Hybrid Media Consumption and Rising Digital Engagement Transform Rural India

Today we're releasing the fifth edition of our Rural Barometer Report, in partnership with Kantar, the world’s leading marketing data and analytics company.

The report offers valuable insights that capture the current sentiments, consumption patterns, and economic behaviour of rural Indians.  It also explores important aspects like the increasing adoption of digital technologies and their effects on various sectors, providing a comprehensive understanding of rural landscape of India

The 2024 Rural Barometer report highlights a 60% rise in the average fmcg basket size among rural consumers, from 5.8 in 2022 to 9.3 in 2024, driven by a growing preference for convenience products. This reflects the evolving lifestyle and rising purchasing power in rural areas. Regional variations exist, with states like Jammu & Kashmir (39%), Maharashtra (41%), and Odisha (26%) showing moderate growth in fmcg basket despite lower financial worries. This positive trend in expansion of fmcg category basket is accompanied by growing rural incomes and  diversity of income sources including salaried income

The report highlights a significant divide between rural individuals with only agricultural income, who make up 19% of the population Vs those with diverse income sources, comprising of the balance 81%. Those relying solely on agricultural income face higher financial concerns, affecting 82% of these, while those who have diverse income sources demonstrate less stress and enjoy larger basket sizes.

In terms of media consumption, rural India is increasingly adopting a hybrid model that combines traditional and digital media, with 47% of the population engaging in this trend. This shift is more pronounced in regions with better digital infrastructure. However, states like Bihar, Jharkhand, Uttar Pradesh, Madhya Pradesh, and Chhattisgarh remain less digitally connected, necessitating targeted media strategies.

Ajay Mehta, Managing Director, OOH Solutions in India added, “The rural landscape is no longer just a geographical space; it’s a digital frontier ripe with opportunities. As rural consumers embrace online platforms, brands must adapt their strategies to meet them where they are. By investing in digital initiatives that resonate with rural India’s aspirations, brands can contribute to the nation’s development and tap into a burgeoning market that promises substantial growth.”

“2024 Rural Barometer report shows that rural consumers are experiencing rising purchasing power and evolving lifestyles, as seen in increased basket sizes and a preference for convenience products, despite ongoing financial concerns. Regional differences in financial resilience are linked to diverse employment opportunities. We are also seeing rural media consumption shifting toward a hybrid of traditional and digital formats, though digital access remains uneven across states.” said Puneet Avasthi, Director- Specialist Businesses, Insights Division, Kantar.

As rural India continues to evolve, digital platforms are playing an increasingly vital role in reaching and engaging consumers. From payments and e-commerce to gaming and lifestyle content, the digital landscape is expanding rapidly. While traditional media remains influential, a hybrid approach that leverages both online and offline channels is key to effectively connecting with rural audiences. By understanding the evolving needs and preferences of rural consumers, brands can capitalize on the immense growth potential of this market.

Rural consumers are increasingly drawn to lifestyle-focused content such as fashion, health, and travel, reflecting a growing interest in topics that enhance their daily lives and align with their aspirations.

Additionally, the report underscores a significant shift in rural India towards digital payments, which now reaches 42% of active internet users and e-commerce, representing 23% of active internet users This shift reflects growing financial and digital inclusion in Rural India

Highlights:

1. Rural India has seen a marked increase in the average basket size from 5.88 in 2022 to 9.3 in 2024, driven by higher consumption in convenience categories like RTE, beverages etc.

2. States where rural consumers have less concerns on current financial situation, largely have shown higher growth in basket size

3. Rural consumers with diversified income streams display the least financial concerns and have larger monthly category basket size.

4. Rural India’s media consumption is increasingly hybrid, with nearly 1 in 2 of rural consumers exposed to both online and offline media

5. Telecom and Digital can be effective in providing incremental reach in Hindi speaking markets

6. Digital platforms for payments, ecommerce, and gaming platforms are gaining traction, while genres like fashion, travel and fitness are popular among rural online users reflecting a growing interest in lifestyle-oriented topics

About Rural Barometer 2024 Report:

• This is a semi-annual report jointly released by Kantar and WPP Media OOH Solutions.

• The findings are based on a sample of 4376 rural adults (18+ year olds) surveyed across 20 Indian states with representation across gender, NCCS and age groups.

• All socio-cultural regions (SCRs) are covered within each state to meaningfully reflect the variability that exists.

• The migrants who have returned to their villages were also covered in the study.