Abstract:
This study mainly focuses on the need for marketing strategies for Mutual Fund Industry in India. The
competitive landscape of the Mutual fund industry has undergone a tremendous advancement in recent years.
Mutual Fund houses compete with one another either by satisfying different economic functions or by
introducing a low-cost or a differentiated product. Mutual funds in India have confined its reach to urban
areas leaving vast saving potentials in rural areas untapped. The main reason for restriction of mutual fund
investment in Top cities or Urban areas is the lack of awareness level in the rural and semi urban areas.
Mutual funds have not been recognized and accepted in the rural and semi urban markets. The role of mutual
fund agents or distributors is to educate the investor community. The abolition of entry load from August
2009, criticized by some brought benefits to investors. Recently mutual fund companies are initiating different
steps through financial inclusion. Thus helping in promotion of investment behavior by spreading awareness
among prospective customers in urban and rural areas. Indian Mutual funds have remained focused around
a limited range of products. Efforts to develop and expand the market through innovative products have been
negligible. This may be attributed to the funds inability to take risks and to predict the future developments in
the market. Therefore the spread of Mutual Fund market has been limited. The absence of product diversification
and confusion in the market has been enlarged by the lack of marketing initiatives for Mutual Funds.
