Kamay Krafts

Developing a commercial mindset and new product designs for a Philippine cooperative

About the organisation:

Kamay Krafts (http://www.kamaykrafts.net/) is a livelihood project for mothers from the slums of Manila, Philippines. It is managed by a group of about 100 women from depressed areas of Manila who pooled their resources and in doing so earn a living. By a system of profit sharing they are able to lift their standard of living and escape debts. The members of Kamay Krafts produce and sell internationally, a.o. trendy handmade bags and gifts made of recycled materials from Manila garbage dumps.

Kamay Krafts is controlled and managed entirely by the urban poor women whom it employs. Kamay Krafts has 305 Members (around 100 Employees & owners of the cooperative and 200 individuals receiving credit assistance). The micro-financing scheme of the cooperative initially was only focused on the employed women, now micro-financing is provided to 200 additional community members.

Business case
In the last couple of years Kamay Krafts is facing big issues with its sales in various countries. A marketing consultant is asked to assist in developing the marketing & sales strategy and improve product design for Kamay Krafts.

Azra Alic (DSM) is experienced in developing and implementing commercial strategies related to new product launches at a large international cooperation. Azra advises and coaches business managers in the field of marketing, communication and sales.

Results

Analysis

While still in the Netherlands Azra visited various websites where similar products to the ones of Kamay Krafts were sold and interviewed some retailers in the Netherlands selling fair trade products.

During her first week in Manila, she gathered as much information as possible from different sources. She interviewed the general manager, office staff and some of the mothers. She also interviewed some customers, giving her more in-depth insights on market trends, and needs regarding products and services.

In addition, they visited the Philippine Fair Trade organization and explored the option of becoming a member. During the first week she already started coaching the general manager on many topics, in general putting marketing & sales strategy into practice.

The second week she started with a visit to the mothers in the two major slum areas. Her last three days she spent training the office staff and Board in marketing, communication and sales. This included her final presentation and recommendation and focused on explaining the marketing strategy. Part of the strategy was the cooperation of Kamay Krafts with designers, for which she arranged meetings with a designer and a lady working in the bag industry.

Advice

In the coaching, Azra focused on increasing the commercial mindset within Kamay: proactively explore the market, visit events, create website, set up a network of contacts (potential customers, designers) etc.

Related to this is the importance to start thinking strategically and long term; Kamay Krafts needs to be constantly looking for new customers/contacts as to build a constant customer base and demand.

At the end of the assignment, Kamay Krafts had a marketing strategy, a product development strategy and the members were trained in marketing, sales and communication.

Impact
Azra

‘It was very nice for me to see how small ideas can make big impacts on other lives. I learned that using my skills for the benefit of others is very fulfilling and that it is something I would like to do more. The assignment was a great personal and business learning experience.'

Venus

‘Azra is very approachable, gives inspiring ideas and encouragement. She knows well how to adjust herself to the person she's relating to, enabling the person to speak freely. She is knowledgeable in her field and enables learning within Kamay. I specially appreciate the coaching style of one on one which enables me to easily focus on the topics discussed.'

‘I gained more knowledge with all the things I mentioned above, especially in the field of marketing and sales. Coached by Azra was like taking a refresher course for 2 weeks! But this time it's hands-on knowledge, with the need to apply it to Kamay Krafts.'

Follow up

Kamay Krafts has indicated to implement all recommendations. Together with Venus an action plan has been made; the priority action points are first to be done. Azra stays in contact with Kamay to assist when necessary.

This is a start of a two-year partnership between SharePeople and Hotel Maya.  Both organisations will keep in touch (a.o. via the SharePeople liaison, at least every 3 months), and with the experts as well. After this Programme, an official update on the status of the organisation takes place every 12 months. With this information, an new Programme is one of the possibilities to boost the organisation if needed. Participation in a yearly SharePeople Experience Week is also an option.