Information from DKT Indonesia: A September 2012 case study published by the University of California, San Francisco’s Global Health Group offers an in-depth look at how DKT Indonesia is a model for social franchising. Read more: DKT’s Andalan Indonesia.
Indonesia is one of the great family-planning success stories in the developing world. In the 1970s, families often had six or more children. Today, the average Indonesian family consists of around three children. This decrease in family size means healthier and better-educated children and a fourfold decline in Indonesia’s infant mortality rate from 142 deaths per 1,000 live births in 1967 to 35 deaths per 1,000 live births in 2000.
DKT Indonesia became an independent non-governmental social marketing organization in 1996. Since that time, the program has expanded dramatically, and now serves nearly 6 million couples throughout the Indonesian archipelago, making it one of the largest family planning programs in the world.
In 2001, DKT Indonesia started a social franchising program branded as Andalan (meaning trustworthy in Indonesian), which it positions as a reliable, one-stop shop for midwives with high-quality, affordable contraceptives and reproductive health products. DKT Indonesia’s training of more than 40,000 midwives in IUD and implant insertion and removal supports the social franchising program and has helped Andalan brand some 10,000 midwife clinics. DKT regularly reaches or visits at least 10,000 midwives each month, and more than 4,400 have signed contracts with DKT.
DKT Indonesia has developed an especially strong network of midwives, the key providers of reproductive health services for the lower income and rural segments of Indonesia society. Working together and through central, regional, and provincial midwife associations, DKT Indonesia directly reaches an estimated 15,000 midwives monthly through franchises and other venues, providing materials, technical support, and products.
DKT Indonesia tracks the ratio of sales revenues in relation to core program costs. Core program costs are defined as total operational expenses less the behavior change activities of training, education, and marketing. Based on this calculation, DKT Indonesia’s sustainability was almost 100 percent in 2009.
In 2013, DKT Indonesia sold over 144 million condoms, nearly 26 million oral contraceptives, over 12 million injectable contraceptives, and over 184,000 IUDs. This translates into 7,101,520 Couple Years of Protection. In October 2012, DKT Indonesia reached 1 billion in condom sales, only the second DKT program ever to reach this milestone. Today, DKT Indonesia is the largest private family planning program in the world.
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