Inclusive Business ModelImpact Evaluation of an innovative distribution channel in
Kinshasa- DRCLisbon, March 2014
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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 operates as a Business Unit incubator to initiate or support inclusive
business models throughout the whole value chain
Bel Access mission is to make the Group
offer accessible to lower income consumers all around the world
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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SOCIAL IMPACT PLATFORM: HOLISTIC & PARTNERSHIP APPROACH
Street vending
Ecosystem Improve their environment (lobbying, PR, public sector
involvement)
FormalityIntegration to the formal
sector: taxation, social security access, migrant registration in
the cities,…
Capacity-buildingTailored made training for street vendors (hygiene,
micro-entrepreneurship…)
Access to creditBuy new products,
equipment, micro-franchises, etc.
Access to marketSupport vendors to access new market opportunities
while modernizing their offer
Access to insuranceBuy new affordable and
efficient products answering their specific needs.
Sharing Cities platform:Social impact and partnership approach
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BEL ACCESS MODEL IN KINSHASA
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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
BEL ACCESS MODEL IN KINSHASA – OUTCOMES OF INTEREST
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1. PROFITABILITY
2. PRODUCTIVITY
3. JOB CREATION
4. HEALTH SAVINGS
Bel’s Route-to-Market in Kinshasa
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Basic Route-to-Market"
LOCAL DISTRIBUTOR
WHOLESALERS
SEMI - WHOLESALERS
GROCERY STORES
BEL GROUP
CONSUMERS
Bel’s Route-to-Market in Kinshasa
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Mamas Mapas Route-to-Market"
LOCAL DISTRIBUTOR
MAMAS MAPASBEL GROUP
CONSUMERS
- Better coverage of population- Better control of the key messages to consumers- Better insights from consumers- Additional sales margin to Mamas Mapas
Key Data
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• 28,000 bread sellers in 2013
• 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
1. Kids education (91%)
2. Aspiration to find ways for growing their business (72%)
3. Personal independence vs. intimate partner// consistency of incomes (70%)
Mamas Mapas Focus Groups, feb 2014, 100 MM
Main concerns
POTENTIAL INTERVENTION TO ADDRESS EXPRESSED NEEDS
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KIDS’ EDUCATION
WAYS TO GROW THEIR BUSINESSES
FINANCIAL INDEPENDENCE vs IP HEALTH INSURANCE
BUSINESS DEVELOPMENT HANDS-ON TRAINING
ACCESS TO BANKING SERVICES
INTERVENTION
PHASE 2
PHASE 1
NEEDS
INTERVENTION DETAILS 1/2TRAINING
1. WHY PROVIDING THIS TRAINING• Outcome of Focus Group shows that 70% of participants aspire to develop their
business but doesn’t know how to do it
2. WHAT’S INSIDE THE TRAINING• 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
3. HOW TO ROLL OUT• 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)
4. MONITORING RESULTS• Sales & Income• Productivity • # of shops opened• # of jobs created
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Quarterly
INTERVENTION DETAILS – 2/2
• Bank Savings– Extra Bonus for bank account subscribtions– Selection through lottery – Respond to their need of growing their business
• 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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PHASE 2
UNDERSTAND THE
COMMUNITY
DESIGN THE STUDY
DESIGN THE PROTOCOL
DATA*
MEASURE IMPACT
IMPACT EVALUATION DESIGN
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DONE THROUGH
FOCUS GROUP
3 TREATMENT GROUPS
1 CONTROL GROUP
QUARTERLY FOLLOW-UP
OVER 24 MONTHS
PROFITABILITY
JOB CREATION
PRODUCTIVITY
* 1. Baseline Survery / 2. Periodic Data Collection (quarterly) / 3. End Line Survey (how both groups are changing overtime)
Kinshasa Model 3 year’s plan
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Scale
► 9.000 street-vendors
Business Opportunities
► 40% of local business through this
distribution channel
Social Platform
► 1.000 people trained in the
« business schools for street
vendors »
► 3.000 vendors benefiting
from micro-insurance
► Increase by 25% of the
vendors’ revenues
Innovative Financing
► Partnerships with
international organizations