Cambodia Investment Review
During a recent site visit to one of iCare’s partnered factories on the outskirts of Phnom Penh, Cambodia Investment Review (CIR) examined how the social enterprise is reshaping opportunities for low-income women factory workers. iCare aims to provide accessible and sustainable purchasing options for workers earning between $100 and $500 per month. This initiative seeks to improve quality of life by offering workers a safe alternative to informal lenders who often charge high fees and interest rates.
Building Relationships with Workers
The iCare model is centered around an employee benefits program that allows workers to obtain essential products at market prices through short-term installment plans with delivery directly to their workplace. The company’s sales team focuses on building long-term relationships with factories and their workers, which helps them understand the specific needs and circumstances of their customers. This personalized approach also provides workers with ongoing support for any questions regarding their purchases.
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“Our mission is to empower workers by providing the tools they need to improve their living conditions,” stated an iCare CEO Ms. Molika Meas during the site visit. “By fostering these relationships, we can better serve our customers and help them feel supported in their financial decisions.”
CIR observed the strong one-on-one relationships that iCare’s sales team develops with both workers and factories. This unique approach allows iCare to engage with the women factory workers and allow them to access a wide range of affordable products such as rice cookers, refrigerators, stoves and air coolers. These items, priced between $30 and $300, are made accessible through convenient installment payments, giving workers the confidence to manage their expenses without resorting to high-interest loans. Workers obtain these much-needed products with warranties and after-sales service directly at the factory.
A Revolutionary Business Model
CIR Founder Harrison White highlighted the significance of iCare’s mission, stating, “What we witnessed underscores the vital role iCare plays in the lives of these workers. By providing access to goods through an accessible and sustainable model, they are not only improving individual lives but also fostering a more resilient workforce in Cambodia. The unique one-on-one sales techniques employed by their staff further enhance this impact by ensuring that workers feel supported and understood.” This approach aligns with CIR’s commitment to promoting ethical and responsible business practices.
By providing products at competitive prices and installment options, iCare offers a meaningful alternative to informal lending, helping workers avoid risky borrowing. According to company data, 98% of respondents who used iCare’s services reported an improvement in their living standards. Additionally, 93% of workers surveyed expressed that the benefits of iCare’s program positively impact their motivation to stay with their current employer.
Impact on Factories and Worker Well-being
The benefits extend to factories as well, with improvements in employee retention rates, reduced turnover costs, and greater engagement. Notably, 92% of respondents acknowledged that using iCare services has saved them both time and money when making purchases, underscoring the initiative’s value for both employees and employers.
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The iCare model serves as a platform that connects manufacturers, social organizations, banks, and service providers, facilitating access for workers in underserved economic segments. As iCare continues to expand, its commitment to supporting and empowering garment workers remains clear. By providing a sustainable alternative to predatory lending, iCare aims to foster a more supportive environment for low-income workers in Cambodia and beyond.
