When we were designing the ColaLife Trial in Zambia (COTZ), we agonised over the unit of sale to retailers. We had some information on the working capital that remote, rural retailers had. But not much. We finally settled on a pack size of one bag of 5 kits as the unit of sale to a retailer. The cost to the retailer of one bag is K18.50 (that’s 18,500 old Kwacha) which means each kit costs him/her K3.70 giving a gross profit margin of K1.30. The contents of 2 bags of Kit Yamoyos (10 kits) would fit in one Coca-Cola crate.
However, we have succeeded in generating such a high demand for the kits – which make money for those who sell them – that the retailers are buying them not by the bag (5 kits) but by the box (35 kits).
In Katete, since 5/1/13, our registered retailers have made a total of 47 purchases of Kit Yamoyos from the wholesaler. All but 4 of these purchases were for full boxes. The lowest number of kits bought by a retailer in one transaction was 15 (3 bags). The maximum number of kits bought by retailers in one transaction was 4 boxes (140 kits) and 3 transactions were for this amount.