Pvt. Ltd.

2nd Floor, Nehru House,

4 Bahadur Shah Zafar Marg

New Delhi- 110002.

Phone: 91-11-42512400/01

E-mail: [email protected]

Market Skyline of India - Districts

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