some areas where we think partnerships in the distribution channels could add value:
Improving distribution of FMCG products to last mile approach A partnership culture can improve and enhance infrastructures and networks, providing improved distribution systems for product delivery at the last mile. In Uganda, Living Goods leverages the network of the BRAC NGO to distribute its products, including a fortified porridge, to communities in urban and especially in rural areas
Creating and strengthening a joint culture among FMCG stakeholders Given the different voids and lack of synergies among partners within the FMCG ecosystem, enhancing a joint culture generated through partnerships could promote management systems oriented towards social impact, guaranteeing results, expanding knowledge generation, and information sharing, as well as spurring innovation and better communication systems amongst the players. The Senegalese dairy company, La Laiterie du Berger, collaborated with the Enda Graf Sahel NGO and the Ministry of Education, to develop a specific program based on the distribution of a fortified product to school-age children in Senegal. All stakeholders shared the common goal of improving the diet and nutrition of children in Senegal and have joined together to maximise their impact
Improving sustainability of the FMCG value chain Partnerships can reinforce the engagement of key players working on improved packaging design as well as the collection and recycling of waste. In Mexico, Bonafont partners with Pasa, Ashoka, and Mundo Sustentable, to reduce the company’s environmental footprint by using recycled PET to produce its bottles.
Diversifying and increasing resources through joint mobilisation One of the main challenges the FMCG sector faces, is the need for intensive Research and Development funding in order to provide infrastructure for logistics or to promote pilot cases for testing. Partnership building in this context can become a successful mechanism for increasing funding and promoting co-funding structures through new and non-traditional partners, to respond properly to such financing needs. Through financial support from GAIN and the International Finance Corporation (IFC), Tetra Pak was able to offer Reybanpac’s fortified yoghurt product to low-income consumers in a safe and affordable package, matching the product and the target group’s needs.