How digital marketing is evolving in tier 2 and tier 3 cities of India

  • Sneha Balasubramaniyan
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  • Published Date : 17 March , 2017
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  • Updated Date : 24 May , 2021
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    • 5 min read

Be it a blog, an e-mailer or even posting a simple creative online, a business reaps all the benefits of digital marketing. While the world is rapidly shifting from analogue to digital, is it the same case even in Tier II and Tier III cities in India? One might still be doubtful on how a business in Bihar, or in a small town like Tiruchengode might make use of the digital medium but Social Beat begs to differ.

With more than 3,133 cities that fall under the tier II and tier III category, comprising of almost 31.16% of India’s total population, one cannot simply avoid taking them into consideration while discussing advertising and marketing online. According to a report by one of world’s leading media investment management group, 2016 and early 2017 was supposed to see a 51% increase in digital marketing in Tier II and Tier III cities. We are also seeing a lot of traction with digital content in regional Indian languages.

How to make digital marketing for Tier II and Tier III cities possible?

 

 

With internet access and as well as buying power of smart phones, thanks to the initiatives of the Government and some of India’s biggest internet companies, business in these cities now have a larger playground. Since almost 32% of the rural population with the above facilities access the internet on their mobile phones, it is important to generate such content for higher reach and engagement. For example, Facebook now has 160 million users in India, which are spread not just in the top cities but also in smaller towns and even some villages.

Firstly, to leverage digital for smaller websites every digital asset needs to have a great experience on mobile. Be it a website/landing page or a simple single creative – whatever helps in lead generation or branding of a business, it needs to be mobile-friendly. On small screens, the call-to-action button as well as the navigation button needs to be crisp. The copy has to be short, quick and easy to grasp.

 

 

Vernacular Ads work the best with respect to lead generation / marketing your brand:

 

 

Not just vernacular Ads but vernacular websites work miraculously well for business that either have their base in Tier II and Tier III cities or if they want to target their potential investors in such cities –

 

 

While running a Facebook Ad, it is important to understand that the target audience (TA) first needs to be someone in-and-around the city. For example, if it is a real estate project in Trichy selling affordable homes, the TA needs to be someone who when views the Ad will be able to:

A – Relate to the project in terms of location, approachability etc.

B – Compare the price of the project with other such builders

C – Visit the project with ease

D – Take a decision

While the project in the example cited above is in Trichy, the target audience can be just Trichy to start with but will not have a lot of reach unless we explore the little towns and cities in-and-around Trichy itself.

 

 

Selecting even the tiniest of towns that we might think will not make a big difference will definitely show results. The potential reach crosses over 730,000 people out of which there is a chance of a bare minimum of 40% to convert into customers.

 

 

With regards to the interests and behavior of the target audience, it is always better to keep it a little generic such as focusing on job titles, important IT companies / industries around the city etc. including minor yet vital details like their interest in Business magazines, stocks, shares, etc. If the campaign does well, and if it is for a real estate project in particular (where you think NRIs would like to invest in), go ahead and try a few NRI targeting options too – you never know, it might work wonders!

 

 

Looking at utilizing Google Adwords as a platform to advertise in Tier II and Tier III, it is highly recommended for the below reasons:

  1. Less competition in Tier II and Tier III cities which is good for businesses trying to create an identity for themselves / acquire leads.
  2. Better ‘Search Ad’ results due to the high search queries
  3. Good quality leads since the TA is niche and the demand for product is more

The keywords used for these Ads are usually very simple, straight forward terms. For example, for an e-commerce organic food store business, Google AdWords are likely to work better for keywords – ‘healthy food’, ‘organic vegetables’, ‘fresh organic food’ etc. rather than keywords like ‘organic grocery’, ‘organic farm food’ etc.

Planning to start up a business from the tier 2 and tier 3 cities of India? Follow our YouTube channel Arrear Irundalum Career for more insights. Here's a short video to get you started! Be sure to also visit our Arrear Irundalum Career website for further career guidance tips.

Tier II and Tier III cities’ have the potential for most businesses and these cities are growth drivers of the future. Tell us which strategy has worked for you in smaller towns!

 




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harshal2018-04-11 < Reply

Great article! Tier II and Tier III cities are evolving rapidly. I think the next generation of startups will emerge focusing on this particular Target Segment. I am working on something similar trying to figure out what must be the A.I.D.A strategy for this TG? What type of content makes them click, what kind of rewards make them tick!! If you can help me understand that?

Pundlik Jhadav2017-12-06 < Reply

Thanks for sharing this such a great blog and very informative

Namrata2017-09-02 < Reply

The next phase of growth is definitely in our smaller towns

Srinivas Chandran2017-04-04 < Reply

Great Post!! I am from a tier 2 city, And started learning seo there only, but due to less money and opportunities and resources , i had to make way to a metro city for my earning, I am learning here but a tier 2 city would require the digital marketing experience in the coming years. Nice research and a goog blog!!

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