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[Revenue Stream] SoCon Fiji December 2018

Revenue Streams

Outline

The Social Consulting currently has a single revenue stream, through their sales of the Buka Stoves on payment plans.

Background

  • Operate separate from Fuel team
  • Uses ‘mobile money’

Although Social Consulting operates separately the Fuel team in order to expand into differing product offerings and an expanded customer segment. They are currently seeking to make systems of obtaining revenue in more efficient and cost effective ways to make their business more scalable and to minimize overheads.

Even with a lack of access to traditional forms of online payment methods, the most viable method of gaining revenue is through the ‘mobile money’ system (i.e. Vodafone’s M-PAiSA or Digicel Mobile mobile money). This system is easy to set up on the spot during transactions to ensure that consumers are able to make future repayments. Although these ‘mobile money’ systems do have fees and should be included in our cost structure.

Sales

  • Repayments on a monthly basis

Social Consulting currently offers payment plans for the purchase of Fuel Team’s Buka Stove. Allowing customers to purchase the stove with a deposit and a series of installments paid over the course of a number of months. The reason for repayment plans for the Buka Stove was to make the stoves accessible to consumers who could not afford the cost of the stove upfront.

Current Revenue

  • Retail Price of Stove
  • Interest

Revenue is currently generated through offering these payment plans with interest charged on top of the price of the stove. The retail price of the stove is set by fuel to cover costs and generate profit. The interest charge is set to cover any losses from defaults, cover costs and generate profits.



edited on 1st January 2019, 22:01 by Jess Riley

Rose Martin 1 month ago

Hello!

I am interested in the dynamic and relationship that the SoCon teams currently have with the Fuel team, and how this should progress. As you mentioned above, I also think that the teams should be somewhat 'separate' as to ensure scalability for SoCon long-term. But have you put any thought into what this relationship looks like, perhaps if SoCon were to partner with another company in the future? Would you have some systems that are integrated or keep them all separate? I'd be interested to hear your thoughts!

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