With the excitement and buzz of World Water Day behind us I’m left both inspired and concerned. I’m inspired because there is a growing understanding by WASH professionals that it will take market development and systemic change to truly solve the problem. These methods look overall at what is working and not working in terms of WASH services for populations at risk across value chains and within the market system, and then, based on that analysis, develop targeted interventions with pro-poor innovations to make markets work. What is also exciting is the impact that adopting and implementing these approaches might have on the development sector in general.
What is concerning is that I still only see a handful of WASH projects and organizations fully focused on market development and systemic change. In other words there is a lot of talk but no action. Why?
I think there are a few reasons that I hope will change quickly for the sake of WASH and for development overall.
1) WASH players are still learning how to do market development
While there have been some great thought pieces written recently about why market development approaches to WASH are critical to success, very few projects are modeling and testing these approaches. We need more players involved with market development approaches. We need more UN agencies, donors, foundations and governments asking for and demanding market development approaches to WASH programs. NGOs and other players should do market development systematically, learn from implementation (through state-of-the-art monitoring and evaluation), and share their findings with the WASH sector, as well as the wider community of practice. These findings should include real examples of what works and what doesn’t.
Fortunately for the WASH sector this energy for exploring market development comes at a time when the wider market development community (traditionally in the agriculture sector) is actively compiling and publishing practitioner resources. The market development community is also trying to get wider adoption from the health sector, in particular WASH.
2) Funders are still learning how to fund market development
Funders need evidence to drive their funding decisions (rightfully so), and market development work in WASH is in its early days. But we also know that traditional programming focused only on the number of boreholes installed or toilets constructed does not yield transformative change and is often unsustainable. And market development is also a field with some serious discipline and evidence-based thinking behind it (driven by DCED, BEAM Exchange and others). Donors looking to increase their impact should seriously consider funding new market development approaches, so long as those approaches have a rigorous evaluation process tied to them.
3) Market Development ≠ Marketing
Make no mistake; marketing is an important part of market development. Market development, though, is much wider and looks at understanding the total market as it is now and its potential for sustainable growth. It includes but goes beyond enterprise level support, as market failures will be at other levels too, especially in sanitation.
As for action, I’ve just joined PSI as Senior Technical Advisor for its WASH program and a primary driver for my move here was my new employers’ commitment to market development approaches in health. Recently, PSI has been adopting market development work into WASH, and sanitation particularly, and plans to continue to expand this work globally.
One of the programs I’m most excited about is a market development program we’ve just launched with USAID funding in West Africa (Benin, Côte d’Ivoire, and Ghana) to improve sanitation and fecal sludge management services for a projected one million people. The program, called Sanitation Service Delivery, involves partners PATH and WSUP, and will support interventions based on a market landscape and analysis in product and service design, business model development, government partnerships, and demand- and supply-side financing. There is also a strong component focused on shared learning that starts with this blog and that will continue in a variety of channels.
So learn with us and follow our progress as we build the evidence that market-based solutions in WASH work. In doing so, we hope to prompt those who are still skeptical to action as well.