Doing business in no-go areas?
Using totally informal distribution circuits?
Can a NGO and a multi-national work together?
Colceramica produces and sells ceramic tiles in Colombia.
Poor communities often live in insecure rough cement houses. Teaming up with a local NGO enabled Colceramica to develop a product range for this specific population.
- Hygiene problems in houses in poor communities,
- Working in no-go areas,
- Difficult access to these communities for a business company,
- Ignorance of the market / this population’s purchasing habits,
- No access to lending for these families.
- Innovative partnership with a NGO well established in the community,
- New distribution circuits,
- Logistics revolution to package tiles in small quantities,
- Offer unsecured loans, based on trust,
- Business internal revolution to develop the tools (product design, marketing, distribution and logistics) for serving this market.
- In 2007, 134,000 m2 of ceramic tiles sold, representing 1% of the Group’s total sales,
- Sales have exceeded forecasts,
- Loans totaled US$ 700,000 in 2007,
- 270 promoters working for the programme in October 2008.
- International expansion : Peru, Equator, Venezuela,
- In 2010, sales target of 1 million m2 per month,
- Extension of the product range,
- Geographical expansion in 36 large Colombian cites by 2010.