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How To Register Regulated Product With NAFDAC

When starting a business in Nigeria, there are several considerations you have to make. One of which is registering your regulated product With NAFDAC – The National Agency For Food And Drug Administration And Control.

NAFDAC is one of the bodies in charge of regulated product registration in Nigeria. It covers both locally manufactured and imported products. However, it’s not the only body approved by government for the registration of products in the country. There’s also SON – Standard Organization of Nigeria.

But NAFDAC covers just food and drug related products. Anything that Nigerians are meant to consume falls within the purview of NAFDAC. While SON covers those products that falls outside of food and drugs.

For an entrepreneur, you need to register your regulated food and drug products with NAFDAC to avoid falling into the wrong side of the law. That would also help build consumer confidence on your product.

Why Register Your Product?

NAFDAC registration is about certifying the product and approving it for consumption and sale, while a registration number is issued to notify the public or help in verifying the authenticity of the product being consumed.

A registered product gains consumers confidence, meets all regulatory conditions and helps promoters avoids battles with the laws of the land. Any responsible business entity knows that registering their products with the appropriate authorities is an important business decision.

Moreover, you need to know how NAFDAC operates to enable you register your products without hitches. The process is not difficult but sometimes can drag for a while before your product would be approved fit for consumption.

What Are Regulated Products?

According to a Science Direct bookon An Overview of FDA Regulated Products, a product is considered regulated if a government authority determines when and how the product is allowed to be commercialized.

Although, regulated products differ by countries and territories. What may be regulated in the United States for example, may not be regulated in Nigeria. Countries regulate their products based on their own unique market challenges.

Also, a product may have been regulated in the past but later withdrawn from regulated list of products.

 

Some regulated products in Nigeria

Products To Register With NAFDAC

Based on the definition of regulated product above, you can site some classes of regulated products to fall within these categories. In the United States, the FDA separates products into specific categories:

  • Food
  • Dietary supplements
  • Cosmetics
  • Drugs
  • Biologics
  • Medical devices
  • Veterinary products
  • And tobacco

The same applies to NAFDAC in Nigeria. Water also falls within the food category. These products are regulated due to the grave implication if their are adulterated or subsatndardly produced.

I also feel to give some few examples of previously registered products by NAFDAC to help you fully understand the Nigerian regulatory environment. I picked products from different categories, and in no particular order:

  • Revup (water, yoghurt, and juice)
  • Infini Clear (cream, soap and lotion)
  • De-Zack Water 50Cl Sachet
  • Flexi Joint Capsules And Cream
  • A1 Pat Life Water
  • Brave Herbal Capsules
  • GINO magic pepper and onion tomato seasoning mix (MILD)
  • MR CHEF seasoning
  • FAMKO sweetened yoghurt

You can search and find any NAFDAC registered products on this website link.

Who Can Register Product With NAFDAC

In case you are wondering if your business qualify to register a product With NAFDAC, let me clarify those classes of businesses that can approach NAFDAC for product registration. Below are the categories of entrepreneurs that can register a product With NAFDAC.

  1. Manufacturer
  2. Distributor
  3. Marketer

These three classes of entrepreneurs deals directly with products, and your business have to fall within any of these three to register a product With NAFDAC. Although, it’s not like NAFDAC has restriction on classes of business as a condition. It’s even because you cannot have the right over a product unless you fall within these three classes of entrepreneur, especially as a manufacturer.

A retailer only has exclusive retail rights. It’s only a manufacturer, distributor or marketer that can have an exclusive product right in a market. That’s why NAFDAC demands that only among these classes of entrepreneurs can register a product with the commission.

NAFDAC Registration Process

The process of registrating a regulated product With NAFDAC has been further simplified. It used to be solely by visiting any of the following NAFDAC offices in Nigeria.

  • NAFDAC Central Laboratory Complex, 3/4 Oshodi ? Apapa Expressway, Oshodi ? Lagos.

This office is where registration and regulatory affairs, legal process, inspections, food Laboratory tests, narcotics and controlled substances are handled.

  • NAFDAC Central Drug and Vaccines Laboratory (CDVL), Edmund Crescent, Yaba, Lagos

This office is in charge of drug laboratory tests and ports Inspection jobs.

  • NAFDAC Enforcement Directorate. Ahmadu Bello Way (Behind Nigerian Air Force Camp by Legico B/stop), Victoria Island – Lagos.

While this office sole responsibility is the enforcement of all NAFDAC laws.

To begin the registration process, you start with the purchase of the relevant registration application form from the NAFDAC office closest to you and pick up the applicable guidelines. This guidelines gives you proper directives on how to make your applications with the support documents required. Also read how to register a business in Nigeria.

How To Begin Registration Process

It’s takes about three months to complete NAFDAC product registration process, if all requirements are met at stipulated times. There are processes to follow when registering a regulated product. NAFDAC has laid out rules to guide applicants. Let me list each process for you:

  • Application Letter And Document Submission
  • Registration description of intent
  • Samples for laboratory analysis
  • Payments for category of registration

The first step is to submit letter of application with all required documents. Your letter of application gives NAFDAC information about your request for registration, and your documents helps them to understand who is making the application. But you have to ensure all the documents are complete, with the appropriate description so you won’t encounter any delays in the process.

The next step in your registration process is the description of your intent. This includes the purpose of your registration, and the product description itself. You are letting NAFDAC know what you want to register, what it does and your reason for registration.

Then, you submit your samples for testing. Here are the requirements to bear in mind when submitting your samples for laboratory analysis.

  1. Make your labelling clear, accurate and informative
  2. And your label must carry the following details:
  • The brand name
  • The name and address of manufacturer, distributor, marketer
  • The provision or slot for NAFDAC Registration number
  • The batch number to be tested, manufacturing and expiry date
  • The net content
  • The complete list of ingredients
  • Any product warnings that consumers should be aware of

And finally, you pay your registration fees according to your registration category.

NAFDAC Application Fees

It’s equally important to know how much it cost to get the NAFDAC number in Nigeria? The number is a symbolic representation of the product that it has been approved by NAFDAC.

So, registering your product With NAFDAC is not only to prove the quality and authenticity of it but also to get NAFDAC seal of approval, which is the NAFDAC number. And these fees are charged in two variants.

Infini clear product range

Since Nigeria imports a lot of products, NAFDAC also classified the registration fees into two. One class is for imported products, while the other one is approved for locally made products.

For imported products, NAFDAC charges as much as N200,000 plus VAT to register any imported product to be sold in Nigeria. These products that are not manufactured in Nigeria are made to pay more than those manufactured in the country.

While the locally manufactured products gets a lower fee of just N50,000 plus value added tax (VAT).

What’s NAFDAC Registration Number?

When you register a product With NAFDAC you will be issued with a registration number. This number is what NAFDAC uses to identify your product and it equally gives consumers a sense of confidence that your product is under the purview of the regulatory authority of NAFDAC.

NAFDAC issues this number as a final approval for each product that has successfully undergoes its rigorous examinations under its quality and health considerations.

Each registered product is issued a unique identification number to help NAFDAC monitor and control the quality of such product. While these efforts are meant to curb fake and substandard products, it doesn’t completely eliminates it from the market.

Unscrupulous importers and manufacturers also explore the porous nature and the inadequacies of NAFDAC to exploit consumers by using either fake or unapproved registration number on their products to deceive buyers.

Apart from the issue of registration number, NAFDAC also issues product certificate after registration. But this certificate is not issued immediately. It takes about a maximum of six months after the product approval date. So, it can be issued anytime within the six months period after registration.

Conclusion

Inasmuch as you can process NAFDAC registration yourself, it’s usually helpful to seek the services of a consultant. It helps to simplify things for you and make it work faster. An experienced consultant knows the process better and understand NAFDAC modus operandi better than you who is doing it for the first time.

Since China dominates Nigerians import destination, NAFDAC also has a Chinese office, which enables Chinese products to be registered right there in china before being imported into Nigeria. This option may be suitable for you, but try and check the cost implications compared with registering in Nigeria before choosing this option.

Finally, any product you want to sell in Nigeria, find out first if it requires registration. If it’s not a product under the NAFDAC purview, it would be under the Standard Organization of Nigeria (SON). Avoid importing or selling unregistered products in Nigeria.

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4 Important Steps Profitable LPG Plant Follow

If you want to setup profitable LPG plant in Nigeria, you might as well read this now. There’s no science or mystery behind a profitable LPG plant. I often get this question about how profitable is LPG plant?

Although, I have tried to always assure my clients about the potentials and profitability of an LPG plant, but there are just 4 things that are responsible for that kind of success. It’s these 4 things I want to share with you.

If you pay close attention to these things and do them as I have advised, you will have the most lucrative LPG cooking gas plant in any location you will ever choose.

You may ask, how can I be sure that these 4 things are what’s important to setting up a profitable LPG plant? I’m telling you from experience, as a cooking gas consultant, and from working on several gas plants setup and the things I always advise my clients to do and it has worked 99% of the time.

If anything worked 99% of the time, it’s sure proof that it works every time. That’s why I can guarantee that it would work for you. And don’t just take my word for it, I will clarify it as well so you can see why it has worked and why it will work for you.

Profitable LPG Plant Analysis

As you plan to setup a profitable LPG plant, your first concern should be how profitable is the business? Don’t just assume it is, even though it’s actually very profitable. But there are reasons its profitable. You need to know those reasons.

That doesn’t mean every cooking gas plant in the country are profitable. There are lots of unprofitable LPG plants all over the country. So, just because cooking gas is in high demand doesn’t mean every LPG plant would be profitable.

It’s the same reason every petrol filling station is not profitable, even though oil business is a major revenue earner for the country. There are reasons you will succeed or fail in this business and that’s what I want you to know above other things.

For most startups in the LPG plant business, their interest is more on the profit margin than on the volume sales. The profit potential of LPG plant is not only on its high profit margin but majorly on volume sales.

A little calculation would help clarify this theory. Imagine if the retail price of cooking gas is N280 per kg, and the profit margin is N100 per kg, if the volume sale is just 100 kg per day that would be N10,000 profit daily. In a 30 days period it would be just N300,000.

While another plant could have the same margin but with 3,000 kg sales per day, which is N300,000 profit, and a monthly profit of N9 million. The only difference between this two examples is not about marginal profit but volume sales. Volume is key when planning a profitable LPG plant.

Problems Of Profitable LPG Plant

As a consultant, I deal with startups on a daily basis. One of the major problems of every business startups and not just for LPG plant startups is financing. They don’t have the required capital to venture in the business.

An LPG plant on construction

I often get this question, what does it cost to setup a profitable LPG plant? It’s usually the number one question I’m being asked everyday. By now, I know even Google is tired of answering this question, because the answer is simple yet most startups keeps ignoring it.

Most often, the reason people ask this is because they don’t have the money to setup the business. Or they have a wrong idea of what makes a Profitable LPG plant. If you don’t focus on the primary reason LPG plant would be profitable, you shouldn’t even venture into the business.

The problem with the financial requirement is that most startups don’t know where to invest much of their finances to start a profitable LPG plant. In fact, they disregard expert advise and prefer to cut corners to save cost. There’s only one cost investment that impacts in the overall profitability of LPG plant.

Problem Number One: Picking The Right Location

A profitable LPG plant location is not a mystery. You must know from the beginning if the location is right before setting up the business there. Although most people already have a location they have purchased before consulting an expert.

If you have already gotten a location purchased, don’t rush into the business without verifying if that location is right for the business. Your cooking gas plant location is the number one reason the LPG plant will be profitable. If you make mistake about this, you have failed from day one.

There are two reasons your location may not be right. The first one is if it doesn’t meet DPR approval requirements. That is the first stage, and it’s critical to setting up any cooking gas plant anywhere in Nigeria. The location must conform to DPR guidelines.

The second reason is the profitability of the LPG plant. You don’t want to only meet DPR approval requirement and not ensure the location would be profitable for your business. That’s why I strongly discourage setting up cooking gas plant in a deserted location.

You have to pick the right location for the business. I recommend you work with your consultant when buying the land. Get a cooking gas plant consultant to do site visitation and confirm it meets DPR requirements and will be profitable for your business.

Problem Number Two: Location Assessment

The assessment of the location before setting up an LPG plant is very important. It’s the first step in picking the right location. This assessment looks at the DPR approval requirements. This may look insignificant to you but the reason is to save you over N1 million cost in licensing if your application is rejected.

A consultant would help you assess the location before you start processing DPR approvals. If you don’t want to use a consultant, you can get someone from DPR to visit the site and give you the go ahead. It will cost you around N50,000 to N100,000 for this assessment.

I recommend that you use a consultant. It’s not because I want you to hire me. A DPR agent would have been better for this job but the problem is that they would only look at DPR requirements. But a consultant would also look at its viability, and you will still pay the same amount.

A location can meet DPR requirements and still not be a profitable LPG plant location. Understand the difference between DPR requirement and the viability of your LPG business. DPR is not interested in your business profitability. It’s not their job. It’s your job to ensure your business location will be profitable.

In reality, DPR agents don’t know about LPG plant location viability. You shouldn’t rely on their advise because it’s not their job. Their primary assignment is to check the land size, landmarks, government infrastructural installations that may be at risk if your plant is setup there, and how it puts others or businesses or residence around the area at risk.

Problem Number Three: Cooking Gas Viability Analysis

The second part of location assessment is the viability analysis. This should be part of the business plan feasibility study. In the location assessment the consultant would give you an observatory assessment of the location. But in a viability analysis, real data would be used to assess its viability.

Here the real location study is conducted to assess number of households within your target location that can purchase cooking gas from your LPG plant. A good viability analysis is not based on assumptions but real and authentic data.

There should be accurate data about number of households within the communities your LPG plant would be covering. A consultant should know how to get this data. And to be sure of the profitability of your cooking gas plant, ensure this data is made available to you in the viability report.

It doesn’t come cheap and you shouldn’t be stingy here. Pay the cost to get real information that’s not based on assumption. It’s between N150,000 to N300,000 depending on the size of your LPG plant.

Don’t be deceived by those selling copy and paste business plan feasibility report. Those report are based on pure assumption. I won’t advise you to risk your investment on someone else assumption. A profitable LPG plant is based on real verifiable data.

Problem Number Four: Expert Consultation

However, most of the real problems affecting LPG plant startups is lack of expert advise. Most startups don’t see the need to use the knowledge of a consultant. The only time most Nigerians pay consultants is only when they are terminally ill and are advised to see a medical consultant.

A startup is like a child who needs parental care. So, you should get a consultant to guide you so you don’t make mistakes. If you make a mistake at the startup of any business, that business is bound to fail sooner or later.

The Nigerian mentality of what is he going to do for me is costing startups more than they would pay a consultant. Imagine you want to invest N10 million to N50 million in an investment and you can’t pay ordinary N500, 000 to N750, 000 to a consultant to guide you properly. But you can afford to risk and lose tens of millions because you don’t want to lose ordinary N500, 000 to someone whose only intent is to help you succeed.

You can’t build a profitable LPG plant on ignorance. A client refused to pay just N200,000 for location assessment and ended up losing N1.8 million when DPR rejected his request for a licence. He thought he was wiser but became foolish at the end.

Don’t make costly mistakes. No one is after your money. We buy shoe to protect our foot. The shoe cobbler wasn’t stealing from you. The same way a consultant is just helping you. Think twice and don’t be misled by your own understanding.

Feasibility chart

Conclusion

There are two important things I want you to take out of this post. The first one is that a profitable LPG plant is primarily built around the choice of its location. It’s not on the amount of your investment. You can invest N100 million and still fail.

But your LPG plant location is key to your success. To solve this, you may need to buy choice location in your city for your LPG plant setup. This may cost more, but it’s worth it. Don’t ignore this advise, take it more serious than the actual plan to setup your LPG plant.

Finally, think of a consultant as your investment guide. A cooking gas consultant is not after your money, even though you pay him or her for the service rendered. He or she is there to help you succeed. And don’t be afraid of the cost. You can pay a consultant on the need to use basis.

That means, you can only pay him or her when you need to use them achieve something. It doesn’t cost so much to use the services of a consultant as you think. Just be clear about what you want and a consultant would give you an affordable rate for it.

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How To Pick Best Selling Diaper Products

Do you know what consumers like to buy? In this article I’m analyzing the best diaper products for retailers and consumers. The number of baby diapers in the market can be confusing for both retailers to pick the best selling ones and consumers to know which one is good for their children.

If you are a startup retailer who needs to stock the best diaper products that consumers want to buy, you may have a problem making the right decision at this point. Although, what is easy is to pick and stock the most popular brands. But that may not be ideal for every location.

In each local markets, there are certain diaper brands that consumers have come to like more than others. They may not necessarily be the most popular ones. There are several factors that may affect what diaper products consumers patronize the most,

One of such reason is by recommendation. Most consumers buy products based on recommendations from other people. It may be from friends, colleagues at work, church members, experts, or just from family members. These recommendation can make consumers buy any product regardless of their quality and price.

What Consumers Think Of Diaper Products

It’s important to always know what consumers think about a product. Their perception is key to knowing what you should be selling as a retailer. For example, Guilder beer is a very good brand, but there are locations you will never see good demand for Guilder.

It has nothing to do with whether the product is good or bad, but what the consumers in that area think of it. The best diaper products may not be what’s selling in your location.

You need to understand how the consumers in your target area think about the diaper product you want to stock. It will not be wrong to investigate it properly. While I will analyze what informs consumers decision about best diaper products, it may be slightly different in your location.

So, my advise would be to also do your own little research as well. What you may find out would help you apply my advise better. Moreover, your target market maybe different from another market location. So, it’s wise to do a little bit of your own findings to balance your knowledge.

About The Best Diaper Products

In the eyes of the ordinary consumer, the best diaper products maybe the most popular brands. The one that is advertised the most, or the ones everybody seems to be using in that area. Or the ones used by those that they know and relate with on a regular basis.

There are over 50 diaper brands in the country, and most of them can pass off as best diaper products. Yet, that would not be the right assessment for every market in the country. For some markets, their best diaper products could be Molfix, while another could be Dr. brown.

For a retailer, the best diaper products would be the one that most people in your market buy regularly. It doesn’t matter what brand or price of the diaper. What matters is that it makes business sense to sell such diaper brand.

Since the COVID-19 pandemic, price point is defining the best diaper products consumers are patronizing. This post is not about making a case for any brand, but the Chinese brands are gaining strength in the diaper market with cheap unbranded diapers.

And that raises a lot of concern, since most of these products are not registered with NAFDAC or SON CAP approved.

Identifying Special Diaper Features

Diaper products have evolved over the years. It has not always been diapers. There were times it was a reusable napkin that mothers used for their babies. It was washable but so messy – as mums had to deal with cleaning poop and pee from off the babies and the napkins.

At the introduction of diapers or nappies, things changed. It became disposable, making it better for mums to deal with poop. Once a nappy is soiled with poop, the mother unwraps it from the baby and dispose it together with the poop.

But this nappies also had their own problems. Some of which was also being experienced with napkins. When the baby pooped the nappies would ooze off poop smell. It’s wasn’t pleasant for mums to always had to deal with, especially when in public places.

Also, since these nappies are more or less worn like panties, some don’t fit properly on the babies, and had gaps between their legs from where poops and pee could be leaking from. Mothers often got messed up with poop and pee.

Not to mention the health problems babies experience as a result. Some of these nappies also make babies so uncomfortable.

Top Key Features:

Now, manufacturers had to include features to help solve the main problems mums had with nappies, which are majorly rashes and itching, poop smell and nappies leakage. These were solved with:

  • Dry nappies
  • Perfumed nappies
  • Stretch nappies

The dry nappies provided the comfort and dryness for the babies skin, helping to prevent babies from having rashes and itching on their skin. These dry nappies absorb liquid collected in the nappies, which is primarily the main causes of rashes and itching.

More so, the nappies are perfumed to help hide the smell from the poop and pee, relieving mothers from the public embarrassment of smelly poop. And the stretch help to fit the nappies properly, blocking any gap for leaks, so the mums don’t have to worry about poop leaking into their cloths when in public.

How Price Affect Sales

Although diaper products are not expensive but that doesn’t mean price doesn’t affect sales of diapers. It does affect it more than you know. If not, why do you think Pampers lost its number best diaper products to Molfix?

The two products may not even be the same quality. So, many mothers should have preferred Pampers over Molfix, but the price of Pampers compared to Molfix discourages some. It’s a like a case of the best brand with a cheaper price wins. Although, there are mistakes made by Pampers which they may not want to correct.

And it has nothing to do with quality. Rather, I would blame it on Income and expenditure. Inasmuch as every family would love to give their children the best of diaper products, not many can afford it. Buying just one pack of diaper may not make significant impact on their income, but having to buy it for like 2 to 4 years of the life of that baby will drill significant hole on their finance.

Even the so called cheaper diapers are not super price friendly. So, the consumers are making choices of price as they consider their income and how much they would spend on diapers in a month or a year or years.

How Consumer Interest Works

You may be surprised how consumer interest affects product sales. I did a market research on best diaper products and I was amazed at what I found. The most interesting was consumer interest. They may differ from market to market, but something was rather off and similar in my discovery.

It has to do with Prince and Princess diapers. At that time the product was very scarce in the market. So, my respondents thought I was representing all diaper companies. They asked me when I would be bringing Prince and Princess diapers. That made me curious about the brand.

At that time it was a fast selling baby diaper. I’m not saying it’s among the best diaper products now since it’s hardly in the market, but it seems to be then. When I inquired further why they wanted that diaper, the sole reason being that it comes with free wipes.

I wasn’t surprised, because their reason was in order. Mothers save cost of buying wipes when they buy Prince and Princess baby diapers. And diapers and wipes are used together.

You cannot divorce consumer interest when picking the best diaper products. The latest interest now being the stretch and affordability. While some may not consider affordability since diapers are not that expensive, many can’t ignore the stretch. It helps hold the diapers on babies and eliminate size option for many children.

The Competition With Diaper Brands

You need to know that each diaper brand is unique in some ways. Apart from the brand name, the sizes for age brackets may also not be the same with another brand diaper. Even your child who maybe 6 months old may be bigger or smaller than diaper size for 6 months old babies.

So, no two diapers are actually the same. You need to learn about every diaper as a retailer. Find out what the manufacturers are promoting about their diapers, and compare it with the reasons consumers are actually buying it.

Find out about the features that makes each diaper product stand out from the rest. There may be some features the manufacturers didn’t consider huge but might be what’s selling the product in your market.

For example, I learnt about the key reason that’s making consumers pick Chinese unbranded diapers over the Nigerian big brands, which is the lower price point. As consumers make purchase choice on limited income, price is a major consideration.

I heard they have also added stretch to make it irresistible for most mums, who merely see diapers from the disposable point of view, Even though the Nigerian big brands has stretch as well, the lower price point gave the Chinese Diapers some market advantage.

Opportunities And Market Demand

So many diapers are being sold daily across the country. Although, there’s still huge potential for diapers, as some mums are still not using diapers for their babies yet, especially in the rural areas. That still means there’s an untapped potential in the diaper market. There’s room for growth and market demand can be increased.

Although, untapped diaper markets are under the purview of the brand owners, but a retailer is in better position to understand its market. You can find out what is hindering growth in your target market and seek solutions to it.

For example, sometime in Lagos, the Aboki shops started selling ladies sanitary pads in single retail units. These Mallams didn’t know initially that it was supposed to be sold as a pack. That mistake helped ladies who couldn’t afford to buy a pack to still use pads instead of tissue paper.

A retailer can also provide such single unit sales to help mothers who couldn’t afford a diaper pack to buy as they need it. Sometimes, some mothers might only need a diaper if they are taking their kids out, and not when they are at home.

See opportunities and capitalize on them to grow your target market. It can also help increase your profit, as selling single unit will cost more as opposed to selling in packs.

The Economic Impact Of Diaper Products

Diaper products are creating Income and employment opportunities for many people in the country. There are hundreds of thousands of Nigerians who are gainfully employed in the diaper market.

We can number the brands that are importing or manufacturing diapers, but we cannot number for a fact the thousands involved in the retail of diaper products. The number keeps increasing by the day.

As a consultant for startup businesses, I get a lot of enquiries daily on people who are desiring to startup a diaper shop. This number is so high that you will question if diapers are the only product worth selling. You can also read: How To Start A Profitable Diaper Shop.

The annual diaper sales is currently at over 2 billion diapers. According to a report on Nonwoven Industries website, the growth will continue at a 9% forecast to reach 3.6 billion units sold by 2022.

Conclusion

The best diaper products are not necessarily the ones most consumers are buying. The idea of diapers was to solve problems mother have with caring for their babies. And I have explained the three most important ones.

As a diaper retailer, these are things you should watch out for. Even if that diaper is not selling fast already, it would sell in the future, as more and more mums found out about it’s good features. Although, I also mention price and consumer interest.

It’s not just one factor that defines the best diaper products. You have to examine several things along the line to pick what would sell for your market. That’s your key to success with selling the best diaper products.

Finally, the wearable pants are now trending. They are easy to wear the babies. Even fathers can now do the nappies without worries. This new nappies are same as baby pants but with full diaper features.

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How To Start Distributing Your Product In 2020

Do you want to start distributing your product in Nigeria? There’s a simple way to get product distributors anywhere in Nigeria. It’s the secret successful brands have used to dominate the market and spread across the country. And you too can use the same method to grow your business.

If you are an importer, brand owner or a manufacturer, you can start distributing your products to increase sales across Nigeria. There may be demand for your product in places you have never known or heard across the country.

Sometimes, you may not even have the resources to get your products there. Or the brand advantage to spend heavily on advertising. But you can distribute your product to every part of Nigeria without stress.

Although, the challenge is usually how to get started. Some companies have tried online advertising to get distributors, but that doesn’t yield the best result always. Most of who may get are people who are interested but lack the experience or financial requirement to start distributing your product.

What you need is distributors who have both experience and the financial ability to represent your product in their local market. This kind of partners is what would help grow your product in every market.

Understanding Product Markets In Nigeria

The first thing you need to understand when you want to start distributing your product across the country is, who are your target customers. Your target customers would help you understand what kind of markets you should be interested in.

High end products may not require distributors, and so you don’t have to use this method. But low end products means that your customers are at the lower end of the demand curve. They are the common people who probably have primary access only to local markets as well.

And Nigeria has many of these markets all over the country. If you have the statistics of these markets you will agree with me that until you start distributing your product in these markets you cannot grow your business in Nigeria.

This goes for foreign brands as well. Any product that’s not available in the markets doesn’t have access to the right consumers, unless it’s a high end product.

Local Market Statistics

I don’t have all the information about every market in the country but I recently stumbled on that of Ariaria market in Aba, Abia state. Just because this market is not in Lagos would make many investors overlook it. What if I tell you that this market has 37,000 shops and over 1 million traders, would you believe me?

Ariaria is not even the biggest market in the eastern part of Nigeria. Onitsha main market is an acclaimed winner with an international status. If Ariaria has over 1 million traders, how many do you think Onitsha main market would have?

Now, let’s go down to Lagos, where we have several large markets like Balogun market, Alaba international market, Trade fair market, Ladipo spare parts market, and others. These markets are by no means small.

I’m not just showing you market statistics to boost their image. I want you to see how vast their reach can get. If they are big it’s because large number of people are patronizing them. That makes them a market to target with your product.

List of 20 Top Markets In Nigeria

Ariaria market 37,000 shop complex in Aba, Abia state

In order to give you an idea of these markets, here is the list of just the top 20 of them in no particular order. We have Market in every state in Nigeria, all the 774,000 local government areas in the country, and virtually every village one can think of.

So, there’s market for your product everywhere in Nigeria. These top 20 of them is just a sneak view of what’s out there.

  1. Zaki Biam Yam Market – Benue
  2. Aleshinloye Market – Ibadan
  3. Onyingbo (White sand) – Lagos
  4. Alade Market, Ikeja – Lagos
  5. Mile 12 Market – Lagos
  6. Computer Village – Lagos
  7. Bodija Market, Ibadan – Oyo State
  8. Nnewi Nkwo Market – Anambra State
  9. Newmarket, Aba – Abia State
  10. Jos Main Market – Plateau State
  11. Oil Mill Market – Port-Harcourt
  12. Oja-Oba/Orita Merin Market, Ibadan – Oyo State
  13. Ogbete Main Market – Enugu State
  14. Kurmi Market – Kano
  15. Idumota Market – Lagos State
  16. Alaba International Market – Lagos
  17. Ariaria International market, Aba – Abia State
  18. Balogun Market – Lagos
  19. Oshodi Market – Lagos
  20. Onitsha Main Market – Anambra

Distributing Your Product In Nigeria

It’s not enough to identify all these markets for distributing your product in Nigeria, you should also know how best to penetrate these markets. As I have mention earlier, there are disadvantages of just advertising online for distributors.

It attracts a lot of interest from those who are incapable of managing your product in their respective markets. You don’t want to waste your efforts on strategies that doesn’t produce better results.

And you should know that not everyone who shows interest to distribute your product has the experience and capacity to do so. There are people who are just so good at what they do. They have built success in their field of business that you are just going to tap all that blessing to grow your own business.

Imagine having 10,000 other people in 10,000 different locations selling your product. What kind of sales do you expect to see each day? The beauty of distributing your products across the country is that you are reaching everyone who needs your product, making it easily accessible to them to make the choice to buy from you.

Nigeria’s largest electronics market: Alaba International In Lagos state

Who’s A Product Distributor?

One way to understand a product distributor is to learn about franchising. They are one and the same marketing strategy. A product distributor buys the Franchise to sell your products in a particular market or city.

Although, this arrangement doesn’t always take the form of franchising but it’s noting different from it. Because a product distributor is empowered to represent the interest of your product in that area. He or she buys from you in a large quantity and sells to small retailer who are located everywhere your customers are found.

A distributor buys your products in large quantity, warehouses it at his or her own cost, sell to retailers who can’t afford to buy in large volumes, who in turn retails to consumers as they request for it.

There’s so much benefits for your business distributing your product this way. The only requirement to tap into this form of marketing is to have a product you control in the country, even if you are not the original manufacturer.

Tips To Distributing Your Product

If you seek the benefits of distributing your product in Nigeria, you need to know how best to do it. I’m not expecting you to know everything you have to do right, but there are basic plan you need to put in place.

There are 37 states in Nigeria, including FCT, with 774,000 local government area, while communities and villages not countable. You can have your product reaching every state, local government area, communities and villages. Imagine how massive the market would be.

I’m showing you the secret of product marketing for billionaire entrepreneur. And don’t think it cost so much to achieve this. Even if it does, there are ways you can do it to make it less burdensome on your finances.

#1: Hire A Marketing Company

The first step here is to hire a product marketing company. I’m going to be very direct on the kind of product marketing company you should hire. Because there are many companies in the product marketing arena and their strategies differ as well.

The company I would recommend is one with experience in market insertion. In case you don’t know how market insertion works, let me explain in simple terms.

These kind of product marketers recruit capable distributors and retailers to distribute your product. They can also help plan your marketing program to help push the products faster into the hands of new consumers.

That is the kind of product marketer you need. They help make your product easily accessible to consumers, and recruit for you big distributors who has both the experience and the capacity to represent your product in their market.

#2: Make Your Offer Exclusive

This part is very important. If you want serious minded distributors, you have to make the offer exclusive. Nobody would like to invest so much in your product if it’s too competitive. It’s the exclusivity that would encourage them to stake their finance on your product.

An exclusive offer makes the distributors feel they are an important partners in your business. It gives them some monopoly in their respective markets. That’s also why they can buy in large quantity because they feel responsible for the product supply in their assigned market.

If your offer doesn’t include this kind of exclusivity, then it’s not enticing enough. You may still get some distributors, but may not be the experienced and capable ones. It takes a huge value proposition to entice serious and capable distributors to join your network of product partners.

One good way to offer exclusive distribution to your partners is to segment your market either according to states or cities. Design your distribution plan in a way the distributors will know how the market is shared among distributors. And stake your integrity to maintain this exclusivity without fail.

#3: Target Experienced Distributors

In distributing your product, don’t just sign up anyone who says they want to start distributing your product. There are distributors I call road side distributors. These are people who has no experience in business but have money to buy products and stock.

The type of distributors you have can either impact positively on your sales growth or frustrate it. The best bet is to go after distributors with track record of achievements in their respective markets. And if they are new or aspiring distributors, ensure they possess the zeal and passion for the business.

These experienced distributors have already gained some relationship with fast growing retailers who they can introduce your product to. They have some experience in the market and knows how to move any product faster to the consumer.

Avoid recruiting inexperienced distributors. That’s why you need to hire a marketing company to do this one for you. Don’t waste your money on advertisements for distributors, rather spend that advert budget on promoting your products to the consumer and directing them to the stores near them.

The popular Ikeja computer village in Lagos State

#4: Set Standard Relationship

You don’t want your distributors to feel like they are on their own. That can discourage them or make them feel less interested in pushing your product. Think of your distributors as your partners. They are your marketing partners that should be brought closer to every plan you are making about your product.

Create an easy communication channel to reach all the distributors in real time concerning distributing your product. Update them on promos, incentives, commission increase or decrease, and other measures aimed at marketing your product.

Also, don’t ignore their complains and concerns about your product. Use them as channel to get feedback about your product. And hear what they think about how well you are compensating them for their efforts.

Most importantly, make them feel they are too important to your business. People like to be valued and appreciated. If you appreciate the value your distributors bring to your business, they will be happy to do more.

Conclusion

Any product that’s not built around a network of distributing partners won’t grow fast in Nigeria. The Nigerian market is still built around local markets, like in the calendar of the Igbo market days of (eke, orie, afor and nkwo). The Igbos go to different markets based on assigned market days to buy and sell.

That same structure is what’s being used today but a bit different from the past. Everyday, millions of Nigerians go to these different markets to buy or sell. And no matter how the markets transform, they will still be the congregating point for buyer’s and sellers.

Finally, use experienced product marketers to grow your distributing partners for your product. It’s not cheap but it’s worth it at long run. However, you can take one market at a time for cost consideration, until you have covered every market in the country.

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How Cybersecurity Should Works For Startups

A cyberattack is a malicious and deliberate attempt by a cybercriminal to breach the information system of an individual or a business. Cyberattacks have become so common these days, barely a week goes by without news of a high-profile data breach or cyberattack.

Attacks are happening all the time to computers with internet access.

A recent study at the University of Maryland found that in America, hackers launch cyberattacks against computers with an internet connection every 39 seconds on average.

While only attacks targeting large corporations make the headlines, studies show that most of the cyberattacks are targeted at small businesses. In fact, 43% of cyberattacks target small businesses including start-up companies.

Start-ups are especially vulnerable to malicious attacks in their first 18 months of operation. In this article, we look at why start-ups should pay attention to cybersecurity and some proactive steps these small businesses can take to mitigate the risk of a cyberattack. Read on to learn more.

Why Cybercriminals Target Small Businesses

Large organizations have more customer data, more money, and are naturally a big-ticket target for hackers. It makes more sense for cybercriminals to target large organizations as opposed to smaller businesses.

Following this logic, it’s easy for entrepreneurs to operate under the assumption that their businesses are too small to worry about cyberattacks or their data is not theft-worthy.

But that can’t be further from the truth. No business is too small to worry about cybersecurity.

Any business that uses technology to store and manage customer information is a potential target. And it doesn’t take the attackers a lot of effort to find vulnerable systems, they use automated scripts to find entry points to access valuable data.

Since most start-ups don’t have an adequate computer and network security, they automatically become an easy target for cybercriminals. Due to limited resources, start-ups often fail to respond to cyber threats quickly enough — some won’t even detect attacks at all.

Common Cybersecurity Threats Start-Ups Face

Cybersecurity threats are everywhere. Data breaches and other forms of attacks happen on a daily basis. Small businesses are an appealing target for cybercriminals and fall victim to the vast majority of cyberattacks.

If you are running a start-up, know that you are a direct target of an attack. What are some of the most common cyber threats start-ups face? Here are some of the most common threats that entrepreneurs should be concerned about.

 

image from pixabay.com

 

I. Phishing

Reports indicate that phishing accounts for over 90 percent of cyberattacks. In a phishing attack, hackers will send out emails to multiple targets posing as a trusted source. These emails contain malicious code in an attachment or link.

Ransomware attacks tend to utilize phishing as a method of delivery. You may also be prompted to enter sensitive information, such as password and account details, allowing the attacker to gain access to your PC or account.

II. Malware

Hackers will often deploy malware to exploit vulnerabilities in your system. Depending on the type of malware, there are many forms of malware attacks. Once it has found a way into your system, a trojan virus allows the attacker to perform several functions.

For instance, the attacker can delete, modify, or steal your data. Other forms of malware such as worms, bloatware, adware, rootkits, etc. can be just as damaging.

III. Ransomware

As the name suggests, ransomware is a form of malware that makes your data inaccessible and holds it to ransom. It’s nearly impossible to get rid of ransomware without parting with significant amounts of money.

These attacks are spread through phishing emails to unsuspecting employees. Ransomware is becoming increasingly common these days. Forbes predicted a 300% increase in ransomware attacks in 2020, mostly targeting small businesses.

IV. Data Leakages

Data leakage is the unauthorized transfer of secure or private/confidential information from within an organization to an external environment. Data leakages can be intentional or unintentional. The data may include contact info, user credentials, payment card information, etc.

Start-ups, especially those that have implemented interfaces with financial service providers, are highly vulnerable to financial data leaks.

V. Human Error

More often than not, the root cause of most data breaches or cyberattacks is human error. Research shows that the vast majority of cybersecurity incidents are directly or indirectly caused by negligent employees, contractors, and third parties.

Employee actions such as continued use of default passwords, loss of company smartphone, sending sensitive company information to the wrong email, etc. can easily result in a data breach.

Cybersecurity threats are constantly evolving, and attacks are becoming more frequent and more damaging. New types of phishing attacks, spear-phishing, and whaling are on the rise.

The former targets a specific person or entity while the latter specifically targets senior executives within an organization. Understanding the different types of threats out there will help you protect your start-up from a cyberattack.

The Cost of a Data Breach

As the media focuses on mega data breaches, cyberattacks are rapidly becoming the norm for small businesses — often with catastrophic consequences. The average loss per attack is more than $188,000, that’s way more than your average start-up is capable of recovering from.

Reports suggest that more than half of small businesses don’t survive a cyberattack. Most of these businesses will go under, six months after the attack. What can you do to protect your start-up from cyberattacks and avoid these consequences?

Securing Your Start-Up

Running a start-up, or a business of any kind for that matter can be demanding. Between endless client meetings and finding the right market for your product, entrepreneurs have their hands full and don’t have time to think about issues such as data security.

Cybersecurity may not even cross your mind until there’s a breach. But that doesn’t make your start-up less of a target. The frequency of these threats calls for the highest level of preparedness.

Here are some proactive steps you can take to mitigate the risk of a cyberattack or data breach in your start-up.

I. Perform a Risk Assessment Exercise

Risk assessment is an important part of cybersecurity. To be able to defend against the wide range of cybersecurity threats out there, you need to know where you are most vulnerable.

Carrying out a risk assessment can help you do that. You can start with an audit of the most valuable data and information in your possession. This audit will give you a clear picture of where your start-up needs the most protection.

If you are not well-equipped to carry out a proper risk assessment, there’s no harm in hiring an external consultant to help you out.

II. Install Cybersecurity Software

Consider cybersecurity software such as antivirus and VPNs to add an extra layer of security. Antivirus is a set of programs designed to protect your system from viruses, trojans, spyware, worms, and other malicious software.

Anti-malware can help you keep your start-up’s data, company information, and identity secure from attackers. You might also want to add a Virtual Private Network to your cybersecurity toolkit.

You can ensure that you have a secure connection with a VPN and prevent Distributed Denial of Service (DDoS) attacks and a wide range of online threats.

III. Employee Training

As stated earlier in the article, the vast majority of data breaches are a result of negligent behavior by employees. No matter how secure your system is, you are still vulnerable to cyberattacks if your employees lack proper training.

Regular employee training sessions on cybersecurity best practices can help. Provide guidance on how to handle sensitive information and come up with clear rules regarding password security.

Come up with a cybersecurity framework that outlines key processes and procedures in the event of an attack.

 

image from pixabay.com

IV. Protect Your Company Data on the Move

Keep in mind that sensitive company data will accompany your employees wherever they go. Negligent behavior by employees even outside the office can lead to a cyberattack.

There are steps that you can take to ensure that company information is protected at all times. For instance, encrypting all mobile devices used for work purposes is a good place to start.

Also, block access to websites that compromise the security of your company data on devices used for work purposes. Ensure that your security policy covers the use of personal devices and remote working.

V. Control Access to Company Data

As an entrepreneur running a young start-up, you must be aware of who has access to sensitive company information from the get-go. Sometimes you have to share sensitive credentials with third-parties when you launch your start-up, that’s okay.

Problems arise when you fail to revoke these privileges when your relationship with a certain vendor ends. Some third parties may not see the need to protect your company data with the same level of urgency when you are not working together.

Also, limit employee access to sensitive company data.

VI. Update Your Software Regularly

We cannot stress the fast-evolving nature of cyber threats and its significance to the security of your company data enough.

Hackers are always coming up with newer, more clever ways to launch cyberattacks. Software updates are vital to your start-up’s digital safety and cybersecurity. Using old, outdated security systems puts your business at greater risk of a cyberattack.

Software patches are essential to your online security. Check your systems regularly to make sure that you are running the latest software version.

VII. Create an Incident Reporting Mechanism

Cyberattacks and data breaches are inevitable. Create an incident reporting system within your organization to ensure that all cybersecurity incidents are reported and properly documented.

The goal of an effective incident reporting mechanism is to process incidents as effectively as possible and minimize the impact of an attack in your start-up.

With an effective incident reporting mechanism, your employees will always know what to do when a threat is detected. Your IT security team will also be able to take the necessary steps to prevent the attack or minimize the impact of a cyberattack in your business.

VIII. Outsource IT Services

Due to strained resources, start-up owners often lack the resources to optimize their business for cybersecurity. In this case, it’d be wise to get professional assistance.

IT services provide a convenient and reliable way to protect your company’s data. Start-ups and other small businesses are often targeted by hackers due to their lack of experience in dealing with cyberattacks and the tendency to use outdated software.

Outsourcing your cybersecurity functions to a company that specializes in IT security gives you a chance to focus on expanding your business.

IX. Set Up a Reliable Backup Strategy

Employees are often targeted with social engineering attacks such as phishing. Just one inadvertent click on a phishing email can lead to the loss or destruction of data and bring your business activities to a screeching halt.

But if you are properly backed up, you can quickly recover your data and get back to business. Backing up mission-critical company data is the last defense against a cyberattack.

A good backup strategy gives your business a way to restore lost or destroyed data and can help you recover from a ransomware attack.

X. Periodically Assess Vulnerabilities and Keep Up with the Latest Hacking Trends

If you are serious about data security, you need to make sure that you carry out periodic assessments of the vulnerabilities in your network. As stated earlier in the article, cyberthreats are constantly evolving and a single, one-time risk assessment just doesn’t cut it.

Frequently stress your system to identify new loopholes. Additionally, it helps to stay on top of the latest hacking trends. That way, you learn about new risks as they emerge. Staying ahead of cyber threats will help you ensure that potential vulnerabilities are patched before it’s too late.

Conclusion

As an entrepreneur, you may even find yourself thinking that your young start-up is not at risk of attack but you couldn’t be more wrong. While news of their attacks doesn’t often make the headlines, start-ups and small businesses account for almost half of all cyberattacks.

Factors such as inadequate or non-existent security systems, lack of dedicated IT staff, etc. make start-ups an easy target for cybercriminals. Failing to put serious cybersecurity protections in place is just asking for trouble.

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How To Increase Sales For LPG Plant

Do you own an LPG plant or you are thinking on starting your own cooking gas plant? But here, I’m sharing with you some of the ideas you can implement to increase sales for LPG plant.

It’s important that you read through and find some strategies that would work for you. There are several ways to increase sales for LPG plant, but not all of them may be applicable in your location. Some might be costly to implement as well.

As the huge Investment opportunity in cooking gas increases, so will the revenue starts to decrease as well. Because there will be more LPG plants targeting same location or even outrightly taking over some share of your market.

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When that begins to happening, as it’s already happening for some plants, how do you hope to increase sales for your LPG plant?

Understanding Location Based Advertising

If you already knowledgeable about advertising, you would be familiar with LBA or location based advertising. This kind of advertising was born at the beginning of the mobile phone era. Although, not much is being said about it lately because it’s virtually being used in every digital platform today.

This kind of advertising deals with targeting customers to patronize a business within a specified location. This advertising is targeted only at those who are within the preferred location, and at the time they can use the service or buy the product.

Feasibility Report For A Mini Cooking Gas Plant

So, this advertising favours businesses that are location based like LPG plants. The question is, how do you utilize such marketing to increase sales for LPG plant? How do you implement LBA for you plant, and what technology is most effective for your target audience?

Together we are going to be looking at some of the existing platforms you can use to increase sales for LPG plant. But it will be up to you to decide which one or ones that are suitable for you to use.

Tips To Increase Sales For LPG Plant

I have outlined these tips as a way to guide your marketing plan. Most LPG plants don’t think there’s anything they can do to promote their business. They just believe that the customers would always come into their plant to buy gas when they need to refill. As much as that could be true now, it may not be true for all time.

The main reason for marketing is competition, and without competition there will be no need for marketing. Because your customers would always find you when they really need you. But since they don’t have to choose you, then you have to find a way to make them to choose you.

The idea to increase sales for LPG plant is to go beyond the wait and see conventional sales strategy for gas plants, where the customers on their own would find the nearest plant to buy gas. I have bought cooking gas from different plants as I choose because no one gave me any reason to choose them.

But if you plan to increase sales, you don’t just seat and wait for customers to decide in their house which plant they would buy from when their gas cylinder is empty. You can help them to choose you, long before they ever need to refill their gas cylinders.

Holiday Sales Marketing

Holidays are the best times to increase sales for LPG plants. One of the benefits of holidays is that people want to spend. They have plans to spend more money and that can increase your sales normally. But that’s not always the case.

Inasmuch as people want to spend money during holidays, they don’t have to spend it on your product. If you want their money it’s up to you to strategies on how to get it. That means, as an LPG plant you have to have holiday sales plan.

It’s not enough to say my customers would buy from me. What about increasing sales during holidays? You have to see holiday season as a time to increase sales for your plant and not just to seat with the hope customers would buy from you.

The marketing strategies I’m sharing with you here would help you to plan your holiday sales better. Also, I recommend you read the following articles: How To Sell – A Simplified Guide and How Marketing Works For Beginners.

Membership Database Marketing

One of the most important form of marketing that’s being ignored by LPG plants is membership or customers database. In all the gas plants I have visited and even worked with, they never see this as important.

Most of them don’t even have the contact details of their customers. They treat everyone as a walk in customer without any relationship or attachment with the plant. You can send text and whatsapp messages to notify your customers of discounts, incentives and closures and holiday sales.

You can even send them holiday greetings during Christmas, Easter, workers day and Salah holidays. You can also send birthday reminders. People love to be celebrated. I have testified of my story, how my bank used to remind me of my birthdays until social media took over.

Recently, I learnt one of the popular LPG plants around me had a free gas day during the Covid-19 lockdown. I wasn’t aware, even though I have been buying gas from the plant. I first thought it wasn’t properly publicized or they used a different platform not targeted at their customers.

Then it occurred to me, they don’t have my contact, even if they wanted to reach me. This should be a lesson to all LPG plants to have a database of their customers. If someone ever bought cooking gas from your plant, you should have at least their phone number and cylinder KG size. Everything is tagged to phone numbers these days.

We currently implemented this for a client, and I will explain it all in the case study. I will explain how we implemented this strategy. You too can do the same, tapping into my ideas for your plant.

Mobile App Strategy

Mobile apps are changing the way we do business with our mobile phones. One of the best ways to build membership or customer database is with mobile apps. While most plant owners still argues that it’s still early to adopt such strategy, they forget that you don’t build customers overnight.

A mobile app would help you start building members database now, long before your business would become more competitive. The app can do much more than just members database profiling. It would help you increase sales for LPG plant by giving users access to order cooking gas and buy cylinders on their phones.

It may cost some money to develop an app like this but it helps plant owners increase sales through customer database management. However, an entrepreneur can also provide such marketplace for all gas plants in the country to use.

Social Media Marketing

This may not be the perfect way to increase sales for LPG plant, but it’s a way to help brand your gas plant in the mind of your target customers, and publicize your future promos like discounts.

You cannot avoid having social media presence, at least in platforms like Facebook, Instagram and Twitter. You may need to localize your social handles as well to avoid people who are not from your location joining your fan base. You don’t need your followers polarized. That would make your social media campaigns less effective.

If you have multiple plants, it will be best to either add the locations you want customers to follow you or create each handle for particular location. Don’t attempt to target everyone with your social media pages. Focus only on your target location.

Customer Delivery Services

Another strategy you can apply to increase sales for LPG plant is delivery. During the pandemic, many customers, both homes and businesses wanted to get their gas delivered to them but couldn’t find such service anywhere.

This kind of service is what is still keeping the road-side gas refill stores operational. People find them convenient when they don’t feel like going any distance to buy cooking gas. Also, in time of emergency, when gas suddenly finishes during cooking and you have no one to send to refill your gas cylinder, delivery service may be the only hope. There are customers who won’t might paying delivery charges.

Some businesses like restaurants, hotels, etcetera, would use delivery services when offered. You have to understand your customers needs then look for a common ground to provide such services in a way it will serve a purpose.

Promotional Tips For LPG Plants

I have given you some important clues as to what you should be doing about how to increase sales for LPG plant. First, I explained about location based advertising – meaning your promotion should be location based only. You target only those within your business coverage.

Secondly, i highlighted in the steps to increase sales for LPG plant database marketing and mobile apps. These two should work together to be more effective. You need an app to manage customer database. You can also collect customers data any other way or even using manual method.

But for LPG plants that deals with more customers or multiple locations, using a mobile app would of great benefit. I even advised that it would have better subscribing to an existing LPG marketplace app to save cost in developing your own app.

The real concept is how you can communicate to your customers through their most effective platform. And then, the social reach out. It’s also an avenue to promote discounts and incentives. Most importantly, it’s to brand your LPG plant business. While I also explained delivery as a value service that can increase sales for your gas plant as well.

Let’s now look at some implementation strategies, as a way you can increase sales for LPG plant:

Promote With Incentives

Incentives are most effective way to attract, motivate and encourage customers to do something. You remember the popular campaign, BUY 1 GET 1 FREE! Such incentive drives sales in a way you may not be able to control.

However, I would only advise using promo that can increase sales for LPG plant and that will not reduce your revenue.

Moreover, the only way promos work effectively is if they are amply advertised. There’s no way it works without more customers being aware of it. It doesn’t matter if you are giving out discounts or souvenirs, they are the same. If nobody hears of it, nobody will participate in it.

Offer Discount Promos

Let me start with discount sales for either all your customers or segment of your customers. You may not know how effective discounts work for sales until you try one. This kind of strategy is used a lot by supermarkets, and it works.

Once customers know they can pay less they would want to come back for more. Study and strategies on different promo discounts to help you boost sales regularly.

However, if you have been operating for up to one year, you should have noticed your high and low-peak periods. This would help you plan your discounts to either help attract new customers or increase sales from dormant customers.

With discounts nothing is done without a target. You might observe my emphasis on mobile app, it’s because to better manage promos in this age you need it. It will help you to better manage customers who benefits from those promos and for proper accountability. You don’t want discount fraud or encouraging your workers on how to steal from you.

Give Out Souvenirs

This kind of promo is usually good when you are launching your gas plant. It helps to create massive awareness around your target communities. Also, most customers would come just to get the souvenirs.

You can either give it out freely to everyone, depending on the type of souvenirs or use it to increase sales or patronage. You should use something that’s attractive and that would help promote your new plant.

For example, t-shirt or face cap can do the Magic better. While everyone would like to get this kind of souvenir, it can also help you increase patronage. You can offer the customers that buys up to 12.5kg gas quantity in one month. Not everyone would qualify but surely everyone would be talking about it.

This kind of promo would work best with mobile app, so you can collect their data as well and use it to capture your first customers. How you implement this would matter a lot.

Case Study: OBO GAS Promo

Let me say client name is OBO Gas. They wanted to implement a system to help them manage and reward customers. We launched a campaign, know your cylinder size. They campaign was to help document regular customers and to know how much gas they buy monthly.

OBO couldn’t automate the system, we used its receipt system. Customers were issued with a tally number to indicate how much kilogram of gas they have bought. Every repeat purchase gets a new tally number with current KG total.

We exchanged customers data during the first tally collection for the month, and announced winners at the beginning of each month. Top 3 customers with the highest KG purchase gets gift items. Their phone numbers, kg purchased and gift they qualified for where published and posted for everyone to see. And we took pictures for the social media campaign.

At the end of 3 months, we collected 247 customer data, and had 60% increase in return customer rate. There were challenges too, and we hope to do it even better next time.

Conclusion

If you are focused on how to increase sales for LPG plant, you will always find ways to promote your plant better. But what’s more important is how best you can reach out to target audience during your promo period. It’s important you consider the options that would give you more reach at cheaper cost.

Also, you have to know which segment of your customers you want to target with the promo and what the motive for the campaign. Whether you are using discount or souvenir, whatever incentive you agreed to use shouldn’t be wasted on the wrong target.

Finally, customer management is more important and should be part of your plan from the beginning. Managing customers is like managing your revenue source. It’s not something to take likely. And I strongly recommend to focus on phone numbers. Everyone has phone these days. If you would buy into my idea of a mobile app, contact me for how you can implement it for your gas plant.

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Grow Your Business

Remote Working – How To Protect Your Device

Do you want to start working from home? A lot of organizations now, including Facebook are brainstorming on the ideas to approve remote working. This would provide help even in time of crisis, natural disasters or like the recent pandemic.

Since covid-19, a lot of measures are being put in place to reduce the risk of infection. The coronavirus has forced the government to encourage social distancing techniques.

This includes isolation in various homes, consistent use of hand sanitizers, and a distance of at least two meters for people who need to leave their homes.

Social distancing has negatively impacted various economies around the world. Production lines in factories have been stopped and nations are closing borders and halting the free flow of travel.

However, because of the level of technological advance in the last few decades, we no longer rely on physical contact to facilitate certain kinds of work.

Some individuals work full-time on their computers as online freelancers. Firms have also set up remote workplaces for workers to connect to periodically. As a result of the pandemic, offices have been instructing employees to work from their homes.

This way, tasks can be continued while the world is awaiting the end of the coronavirus pandemic.

Understanding Risks Of Remote Working

Remote working is very convenient and can be handled from the comfort of your bed, your couch or even a park. However, just like everything else, it comes with its own disadvantages.

As you’re diligently working to complete your office tasks, there are also others working to disrupt your activity. They’re known as cybercriminals or hackers.

These hackers understand a lot more employees are working remotely in the world right now and are doubling their efforts to breach the security of your device.

When you connect to your online work from home, you’re highly likely to use your personal devices and network. This way, it would be easier for a cybercriminal to penetrate your system. When you work in the office, there’s a cybersecurity team to protect your work device from the security risks.

Working from home is a totally different story. Your device could have several security leaks and lack the necessary tools to prevent hackers from breaching your privacy.

Cybercriminals typically hack devices for two major reasons. To get financial remuneration or to target specific information. Either way, the consequences are devastating and could have long-term negative effects.

Because of you, sensitive files about your company could be leaked or your firm’s online workplace could be compromised.

There are certain threats that exist on the internet to target remote workers. These risks are explained below.

Breached Public Wi-Fi

Hackers use public Wi-Fi to obtain information from a large group of people. Individuals may connect to public Wi-Fi when they are in places like cafes, restaurants, malls, etc.

A cybercriminal would then perform a man-in-the-middle attack to place a device between the users and the network. This way, information can be gleaned from the numerous users that link to the Wi-Fi network.

In essence, all activities performed online by users would be seen and recorded by the hacker. Unencrypted chats, social media login information, email logins and even internet banking login details could fall into the hands of the hacker as you work remotely.

Malware and Ransomware

Malware is one of the most dangerous threats on the internet. Depending on the type of malware, a device could be remotely controlled by the cybercriminal. It is one of the ways hackers can get a lot of information from your computer.

Malware could be gotten from several sources. You could get it while surfing the internet and downloading files that seem useful. You could get it from email attachments sent to you. You could even get it while installing an ‘antivirus’ from one of those pop-up adverts you see on the internet.

Possibly the worst thing about having malware on your device is that you would be ignorant of its existence. The malware could perform activities like mining cryptocurrency on your device or stealing passwords to your various accounts.

Ransomware is considered the most damaging type of malware on the internet. Cybercriminals behind ransomware typically seize all of your information in exchange for a ransom. Threats would be made to leak your personal information on the internet until you make financial remuneration.

Phishing

Phishing is the act of duplicating a website, usually one that facilitates logging in to an account, to steal a user’s details. Hackers have typically used phishing right from the mass adoption of the internet. The bad part is, a lot of people fall victim to phishing because they’re not tech-savvy or cyber-conscious.

Phishing is usually facilitated with an email. The email would create a sense of urgency, stating that action would need to be performed immediately. The email could even mention your account is being threatened. In the email, there would be a link to ‘log in’ to your account.

The cloned page would be an almost perfect duplicate of the original website’s login page. Immediately you fix in the details on the page, your information would be sent to the hacker.
Phishing emails usually target online banking and social media accounts.

Low-Security Level for Remote Working Devices and Network

Despite the fact that you’re working from home, you’d most likely not use your work device and network. Your office system and network are adequately protected with tools like antiviruses and firewalls.

You may not have an antivirus on your PC and your firewall might have been deactivated to stop those ‘annoying’ pop-ups. This way, you’re more vulnerable to the risks on the internet.

Your Wi-Fi system could also lack necessary security updates, especially if it is an older version. A cybercriminal near your place could breach your network’s privacy and spy on your activity. Professional hackers could even hijack your connection.

Even an action such as using the default Wi-Fi password could lead to a breach of your network. A simple search engine query could reveal your password for anyone to connect to.

Once inside the network, the hacker could do anything he/she wishes, such as turning your Wi-Fi router into a bot.

Tips to Protect Devices From Remote Working Threats:

  • Strengthen your Passwords

During remote working, it is more crucial than ever to change your passwords if they’re weak. An example of a weak password is one used for multiple accounts. In the event that a cybercriminal gets a password from any of your accounts, your other accounts would be exposed.

In this case, the hacker would utilize a method called credential stuffing. It involves using a single password to breach the privacy of other online accounts.

Another example of a weak password is one that contains elements of one’s personal life like a pet’s name or a relative’s name. All it would take for a security breach by the hacker would be a visit to your social media account. A few guesses would eventually lead the hacker to gain access to your account.

Different strong passwords should be used for different accounts. An instance of a strong password is one with at least eight characters with a mix of upper and lower case letters, symbols, and numbers.

If you’re finding it hard to remember all your passwords, you can use a password manager. Password managers save different passwords across your accounts and can even autofill your passwords for you. Their features also include creating a secure password for you if you’re not keen on racking your brains for a password.

  • Activate Two-factor Authentication

When massive data leakages happen, several passwords get leaked. In this case, having a strong password wouldn’t do you much good. This is why you need to activate two-factor authentication for your remote workplace account.

Two-factor authentication is an added layer of security that protects an account. To a hacker, your password would prove to be useless if your account is protected with two-factor authentication. The extra security could be in the form of a code sent to your registered email or phone number.

Also, remember to activate an extra layer of security on your devices such as fingerprint or iris unlock. In that case, when your device gets lost or stolen, the cybercriminal would not be able to steal sensitive files about the firm.

  • Pay for a VPN

VPN stands for Virtual Private Network. It works by routing your Internet traffic through a server in a region you chose to connect to, thereby protecting your online activity. Practically, a VPN acts as a protective barrier between the online traffic flowing to and from your device. In fact, it stops your Internet Service Provider (ISP) from tracking your activity.

VPNs protect your personal information by hiding your IP address, ensuring that you are anonymous on the internet, browsing with no worries. It’s very much ideal for remote working.

A VPN is so effective that if you’re connected to a Wi-Fi network that has been hijacked by a cyber-attacker, he/she wouldn’t be able to spy on your activity. This is because the encrypted information would be unreadable to the hacker.

VPNs come with various perks applicable during the lockdown such as allowing you to connect to geo-restricted content from any location. That way, you can watch your favorite shows on Netflix or download geo-blocked games. All you’d need to do is to connect to a VPN server in a location that can access the content.

  • Boost Your Router’s Security

Some individuals never bother to change their router password after purchase. These networks can easily be broken into by anyone searching the internet for the default password of your router. A hacker can even get onto the network, spy on your internet activity, and steal your files.

For remote working, you need to change your router password to a highly secure one. But that’s only the first step. Boosting your home router’s security goes beyond just changing its password.

You need to make certain firmware updates are installed on the router to prevent security leakages. The router encryption should be set to WPA2 or WPA3. You also need to add a firewall to your router. You can opt for a hardware firewall.

  • Activate Your Firewall

A lot of people tend to switch off firewalls on their devices to stop its numerous ‘annoying’ pop-ups. They’re ignorant of the fact that firewalls protect devices from malware attempting to sneak into devices.

A firewall is considered the first line of defense against spyware, malware, and ransomware. It works by closing communication ports between your device and the internet. Suspicious data packets would be blocked from penetrating your device, thus freeing your system from all forms of malware.

Operating systems typically come with default firewalls. To activate Windows Firewall, you can head over to the Control Panel, click on ‘System and Security’ and select ‘Windows Firewall’. If you are a Mac user, you can go to ‘System Preferences’, then ‘Security & Privacy’, then ‘Firewall’ tab and enable Firewall on Mac.

  • Default Suspicion of Emails

You need to be suspicious of emails that you receive. This is effective in preventing malware from being installed on your device or your account details from being phished. Make certain you’re familiar with the sender of any mail you’re receiving. Even then, you’d still need to watch out for other stuff.

Phishing is typically used to take over accounts and siphon internet banking information. To stop your information from being phished, you need to double-check the sender’s email address for spelling errors. Phishing emails also typically have several spelling errors and sometimes poor grammar.

If a link has been sent to your mail, hover over the link to see where it leads before clicking on it. Phishing links usually have misspelled domain names so you’d have to take your time to view the link sent to you. If you click on the link, ensure it is HTTPS protected (showing a symbol in the address bar) before fixing in your information.

If you’re sent an email attachment, ensure that you’re familiar with the sender before download. You can do this by scrutinizing the email address.

  • Use Encrypted Chat Applications

If your work requires a high level of privacy, such as journalism, and you need to secure the information sent to your colleagues, endeavor to use encrypted chat apps. Chat applications that use end-to-end encryption ensure that your messages can only be seen by you and the party you’re sending to.

Any hacker attempting to get your conversations with another person would be wasting his/her time.

There are super-private encrypted chat applications such as Signal and Jabber/OTP that employ a high level of encryption, with no information logs stored on company servers.

  • Update your Device’s Operating System and Software

Some major hacks in the world could have been stopped if the devices utilized updated operating systems. Operating systems have full-time developers working day and night to make security patches, enhancing your level of protection when you’re using your device.

Often, outdated operating systems could increase your vulnerability to hackers. Cybercriminals never stop working around the clock to install different forms of malware on your device through obsolete software and browser plug-ins or extensions. To frustrate their efforts update your operating system to the latest one available and upgrade your software frequently when you’re prompted to.

You can activate automatic OS updates on your device if you’re not certain you’d remember to update your device.

  • Use Office Tools for Messaging and Uploads

If tools like Microsoft Office 365 or corporate messengers like Slack are being used in your office, you can utilize them for communication and file sharing from home. This way, you get to keep company messages and files secure.

Uploading files on a different service like your Google Drive could make your company files public. For instance, when you create a link to a Google Drive file that could be accessed by a colleague in your office, search engines would read that information as public an index it.

Anyone searching for anything on the internet related to the file would be able to access it.

Conclusion

The world has been forced into isolation since the coronavirus pandemic. Workplaces, in a bid to obey government and organization health guidelines, are asking employees to work from home.

However, despite the increased convenience that comes with remote working, there’s a looming threat.

Hackers are increasing efforts to get more victims for their selfish activities. They’re using methods such as Wi-Fi hacking, malware, and phishing to get sensitive information out from remote workers’ devices.

To foil their efforts, you can use a VPN, scrutinize emails sent to you, strengthen your passwords, and use private chat applications. For a heightened level of security, you can activate two-factor authentication for your devices and accounts, boost router security, and update your device’s operating system and software.

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How Diaper Business Works In Nigeria

If you live in Nigeria, you probably know one or two things about diaper business. It’s becoming like bread these days, the way everyone wants to go into diaper business. Everyone, I mean anyone wants to join the diaper business, and no matter what you say, their eyes are just on the heap of money pile there’s to make from it.

Of course, the huge revenue potential of baby diapers would make anyone beg for a share of it. Well, I want to clarify much of what’s going on in Nigeria when it comes to diaper business. It may be different in your country, but if you hope to do diaper business in Nigeria, you might have to follow my lead on this one.

The two main diaper competitors are Molfix and Pampers. Both are leaders in the market in their rights. Molfix is owned by Hayat Kimya Nigeria Limited, while Pampers is owned by Procter and Gamble. However, Molfix leads the diaper business in terms of retail volume, and Pampers is leading in the retail value.

Both leading brands enjoys huge market share of 81.6 percent, leaving just 18.4 percent for the rest of the brands to share. Huggies leads among the remaining brands in the 18.4 Percent market share, that puts the brand in the third leading diaper brand in Nigeria.

The Diaper Distribution Channel

If you are planning on starting your own diaper business, it’s important you understand how others who started the business before you are doing. I have classified the different value chain in the diaper distribution business.

Most diapers in Nigeria come from twos major countries, Turkey and China. In fact, Turkey has positioned itself as a major manufacturer for diaper brands in Nigeria. Any expert you ask about the best country to bring in diaper would recommend Turkey. Yet, China seems cheaper but lacks the trust to maintain quality after the first production.

All the classes of distribution are themselves important in the value chain. Your role as a diaper business owner helps to integrate all these values together for your success. Another thing you would learn from these value chain is where you can possibly start the business from.

I strongly recommend that you take the market one at a time. For example, wanting to cover the whole nigeria with your diaper brand is not a problem, but winning one state at a time could help you focus your marketing efforts to achieve market share in one state at a time. Being the third market leader in Ogun state is better than not leading in any market across Nigeria.

The Diaper Manufacturers

Manufacturing diapers in the country comes with so many advantages, but the most relevant is retail price control and regularly supply of products to markets. The diaper companies that manufactures locally are also leading the market share with over 80 percent of the market.

Although, it’s not the easiest option to manufacture locally due to the infrastructural issues in the country, but it’s the best choice against increasing exchange rates and irregular product supply. If you are regularly found in the market, your customers would keep making alternative choices, and that’s not good for your brand.

The only diaper brands that are manufacturing in Nigeria is Molfix, Pampers and Dr. Brown diapers owned by Wemy Industries. The rest for now are all importing from Europe or China. However, starting a diaper manufacturing plant doesn’t come cheap.

These brands mentioned above all have the financial muscle to support a local manufacturing outfit for their brands. For a startup, it may be a huge undertaking to start manufacturing a product that doesn’t have market acceptability yet. Starting as a manufacturer is not for startup diaper businesses who doesn’t have the right financial backing.

The Diaper Importers

This group of diaper business owners are in different categories. Some are diaper brand owners, who have built a brand for their diaper business but still manufacture them outside the country. Majority of the diaper brands in Nigeria falls within this category of importers. They own the brand but outsource the Manufacturing to factories in Europe or China.

Another group are those who buy large quantities of existing brands from America, UK and Germany to sell in Nigeria. This category of importers usually buy clearance sales at major supermarkets abroad at lower prices. Their main target are customer who used to live abroad that prefers those foreign brands.

The third category are the unbranded Chinese diapers. They mostly come in transparent nylon packs. Some are branded but not registered brands in the country. I have explained more on this Chinese brands below to give you more clarity on the Chinese manufacturers encroachment into the diaper business in Nigeria.

However, diaper importers are faced with serious issues that are hampering their brand market share. They are not able to import regularly or meet up with demand before stock dries out in the market. These delays helps the locally manufactured diapers to gain more market shares. That’s why Molfix and Pampers are the strongest brands because they are constantly available.

Another problem is the dollar exchange rate. It keeps going higher and affecting regular market price for the diapers. There’s no end in sight that the Nigerian import market would ever win in this dollar exchange war. So we expect dollar to keep rising and prices of imported products, including imported diapers to keep rising. This inconsistency in retail price discourages consumers from being loyal to their preferred brand.

Chinese Diaper Business Imports

There’s so much increase in the number of Chinese diaper brands flooding the Nigerian market in the last one year. In the past, most marketers have ignored them, but I think you shouldn’t ignore them anymore. The brands are growing, with over 50 of them counted, and many more still to come into the market without government regulatory approval. Their market share is also increasing by the day, which is one reason they should not be ignored.

Interestingly, most of them are not NAFDAC approved. How they got into the markets is another thing, but they are really taking over, especially in the rural markets. According to some retailers I approached, they make more profit from selling the Chinese diapers, which are also cheaper than the branded ones. Also, they claim the customers are buying them now more than the brand diapers because they are cheaper. One of the retailers begged me if I could help her to import it that she really need to stock it more.

Nigeria has a large number of poorer population, and that’s what this Chinese brands seek to explore. However, there could be some challenges with these Chinese brands, and that may have somethings to do with the informal market being well flooded with diapers, and the fact that they possesses no brand advantage.

These are just calculated disadvantages, since these Chinese brands will have to still fight for market share without a brand to sustain their individual gains. So, anyone can bring in these Chinese diapers and compete with other Chinese importers too. It doesn’t enjoy market exclusivity and it’s also not sustaining.

Moreover, from the market view, these unbranded Chinese diapers are also considered unreliable. A retailer told me how they pick the average reliable ones, by checking if it has rubber on the sides. Generally, the only consideration for these Chinese diapers is their low prices for the consumers and higher profit margin for the retailers.

The Marketers

This category is an important piece in the whole diaper business value chain, but it’s mostly ignored and neglected. The marketers are the gold miners in the diaper business distribution value chain. For any brand to succeed in the diaper market, it must learn to utilize the power of good marketers.

Well, I’m going to give you the exact direction this kind of marketing takes, because my team and I have been involved in some successful diaper brand market insertions that worked very well. Showing that this kind of marketing works in Nigeria. However, finding the right marketer with experience in product insertion is not that simple. It’s not every marketer that does this well.

The real job of this kind of marketers is to build a solid distribution network for your diaper brand, which includes signing up distributors and retailers from each state or city, who has the capacity required to represent and maintain your brand availability in their respective markets.

This kind of marketing doesn’t come cheap but it’s the fastest and the best way to introduce a new diaper brand or even any other brand product into the Nigerian market, to start making sales immediately. Molfix used used sales representatives and gave them commission from sales. That seemed to work for them, but with so much difficulty and problems.

Here is again the benefits of using the marketer to build your diaper distribution network:

  • They help to building strong distributors network
  • Helping to network retailers to the approved distributors
  • Helping to drive products deeper into the local markets

The Diaper Distributors

If you have signed up with an experienced marketer, then the job of finding distributors for your diaper business is made easier. The marketers are not only finding you distributors, they also find you money. The distributors are highly important to your diaper business.

The right distributors are those who understand the business, are passionate about it, and has the money to finance supply, with a chain of retailers to buy diapers off them. If you are trying to get such marketers through media advertising, you may not be lucky. It’s the job of your marketer to find you distributors in any city you want them.

I explained more about distributors in this post: How To Join Diaper Distributors In Nigeria. This will also give you insight on how to Franchise your distribution model as well. One thing to note about distributors is that you can’t do without them if you hope to build a strong diaper business in Nigeria. Even if you are a foreign diaper brand based outside Nigeria, you can tap into this distributors strategy to build your diaper business in Nigeria.

Although, there are limited number of distributors you can accept per state, based on the size of each market or structure of the cities. The best way to implement distributorship is to use the Franchise model of exclusivity. The power of exclusivity is the secret many traders will pour their money into a brand to secure their supply for your products.

The Diaper Retailers

When it comes to retailers it should be done aggressively. The number of retail points would greatly impact your sales figures. However, this should be strategically done to give your brand proper coverage in any given location.

However, this part of the distribution chain cannot be controlled. Many of them are in the business for the wrong reasons, which has little to do with the success of your brand, but you can’t do without them.

Imagine, you can have just one distributor in a location like a state or city, but you can have thousands of retailers without such exclusive restrictions. That’s how important the retails are to your diaper business. Also, the nature of Nigerian markets, which controls the highest percentage of diaper sales, about 70 percent of the total market sales volume, is not a sector to ignore.

The Local Retailer Networks

If your diaper brands don’t have a share of these local retailers you are not yet in the diaper business. They are the closest to your customers. How you handle this line of your distribution network would impact on your brand positively or negatively. There are many ways to handle this market. I would recommend you also read this post on How To Start Profitable Diaper Shop.

This group is also the easiest to deal with, because they don’t have much request than the usual commission per product. Although they won’t openly argue about the commission but they won’t hesitate to jump to another product that’s offering better commission.

Some smart diaper brands uses incentives to drive this segment of their value chain. This group loves incentives. If you could, they can be used to influence new customers to buy your diaper brand. Most customers are not really brand conscious, and can be influenced to move from one brand to another.

An effective use of local retail network can increase your turnover. Imagine how much ten thousand retail points can bring into your diaper business regularly. That’s the power of strong retail network.

Shoprite And Supermarket Retail Outlets

One other important channel of retail for diaper brands is supermarkets, of which Shoprite is leading the market with both national spread and volume. For a new brand, pushing your diapers through retail outlets like the supermarket could give you instant sales volume, and save you huge marketing cost as well.

However, there are things to consider helpful when considering retail outlets as supermarkets. The first one is quality diapers. The supermarkets have brand identity to protect, and they sell their brand promise through the quality of products they allow on their shelves, but you only going to get paid after they have sold your products.

The next thing is stock availability, which is even more critical to supermarkets over quality, because it creates a wrong impression on the minds of their customers. So, you have to have a proven record of product availability to gain the trust of supermarkets, especially Shoprite. In 2017, Shoprite threatened to take off Dr. Brown diapers from their shelf due to product availability issue.

Another key strategy when dealing with supermarket brands is price. These supermarkets love to use price as a selling point. If you can play this price point to your advantage they would like to stock your brand.

Hospitals Retail Partnership

Molfix diapers explores this strategy to its success, even though it was originally Pampers diaper business strategy that has worked so well for them. If these two major diaper brands are doing something it’s surely because it works so well.

According to recent statistics, an estimated 20 percent of total diaper market volume sales are generated through hospital partnerships. That’s a lot of market for any diaper brand to overlook. It’s opportunity to impress a brand upon mothers, and they might continue using it after they leave the hospital.

The huge selling point here is just lower prices. It’s done as promotional marketing, lower than market rates but a better way to sell your diaper brand to mothers using their doctors or nurses influence. It’s a type of influence marketing, and it has worked so well, generating about 20 percent of the total diaper market volume.

One major issue with this option of retail is that you have to risk a large percentage of your diaper stock, as you only get paid when sales are made. You don’t get upfront payment for the stock like with the local retailers.

Conclusion

Diaper business has proven to be a lucrative business. However, it’s not all success stories for all the diaper brands. Some have closed shop after losing market share due to certain challenges. Some others simply came to offload their shipment of diapers and disappeared after just one shipment.

The dominance of Molfix and Pampers with over 80 percent of the market is proof that there’s enough room for new entrants in the diaper market. The problem is that the majority of other diaper brands either don’t have the required financial muscle to fight for market share, or they don’t know or want to do what is required to gain substantial market share.

There are two ways you can use a marketer to build your diaper distribution network. You could either hire them and pay them for their services, which is good but requires huge capital outlay if you want to do it faster. The other option is to sign them up on a commission based service. You can sign them up for the next two years or more depending on the commission type agreed with them.

The major advantage of the hospital retail partnership is the power to win you new customers. Nigerian like recommendations from qualified people. They take their advice seriously, and would do as told. That’s why you should have a hospital partnership for your brand if you hope to build new customers. How you do this is important. It’s one good reason you need to hire an experienced marketer for your diaper business.

 

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How Fast to Sell Molfix Diapers In 2021

Do you want to start baby diaper business as a Molfix diapers distributor? Do you know what is required and how to go about it? There is a process to follow if you want to become a Molfix Distributor in Nigeria, where ch opportunity is still available now.

The baby diaper product in Nigeria is in high demand, and Molfix happens to be the number diaper brand in the market. That makes it the highest selling diaper in Nigeria.

According to Fastweb market feasibility report for baby diapers, there are over 40 baby diapers brands in the market but Molfix has over 44 percent of market share. You can see full list of all the known and unknown baby diaper brands in the market below.

The turnover rate for Molfix diapers is higher than any other diaper in the market. So, starting a diaper business to sell Molfix is a profitable business decision. However, you need to know how diaper business works and how to become a Molfix Distributor. If you are new to business, I would recommend you do a little apprenticeship with an existing baby diaper retailer or distributor.

A lot of startups overlook the idea of apprenticeship, but it’s the best step in starting a trading business. You will learn how the market works without risking your own money. You will be able to learn about best products, the turnover rates and why customers prefer certain brands above others. Plus, what customers look out for in a diaper or what’s even more important in their purchase decision.

Understanding Molfix Diapers

Molfix baby diaper took the diaper market by storm, off-staging all the known and powerful brands like Pampers. The entry of Molfix into the Nigerian diaper market was a case study that every new extract into the diaper market needs to study. Yet, almost all the new entrants into the diaper market ignore this simple truth, or rather lack the financing to build a strong market brand.

Although, Molfix baby diaper is of good quality but it doesn’t mean the other diapers are not of good quality. What made Molfix brand standout in the diaper market is the huge marketing budget of the company and its market inserting strategy. This strategy made their product available nationwide. They also ensure that there Brand quality is maintained and at a price that’s not constantly changing.

Molfix diapers brand at the inception wooed many distributors and retailers with mouth watering incentives and sales bonuses. Honestly, if you are looking to become a Molfix distributor now, you may have been too late. A fast selling diaper like Molfix shouldn’t have a problem filling out its distributors list nationwide.

RELATED POST: How To Make Money Selling Baby Diapers In Nigeria

However, if you consider the case of Pampers diapers that sometime cancelled its partnership with a known distributor for their product, and that action created openings for new Pampers distributors in the South-South and South-Eastern region. Then, you shouldn’t lose hope entirely. If you really want to become a Molfix diapers distributor the options are not all gone.

How Molfix Diapers Distributor Works

A Molfix Distributor buys Molfix brand products at discounted rates for distributors, which they sell to retailers, who in turn sell to the final consumers. In the case of baby diapers, you buy in large quantities from Molfix and you resell to retailers and consumers.

Some Molfix distributors buy more than a 40 feet container load of baby diaper regularly. By estimate, a 40 feet container load of baby diaper would cost as much as N40 million. That’s not to imply that’s the cost requirement of becoming a Molfix diaper distributor.

You need to know the difference between being a distributor and being a retailer. If you want to be a retailer, all you have to do is find the nearest Molfix diapers distributor to you and start buying from them. You can enquire about the closest distributor either by contacting Molfix or asking those who sell the product where they get it from. If you trace that link you will surely find the main distributor for your city or state.

Since Molfix diapers is already a huge brand and everyone wants to be a Molfix distributor, it has become a challenge as well. You can start off this dream as a diaper retailer if you don’t have millions of naira as startup capital to invest, or you can just use it to learn the ropes before investing million into the diaper business.

The Molfix Diapers Brand Success

Molfix Diapers is not the only brand in Nigeria. There are other existing diaper brands in the market before Molfix was introduced into the market. It wasn’t like the other diapers were not doing very well. There are certain things Molfix did well that helped it grew its diaper market share to the top brand in Nigeria in just two years of operation.

However, amongst many things where are not open to public knowledge, the most important thing Molfix did was to create an effective marketing strategy. This network helped to push its products deep into the markets and create huge followership among mothers.

Apart from having distributors and retailers, Molfix also introduced local representatives. These guys worked heavily to it’s success. In some markets it was these reps that built the market for them. Their job was simple, they were responsible for Molfix diapers brand in their location, and Molfix gives them sales cut as commission incentives to boost their morale.

Another thing Molfix did was to reduce its diaper price and gave big sales bonus to distributors, retailers and sales representatives. That way they all work for the success of the product in each market. They understood that the more the product sold the more money they would make.

How Molfix Defeated It’s Competitors

The major big reason consumers buy Molfix diaper is due to the elasticity of the diaper at that time. It can stretch and give babies comfort and also prevent leaking. That was then because non of that is a major factor anymore, as most diapers are even better compliant than Molfix. However, this should give any new brand some ideas on how to defeat the giants.

According to a report in the Nation Newspapers, the paper reports that Molfix brand is produced by Hayat Kimya Nigeria Ltd, is said to be cheaper and significantly offers quality that consumers love. It means mothers needs like preventing leaks, foul smell and reduces number of times they change their baby diapers.

However, Molfix claims that it’s product is designed to give “babies full protection and keeps their skin dry and healthy around the clock”. That promise could mean different things to different people. One thing that was certain was that mothers love Molfix diapers, It’s Molfix and then the rest of them, as they say.

Molfix Brand Market Potential

Hayat Kimya, which started producing Molfix baby diapers in 1998 in Turkey, came into Nigeria in 2015. At this time, Pampers owned 41.9 per cent of the diaper market share, but presently it now controls only 37.3% of the market share. If we go by volume, 1% of Nigerian diaper market share is a lot if we go by the UN annual childbirth of 5.9 million in Nigeria.

According to A.C. Nelson data, it took Molfix just 2 years after entering into the Nigerian market to become a market leader in baby diaper, with over 44.3% of the total market share. This position was previously held by Pampers in the diaper market for many years. Now, Pampers only has 37.3% share of the market, while the remaining 18.4% is shared by the rest of the brands.

How much more of this market Molfix can take is still unknown. If it exceeded its launch projection of 30% by as much as 14.3%, it’s not difficult to predict what Molfix market share could be in a decade.

However, what is already known of the Molfix diapers brand owners, Hayat Kimya is that it’s the 5th largest diaper producer in the world, with 22 manufacturing sites across the following countries of Turkey, Egypt, Algeria, İran, Bulgaria, Romania, Bosnia Herzegovinia and Russia. It’s revenue is in over $3 billion, with approximately 14,000 employees.

Complete List of Baby Diaper Brands In Nigeria

However, Molfix is not the only popular baby diaper in the market. Nigeria boasts of many brand of diapers and more is still being introduced into the market yearly. Below are just a few of the ones seen and purchased by families in Nigeria.

  1. Molfix baby diaper
  2. Pampers baby diaper
  3. Prince and Princes baby diaper
  4. Sunfree baby diaper
  5. Champion baby diaper
  6. Golden care baby diaper
  7. Infinity baby diaper
  8. Unac baby diaper
  9. Dumpas baby diayper
  10. Drylove baby diaper
  11. Huggies baby diaper
  12. Bino baby diaper
  13. Witlux baby diaper
  14. Just On Baby diaper
  15. Confy baby diaper
  16. Puréed Dry baby diaper
  17. Babysoft baby diaper
  18. Toujour baby Diaper
  19. Royal baby diaper
  20. Cuddsies baby diaper
  21. Swadllers baby diaper
  22. Dr. Brown baby diaper
  23. Virony baby diaper
  24. Babem baby diaper
  25. Angel baby diaper
  26. ASDA baby diaper
  27. Lakebaby diaper
  28. Chicco baby diaper
  29. Little Angel baby diaper
  30. Holife baby diaper
  31. Cussons baby diaper
  32. Neworldline baby diaper
  33. Sanwood baby diaper
  34. Bluelans baby diaper
  35. Coorland baby diaper
  36. Bluelife baby diaper
  37. Nice Baby diaper
  38. Dumpas baby diaper
  39. Leri baby diaper
  40. Kejo baby diaper

Note: If your brand is not mentioned, do contact us. The new diaper brands are constantly being introduced into the market and some old ones are also going out of the market.

RELATED POST: How To Join The New Baby Diaper Distributorship In Nigeria

Tips To Become A Molfix Distributor

If you want to start selling Molfix diapers, you might as well be sure there is an opening for the type of dealership you want to be, and you are prepared to meet the financial requirement as well.

Tip #1: Get to know more about Molfix diapers business and if the comoany would be needing new distributors or reseller in your area. You can start by contacting the company or checking on their website here. You should also utilize other sources available to you.

Note that if a brand has been in the market for a while and they are already popular, they are likely to have distributors, but it shouldn’t stop you from asking.

Tip #2: Contact Molfix to verify if they has a slot for more distributors for your location. It’s only Molfix Diapers company that would have that information now, since they are not in a desperate position for distributors.

Tip #3: Confirm the current startup cost for new distributors for your location. It’s always important to equip yourself with the right information about the company before you start your pursuit.

Tip #4: Find out what the other basic requirements might be, like warehouse size and type of location approved. Some companies might have some strict conditions about where you can be located in any city. Remember that distributorship is a form of Franchise business.

Tip #5: Contact the Molfix distributor in your city to negotiate how to become a sub distributor if option for main distributor is taken. It’s better to share in the market than lose it entirely. Most brands have only one distributor in the state. Identify a part of the state that’s a potential market and negotiate a sub distributor position with the existing distributor.

One thing you must consider is that Molfix is a big diaper brand, and with the current market share makes it a huge opportunity for anyone who wants to go into diaper distribution business.

Conclusion

The diaper business is no doubt one of the fastest selling products in the market. The huge demand for baby diapers makes it a good retail opportunity for anyone who wants to start a distribuorship business. However, to become a Molfix diapers distributor may require you to work even harder to become one.

Molfix already have distributors in almost every part of the country, unless areas where their market share is low or their existing distributor is either not serious or has quit from the brand.

Alternatively, you may also come across one who may want to sell their Molfix diaper distributor licence. Although this is rare, but not entirely impossible.

Finally, you should also understand that diaper market is a shared market. It’s not only Molfix diapers that’s in the market. In fact, there are other brands that may be more stronger in your market, or even new brands that may take over your market soon. You can start with new brands and build a successful market for yourself.

I have listed most of the existing diaper brands in Nigeria above. Take advantage of most of their newness entry, which is also cheaper to buy as a distributor, and become a major dealer in baby diapers.

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