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    Date submitted
  • 02-Sep-2017

Minerve Distribution

Abstract

MD sales and delivers frozen goods to household and retail shops in Brazzaville Congo using cheap transportation. In Congo, frozen goods are sold the traditional way and customers go through a painful procedure: 1- close their shop, 2-travel to the big market, 3-go around to compare price of goods, 4- buy goods, 5- load the goods in a taxi, 6- return to their shops after 2 to 4 hours. MD reduces these steps to: 1- Customers pick up their phone and call MD, 2- They order any good they want, 3- They wait for the goods to be delivered, 4- They pay for the goods and a transportation fee that is three times cheaper than taxi. So basically MD makes money from selling goods and transportation fees. In the long run, MD concept will evolve with the creation of butchery franchises and the introduction of an annual membership fees for all MD customers.

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Additional Questions

Who is your customer?

Household and Mini Retail Shops (locally known as Toumbas, Malewa, Boucherie...) in Brazzaville Republic of Congo

What problem does this idea/product solve or what market need does it serve?

Mini retail shops MSR are the main source of groceries for urban dwellers in Brazzaville ; Congo However ; delivery services for these retailers are inadequate. MRS owners not only occur the costs of the staff they hire and the goods they purchase for sale, but they also spend significant time and money on transportation to buy their stock and bring it back to the capital, Because their cash flow is limited, the amount of goods they can afford to buy is small, such as ten boxes of frozen goods per order, At such low quantities, they can only source from larger retailers, rather than wholesalers or vendors that require larger minimum purchases . This inefficiency results in high prices and low margins for the MRS owners, and limits the availability of food and other items for the general urban population.

What attributes will make this idea/product successful? Why do you believe that those features will create success?

Three things make our idea unique: 1- Home delivery service for our customer (MD app are planned to be developed), 2- Customer service , 3- Customer goods ordering procedure. With MD, customer no longer need to travel long term, close their shops nor miss sales to go buy inventory. MD allows customers to stay home, call MD by phone, place the order and wait 45 minutes to have his/her goods delivered at their shop.

Explain how you (your team) will execute to make this idea/product successful? What gives you (your team) an advantage over others already in the market or new to this market?

MD has a skilled team of young Africans, all native of the Congo. The founder, Vulcain M. Yengo has a BS in Supply Chain and logistics and has received training on Six sigma, SAP and more. Most frozen goods sellers sell their goods the traditional way, meaning they do not use technology and customers service is ineffective. MD uses or integrate technology to increase efficiency and speed up the decision making process. Among the technologies used by MD, we count: MD 1.0 which is unique kind of ERP system to manage sales, expenses, inventory, and more. The MD team is also planning to create an app to improve delivery to the customers. Other strategies used by MD to increase and maintain its market share includes: membership strategies... MD team is working on a get big fast strategy and aims to control the whole value chain in the long run. The complexity of creating a good and an effective delivery is quite difficult to handle by competitors.