148
security, energy, raw materials, and the polar regions. (3) The International Fertilizer
Development Center (IFDC), a public international organization addressing critical
issues such as food security, the alleviation of global hunger and poverty, environmental protection, and the promotion of economic development and self-sufficiency.
(4) SNV (Netherlands Development Organisation) is dedicated to a society in which
all people, regardless of race, class, or gender, enjoy the freedom to pursue their
own sustainable development. We focus on increasing people’s incomes and
employment opportunities in productive sectors like agriculture as well as on
improving access to basic services such as energy, water, sanitation, and hygiene.
6.2 BoP Marketing and Distribution in 2SCALE
In this section, we introduce the concept of base of the pyramid (BoP) and explain
why, from both a developmental perspective and a business perspective, it makes
sense to do business with and for BoP consumers. In ensuing sections, we explain
why 2SCALE focuses on marketing and distribution to the BoP, how pilots are
shaped within the program to introduce this way of working to business champions,
and, in turn, how we continuously learn from testing this particular approach.
6.2.1 The BoP as a Developmental Challenge and Business
Opportunity
The term “base of the pyramid,” or “bottom of the pyramid,” was first coined by CK
Prahalad in his groundbreaking publication entitled The Fortune at the Bottom of
the Pyramid: Eradicating Poverty Through Profits (Prahalad 2009). At that time,
much was unknown about this market segment, but the interest generated by
Prahalad’s book ensured that during the years thereafter, the BoP became a topic of
interest for many researchers and later for companies and nongovernmental organizations (NGOs).
One of the main reasons the book gained so much attention was that it was the
first time a rationale had been built on why the BoP market was important. From a
business perspective, it was interesting to gain a deeper understanding of the global
economy’s lowest income segment – a segment of around 4 billion consumers who
live on less than US $1,500 per year.
One of the key findings of the book was that if and when companies and other
stakeholders want to engage with the BoP, it requires a completely different approach
in comparison to other market segments; even more so, it would “require radical
innovations in technology and business models.”
1
1 https://www.strategy-business.com/article/11518?gko=9a4ba
N. van Dijk et al.
security, energy, raw materials, and the polar regions. (3) The International Fertilizer
Development Center (IFDC), a public international organization addressing critical
issues such as food security, the alleviation of global hunger and poverty, environmental protection, and the promotion of economic development and self-sufficiency.
(4) SNV (Netherlands Development Organisation) is dedicated to a society in which
all people, regardless of race, class, or gender, enjoy the freedom to pursue their
own sustainable development. We focus on increasing people’s incomes and
employment opportunities in productive sectors like agriculture as well as on
improving access to basic services such as energy, water, sanitation, and hygiene.
6.2 BoP Marketing and Distribution in 2SCALE
In this section, we introduce the concept of base of the pyramid (BoP) and explain
why, from both a developmental perspective and a business perspective, it makes
sense to do business with and for BoP consumers. In ensuing sections, we explain
why 2SCALE focuses on marketing and distribution to the BoP, how pilots are
shaped within the program to introduce this way of working to business champions,
and, in turn, how we continuously learn from testing this particular approach.
6.2.1 The BoP as a Developmental Challenge and Business
Opportunity
The term “base of the pyramid,” or “bottom of the pyramid,” was first coined by CK
Prahalad in his groundbreaking publication entitled The Fortune at the Bottom of
the Pyramid: Eradicating Poverty Through Profits (Prahalad 2009). At that time,
much was unknown about this market segment, but the interest generated by
Prahalad’s book ensured that during the years thereafter, the BoP became a topic of
interest for many researchers and later for companies and nongovernmental organizations (NGOs).
One of the main reasons the book gained so much attention was that it was the
first time a rationale had been built on why the BoP market was important. From a
business perspective, it was interesting to gain a deeper understanding of the global
economy’s lowest income segment – a segment of around 4 billion consumers who
live on less than US $1,500 per year.
One of the key findings of the book was that if and when companies and other
stakeholders want to engage with the BoP, it requires a completely different approach
in comparison to other market segments; even more so, it would “require radical
innovations in technology and business models.”
1
1 https://www.strategy-business.com/article/11518?gko=9a4ba
N. van Dijk et al.