How Entrepreneurs Market to Audience in Tier 2 & Tier 3 Cities?

Jeenal Jain Jeenal Jain
Mar 25, 2021 7 min read
How Entrepreneurs Market to Audience in Tier 2 & Tier 3 Cities?

The best marketers always create a long-lasting relationship. It's a relationship with customers, brands & other marketers. A wise man once said - 'Good Marketing makes the company look smart, whereas Great Marketing makes the customers feel smart'.

Importance of marketing cannot be stressed upon even more! It becomes essential for the entrepreneurs to cater its audience based on their culture, understanding and 100s of other factors. To know how businesses market to its audience in Tier 2 and Tier 3 cities, StartupTalky reached out to entrepreneurs from diverse fields. And here's what we got to know on how they market to people in Tier 2 and Tier 3 cities.

Amit Nigam - COO & Executive Director, BANKIT

Amit Nigam - COO & Executive Director, BANKIT

BANKIT tries to reach the tier 2 and tier 3 segment of the audience through retailers who are already familiar with the customer and can reach them more effectively. This helps in overcoming the most common challenge that companies face while reaching consumers in Tier 2/3 areas: Gaining their trust.


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Segmentation, Targeting, and Positioning - the STP approach is a model used bybusinesses to cater their customer segments in a more sophisticated way. Basedon the the nature of organisation, objectives, industry, market scenarios etc.,the STP approach differs. The overall market is catered by the…

Shalabh Upadhyay - Founder & CEO, NEWJ (New Emerging World of Journalism)

Shalabh Upadhyay - Founder & CEO, NEWJ

The future of online media will be defined by those who create content, produce stories in the language which the masses understand. And that’s what we precisely do at NEWJ. Within a short period of two years since inception, we have grown our regional network base to 12 languages (including English and Hindi). Our in-house data capabilities help us build predictive models on the content consumption patterns across social media. Our state-of-the-art tech architecture collates user consumption & computer vision data to derive insights and patterns on how a content piece will perform. This enables us to connect with and market our content effectively.


Entrepreneurs Face these Problems while operating in Tier 2 & Tier 3 Cities
Wondering what are Tier 2 and Tier 3 cities? Based on population density, Indiancities are classified as X (tier 1), Y (tier 2) and Z (tier 3) categories. WhereTier 1 contains metropolitan cities like Delhi, Bangalore, Mumbai & so on, Tier2 has cities like Gurgaon, Vellore, Kochi etc., The remain…

Sanjay Tiwari - Co-founder, 21CC Education

Sanjay Tiwari - Co-founder, 21CC Education

These cities are seeing increasing attention and fast infrastructural growth. You now have state of the art warehouses coming up on what used to be farmland. When we create content for these audiences, we use our expertise to explain the process, i.e., what has to be done, along with why it has to be done-why keeping something chilled matters or why a bar code matters, why it’s important to be able to trace something. So you have to explain much more of the context.

Then there is language to consider that requires a constant feedback loop and intelligent design to ensure that the platform’s UI is flawless and simple without being simplistic.

Building presence in these markets requires a different approach as growth in awareness may be slow. As mentioned above we’re doing that via distribution partners which may include certain tech companies soon. CSR initiatives on behalf of certain trusted names in the logistics space have also allowed for our outreach to increase in these locations.

Sudha Anand, Founder, Swaas

Market to tier 1 , tier 2, tier 3 audiences
Sudha Anand - Founder, Swaas

Social media like Facebook and Instagram are the best modes to reach
to tier 2 & 3 customers.


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Krishna Murthy - Founder of Teach My Lesson

Krishna Murthy - Founder of Teach My Lesson
  • Clearly articulate the value offered in plain terms
  • Price solutions aptly. Price is often the proxy for quality, and solutions priced considerably lower than the benchmark are seen as not trust worthy
  • Leverage locally accomplished individuals to endorse the brand and build credibility. Related to this, use local micro-influencers and not mega influencers.
  • Make customer ratings and review visible and vocal; everyone relies on reviews
  • Deliver on the promise – the customer journey need an enjoyable yet straightforward. Under promising and overdelivering is better than vice versa
  • India is progressing, and customer expectations are high across tiers, β€˜Chalta hai’ ab nahi β€˜Chalta hai’

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Shivram Choudhary - Founder, Codevidhya

Shivram Choudhary - Founder, Codevidhya

Thankfully, with the advancement of technology, Tier 2 and Tier 3 cities have proper access to the Internet today. With the campaigns that we run and the marketing we perform, it is easier to spread the word to our target audience regardless of their City-tiers.

Amit Agarwal - Founder & CEO, OckyPocky

Amit Agarwal - Founder & CEO, OckyPocky

With regards to the marketing approach in Tier 2 and Tier 3 cities, building local partnerships helps majorly to gain trust but we also focus on digital marketing and content marketing with a vernacular approach to find paying audience.

Raj N - Founder, Zaggle

Raj N - Founder, Zaggle
Raj N - Founder, Zaggle

Brands need to innovate exclusively for rural consumers because the values and sensitivities of the rural audiences are a stark contrast to that of their urban counterparts.

Tanul Mishra - CEO, Afthonia Lab

Tanul Mishra - CEO, Afthonia Lab

The pandemic has resulted in a lot of changes on the ground. One of the most prominent of these is reverse migration and increased online buying in Tier 2 and 3 cities. On one hand, several kirana stores across cities and towns pivoted online, while on the other, many young professionals and graduates moved back to their towns driving rural consumption and demand. Established players like Flipkart and Amazon, through Samarth and Flipkart Wholesale and Prione respectively, are betting heavily on the rural entrepreneurship story.

The tier III environment is immensely different from tier I and II and therefore, communication to potential customers requires a specialized and integrated approach. Indian market is very diverse and demands regional connectivity. OTT (Over the top) players like Netflix, Amazon Prime Video, ZEE5, etc., are expected to spend Rs. 150 crore this year. We can see the push which is given by global companies towards local languages to enter the market of Bharat. Similarly, fintech industry is also expected to provide local language support and focus on user interface which is seamless and intuitive to expand its user base.

Mahadev Srivatsa - VP of Marketing & Brand Strategy, Practically

Mahadev Srivatsa - VP of Marketing & Brand Strategy, Practically

Marketing is always audience-led and the strategy has to involve a mix of the best mediums through which one can reach relevant audiences. Considering the emphasis that Indians place on education, keeping respective market nuances aside, the core TG for Practically i.e parents of kids aged 11 to 17 and the kids themselves, exhibit the same need across markets and that is β€˜a need for innovative learning’. To reach out to them, in the COVID era, the most impactful mediums of marketing have been TV and Digital. In pre covid era, BTL activations in such markets would act as a crucial support to the main campaign. Radio & Print ( regional) can also be looked at to effectively drive awareness among these audiences & build credibility. The key is to understand the touch points of your product, study customer journey and effectively strategize marketing for this segment. Correct choice of medium matters the most.

Conclusion

From leveraging locally accomplished individuals to personalizing linguistic features, entrepreneurs are leaping well above their grounds to rightly market in Tier 2 and Tier 3 cities. Hope, their views gave you an insight on how to market in Tier 2 and Tier 3 cities.

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