1.
MARKET
SYSTEM
DEVELOPMENT
FACILITATED
INTERVENTION
OPTIONS
THAT
BUY-­‐DOWN
RISK
OF
MARKET
ACTORS
TAKING
ON
NEW
BEHAVIOURS
(Illustrative
list)
______________________________________________________________________
Note:
It
is
important
to
align
interventions
to
the
behaviour
change
that
you
want
to
see
in
business,
which
are
in
turn
aligned
to
the
higher-­‐level
systemic
change
goal.
CAPACITY-­‐BUILDING:
• WHAT:
Facilitate
and
cost
share
capacity
building
on:
-­‐ New
business
models
(including
new
distribution
and
promotional
models)
o promotional
tactics
that
drive
sales
and
loyalty
(for
input
firms)
o possible
dealer/distribution
models
(for
agro-­‐equipment
dealers)
o delivering
extension
messages
cost
effectively
to
farmer/suppliers/customers
(for
input
firms,
agro-­‐equipment
dealers,
aggregators)
o sales
tactics
(for
ICT,
radio)
o shifting
to
service
platform
for
sales
(for
input
firms)
o shifting
to
broker-­‐based
business
model
(for
aggregators)
o building
alliances
for
content
that
is
relevant
to
agribusiness
segment
(for
ICT,
radio)
-­‐ Effective
business
management
o basic
business
(for
local
service
providers)
o running
a
service
business
(for
local
service
providers)
o farming
training
and
information
(for
farmers)
-­‐ Applying
performance
based
incentives
o for
farmer/suppliers
(for
aggregators)
o for
staff
(for
ICT,
radio,
agro-­‐equipment
dealers,
input
firms)
o for
distributors/dealers
(for
input
firms,
agro-­‐equipment
dealers)
• HOW:
Facilitate
capacity
building
through:
-­‐ Cost
sharing
capacity
building
with
market
actors
-­‐
who
would
ultimately
recognize
the
commercial
rationale
for
taking
on
this
function
themselves
(as
they
would
benefit
by
the
improved
operations
of
the
other
market
actors)
o E.g.
aggregators,
transport,
nucleus
farmers
capacity
built
by
buyers,
financial
service
institutions
and
firms
-­‐
who
see
these
as
clients
-­‐ Organizing
internships
to
support
capacity
building
of
mid-­‐level
management
(for
buyers,
aggregators,
ICT,
radio,
agro-­‐equipment
dealers,
input
firms)
-­‐ Providing
one-­‐on-­‐one
consultative
support
and
training
to
support
upper
and
mid-­‐level
management
-­‐ Local
training
services
supported
by
international
experts
(e.g.
for
agricultural
financial
service
staff)
Kenya
Markets
Trust
2013

2. -­‐
-­‐
-­‐
Link
to
national
and
international
expertise
via
volunteers
or
consultants
(for
buyers,
aggregators,
ICT,
radio,
financial
service
institutions
and
firms,
agro-­‐equipment
dealers,
input
firms)
Discounts
on
accessing
information
and
inputs
(for
local
service
providers)
Cost
share
development
of
service
certification
to
secure
return
on
training
investments
(for
input
firms)
RESEARCH:
• Cost
share
market
research
including
client
segmentation
and
prioritization
(for
financial
service
institutions
and
firms)
• Production
zone
prioritization
and
research
(for
buyers)
UPGRADING:
• Facilitate
and
cost
share
access
to
communications
technology
for
financial
and
internal
management
upgrading,
including
information
flow,
supplier
payment,
and
inventory
management
(for
buyers,
aggregators,
agro-­‐equipment
dealers)
• Cost
share
aggregator
upgrading
(for
buyers)
• Costs
share
access
to
communications
technology
for
marketing,
portfolio
management,
and
customer
service
(for
input
firms,
financial
service
institutions
and
firms)
DEVELOPING
NEW
BUSINESS
MODELS
&
PRODUCTS:
• Cost
share
assistance
to
develop
dealer/distribution
networks
(for
agro-­‐equipment
dealers,
input
firms)
• Cost
share
development
and
roll
out
of
new
products
(for
financial
service
institutions
and
firms)
• Technical
assistance
and
cost
share
assistance
to
develop
outreach
business
models
(for
ICT,
radio)
• Cost
share
roll
out
of
mobile
money
services
(for
financial
service
institutions
and
firms)
• Costs
share
access
to
entrepreneurial
opportunities
on
the
input
and
services
side
(for
agro-­‐
equipment
dealers;
aggregators)
• Development
of
services
market
for
smallholders
(for
buyers)
FACILITATING
LINKAGES:
• Facilitate
links
to
or
alliances
with:
-­‐ services
relationships
(for
farmers)
-­‐ inputs
relationships
(for
farmers)
-­‐ buyer/market
relationships
(for
farmers)
-­‐ financial
services
(for
buyers,
aggregators,
ICT,
radio,
agro-­‐equipment
dealers,
input
firms,
local
service
providers)
SUPPORTING
PERFORMANCE-­‐BASED
INCENTIVES:
• Cost
share
development
and
roll
out
of
performance-­‐based
incentives
at
multiple
levels
of
supply
chain
(for
buyers)
FACILITATING
TRUST:
• Facilitate
trust
on
purchases
and
contractual
agreements
(for
local
service
providers)
Kenya
Markets
Trust
2013