Inclusive Business Model
Impact Evaluation of an innovative distribution channel in
Kinshasa- DRC
Lisbon, March 2014
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Source: Company website – Investor Relations
North East
Europe
Western
Europe
Americas
Asia-Pacific
Near &
Middle East
Greater
Africa
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Bel Access vision is to position Bel as a
recognized inclusive business leader
by contributing to reach 1 billion consumers
by 2020 and maximizing our social impact
Bel Access mission is to make the Group
offer accessible
to lower
income consumers all around
the world
Bel Access operates as a Business
Unit
incubator to initiate or support inclusive
business models throughout the whole
value chain
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Informal sector and street vendors: challenges
to overcome – the case of Kinshasa
•
In Kinshasa, there are more food street vendors than shops and no brands
are investing the channel
•
A large majority of street vendors are women in Kinshasa : 95% of the 28 000
street vendors are women
• Low education / entrepreneur / selling skills:
Lowest of all the institutional sectors except agriculture: only 15.7% have
completed at least upper secondary school (79.3% in the public sector). More than
90% of the street vendors do not have any vocational training or school certificate.
Nevertheless, only 2% of street vendors have never attended to school.
•
Lack of access to social services:
The large majority of street vendors are migrant population living in the city for 5
to 10 years without being registered. Indeed, they do not have access to public
social services (heath insurance, access to credit, training…)
•
And difficulties to look at the future with optimism…
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Sharing Cities platform:
Social impact and partnership approach
SOCIAL IMPACT PLATFORM:
HOLISTIC & PARTNERSHIP APPROACH
Capacity-building
Ecosystem
Tailored made training for
street vendors (hygiene,
micro-entrepreneurship…)
Improve their environment
(lobbying, PR, public sector
involvement)
Access to credit
Buy new products,
equipment, micro-franchises,
etc.
Street
vending
Access to insurance
Buy new affordable and
efficient products answering
their specific needs.
Access to market
Formality
Support vendors to access
new market opportunities
while modernizing their offer
Integration to the formal
sector: taxation, social security
access, migrant registration in
the cities,…
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BEL ACCESS MODEL IN KINSHASA
1. OFFER THE GOODNESS OF THE MILK TO THE LARGEST POPULATION
2. INCREASE WOMEN INCOME THROUGH SOCIAL INCENTIVES
3. MAXIMIZE THE SOCIAL BENEFITS FOR THE WOMEN
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BEL ACCESS MODEL IN KINSHASA –
OUTCOMES OF INTEREST
1. PROFITABILITY
2. PRODUCTIVITY
3. JOB CREATION
4. HEALTH SAVINGS
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Bel’s Route-to-Market in Kinshasa
Basic Route-to-Market"
CONSUMERS
LOCAL
DISTRIBUTOR
WHOLESALERS
GROCERY
STORES
SEMI WHOLESALERS
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Bel’s Route-to-Market in Kinshasa
Mamas Mapas Route-to-Market"
LOCAL
DISTRIBUTOR
-
Better coverage of population
Better control of the key messages to consumers
Better insights from consumers
Additional sales margin to Mamas Mapas
MAMAS
MAPAS
CONSUMERS
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Mamas Mapas Focus Groups, feb 2014, 100 MM
Key Data
•
Main concerns
28,000 bread sellers in 2013
1. Kids education (91%)
•
Purchasing from 3 Industrial
bakeries
•
Avg income : $380/month
•
Avg working hours : 13hrs/day,
6,5days/week ($1/hr)
•
Avg profile : age 41 / main source
of revenue for the household / 4.1
children
2. Aspiration to find ways for
growing their business (72%)
3. Personal independence vs.
intimate partner// consistency
of incomes (70%)
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POTENTIAL INTERVENTION TO ADDRESS
EXPRESSED NEEDS
NEEDS
INTERVENTION
PHASE 1
WAYS TO GROW THEIR
BUSINESSES
BUSINESS DEVELOPMENT
HANDS-ON TRAINING
KIDS’ EDUCATION
ACCESS TO BANKING
SERVICES
PHASE 2
FINANCIAL INDEPENDENCE
vs IP
HEALTH INSURANCE
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INTERVENTION DETAILS 1/2
TRAINING
1.
WHY PROVIDING THIS TRAINING
•
2.
WHAT’S INSIDE THE TRAINING
•
•
3.
How to lean their incomes overtime (fight seasonality effects) and better
manage their cash-flows & stocks
Hands-on program on different aspects of how to switch from street-selling to
openning a shop
HOW TO ROLL OUT
•
•
•
4.
Outcome of Focus Group shows that 70% of participants aspire to develop
their business but doesn’t know how to do it
Design training costs
Identify a pool of Mamas who want this training
Then select randomly to which provide the training (Incentive package to a
treatment group vs Control group without package)
MONITORING RESULTS
•
•
•
•
Sales & Income
Productivity
# of shops opened
# of jobs created
Quarterly
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INTERVENTION DETAILS – 2/2
• Bank Savings
– Extra Bonus for bank account subscribtions
– Selection through lottery
– Respond to their need of growing their business
PHASE 2
• Health Insurance
– Actual condition often leads to health problems
– Design a tailored-made insurance product in partnership
with local insurance companies
– Outcome : Savings on health expenses
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IMPACT EVALUATION DESIGN
UNDERSTAND
THE
COMMUNITY
DONE
THROUGH
FOCUS GROUP
DESIGN THE
STUDY
3 TREATMENT
GROUPS
1 CONTROL
GROUP
DESIGN THE
PROTOCOL
DATA*
QUARTERLY
FOLLOW-UP
OVER 24
MONTHS
MEASURE
IMPACT
PROFITABILITY
JOB CREATION
PRODUCTIVITY
* 1. Baseline Survery / 2. Periodic Data Collection (quarterly) / 3. End Line
Survey (how both groups are changing overtime)
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Kinshasa Model 3 year’s plan
Business
Opportunities
Scale
►
9.000 street-vendors
►
40% of local
business through
this
distribution channel
Innovative
Financing
Social Platform
►
1.000 people trained in the
« business schools for street
vendors »
►
3.000 vendors benefiting
►
Partnerships with
international
organizations
from micro-insurance
►
Increase by
25% of the
vendors’ revenues
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