Identification of levers to impact the Base of the Pyramid with nutrition and sustainable sourcing projects

 This report builds on Synergos expertise in the food industry, on experts’ interviews and on publicly available information. This study highlights the opportunities, challenges, and the key levers for global food and beverage companies to generate a social impact for the Base of the Pyramid (BOP). The report presents a set of examples of strategic partnerships and innovative business models in emerging markets that highlights key levers for social impact. The world’s demand for food is projected to grow by 50% by 2030, as population is growing. This represents a great potential for global consumer markets. Food and beverage companies are positioning themselves to capture this growth by developing innovative ways to engage these markets. We believe these new ways of engagement have potential to generate not only business but also a large social impact. We will focus our study on two main areas that food and beverage companies can impact: Sustainable sourcing models and nutrition

Throughout our experience, experts’ interviews and comparative analysis of several case studies, we have identified nine key levers to generate these innovations - in both sustainable sourcing and nutrition - on which new corporate expertise is required: 

1. Direct sourcing from farmers : engaging direct collection and purchasing with the farmer

2. Technological breakthrough: innovating IT to facilitate communication around weather information and agricultural guidance

3. Training and financing to farmers: improving farmers’ access to information, inputs and technical assistance

4. Sustainable end-to-end supply chain: supporting infrastructure development, engaging resources all along the supply-chain

5. Nutritional products: developing new reengineered products to respond to local needs with new pricing

6. New distribution model: innovating with distribution channels/partners to make quality products reach underserved clients

7. Multi-stakeholder partnerships: engaging in local and global partnerships with key stakeholders

8. Education/training for behavioral change: training local people, health educators, sales representatives to raise awareness on health

benefits of micronutrients

9. Advocacy: raising awareness among key leaders to influence public policies and resource allocation decisions and to increase projects’ scale

These new operating models can be developed under three corporate approaches: Business, CSR and/or Philanthropic.