Impact products and services exist on most markets. These products are sold into wholesalers and retail shops, where product penetration and reach into the lowest income markets is usually very low. There are many reasons for this.
Even if cash-flow and demand barriers are addressed (through Tiko), supplying impact commodities deep into the lowest segments is hard and expensive – distribution costs increase exponentially as quantities reduce and distances increase. Traditional supply chains have consistently failed due to high costs, high risks and low revenue.
The Last Mile Problem
Solving the last-mile problem is one of the most common themes in our industry and there are many powerful innovations out there. The thing is that a last-mile distribution network alone is not enough – as the last mile costs would simply be transferred from the shop owner to the distributor, leaving the market price of products unchanged.
This is why our proposed solution towards this challenge is a micro-entrepreneurship network organised around peer-to-peer principles and connected through smart technology and powered by tiko.
Pro’s main differentiator, of course is that is is natively powered by Tiko. That means that payments happen instantly and that there is a full control of offerings and prices/ rates. Tiko means that we can manage orders, we can do price segmentation, we can pass subsidies very precisely and we can reward everyone across the value chain in real time. It also means that we can control stocks and manage highly sophisticated accounting on the back end, without bothering the participants to any transaction with paperwork.
With family and personal well-being and security at its core, PRO is an organically growing peer-to-peer network of micro-entrepreneurs that increases penetration of life-improving products and services across hard to reach communities.
Retailers and Shops
In the PRO ecosystem, PRO shops and Agents register clients and build a client base using their smartphone, accepting discount vouchers and instant payments. PRO allows real-time pay-per-performance for network members and their transactions provide ecosystem visibility on what products get traded where. PRO offerings vary based on need, but are always composed of carefully evaluated enriching products (both for the client and the agent) negotiated at a fixed price.
Entrepreneurs become multi-skilled last mile connecters through PRO, proposing an individualised set of services, referrals, products and messages directly to households in communities – which increase their income and their relevance. Their work results in difficult-to-reach clients receiving what they need, where they need it, and when they need it.
Most PRO Agent interventions are monitored through the PRO platform – which gives them access to performance-based compensation and bonuses. Agents also receive regular training that can enable additional activities, such as basic health check-ups or BCC messaging.
Community members might receive a home visit from a local PRO Agent, send a message to an Agent with a delivery request, or go to the shop for their goods, using Tiko or cash in all cases.
PRO boosts last mile distribution while increasing existing programmes’ or processes’ efficiency through referral monitoring and rewards-based methodology.