EMPOWERING NAMIBIAN MSMES FOR RETAIL SUCCESS: STARTING FROM THE GRASSROOTS

While crafting this piece, I reflected on my time in the heart of Eenhana, Outapi, Ondangwa, Opuwo, where I had the privilege of hosting a transformative program spearheaded by the Namibia Investment Promotion and Development Board (NIPDB) in collaboration with Coca-Cola Beverages Africa Namibia (CCBA). The initiative, known as the Market Access and Trade Booster, aimed to empower Namibia's MSMEs—particularly women and youth engaged in food, agro-processing, and agriculture—spanning all 14 regions of the country.

The MSMEs I worked with came from deeply rural areas, often with limited educational backgrounds and minimal understanding of retail dynamics, let alone the complexities of export markets. Despite these challenges, their determination and potential underscored the urgent need for targeted support to help them navigate the path toward growth and broader market opportunities.

This initiative is more than just a program; it is a movement designed to encourage MSMEs to think bigger, aim for retail success, and explore export opportunities. However, findings during the program revealed two major challenges. First, many MSMEs begin their businesses by focusing on cultural products like marula oil, mangetti, ombike, and vegetables but lack the vision to diversify these raw inputs into high-value products. Secondly, entrepreneurs often lack the necessary tools and mindset to scale their operations into retail-ready enterprises capable of competing in local and international markets.

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Understanding Retail Readiness

To begin, we need to explore what it truly means to be "retail-ready." In the simplest terms, retail readiness refers to the ability of a product or business to meet the standards required by retail outlets, distributors, and consumers. It's not just about having a product; it's about having a product that can stand out in the marketplace, be packaged appropriately, priced competitively, and delivered efficiently to meet consumer demands.

Namibia's MSMEs, particularly in the food, agro-processing, and agriculture sectors, often have brilliant ideas and high-quality products, but lack the understanding of the strategic steps necessary to bring those products to the retail space. Retail readiness requires understanding how to grow from a local market stall or a small family business into something scalable, sustainable, and appealing to larger audiences.

?Bridging the Gap with Innovation Tools

To address these challenges, we introduced two transformative tools designed to empower MSMEs to innovate, refine, and enhance their products while fostering a mindset of creativity and strategic thinking. These tools provide a structured approach to problem-solving, product development, and decision-making, enabling entrepreneurs to identify opportunities for improvement, adapt to market demands, and position their businesses for success. By encouraging innovation and critical evaluation, these tools help MSMEs bridge the gap between their current operations and the standards required to become competitive in both local and international retail markets. Furthermore, they instill the confidence and skills necessary to reimagine their products, diversify their offerings, and explore untapped potential for scaling their businesses.

The SCAMPER Model, developed by Bob Eberle, helps businesses think critically and creatively about product improvement. SCAMPER stands for: Substitute (replace or improve an element), Combine (merge elements for added value), Adapt (draw inspiration from other industries), Modify (enhance appeal or functionality), Put to another use (find alternative applications), Eliminate (simplify or improve), and Rearrange (reorganize for efficiency). This structured approach allows MSMEs to rethink their products and make them retail-ready.

The Six Thinking Hats, introduced by Dr. Edward de Bono, promotes holistic decision-making by encouraging businesses to evaluate challenges from multiple perspectives. The hats include: White (facts and data), Red (emotions and intuition), Black (risks and challenges), Yellow (opportunities and benefits), Green (creative solutions), and Blue (process management). By applying these tools, MSMEs can comprehensively assess their products, ensuring they meet consumer demands and align with retail standards.

The Long-Term Vision: Empowering MSMEs for Sustainable Growth

The Market Access and Trade Booster program is not a short-term solution but part of a long-term vision by the NIPDB to empower Namibia's MSMEs. With continued support, hopefully from partners like CCBA, this program has the potential to drive substantial change. Over the next five years, initiatives like this could revolutionize how businesses operate, moving them beyond local markets and small-scale ventures. Instead, MSMEs will be equipped to think ambitiously, scale their operations, and access national and international markets

As MSMEs become retail-ready, they will have the tools to expand beyond the informal market, which has historically been the focus of many small businesses. They will begin thinking about retail chains, both locally and internationally, and creating their own branded products that appeal to a broader audience. This shift will also push the idea of creating their own distribution channels, building partnerships with major retailers, and understanding the logistics behind product placement and marketing.

The Ripple Effect: Economic Growth and Rural Employment

The transformation of MSMEs into retail-ready businesses will have a profound impact on Namibia's economy. By equipping small businesses to scale and succeed in retail, we can foster the growth of a more diverse and resilient economy. The ripple effect will be felt across rural areas where MSMEs are a key source of employment.

Increased MSME success in retail will also lead to job creation, particularly in rural areas where the need for sustainable livelihoods is most acute. As businesses grow, they will require more staff, from production teams to marketing and logistics experts. This could help reduce rural unemployment and bring more people into the formal economy.

Additionally, with successful MSMEs contributing to the economy, Namibia will see a boost in exports and trade, ultimately fostering greater economic stability and prosperity. As MSMEs grow, they will also become drivers of innovation, encouraging the development of new industries, creating a positive feedback loop of economic progress.

Conclusion

The Market Access and Trade Booster is awakening Namibia's MSMEs to the opportunities in retail and export markets. Tools like SCAMPER and Six Thinking Hats equip entrepreneurs to rethink their products, overcome challenges, and embrace innovation.

By fostering a culture of retail readiness, we are laying the foundation for scalable businesses, job creation, and a stronger Namibian economy. With continued support from stakeholders like CCBA Namibia, MSMEs can reach new heights—transforming local ideas into global success stories.

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Hasekiel Johannes has over 11 years of experience in MSME development and business innovation. He currently serves as a Consultant for MSME Market Access & Export Promotion at the Namibia Investment Promotion and Development Board (NIPDB), where he supports entrepreneurs in scaling their businesses for success. The views expressed are his own.