A shocking survey reveals rural areas in India are spending more on liquor than healthcare
Oct 31, 2016, 17:25 IST
Rural India spends about three times more on alcohol (Rs 140) and tobacco (Rs 196) than healthcare (Rs 56) each month. The monthly expenditure on other items that includes medicines too stands at Rs 196,a survey report shared with TOI says.
The report showcasing consumption patterns reveals that a rural household spends Rs 504 a month on FMCG products, roughly 18% of the total monthly budget of Rs 2,800.
Out of this, major portion is covered by food (55% or Rs 280). Skincare and cosmetics still prove to be a luxury for them and they spend about Rs 36 on an average, according to the rural establishment report by Chrome Data Analytics & Media (Chrome DM), a primary research and data analytics company.
"Two years ago, the number would have been lower for a rural household. In comparison, an average urban household spends Rs 150 per month on skincare and cosmetics. So, it's four times the rural spends as of now. If you take just the middle class urban consumer, the spend would drop to half (Rs 75 per month per household). It is still double the rural spends. When we talk about shifting consumption, India is slowly but surely following an upgradation process on beauty categories in general," Jean-Christophe Letellier, MD, L'Oreal India told TOI.
It is mostly low-unit price packs and accessible formats like product sachets that are sold in rural areas. Rural regions contribute nearly 36% to the overall Rs 3,20,000-crore FMCG market. The Chrome DM report, which represents over 300 million rural consumers, covers their behaviour and habits and was conducted over 15 months.
Total monthly spend on FMCG is higher as compared to expenditure on milk (Rs 224) and petro for agriculture services (Rs 308), the survey reveals.
"Rural households rely heavily on the milk produced by the cattle that they own. As for the low expenditure on healthcare, rural India still prefers domestic cure and natural home remedies over medicine," Pankaj Krishna, MD, Chrome DM told TOI.
(image: Indiatimes)
Advertisement
The report showcasing consumption patterns reveals that a rural household spends Rs 504 a month on FMCG products, roughly 18% of the total monthly budget of Rs 2,800.
Out of this, major portion is covered by food (55% or Rs 280). Skincare and cosmetics still prove to be a luxury for them and they spend about Rs 36 on an average, according to the rural establishment report by Chrome Data Analytics & Media (Chrome DM), a primary research and data analytics company.
"Two years ago, the number would have been lower for a rural household. In comparison, an average urban household spends Rs 150 per month on skincare and cosmetics. So, it's four times the rural spends as of now. If you take just the middle class urban consumer, the spend would drop to half (Rs 75 per month per household). It is still double the rural spends. When we talk about shifting consumption, India is slowly but surely following an upgradation process on beauty categories in general," Jean-Christophe Letellier, MD, L'Oreal India told TOI.
It is mostly low-unit price packs and accessible formats like product sachets that are sold in rural areas. Rural regions contribute nearly 36% to the overall Rs 3,20,000-crore FMCG market. The Chrome DM report, which represents over 300 million rural consumers, covers their behaviour and habits and was conducted over 15 months.
Advertisement
"Rural households rely heavily on the milk produced by the cattle that they own. As for the low expenditure on healthcare, rural India still prefers domestic cure and natural home remedies over medicine," Pankaj Krishna, MD, Chrome DM told TOI.
(image: Indiatimes)