Segmenting and Tailoring BDS for the sme market

Day 2 – Topic 1

Speakers

Mathilde Bauwin

Head of Knoweldge Management,
Appui au Développement Autonome

Solomon Legesse

Team Lead Agrihub,
ATI Ethiopia

Session Replay

https://youtu.be/f_6khP91xwk

Session Overview

Data is also valuable for Segmenting and Tailoring BDS for the SME market.The Agri-SME Learning Collective (ASLC) has proposed moving beyond use of traditional business size/stage criteria to include:

1. Legal Form: Private enterprises, social enterprises, cooperatives, unregistered organizations

2. Value Chain Position: Within value chain vs. serving value chain

3. Management Capacity Levels: Basic, Proficient, Advanced

ASLC then propose a rough categorization of BDS that is suitable for different SME segments. The full paper can be found here. It was then interesting to contrast this approach with a large-scale approach to segmentation by ATI Ethiopia which is shown in the graphic below.

The Innovation Library… creates a platform
where users are able to navigate to certain innovations based on their objectives.

Kafui Adjogatse

Break Out Group Discussion

Key challenges discussed

Complementarity Balance

Need sufficient complementarity between partners without creating competition
Example: Tension between organic-focused offtakers and chemical fertilizer input providers
Strategic partnership selection identified as underrated but critical

Coordination Burden

Coalition coordination is time-consuming and pulls staff from daily responsibilities
Grant funding in early stages can cover coordination costs until partners see value
May require hiring dedicated coordination staff initially

Codependency Risks

Biggest risk is partners becoming overly dependent on each other
Mitigation through strategic partner selection, clear agreements, data sharing, and equitable value/cost distribution

Key Insight and outcome

The discussion emphasized that strategic partner selection is often undervalued but essential for successful service coalitions. Early grant funding can help overcome initial coordination challenges.

We generated valuable member discussion and inspiration rather than specific action items, with participants sharing experiences and solutions around coalition challenges.

Resources

All Sessions

ALE25 Overview & Report →

Day 1

D1OS – National BDS Accreditation Frameworks
D1T1 – Government Led BDS Quality Assurance
D1T2 – Beyond Regulation Sustainable BDSP Associations
D1T3 – Local Market BDS Development
D1T4 – Developing Service Coalitions

Day 2

D2OS – The Business Case For Data Systems
D2T1 – Segmenting and Tailoring BDS for the SME market
D2T2 – Scaling Agri-BDS in the Ethiopian Barley Value Chain
D2T3 – Digital/Blended service delivery – is it delivering more for less?
D2T4 – Gender business transformation models
D2CS – Future Learning & Toolbox

Segmenting and Tailoring BDS for the SME Market | D2T1 ALE25