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ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
ANIS2011_SILAB3_vij_ekagon
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ANIS2011_SILAB3_vij_ekagon

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  • 1. 6th October 2011Social Innovation & Impact: MobileTelecommunication TechnologiesMaking a Case for Business Logic2nd Annual Asia NGO Innovation Summit, Jeju Island,South Korea, 5 - 7th October 2011Vijay Pratap Singh Aditya, New Delhi, IndiaCo-Founder & Chief Executive Officer www.ekgaon.com
  • 2. ekgaon technologies A unique social enterprise that provides Information Technology enabled services for the under-served needs of financial services and agriculture advisory of farmers in villages in India. Founded in 2002 by two first generation Entrepreneurs as a private limited company under companies act of India, with registered office in Ahmedabad, Gujarat, India. Operates from New Delhi and Madurai (Tamilnadu), providing services across India, Sri Lanka and Nepal, planning entry in Africa in future. The company has 45 employees across two offices in India. We believe, poor have the ability to pay, provide they get value in a serviceekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 2
  • 3. Mobile Telecom Story in India: A Case for Business Logic Indian Mobile Telecom growth model is much known and revered across the world for its low cost to the customer and enterprise value. Needless to say Indian telecom companies are fastest growing mobile companies in the world How did it happen? Creating Business for retailers (allowing them average revenue of approx. 2000 INR per month approx. 50 USD) Prepaid Sim Card Small or "Chota" recharge of 5 and 10 INR Life time connection Lessons Learnt Product Design Incentive in delivery channel Product Mix Sustained Value Value for Money Impact ....... social impact is still to be properly understood Do ponder on this ......ekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 3
  • 4. Mobile Telecom Story in India: What works? Indian Mobile Telecom outreach has had a phenomenal impact on the people and businesses, all impacts are not measured, however some anecdotal case studies are noteworthy How Business used it Just Dial: Yellow Book information Taxi: Secure Taxi service TV Shows: Public participation and revenue Civil Society: Crowd sourcing How common people used it for there livelihoods Women Vegetable Vendor in Tamilnadu: Demand & Supply Management General Store: Home delivery Rickshaw & Auto-Rickshaw Puller: On call service Farmers: Connecting with local markets and dealers Women: Personal health information What is the social impact here ......do thinkekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 4
  • 5. Social Innovation: Not just technology, business model needed Innovation in application of technology does not all the time create impact, impact depends on reception of service/s and scale ....for which sound business model is a prerequisite A usable Mobile service/tool is a factor of innovation in technology, information design, business model, delivery model, service and enterprise value. Product Design: If the product design (assuming already user centric), supports the business logic and viability Product Mix: In the basket of the products being offered, have value proposition for the customer in mind for e.g. Free SMS do not offer much value for a Rural customer Delivery: – How: A SMS delivery to a farmer who cannot read does not make sense, voice is better – Incentive: A service gets delivered only when, the delivery channel is incentivised over time Sustained Value: – Service Value: The service should have scope of building a ecosystem and enabling a ecosystem, which services are sustained as well as greater returns is generated – Enterprise Value: Returns to enterprise is very important for sustaining growth, scale and incentive for building ecosystem for services Value for Money: The service offers a value vis a vis returns from the service..... this logic is defeated only for “ringtones”.... :)... for uninitiated India VAS model is built on top of ringtonesekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 5
  • 6. OneFarm: A case of farm advisory service
  • 7. Agriculture Services Sector - Problems & Opportunities Small and marginal farmers do not have have access to formal agriculture extension services and are poorly connected to markets Global food security hinges on small farmers across developing world who account for over 40% of global food production and provide employment to almost 1.5 billion people. 80% of Indian farmer are small or marginal. Farm productivity when adjusted with inflation had been negative over last decade Change of agriculture commodities market and extensive focus on cash crop has led farmers shift from traditional crops to new (cash) crops, but they do not get required advisory necessary to grow these crops A generation change in farming is also leading to large shift towards cash crop cultivation - grow what the market demands A huge market demand exists for personalised farm advisory services, with a potential market of 730 mn farmers across Africa and Asia alone. India has over 840 mn mobile phone connections of which 30% are rural, hence an opportunity to get access to farmers like never beforeekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 7
  • 8. OneFarm: Personalised and Customised farm advisory service sekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 8
  • 9. Soil Health + : Mobile Screenshotsekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 9
  • 10. OneFarm: Raman speaks on Benefits Balanced nutrient management Importance of soil management practices Reduce input cost Reduce risk Increase productivity Ensure livelihood security Scientific and decision making knowledge system – reaching at farmer level The direct benefits of OneFarm services to the farmers are in the form of reduced agri-input cost of fertilizer and pesticides on a average of 6 USD per acre (for a small farmer, based on a impact study) which is a reduction of about 30%, healthy farm, productivity enhanced (upto 15% have been observed).ekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 10
  • 11. OneFarm Service: Revenue Model OneFarm services offer personalised customised services to small and marginal farmers not having access to formal agriculture-extension services and market information ekgaon provide network integration platform for delivery of these services in partnership with business aggregators and local content providers (Universities, Agriculture research organisations, commodity exchanges and metrological department) Standard products & revenue, prepaid vouchers of denominations and duration – Green Card valid 4 month - 120 INR or 3 USD – Gold Card valid One year - 240 INR or 5 USD – Blue Card - Retail Service card - 100 INR or 2 USD As of now we serve 12,000 farmers across three states in India, servicing them through franchisees and partners, sharing commission Major partnership has been done with Multi Commodity Exchange of India (MCX), which is working with Department of Post, Government of India for marketing of our services across six states in India. Exploring retailing partnerships with other channel partners such as mobile network operators, fertilizer and insurance companies.ekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 11
  • 12. OneFarm: Innovation & Value Proposition User Centric Design Content Packaging – Content designed for meeting the farm requirement: Crop Season Product Design - Supporting the farm advisory and decision making Product Mix – Bundle of utility services The Business Logic Delivery Model: • Service Mode: SMS, Voice, TTS, Web ..... local language • Service Delivery: OneNetwork of franchisee and master franchisee as service providers Financial Model: • Value for Money: Product Pricing • Sustaining Service Value: Providing access to other value added services such as credit, insurance, market, input supplier etc. • Sustaining Enterprise Value: Partnering with service providers for exploring revenue sharing based services such as insurance, retailers, banks, fertiliser and seed companies etc.ekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 12
  • 13. OneFarm Impact OneFarm service mandate is Healthy Farm & Wealthy Farmer One farmer buying a service of value 120 INR (approx. 2.5 USD), was able to save 530 INR (approx. 12 USD) in one crop seasons in reduced agri-inputs used In the projected growth phase of five years, the services would help save over 12 $ per farmer per crop season (average farm size of 2 acres) in agri-inputs (fertilizers and pesticides), which is over 30% reduction, with over 172 Mn $ worth of cumulative savings Improve soil health and enhance farm productivity (of over 15%) and hence better return on investment to over 15 Mn farmers. The service aims to help farmer diversify his/her farming with better choice of crop and variety as per market demand, and hence helping to get better returns from the same farm, while helping secure market demand for food.ekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 13
  • 14. Strategies: For Innovation & Impact using mobile technologies Identifying the user requirement and market demand-supply situation Identifying the user information/services need requirement Assessing the market and business context in which the services would operate Assessing the marketability of the tool/service – Customers willingness to pay / service provider to pay Identifying the delivery mode and delivery channel for enabling the services and providing service support Information Product Design for Identified Market Content Packaging – Content designed for meeting the need of user segment in market Product Design – Ensuring usability and accessibility Product Mix – Bundling of utility services for a greater impactekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 14
  • 15. Strategies: For Innovation & Impact ...... continued The Business Logic Delivery Model: • Service Mode: SMS, Voice, TTS, Web ..... local language • Service Delivery: Identify franchisee/agent/service providers as channel partners in distribution of services/tools Financial Model: • Value for Money: Product Pricing should be indicative of direct benefit to the customer • Sustaining Service Value: Business model of services should have scope for evolution beyond the service package on offer for creating greater value for the customer over years, such that services are sustained and customer retained. • Sustaining Enterprise Value: It is very important that enterprise that choose to deliver services ensure its own sustenance for ensuring sustenance of the services. The services enabled should enhance enterprise value over time.ekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 15
  • 16. Contact For inquiry please contact Vijay Pratap Singh Aditya, Chief Executive Officer ekgaon technologies E 142 A, Lower Ground Floor, Kalkaji, New Delhi - 110 019, India tel: +91 11 4055 1490 | fax: +91 11 4055 1491 email: info@ekgaon.com | web: www.ekgaon.com Regional Office (South India) Door No. 14/6, Opposite BSNL Exchange, Ellis Nagar, 20 Extension Road, Madurai - 625010, Tamil Nadu, India tel: +91 452 4368094 | telefax: +91 452 2602433 | email: info@ekgaon.com | website: www.ekgaon.com Registered Office Ahmedabad, Gujarat, Indiaekgaon strives for community ownership in Enterprises, Media, Technology, Heritage, Finance, Development & Governance © ekgaon 2011 16
  • 17. Thank You www.ekgaon.com

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