The document discusses strategies for MAP to accelerate inclusive growth through its portfolio. It aims to: 1) Take stock of progress to date by reviewing MAP offers and comparing expected vs. actual results to formulate a scale-up plan. 2) Formulate a 12-month scale-up plan by assessing drivers for scale, identifying strategic options to accelerate it, and setting targets for more system breadth and depth. 3) Provide guidance on framing effective offers by considering who the offer is aimed at, why actors should want it, what they would get, and what MAP expects to get in return.

1. Taking Stock of MAP’s Portfolio

2. Agenda/Activities
Objective: To accelerate the breadth and depth in all
systems targeted by MAP to catalyze inclusive growth
Activities:
1. Take Stock of Progress to Date:
 Review MAP current offers to market actors
 Compare expected with actual results to date
 Prepare timeline of major changes in MAP offers over time
2. Formulate a Scale-Up Plan for the next 12 months
 Assess strength/weakness of key drivers required for scale
 Identify strategic options to accelerate scale up
 Set targets for more system breadth and depth

3. Getting an effective facilitator’s offer
Basic Principles
FRAMING AN OFFER RATIONALE
1. WHO IS IT AIMED AT?
• Core
• Support Function
• Rules
• Leverage Point in System
2. WHY SHOULD SOMEONE WANT WHAT
WE’VE GOT?
• A compelling business case for upgrading
• Growth driven by customer
value
3. WHAT COULD THEY EXPECT TO GET?
• Buy Down Risk
• Better, Faster, Smarter
• First mover advantage
4. WHAT DO WE EXPECT TO GET IN RETURN
• Evidence of benefits of system
improvement
• Better, Faster, Smarter
• Constant upgrading as system
norm

4. Selecting Market Actors
Momentum Potential
2. Indicates support for/or
resistance to desired change
3. Indicates competence
4. Indicates influence on
broader system change
Leverage Potential
1. Point for achieving
large-scale change
WILL
SKILL
high
high
low
low
Capacity
problem?
Incentive
problem?
Why aren’t
they doing it
already?
Can’t avoid
them?
Why aren’t they
inluencing the
system ?
HIGH WILL | LOW SKILL HIGH WILL | HIGH SKILL
LOW WILL | LOW SKILL LOW WILL | HIGH SKILL

5. What is the focus of MAP’s offer of support?
WILL
SKILL
high
high
low
low
Capacity
problem?
Incentive
problem?
Why aren’t
they doing it
already?
Why work
with them?
Build ability to
operate outside
current comfort
zone
Reduce
incremental risk
associated with
change
???
Why aren’t they
influential in
the system?
Work beyond
partner to
address external
obstacles
What actors get?
1. Less risk while
learning
2. More, faster
learning &
linkages
Why want our
support?
1. Advance their
strategy
2. Create customer
value
What do we get?
1. System Pressure
for Upgrading
2. Information for
decision making

6. MAP’s Offer to Ag Input Retailers/Distributors
MAPS Offer to Ag Input Market System
FRAMING AN OFFER RATIONALE
1. WHO IS IT AIMED AT?
• Agro Retailers/Distributors
• Retail function a leverage point
2. WHY SHOULD SOMEONE WANT WHAT
WE’VE GOT?
•New business model with sales and services
• Advance their growth strategies
• Growth thru customer value
3. WHAT COULD THEY EXPECT TO GET?
• Buy down first mover risk (time + resources)
• Knowledge and Skills
• First mover advantage
• Business management skills
• Solution Seeking Reputation
4. WHAT DO WE EXPECT TO GET IN RETURN
• Profile of early adopter
• Information to adjust offer
• Evidence of benefits of change
• Knowledge of system drivers for
change

7. Market Actor Assessment at Program Entry
SKILL high
low
low
HIGH WILL | LOW SKILL HIGH WILL | HIGH SKILL
LOW WILL | LOW SKILL LOW WILL | HIGH SKILL
high
• Multiple rural shops -no
services/offers
• Stocking a range of brands
• No info on consumer needs
• Trading experience but no
efficient retail functions –
inventory /customer/financial
management
• Owner = manager
- Good trading experience
- Lacks incentives to invest
in marketing
- No engagement with
distributors/inputs firms
We did not encounter any
retailer here…
In Makueni, 1 agrodealer –
Gistof
- Sees farmers as very
poor/lacks interest to
market to them
- No previous inputs retail
experience

8. MAP’S INITIAL OFFER TIME
A BUNDLE OF CASH SUBSIDY AND LINKAGES:
– 75% cost share 10 promos
– 100% support manager salary
– 50% cost share for soil testing
– 100% inventory management
– 100% SMS service integration
– 80% motorbike purchase

9. Retailers Response to MAP Offer Up to Date
SKILL high
low
low
HIGH WILL | LOW SKILL HIGH WILL | HIGH SKILL
LOW WILL | LOW SKILL LOW WILL | HIGH SKILL
high
Lessons
• Delegate tasks to skilled manager
• Inventory mgmt system operating
• Forecasting next season sales
• Incentive systems for staff,
stockists, agents, farmers
• Strategic alliances (soil testing)
• Investing in various distribution
strategies
Lessons:
• Reducing financing requirements
(pre-paid cash flow)
• Investing in outreach & and
research (promotional events)
• Repeat customers and referrals
from small farmer market
• Confidence in small holder market
Lessons:
• Distorted expectations (NGO’s)
• Believe small farmers have no
cash
• No track record in this business
(may run other businesses)

10. Support Services
Lessons:
SKILL high
low
low
HIGH WILL | LOW SKILL HIGH WILL | HIGH SKILL
LOW WILL | LOW SKILL LOW WILL | HIGH SKILL
high
Player: Inputs distributors
Lessons:
- Are in comfort zone – sees no
need in shifting operations
Player: Soil testing, Marketing,
ICT
Lessons
- Strategic alliances working;
soil testing + retailers
- Joint co-branding between
retailers + stockists
- Retailers purchasing branded
gifts for loyal customers

11. CHANGES IN MAP OFFER OVER TIME
INITIAL OFFER
TO END 2012
WHAT: ONE SIZE FITS ALL; 75-
80% SUBSIDY
WHOM: AGRO-DEALERS WITH
HIGH WILL/LOW SKILL
HOW MANY: 2 AG RETAIL
LINKAGES: 3 SERVICE FRIMS IN
SOIL TEST, INVENTORY MGMT,
SMS
ADJUSTED OFFER
TO MID 2013
WHAT: SAME BUNDLE. AVG
SUBSIDY 50% FOR NEW
ENTRANTS
WHOM: SAME PROFILE OF
AGRO-DEALER W/ ONE
EXCEPTION—HIGH SKILL/LOW
WILL
HOW MANY: 2 EXISTING 3
NEW
LINKAGES: SAME BUT 2
MORE ICT; 1 INPUTS
SELF-SELECT BEFORE
OFFER (TO END 2013)
WHAT: MULTIPLE OFFERS;
DIFFERENT BUNDLE; CASH
SUBSIDY RANGES FROM 0
– 50%
WHOM: RETAILERS OF AG
AND AQUA
HOW MANY: 9 RETAILERS
8 SERVICES
LINKAGES: MORE ICT &
MARKETIN FIRMS.
INSIGHTS:
BIGGER SKILL GAPS
INSIGHTS:
WHOSE PLAN?
INSIGHTS:
DEALS WITHOUT MAP
ANY SYSTEM
CHANGE?

12. Group Task (1)
In sector teams:
1. Summarize your offer to support to a specific market
system?
– Consider all key players you have targeted/worked with
2. What was your assessment of the different type
players selected at entry?
– Will/skill to foster firm and system change
3. What is your current assessment of those partners
selected?
– Will/skill to foster firm and system change
4. What do we know about other key system players
with whom we are not yet working?
– Will/skill matrix to position other key system players
5. What have we learned about our offers over time?
– Timeline of key changes in MAP offers over past 20 mths

13. Drivers of System Change:
Competition and Cooperation
What are some patterns of behavior in market systems?
Bad
Best
Bett
er
Bad
Best
Bett
er
Competitio
n
Cooperation
Degree of Market System
Effectiveness
LOW
HIG
H
HIG
H
HIG
H
Transparent rules
Embedded Services
Collusion
Zero-sum tactics Political Favoritism
Joint response to opps. & threats
Norm: Constant upgrading
Anti-compete rules
Joint Marketing
Norm: Constant upgrading
Competitive response
internalised
Specialised ServicesInnovation/Differentiation

14. Inclusive + Durable Growth
(based on constant upgrading)
Benchmarking Targets
A.
EARLY ADOPTERS
(change works)
B.
EARLY MAJORITY
(tipping point)
D.
SOLUTION SEEKING
(effective problem ID &
solving capacity)
C.
ADAPTATION
(better, faster, cheaper)
Buy-in Track Record DeepenRe-investDiversifyExpand
Create More Value
Compete+CoopPressure
Norm for all actors
NormUpgrading
Adoptermeet/exceed
qualifiedadopters
BREADTH
(numbers)
LES
S
MORE
DEPTH
(behaviors + beliefs)
MORE

15. Inclusive + Resilient Market System Growth
Conditions and their Interpretation
A.
EARLY ADOPTERS
B.
EARLY MAJORITY
BREADTH
DEPTH
D.
SOLUTION SEEKING
C.
ADAPTATION
More breadth and depth
needed
LESS
MORE
MORE
Systemic capacity to be
inclusive and durable
More depth needed
More breadth needed

16. Group Task (2)
1. What has been the system response to MAP’s
interventions?
• Is competitive pressure driving more adoption?
– Yes, By whom? By Whom. No, Why
• Is cooperative pressure driving more adoption
– Yes, By whom? By Whom. No, Why
2. What do you see as the strategic options to advance
MAP goals of inclusive + resilient markets?
– More of the same offer but better, faster, cheaper
– New offers to new players in same or different function
3. Rank options against relative importance and
resource use
– Set breadth and depth targets.

17. 17
Strategic Options:
1. Same function/players
2. Different functions/players
3. Some Combination
Creating More System Pressure for Inclusive Growth
Implications for MAP
1. Setting Targets
2. Sector/Cross Sector Teams
3. Monitoring/Adjusting
4. Resource (Time + Money)
Demand Supply
SUPPORTING FUNCTIONS
RULES
Information
Services
Infrastructure
Informal
rules &
norms
Laws
Standards
Regulations
CORETARGETED SECTOR
Coordination

18. Inclusive + Resilient Growth
(CONTINUOUS UPGRADING)
Benchmarking Targets
A.
EARLY ADOPTERS
B.
EARLY MAJORITY
BREADTH
(numbers)
DEPTH
(behaviors)
D.
SOLUTION SEEKING
C.
ADAPTATION
Create More Customer Value
Competitive&CooperativePressure
Norm for all actors
NormUpgrading
LES
S
MORE
MORE