At the Bottom of the Pyramid Strategies

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At the Bottom of the Pyramid Strategies

• Winnie Kathurima Imanyara
• Equity Bank

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BANKING FOR OUR PEOPLE
Equity Bank
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STRATEGY HEDGEHOG CONCEPT
Transforming lives and livelihoods giving
dignity and giving possibilities
Developing a unique emotional bond and economic
bond with customers
Volumes and transactions-Number of clients
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My presentation will cover

• Bottom of the Pyramid (BOP)
• What is it?
• What is the business potential at the BOP
• How to develop value chain to include the BOP

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Understanding the BOP

• The Pyramid

Population in millions
Source the fortune at the BOP by C.K. Prahalad
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Implications

• Majority continue to-
• struggle to earn decent living
• Cultivate on river banks
• Cut trees for charcoal thus disrupting the
  ecosystem
• Take contaminated water
• Not to take their kids to school
• Fail to access health care

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• IMPACT TO THE CLIMATE
• Destruction of ecosystem
• Climate change leading to global warming
• Because
• The poor tend to live in high cost ecosystem
  (slums, river banks, water catchments areas etc)

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Climate change can be reversed

• Through changing the pyramid to Diamond
• 
  
  
  
  
  
  

Middle class
The Very Poor
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This is possible through

• Intervention of Private Enterprises who will view
  those at the BOP as an opportunity which can be
  exploited in mutually beneficial way.
• Coming up with a win-win interactions both the
  poor and private enterprise benefit

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Mutually beneficial interaction
CSR Activities
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Strategy for intervention

• Tapping the market at the BOP in a mutually
  beneficial way
• Unmasking the common picture we see in TV of the
  poor
• Partnering with them to innovate and achieve
  sustainable win-win scenarios

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Equity bank Approach

• Equity understands there is money at the BOP
• Removing poverty penalty
• Making those at the BOP have access to financial
  services
• Understanding these at BOP are brand Conscious
• Understanding BOP consumers accept advanced
  technology readily

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Equity CSR Activities Moved from Blind to
Strategic CSR

• -

Generic Social Impacts Pure Philanthropy

• Social Impact within Competitive Context
• Strategic

• Value Chain Social Impacts

Blind CSR
Strategic CSR
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Strategic CSR (external)

• Equity bank CSR activities
• Agricultural Shows
• Drama festivals
• Pre-university students
• Equal Employment
• Business trainings

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Strategic CSR (internal)

• We have developed Innovative products for BOP
• Warehouse receipt
• Kilimo Biashara, uvuvi biashara
• Cash back
• Fanikisha product
• Equity operative account

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Home of 41 of all bank account holders in Kenya
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Growth in Profit
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Comments Questions

• THANK YOU