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Paint manufacturer Crown Paints is targeting more than 150,000 painters across the country in a newly-launched campaign meant to help them raise capital for personal development through a savings and credit cooperative society, Team Kubwa Sacco.
Crown Paints Chief executive Rakesh Rao, in an interview with the Standard said that the Paka Rangi, Pata Pesa na Crown Paints campaign, a loyalty program by the firm targets members drawn from the Sacco and will help them cope during these hard times brought by the pandemic.
“We recognize the fundamental role painters’ play in our business and we’re therefore mandated to look out for their financial wellbeing by introducing an initiative that will help them cope with the economic burden that has been escalated by coronavirus pandemic,” said Rao.
He made those remarks during the unveiling of an instant Mpesa redemption promotion christened Paka Rangi, Pata Pesa na Crown Paints which targets its loyalty program – Team Kubwa members that is scheduled to run from December 3 to end of January 2021.
Painters will be able to redeem from as low as Sh50 via MPESA instantly. A painter simply needs to purchase Crown Paints products and redeem by sending an SMS to 20543 with AMOUNT 50/250/750 OR Team Kubwa App select MPESA or Call 0709 887000.
Team Kubwa SACCO is facilitated by Crown Paints and is exclusively run by painters. All Team Kubwa members are eligible to join. To become a member of the SACCO, one needs to register, buy shares, and start saving to qualify for loans.
The SACCO further aims to financially empower members of the loyalty program and help them develop a savings culture to achieve their desires.
The initiative will also see Team Kubwa members offered job opportunities through its Team Kubwa Master Painters referral programme where members are required to register through the call centre.
This will enable Crown Paints to confidently recommend these select painters to homeowners, big contractors and other professionals for job opportunities.
In July this year the paint firm unveiled the first ever saving and credit union for its painters to enable them raise capital to improve and grow their businesses. The Sacco would provide the members with an easy avenue for financial support particularly during these hard economic times necessitated by the Corona virus pandemic.
The initiative is also meant to offer the training skills for painters to safeguard the profession from unscrupulous individuals who are out to taint the industry.
“Crown Paints has seen the need to provide them an avenue for financial support and in addition help them ease the economic burdens that have been escalated by the coronavirus (COVID-19) pandemic,” said Rao.
The savings and credit union will enable members of the Team Kubwa program to raise capital to enhance and grow their businesses while still enjoying all the other benefits of the program such as redeeming points for instant rewards including airtime, shopping vouchers, KPLC tokens, home appliances as well as professional tools.
“The Team Kubwa Loyalty Program will also help us develop more tailor-made solutions for the market. The ability to track buying patterns, consumption habits and regional trends in product usage will allow the company to better respond to market needs,” Rao added.
The high levels of mobile and smartphone penetration in Kenya provided Crown Paints with the opportunity to create a digital platform for this program.
Meanwhile the firm’s Chief executive expects the demand for paints and adhesive products to increase in the New Year with more construction works across the country anticipated for take-off.
The paint industry uses crude oil derivatives such as titanium dioxide, zinc oxide, solvents like mineral turpentine and resins and additives as raw materials, which account for more than 50 per cent of a company’s total expense.
The stock for such materials coupled with higher crude prices had rallied to low levels since April this year owing to the disruptions of the supply flow brought by the novel coronavirus that had seen major supply markets close down for several weeks and as a result fracturing the local market.
As a result of the low supply, Rao says costlier raw materials will likely put pressure on the company’s gross margins, which represents the percent of total sales revenue that a paint maker retains after incurring the direct costs associated with producing the goods and services it sells.