Cass Business School

A business model that will provide clean water to 100m slum inhibitors in 5 years We offer: Availability -Matching and meeting household demand – averaging 50lpdh -Supplied at least once a day Accessibility – Water is provided directly to the household – Fully consistent with present social and cultural norms Drinkability – Water is at the adequate quality provided by the water utility – A feedback mechanism for household to report problems Sustainability – Local technology is utilised benefitting from lower production costs An economically viable business – Demand based, scalable and stimulates market creation

Even the rich don’t have access to taps

An alternative to the tap Connecting to a tap in a slums is a bottleneck – Political, economic and regulatory issues over slums pose barriers to connection HOW CAN YOU SCALE UP WHAT YOU CAN’T CONTROL? We need an alternative and agile approach to water infrastructure

But the water is so close! Overcoming political and infrastructure barriers to expedite water delivery Expensive infrastructure investments are ruled out over land right issues, financial control and time of implementation What is out there in the market? A water truck is a service-based business model that emerges across markets. In some urban and peri-urban communities up to 85% of the water is provided by water trucks When competition exists, There is little difference between the unit sale price of hand carters and water tankers Water trucks typically mark up tariffs by a multiplier of We want to use innovation to reduce the market power of the water vendor-driver, and increase competitiveness

Significant scope for improvement

W’ Business model Bidding and Matching Platform Provided by mobile phone provider Administrator Order by mobile phone 2 $1 I am willing to sell for $1 Feedback and Pay by mobile 2 $1 Distributor I am willing to sell for $2 Customer Supplier

Philanthropic efficiency Market efficiency and market creation Cost per person

Market efficiency Investors Generating returns for technology vendor partner Customers Singaporean auction to determine price Benefitting from information transparency and reduced price with economies of scale Suppliers An opportunity for utilities to benefit from revenues without taking the risk of infra. Transporters Entrepreneurial and enabling access to finance Model encourages scale and hence – lower prices

Cost per person Average household consumption: 50LpD Cost per person 0.19 USD for 50 litres

A business model that will provide water to 100m slum inhibitors in 5 years We offer: A scalable business solution serving communities Availability -Matching and meeting household demand – averaging 50lpdh -Supplied at least once a day Accessibility – Water is provided directly to the household – Fully consistent with present social and cultural norms Drinkability – Water is at the adequate quality provided by the water utility – A feedback mechanism for household to report problems Sustainability – Local technology is utilised benefitting from lower production costs