The hinter lands in India consist of about 6,50,000 villages. These villages are inhabited by about 850 million consumers making up for about 70% of population and contributing around half of the country's gross domestic product.Consumption pattern in these rural areas are gradually changing to increasingly resemble the consumption pattern of urban areas. Owing to a favourable changing consumption size of the market, rural India provides a large and attractive investment opportunity for even private companies.
The Govt. of India has planned various initiatives to provide and improve the infrastructure in rural areas which can have a multiplier effect in increasing movements of goods, services and thereby improve earnings potential of rural areas subsequently improving consumption.As is the trend with urban India, consumers in the rural regions are also expected to embrace online purchases over time and drive consumption digitally.Market research firm Nielson expects India's rural FMCG market to reach a size of us $100 Billion by 2025. Another report by MC Kinsey Global Institute Forecasts the Annual Real Income per Households in rural India to rise to 3.6% by 2025 from 2.8% in the last 20 years. In this paper an attempt has been made to look into the various issues in terms of cash less economy and focus is also given on its' viability in terms of its length