What we read : BCG report on informal distribution in Africa

What we read : BCG report on informal distribution in Africa
September 11, 2017 Optimetriks

What we read : BCG report on informal distribution in Africa

It is with great interest that we have read the latest report from the consulting firm, Boston Consulting Group, on what it takes to succeed in Africa’s distribution for multinationals.

https://www.bcg.com/fr-fr/publications/2017/globalization-winning-in-emerging-markets-drawing-route-market-multinationals-africa.aspx

Africa seems full of opportunities and attract investors due to the rising income level, growing population and urbanisation, it is also a complicated continent to do business. It is fragmented in more than 50 countries, supply chain logistics are daunting, the trade is mostly traditional/informal and data is scarce, making it difficult to run an efficient distribution for the consumer goods. The report has the merit to draw on their experience helping their clients in coming to grips with these issues. It is fun to observe that even top level consulting firms struggle to measure things like the rice market in Nigeria, observing big gaps in data sources..The report lists 5 required steps to design a successful and relevant go to market strategy, depending on the level of risk accepted and the environnement.

What we take from this report is that, it clearly stresses out how little visibility Fast Moving Consumer Goods companies can have on their market performance, the level of dependency that come as a consequence from their intermediaries (distributors), and ultimately the necessity to invest in quality market research to monitor what actually happens on the ground.

With our unique crowdsourcing capabilities, leveraging large communities of shoppers and outlets across 9 countries,  we can offer retail audits and retail census in an agile way, in a record time, with high quality results that address the needs highlighted in this very relevant report.

 

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