The U.S Agency for International Development’s (USAID’s) Center for Accelerating Innovation and Impact (CII) recently published a “Market Shaping Primer” which aims to define the role that market shaping can take to harness the private sector to broaden access to vital goods. According to the report, market shaping can play an important part in accelerating the adoption of essential healthcare solutions in the poorest corners of the world.
The report asserts that a well-functioning health care market requires manufacturers to produce high-quality products, distributors to deliver the necessary quantities, and providers to administer them correctly. A single breakdown in this complex system can keep life-saving products out of the hands of people who most need them.
The report was developed with inputs from major funders, including USAID, UNITAID, UNICEF, Gates Foundation, DFID, Norad, the Global Fund, and the Government of South Africa, along with implementing and advisory groups such as Results for Development, CHAI, Dalberg, WDI, RHSC, and McKinsey.
The primer targets global health decision makers and technical experts working in federal ministries of health or finance, implementing or advisory organizations, or donor or procurement agencies. The report argues that if market shaping interventions are designed and implemented correctly, a wide range of benefits can be realized, including addressing limited production volumes, substandard quality, and market instability.
R4D Managing Director Kanika Bahl noted, “We know market-shaping can transform access to vital products in the health space. This primer provides a practical ‘how-to’ guide on how to effectively use this tool across a number of product areas, ultimately achieving outcomes which can benefit millions.”
All in all the primer is an overview of the basics of market shaping which is richly supported by case studies and historical examples. It provides an analytical approach for tracing market shortcomings and correspondingly providing guiding principles for designing, implementing and evaluating an intervention to address the challenge.
For more on market shaping and an interview with Kanika Bahl, please visit the R4D blog.