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6.5.2 Consumer-Centered Approach Is New for Most Business
Champions
As explained in this paper, one of the first steps in building a pilot is to develop an
in-depth understanding of the market and the consumers. This consumer-centered
approach is sometimes considered as a default way of approaching new business
development. However, for most business champions in the 2SCALE program, this
was a novel and new approach. For some champions, it was a struggle to have to
first invest in research before being able to take action. Even though the business
champion could target its new products at local communities next to the factory, it
was still a big step to actually go out in the market and gain a deep understanding of
the end consumer. Ultimately, all successful champions did embrace this more lean,
consumer-centered approach. In the 2SCALE program, it has therefore been a critical step in all BoP marketing pilots and will be included in future partnership
development.
6.5.3 Actionable Insights as Catalyst for Progress
At the start of the 2SCALE program, significant time and resources were invested
in conducting general market research on the specific 2SCALE sectors in the various countries. However, it became clear that this general market data provided little
use for the business champions. In short, market data is not the limiting factor for
champions to develop products and marketing strategies. Instead, business champions search for tangible product and market opportunities, applying a lean approach
in leveraging these opportunities. During the course of the program, 2SCALE tailored its approach by conducting smaller market/consumer research activities that
were tailored to the specific business champions. This resulted in actionable insights
that the business champions actually could use, such as a practical way of mapping
local competitors, pricing, and understanding consumer desires and behavior. Once
it became apparent that these practical and actionable insights were useful for the
champions, this research approach was further integrated across the program.
6.5.4 Transformation of the Business Champion Is Needed
Particularly for business champions that have a business that is not (yet) dealing
directly with end consumers but rather with other businesses or governments, BoP
marketing (or any other direct consumer marketing) is a radically different type of
business. Instead of dealing with large volumes, contracts, and buyers, the BoP
market progresses in a slower and more gradual manner. In addition, a creative
approach is required to understand consumer needs and desires and, in turn, build
relevant products and marketing strategies. Suddenly CEOs need to make decision
N. van Dijk et al.
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