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S. Mishra and K. Vijaya Lakshmi
12.2.3 Innovations in Delivery Model
12.2.3.1 Lead Experience User (LEU) Model in Delhi
Bacterial contamination is one of the largest problems in urban slums in India. The
quality of water supplied or sourced in these areas is secondary contamination due
to unsanitary and unhygienic living conditions. Delhi is no stranger to this problem
(Kumar 2013).
DA has developed an innovative approach to reach the BoP in two urban slums
of Delhi, i.e. Mandanpur Khadar and Ambedkar Camp. The technology selected for
the pilot was nano-silver-based Swach filters. A peer influence-based model was
adopted. The pilot was implemented in two slums, Madanpur Khadar in South East
Delhi (15,000 HHs) and Ambedkar Camp in South West Delhi (3000 HHs). The
average monthly income of a household in both the slums vary from Rs. 5000 to
Rs. 10,000. In Madanpur Khadar, the primary source of water is hand pumps, used
mostly for cooking and washing. Some families also use it for drinking. Majority of
the residents rely on the so-called filtered water or packaged mineral water from the
local RO plants in the area. These residents are provided with door-to-door services
at prices as low as Rs. 2 per litre of RO water. Ambedkar Camp residents mainly rely
on water tankers supplied by the Delhi Jal Board (the city water supply system). The
main concern for water quality in these areas was bacterial contamination.
Service Delivery Model
A LEU is a local housewife willing to be a Swach Champion. Swach is presently
being sold based on two distinct distribution models, i.e. direct selling to local Swach
champions and the distributor model shown in Fig. 12.1. Based on the local market
conditions and taking into account the existing distribution channels for Swach, a
LEU model was adopted. The model builds on the existing distribution channels but
enables last mile delivery to a previously sub-serviced population. The LEU cuts
through the long-winded distribution chain and obtains filters at a discount to ensure
access of the slum population to a filter. This modified delivery model was chosen
for the pilot due to a number of different reasons. First, there was no requirement of
working capital to implement the model. Second, there was already a linkage with
the existing distributor of Tata and local delivery by these distributors. In addition,
this model allowed for direct activation and training by Tata Chemicals as well as
access to free servicing by Swach service executives.
The two elements of the model which make it distinct from the existing distributor
model, is access to a local LEU and the use of local retailers to stock and sell
replacement units and bulbs were also important reasons for this model being chosen.
The model considers local retailers to distribute the replacement filter units/bulbs as
these agents have their own pre-existing relationships with clients, which they are
able to leverage in order to make sales. Second, it requires little to no working capital
and the margins will be suitably high as compared to the other products that they
stock, making them a good investment.
S. Mishra and K. Vijaya Lakshmi
12.2.3 Innovations in Delivery Model
12.2.3.1 Lead Experience User (LEU) Model in Delhi
Bacterial contamination is one of the largest problems in urban slums in India. The
quality of water supplied or sourced in these areas is secondary contamination due
to unsanitary and unhygienic living conditions. Delhi is no stranger to this problem
(Kumar 2013).
DA has developed an innovative approach to reach the BoP in two urban slums
of Delhi, i.e. Mandanpur Khadar and Ambedkar Camp. The technology selected for
the pilot was nano-silver-based Swach filters. A peer influence-based model was
adopted. The pilot was implemented in two slums, Madanpur Khadar in South East
Delhi (15,000 HHs) and Ambedkar Camp in South West Delhi (3000 HHs). The
average monthly income of a household in both the slums vary from Rs. 5000 to
Rs. 10,000. In Madanpur Khadar, the primary source of water is hand pumps, used
mostly for cooking and washing. Some families also use it for drinking. Majority of
the residents rely on the so-called filtered water or packaged mineral water from the
local RO plants in the area. These residents are provided with door-to-door services
at prices as low as Rs. 2 per litre of RO water. Ambedkar Camp residents mainly rely
on water tankers supplied by the Delhi Jal Board (the city water supply system). The
main concern for water quality in these areas was bacterial contamination.
Service Delivery Model
A LEU is a local housewife willing to be a Swach Champion. Swach is presently
being sold based on two distinct distribution models, i.e. direct selling to local Swach
champions and the distributor model shown in Fig. 12.1. Based on the local market
conditions and taking into account the existing distribution channels for Swach, a
LEU model was adopted. The model builds on the existing distribution channels but
enables last mile delivery to a previously sub-serviced population. The LEU cuts
through the long-winded distribution chain and obtains filters at a discount to ensure
access of the slum population to a filter. This modified delivery model was chosen
for the pilot due to a number of different reasons. First, there was no requirement of
working capital to implement the model. Second, there was already a linkage with
the existing distributor of Tata and local delivery by these distributors. In addition,
this model allowed for direct activation and training by Tata Chemicals as well as
access to free servicing by Swach service executives.
The two elements of the model which make it distinct from the existing distributor
model, is access to a local LEU and the use of local retailers to stock and sell
replacement units and bulbs were also important reasons for this model being chosen.
The model considers local retailers to distribute the replacement filter units/bulbs as
these agents have their own pre-existing relationships with clients, which they are
able to leverage in order to make sales. Second, it requires little to no working capital
and the margins will be suitably high as compared to the other products that they
stock, making them a good investment.