B-class cities do not mean lower purchasing power. The difference lies in the size of the target segment; B-cities have a population of 10-20 lacs, but the percentage of the target segment is 20-25%. Compared to metros, the haul is almost double, with the target segment constituting 35% of the population, resulting in more Consumer base and volumes.%u201D B-class cities have a tremendous potential if the model is scaled up to quickly cover the unexplored markets. The target segment is close to 20-25% of the total population, which is sufficient to sustain. Catchments are not shrinked as there is little or no competition %u2013 one can get the first mover benefit; real estate costs are low, which results in lower overheads; and in recent years, people have evolved due to media exposure and increase in disposable income.
