Pay-as-you-go electricity - Analysis of product delivery model for RET market penetration amongst rural BOP consumers

Abstract

Abstract Objective of the Study Growing energy needs and under-developed grid electricity system along with high solar insolation are typical of many emerging economies. Thus widespread solar electrification might be appropriate technology in such countries, especially in remote areas. Nevertheless, there exist social and economic barriers to solar energy adoption, especially amongst the low-income populations. The study looks into elements of solar home systems’ market penetration amongst rural BoP consumers, with a focus on the product delivery model and its appropriateness to the target market. Data and Methodology A single case study method was chosen to research the topic. The case study unit was a solar home system provider based in India who targets remote BoP consumers in their business offering. The author gathered qualitative data through secondary sources and participant observations that related to product and distribution aspects and corporate strategy of the case study unit. Findings The insights uncovered in the research of this business case study offer a number of significant implications for BoP marketing practices and managerial implications related to the strategic configuration of product, marketing and distribution features in the solar energy sector. The main contribution of this study is a holistic product delivery model applied for the BoP-focused distributed energy sector. Keywords BoP, energy access, renewable energy technologies, business models, rural distribution, India