What is Route To Market (RTM)
Route to Market (RTM) is the strategy a company uses to determine how its products or services will get from the business to the end customer.
It answers the question – “What is the best way to get our product into the hands of Kenyan customers?”
- Local Distributors
- Wholesalers
- Supermarkets
- Retail Shops
- Phamarcies
- Speciality stores
what you get
Simple example for your brand
Imagine a company producing agricultural irrigation equipment wants to enter Kenya.
Kaiwen could help determine whether the company should proceed:
The international manufacturer produces the irrigation equipment and provides the technical specifications, pricing, product training and technical support.
Kaiwen acts as the manufacturer’s local commercial partner in Kenya.
Kaiwen’s role will include:
- Understanding the Kenyan market
- Identifying potential customers
- Introducing the manufacturer to local businesses
- Understanding customer requirements
- Coordinating meetings
- Supporting local communication
- Helping navigate the local commercial environment
- Supporting negotiations
Instead of putting the product into hundreds of agro-dealers, Kaiwen identifies large farms and agricultural enterprises that have a genuine need for the solution.
For example:
- Large-scale horticultural farms
- Flower farms
- Commercial vegetable farms
- Fruit farms
- Agricultural estates
- Large dairy operations
- Institutional agricultural projects
Kaiwen will build a list of potential customers and prioritize them based on factors such as farm size, irrigation needs, investment capacity and location.
Rather than simply approaching a farm and saying “We sell irrigation equipment,” the local partner first understands what the farm actually needs.
For example:
The farm has 200 acres under cultivation but its existing irrigation system is inefficient and cannot adequately supply the planned expansion.
Kaiwen can communicate this requirement to the manufacturer.
For complex products, the manufacturer and/or local technical team can assess the farm’s requirements.
They may look at things such as:
- Farm size
- Water sources
- Existing infrastructure
- Crop requirements
- Water requirements
- Terrain
- Electricity availability
- Existing irrigation systems
- Planned expansion
The objective is to determine what solution the customer actually needs, rather than simply selling a standard product.
Instead of selling through several intermediaries, the manufacturer sells directly to the large farm, with Kaiwen/local partner facilitating the relationship.
The commercial chain could therefore be:
Manufacturer → Kaiwen → Large Farm
Rather than:
Manufacturer → Distributor → Wholesaler → Agro-dealer → Farmer
This can potentially reduce the number of intermediaries involved in a large project.
FAQ
Market Entry & Commercial Strategy — FAQs
Route to Market is the strategy for getting a company’s products or services from the business to its intended customers through the most appropriate sales, distribution and commercial channels.
Market Entry Strategy asks:
“How should this company enter the Kenyan market?”
Route to Market asks:
“How should this company’s products reach customers once we are in the market?”
Choosing the wrong distribution or sales channel can increase costs, limit customer reach and make it difficult for a product to compete. A good RTM strategy helps businesses reach the right customers efficiently.
Depending on the product and target market, channels may include distributors, wholesalers, retailers, supermarkets, pharmacies, specialty stores, e-commerce platforms, direct sales and strategic partnerships.
Yes. Kaiwen can help identify and evaluate potential distributors and commercial partners that align with a brand’s products, target customers and expansion objectives.
We consider factors such as the product, target customer, pricing, competition, geographic coverage, purchasing behaviour, distribution costs and the level of control the brand wants over its sales process.
It can. Logistics, warehousing, inventory management and fulfillment are important considerations when designing an effective route to market.
Yes. Kaiwen can assess an existing distribution model, identify gaps and explore opportunities to improve coverage and reach additional customers or geographic markets.
It is particularly useful for international brands entering Kenya, manufacturers looking for new distribution channels, companies launching new products, and businesses seeking to expand their geographic reach.
Yes. Once the Kenyan market has been assessed, the strategy can be adapted to opportunities in other East African markets, taking into account the differences in customers, regulations, competition and distribution structures.
The process begins with understanding your product, target customer, current distribution model and growth objectives. Kaiwen can then assess the available routes and recommend the most appropriate commercial approach.