Mobile Social Ventures Kalibrio

Harnessing the Power of Mobile Towards Social Good (and Change the World) Ludovic BODIN – Founder of Kalibrio / Social Venture Forum Cover picture: http://weblogs.annenberg.edu/diy/boatphonebooth.jpg

About the speaker

Ludovic Bodin ( 邓德伟 )

First venture: 20 y.o.

4 years in Latin America

Modernization of operators

UN Telecom projects

4 years in China / Asia

Starting Internet startups

Beijing, Macau, Seoul

www.kalibrio.com

Social Venture Forum

Seed Social Ventures in China

www.socialventureforum.com

Social Ventures

Today is not to

Raise funds

Enroll for NGOs

Sell anything

But share an idea:

Business driven by profit and social good

Social Venture

Social Venture? Business Social Good NGO CSR ‘ Old’ Capitalist Business Venture Philanthropy Social Venture Source: SocialVentureForum.com

A few figures

2.5 billion mobile users worldwide

The majority (59%) lives in developing countries

Grew by 500 million in the past 12 months

25% coming from China and India

Historical change! This is the first time in history that a telecom technology has more users in developing countries than in the developed world So there is a clear advantage in learning from other developing markets (even if they do not have 3G…)

Question Nelson Mandela 1993 Nobel Peace Prize Can any of this whiz-bang technology be used for alleviating poverty ?

Case 1: the fish (India) (1) Fish (2) Go to the nearest market (3) Sell the fish Business process : Problem : No clue about the market (demand & offer) What to fish? Where to fish? Where to sell?

Problems Result 2 : Unpredictable income Result 1 : Waste of fish (5 to 8%)

Solution Solution : Fishermen network Call each other to determine market demand, offer and best price

Results Result 1 : Fisherman profit growth: 8% Result 2 : Consumer price decline: 4% Source: Harvard Kennedy School - 1997 Result 3 : Waste decline: from 8% to 0+%

Some words of wisdom Give a man a fish and you will feed him for a day. Teach him how to fish and you will feed him for a lifetime. Our job is not to give people fish, it's not to teach them how to fish, it's to build new and better fishing industries . Bill Drayton Ashoka founder

Effect of mobile phones Mobile phones can support more efficient markets and encourage economic activity +10% mobile penetration rate = +0.5% GDP growth Source: Leonard Waverman, London Business School - 2005

Case 2: the jackfruit (Bangladesh) Problem : Less developed areas have less information on market prices of goods Consequence : They often are (and feel) abused

Solution: CellBazaar Mobile classified ads Puts buyers & sellers in contact (‘mobile Craigslist’ for all kinds of goods: commodities, bicycles, etc and jobs) Source: www.cellbazaar.com

Business Model

Service is free (regular call charges)

Revenues from calls are shared with operator Grameen Telecom

Some words of wisdom The service is not just mobile classified ads but a social development service . Kamal Quadir CellBazaar creator It cuts out the middlemen for buyers and sellers, which means more profits and savings for them.

Case 3: the small business (Bangladesh) We saw : Mobile can be a source of productivity Problem : Still some people can’t afford a handset Opportunity : Is there a way to turn mobile phones into a business for its owner?

Some words of wisdom For a rural entrepreneur, a cell phone could be a cow Iqbal Quadir Co-founder of Grameen Phone

Grameen Phone’s ‘Phone Ladies’ “ Phone Ladies” let non-owners use their phone for a small fee

Creating new revenue sources Over 200,000 phone ladies in Bangladesh Average income of a Phone Lady = $1000/year Average income in Bangladesh = US$300/year Source: Canadian International Development Agency

About Grameen Phone Today: leading mobile operator in Bangladesh >10 million subscribers 95% of population coverage Top 10 mobile market growth in Asia-Pacific +130% users growth in 2005 +80% users growth in 2006 Source: Grameen Phone - 2006

Case 4: Banking without bank (Philippines) Problem : Accessibility of capital Micro-entrepreneurs have skills but lack access to capital to start their business No rural banking infrastructure

Case 4: Banking without bank (Philippines) Retailers partners G-cash (Telco: Globe) Shop, Bank, micro-credit, Retailers, etc $$$ Airtime $ P

Results Result 1 : 1.3 million G-cash registered users US$100M transaction per day Result 2 : 700,000 ‘airtime loading’ retailers (Larger than Coca-Cola’s network) Other initiatives in: Mexico, South Africa, Kenya, Etc. Source: G-cash – March 2006

Openings: many other opportunities Poverty Reduction Health Environment Cultural Diversity Education

A few quick ideas

Mobile consultation

Health Line Service

Mobile reminders

Aids treatment

Targeted service notification

Flu vaccination season

Source: African Medical and Research Foundation (AMREF), Tomi Ahonen, 2006

Allergy management

Alert pollution via sms

Green mobile marketing

Plant a tree via sms

Help communication between culture

SMS services for expats

What about China? Mobile rural bank system Project by Bank of China If bank infrastructure: >$2 billion (for 130 terminals & ATMs per 1M people) Cost of mobile rural bank system: $40 million to $60 million Source: South China Morning Post - March 2007

Next : what are you waiting for? Contact us: ludovic [at] kalibrio.com “ Interested by starting up a new Social Venture? A new idea to develop in China ? ”

Wish list for 2008: - Participatory platform - Collective intelligence - Re-engineering of games technology for social applications - Poverty reduction platform - Participatory community of informed buyers - Participatory community of doctors - Participatory community of real estate agents

Greetings and Contact