Uganda
Retailers and Wholesalers Association
(URWA)
Introduction
The Uganda Retailers and wholesalers Association (URWA) is
the trade association representing community-focused retailers and wholesalers,
supermarkets, grocery stores FMCG distributors
and all channels of distribution in Uganda. URWA
has the mission of working with members to create a vibrant and sustainable
retail industry and ensure community-focused retailers and wholesalers the
opportunity to succeed and better serve the consumer through its policies,
dialogue, advocacy programs and services.
URWA’ Mission and
Vision
Mission:
The mission of Uganda Retailers and Wholesalers Association
(URWA) is to represent, protect and promote community-focused retailers and
wholesalers in Uganda.
Vision is based in
the following Objectives:
-
Provide a Unified Collective Voice for the retail industry (Retailer and
Wholesalers) in Uganda .
-
Provide linkages between retailers, suppliers and manufacturers.
-
Campaign to promote and protect the retailers’ interests.
-
Advise retailers of threats and opportunities to their business.
-
Improve the perception of the retail industry in Uganda .
-
Offer members a variety of value added services and programs to its members.
-
Discourage and avoid malpractices in the retail industry.
-
Create studies and surveys for the purpose of disseminating information related
to the retail and wholesale industry and to produce and distribute findings,
reports, journals and publications.
-
Protect the rights of consumers in Uganda.
-
Develop and create programs and services to benefit community-focused
retailers, wholesalers and other members.
-
Provide a form of discussion of issues and sharing of ideas in the retail and
wholesale sector in Uganda.
The Retail Industry:
The retail industry is a sector of the economy that is
comprised of individuals and companies engaged in the selling of finished
products to end users in the general public.
The Retailer
The person who uses a product that has been manufactured and
marketed based on the idea that the “end goal” of a manufactured product is for
it to be useful to the consumer.
Retailing is a primary driver of any economy. Generally, any
business that sells finished merchandise to an end user is considered to be
part of the retail industry.
The retail industry is the single largest employer in the
economy.
Two Types of Retailers in the Industry:
Store Retailers – Those engaged in the sale of
products from physical locations which warehouse and display merchandise with
the intent of attracting customers to make purchases on site.
Non-Store Retailers –
Those engaged in the sale of products using marketing methods which do not
include a physical location. Examples of non-store retailing include:
- Open Market Retailers
- Street Vendors
- Catalogue Sales
- In-Home Demonstrations
- Vending Machines
- Multi-Level Marketing
- E-Marketing / E-Commerce
- Direct Response television advertising
Retail Industry Outlook
·
URWA’s highest
priority as identified by members is representing, promoting and protecting retailers
and wholesalers in terms of regulation, monitoring, government legislation,
reporting and other relevant issues.
·
URWA is to be viewed
as a primary source of reliable information about the retail sector.
·
The public’s concern
about the quality and safety the products on the market has increased, while
its understanding of which is counterfeit or not remains unclear and is
inconsequential to its concern about the safety.
OUTLOOK OF THE RETAIL
INDUSTRY
Key stakeholders
-
Shops
-
Groceries
-
Supermarkets
-
Community focused retail shops
-
Wholesalers
-
Regional wholesale agents
-
Weekly markets
-
Road side vendors
-
Municipal Town Markets
-
Suppliers
-
Distributing Companies/Agents
-
Big, Medium & Small wholesalers
-
Mobile shops
-
Hawkers
-
Manufactures
-
Importers
-
Exporters
-
Advertising companies
-
Marketing companies
-
FM Radios/TV’s
-
Consumers
Key Players
Public Sector Private Sector
Ministry of Trade & Commerce - Shops
Government -
Groceries
Uganda Revenue Authority -
Supermarkets
Parliament -
Community focused retail shop
Uganda National Bureau of Statistics and wholesale shops
Development Partners -
Weekly town markets
Regional Trade Committees/Policies - Municipal Town Markets
UNCTAD -
Suppliers
Ministry of Local Government -
Distribution companies/Agents
Municipal Councils -
Hawkers
Ministry of Finance -
Manufacturers
Bank of Uganda -
Service Providers (e.g)
Uganda National Chamber of Commerce - Banks
Foreign Exchange Rate -
Importers
Ministry of Health -
Exporters
-
Advertising companies
-
Advertisements
-
Marketing Companies
-
Media Companies, FM radios
& TVs Newspapers
-
Marketers
Foreign/Imported Products -
Money lenders
Traditional foods & products - Forex Bureau
ATM/Credit card payment system/purchase/process - Consumers/Customers
-
Insurance Companies
-
Locally manufactured products.
RETAIL INDUSTRY
ISSUES
-
Laws, codes of ethics
-
Standards
-
Quality
-
Counterfeit goods
-
Marketing
-
Advertising
-
Consultancy services
-
Regulation & Monitoring in the Retail Industry
-
National & Regional industry
-
National & regional representation
-
Policy dialogue
-
Legal services
-
Taxation
-
Competition
-
Trade marks
-
Consumer protection
-
Sensitization of Retail industry stakeholders/players
-
Transparency
-
Financial resources
-
Credit
-
Product supply systems
-
Credit supplies (Advances)
-
Better Retailing Climate
-
Consumer policy
-
Anti-counterfeit policies & strategies
-
Dumping
-
Employment
-
Environment
-
Planning
-
Retail crime
-
Risk & safety
-
Taxation
-
Technology
-
Public policy
-
Conferences & meetings
-
Waste management
-
Retailers involvement in the industry policy
formulation
-
Consumer protection & rights
-
First moving consumer goods (FMGGs)
-
Risks in the industry
-
Insurance
-
Quality control management, surveillance and training
-
Representation & networking
-
E-shopping
-
Training-retail industry in the media
-
Price fluctuations
-
Inflation
-
Money laundering(counterfeit money notes)
-
Worn-out notes
-
Retail industry recognition by government
-
National policies, advocacy & dialogue
-
Expired goods/products
-
Rural retail shops
-
Public-private partnership
-
Licenses
-
Consumer choices
-
Compliance of standards
Influencing
government:
URWA will work closely with government on all policy issues
on behalf of our members and build a constructive relationship with all
government agencies and authorities. URWA will establish strong ties and
dealings with various regulatory authorities and non-government organizations.
Policies and issues
URWA executive members will always meet regularly to
discuss, debate and form responses to government on policies that affect the
retail and wholesale industrial sector. Specific task committees will be
formed.
-
Supermarket stores management.
-
Retailer’s role in the consumer choices.
-
Retail industry surveys and study programs.
-
Research and development in the retail industry.
-
News to information, surveys, study reports, access.
-
Foreign dominance of ownership of big
stores/supermarkets.
-
Retailers in the district local governments.
-
Health and safety control.
-
Traditional foods.
-
Alcohol vending and control in retail industry.
-
Retail shop licensing.
-
Retail industry data collection.
-
Retail shop management guidelines & mini standards.
-
Retail industry involvement in government programs, e.g
ministry of health (condom distribution).
-
Public relations of retail industry.
-
Non bulk products and services in the retail and
wholesale industry (airtime).
-
Transportation and freight services of goods.
-
Distribution and supply systems.
-
Divisibility of Uganda currency (change/balance).
-
Retail industry database management, demographics and
market segmentations solutions.
Planned programs
URWA plans to organize a variety
of programs and activities on the above issues.
-
Organize annual retail and wholesale awards.
-
Organize annual conferences seminars and regional
workshops.
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Register all retailers and wholesalers nationwide.
-
Build the capacity of the organization.
-
Develop a website of the organization.
-
Develop strategies to fight counterfeit products on the
market.
-
Develop a nationwide directory on retailers and
wholesalers in Uganda.
-
Carry out relevant study programs and surveys in the
industry.
-
Carryout a diagnostic study of the retail industry in
Uganda.
-
Organize annual retail/supermarket export/exhibitions.
-
Visit other countries retail associations for
orientations consultations.
-
Establish a periodical retail industry journal.
-
Publish an annual retail products book as a vehicle to
promote products locally and abroad.
-
Establish a database of community-focused retailers and
wholesalers in Uganda.
-
Promote the awareness and sensitization of URWA
activities and objectives.
-
Design and formulate codes of practice for retailers
and wholesaler in Uganda.
-
Establish a resource center for the retail industry in
Uganda.
Strategic initiatives
URWA will adopt the following
advocacy initiatives.
- Encourage
nationwide membership base.
- Improve
coverage and access.
- Endeavor
to participate in national efforts to fight counterfeit products in the
Ugandan market.
- Organize
media, radio and TV programs.
- Raise
the standards of retailing in Uganda.
SWOT Analysis on Ugandan
Retailing
SWOT analysis gives impression
of the real Ugandan retail market, where they stand, and what they have to do
to improve, their future challenges, and future ventures. Over the last
few years, retail has become one of the fastest growing sectors in the Ugandan
economy. The organized retail industry however is at a very nascent stage
though attempts are being made to increase its proportion to bring in a huge
opportunity for prospective players. The sector is the largest source of employment
after agriculture, and has started to penetration into rural Uganda generating
a sizeable percentage of Uganda’s GDP.
STRENGTH
Demographic favor
Rising disposable income
Increase in number of people in earner category.
Urbanization
Shopping convenience
Changing consumer habits and lifestyles.
Plastic bank smart card revolution.
WEAKNESS
Policy related issues- lack of industry status for
retail.
- numerous licence,permits and
registrationrequirement.
-farmer and retailer unfriendly laws.
Limited consumer insight
- lack of detailed region specific customer data.
- less data on spending pattern.
Taxation hurdle
- inconsistent tax structure.
- vat and multiple taxation issues.
- large grey market presence.
Underdeveloped supply chain
- underdeveloped logistics infrastructure.
- absence of national cold chain networks.
-lack of national distribution networks and hubs
Lack of adequate utilities
- Lack of basic infrastructure like power, transport
and communication creates difficulty in sustaining retail operations across the
country.
OPPORTUNITIES
Potential for investment.
Sectors with high growth potential.
Fastest growing formats.
Rural retail.
THREATS
Political issues.
Social issues.
Inflation.
Nostalgia
Lack of differentiation among the malls that are coming.
Poor inventory turns and stock availability measures.
Unlike other business trade associations URWA will operate countrywide
and will basically represent community-focused retailers and wholesalers in
Uganda. URWA is also among the founding organizations of the African Federation
of Retail Associations (AFRA).
Retail and Supermarket
expo and retail awards
Retail awards
A big percentage of Uganda’s population work in the retail
sector, making it Uganda’s single largest employer. The sector needs flexible
workplace arrangements which reflect the nature of retailing. Industrial awards
are a key part of the retail workforce as more employees in the retail sector
are covered by industrial awards than in any other sector.
-
Recognize and reward retailers implementing best
practice principles.
-
Promote, celebrate and publicize those who achieve
retailing excellence. The competition will also acknowledge the vital industry
partnership existing between retailers and sponsors.
Objectives &
Principles of URWA
-
To maintain a high standard of integrity and efficiency
in the conduct of the retail a wholesale industry.
-
To avoid/discourage improper methods and unethical
practices adverse to the right conduct of business so that quality products are
sold to consumers at lower prices.
-
To enable community focused retailers and wholesalers
access useful information to educate themselves in the scientific and practical
features of their business/industry.
-
Promote and protect retailers’ interests.
-
Advise retailers of threats and opportunities to their
business.
-
Improve the perceptions of community-focused retailers
and wholesalers in Uganda.
-
Offer members a range of value-added services and
products programs.
Funding
Adequating funding of programs and activities of is a key
factor that will enable URWA achieve its goals of representing the retail and
wholesale industry this acquire URWA involvement in
- planning and seek funding for programs and services of
URWA.
- Ensure financial accountability.
- Position URWA as the major source of information
concerning retail and wholesale industry.
- Identify seek sponsor for our programs.
- look out for projects that align with URWA objects and
services.
Waste management in
the retail industry
There is need to guide retailers, groceries, shops,
supermarkets, commercial property owners and property managers in/about
planning and implementing waste management programs within shopping centres.
Retailers and retail centres need to have waste management systems.
Training.
URWA Training courses will be designed to facilitate
understanding of the URWA Training Retail standards. We shall offer a wide
selection of interactive courses, develop an excellent track record and build a
reputation for the development and delivery of training courses to a URWA from
both the private and public sectors.
Our training aims and
goals will be to;
- Ensure
all suppliers are well informed on how to implement the supply and retail
standards.
- Promote
a common approach for the implementation and understanding.
- Help
suppliers achieve and maintain certification
- Share
knowledge and practical experience in applying supply and retail
standards.
- Improve
the running and operations of supermarkets and groceries.
URWA will have international experience in developing
cost-effective training solutions and will build a track record and reputation
for the development, customization and delivery of training program. We shall encourage working in close collaboration
with leading industry experts to develop training solutions based on the
retailers’ needs and problems.
Consumer Products
Courses
Retailers are obliged to supply safe and legal products to
their consumers and must take all reasonable precautions to ensure this
happens. With the increasing demand for branded products and also a need to
ensure that manufacturers and importers of branded products are fulfilling
their responsibilities, URWA will help to ensure that products consistently
meet consumers’ needs and expectations with respect to quality, safety and
legality and give retailers confidence in their suppliers ‘capabilities.
Storage and
Distribution Courses
A Standard will be developed to assist retailers and other
users in their fulfillment of legal obligations and protection of the consumer,
by providing a common basis for the evaluation of companies storing and
distributing products.
Retail Myths
Retailing is a large and diverse industry that regularly and
directly touches most people’s lives. Understandably, it attracts a lot of
consumer and media interest.
But some of the assumptions made about the industry are
ill-informed or just plain wrong. URWA will set out to put the record straight
on a range of topics with straightforward, factual information.
The work of the URWA will be structured around Policy Action
Groups (PAGs). Members of the PAGs will meet regularly to discuss, debate and
form responses to Government on policies that could add burdens on the retail
sector should they be approved unchallenged. Within each PAG are a number of
Working Groups which focus on specific issues.
MEETINGS
URWA will hold regular meetings with its members and leading
decision makers within the industry and parliament to discuss many issues of
Uganda’s retail industry.
Price Indices.
URWA will track price changes on consumer goods purchased in
retail outlets. By examining the most commonly bought goods across price
points, the price indexes will provide monthly indication of the direction of
price changes. This will give an accurate picture of price inflation/deflation
of commonly bought goods in shopping locations through the Uganda.
To reflect the shopping habits of consumers, each index has
the following areas as sampling points:
- Supermarkets,
Superstores on out-of-town sites
- Retail
Parks
- Town
centres
- Local
parade stores
- Shopping
centres.
- Community-focused
shops
In each of these locations, prices are collected from small
and large multipliers and independents stores of differing types, e.g. grocery,
confectionery, DIY, department stores.
The items for which prices are collected reflect standard
consumer purchasing patterns in terms of branded/own label split and price
distribution. Data collection is monthly and always in the same stores to
maintain consistency. Food
- Fresh
food
- Non-food
- Clothing
& footwear
- Furniture
& flooring
- Electrical
- Gardening
& hardware
- Books,
stationery & home entertainment
- Health
& Beauty
- Other
Non-food
URWA EVENTS
Through a range of events, URWA aims to inform and
facilitate constructive dialogue between policy makers, influencers, enforcers
and retailers.
We shall encourage better way of organizing and producing major
conferences, seminars, workshops, awards and forums with particular expertise
in retail and public policy events.
RETAIL
MAGAZINE/JOURNAL
URWA will establish a magazine for essential reading with in
the Uganda retail industry. The magazine features a mix of interviews, news and
features with contributions from industry experts, retailers and government
figures. Through our magazine we will aim to highlight the work of the URWA in
influencing the development of legislation and encouraging best practice across
the industry. We shall also aim to provide you with the sort of information
that will help you in running business, from advice on how to minimize
shrinkage to discussions of the latest retail trends.
It will be distributed to all members of the URWA, including
retailers, trade associations and retail suppliers, plus selected government
and academic contacts. The readership includes key decision-makers at some of
the most high-profile businesses in Uganda. Our core audience made up of chief
executives, chairmen, managing directors and senior managers at some of the top
retailers in Uganda.
URWA WEBSITE
URWA will establish a website to allow readers/Uganda
citizens access information more easily and advertisers to reach their markets
more effectively. It will provide vital information to business and
professionals and also feature standards and guidelines in Uganda’s retail
industry.
Retailers Journal
The Retailer magazine will be available to allow readers to
access information more easily and advertisers to reach their markets more
effectively.
URWA RETAIL SERVICES
DIRECTORY
URWA will establish a retail service directory featuring a
diverse range of companies that provide services to the retail sector. Most of
the companies listed in the Retail Services Directory will be URWA Associate
Members which provide a service to the Uganda retail sector.
URWA MEMBERSHIP
URWA offers valuable services to its membership; providing
information and expertise as well as representing the industry to government and
in the media on the important issues of the day.
For associate members, URWA will provide not only a
constantly updated and relevant knowledge hub, but an active forum for informed
debate and advancement; benefiting and engaging everyone in the sector. It will
also be a credible and authoritative voice for the retail industry.
URWA membership will bring together in one single united
voice, retailers of every size, type and location country wide. Membership
includes supermarkets, retail shops, wholesalers, groceries the major
multiples, a range of small and medium size retailers plus various sector
specific trade associations and suppliers of services to the industry.
MEMBERSHIP INFORMATION
To work with our member to create a vibrant and sustainable
retail industry for the future.
Our visison is based on the following objectives;
OUR MISSION
- To
make life easier for members by:
- Campaigning
to promote and defend retailers’ interests
- Advising
retailers of threats and opportunities to their business
- Improving
the perceptions of retailing in Uganda.
- Offering
members a range of services and products which add value to their
business.
URWA is dedicated to looking after its people through
promoting a healthy work-life balance, ensuring that there is sufficient
recognition and reward, providing resource and support for training and
development and encouraging participation and consultation.
Regulatory Reform – cutting red tape
As a national business, retailers face costly and
inconsistent regulations. Occupational health and safety regulations and a host
of conflicting food and consumer standards. The costs of these inconsistent
regulations are ultimately borne by consumers.
URWA will support reform which reduces unnecessary compliance costs. The cost
of new regulations will need to be examined and the significant net public
benefit assessed before they are introduced.
The role of government should be to set appropriate community standards,
supported by effective enforcement. Regulation should be performance-based
rather than prescriptive. Regulators should seek to promote a culture of
compliance rather than relying on punitive enforcement.
Harmonisation of existing regulations, such as occupational licensing, State
taxes, uniform trading hours and consumer protection, offers substantial efficiency
savings for business.
Consumer Protection
URWA will endavour to protect the consumers of retail products and also
the consumers rights and adopt a national consumer laws which will be based on
the consumer protection provisions of
the Trade Practices Act .URWA would like to see Uganda’s consumer protection
laws be made more consistent and will have a national approach to competition
and consumer policy in Uganda.
Trading hours
URWA will organize with the Government and local authorities to agree on
trading hours depending on the region. And will encourage a program to allow all shops to have the option of
trading 24 hours a day, seven days a week and allow retailers to set their own
opening hours in response to business and consumer needs, while also providing
greater choice for shoppers.
Responsible Alcohol Selling.
URWA will
encourage and enforce responsible alcohol selling in licenced
premises and right age and will train people involved in the retail industry to
be compliant with the current laws surrounding liquor and its service.
Define a standard drink and understand their strengths, understand the effects
of alcohol on the community and individuals, recognise the levels of
intoxication of customers, detail strategies and exhibit skills in the
prevention and detection of minors on licenced premises, to prevent underage
drinking, detail strategies and exhibit skills in the effective prevention or
control of intoxication, or potentially violent or offensive behaviour
customers, demonstrate an understanding of the methods employed in training to
improve customer service and comprehension of the new focus on alcohol
service, improve internal communication skills to enhance control and
monitoring for improved focus on customers welfare and improve communication
with relevant authorities.
Waste Management in the Retail Industry
This guide is intended as a
tool for shopping centre management, commercial property owners and property
managers who may be involved with planning and implementing waste reduction and
recycling programs within shopping centres. Waste Management and Reduction Guide for the Retail
Industry.
Retail centres which have
sound environmental management systems in place practice:
- waste management – changing from waste disposal to
waste minimisation
Think about recycling not only paper and cardboard, but plastics, fluro
tubes, compostable material and introducing recycling in public places and
using reusable plates and cutlery in food courts.
The Plastic Bag Code of Practice
Plastic bag management has
been a critical environmental issue for retailers and consumers for several
years. At present there is unclear prohibition on the use of plastic bags
however if we are able to significantly reduce the number of bags using a
voluntary approach, we can help protect the environment and our businesses from
the damaging effects of a levy or ban. To this end plastic bags are strongly
encouraged to reduce, reuse and recycle plastic bags.
There has been strong
government pressure to reduce the amount of plastic bags issued by retailers. URWA
will create the Code of Practice for the Management of Plastic Bags, the Code
contained strong targets, includ reducing the number of bags issued by
Supermarket retailers. The Code will also aim to encourage non-supermarket
retailers to commit to the principles of the Code. The URWA will develop a
retailers guide, stickers and posters available to both members and
non-members.
Fight against the counterfeiting of consumer goods.
URWA will protect Ugandan consumers from counterfeits that range from food
products, non-food products, cheap imitations of designer apparel to unsafe
formula that threatens the health of infants.
Counterfeit goods have infiltrated every part of our country and costs Ugandans
millions of money and has harmful effects throughout the economy. Fake products
aren’t just a rip-off for consumers who’ve paid hard-earned money for what they
think is a brand-name product. They also expose consumers to serious health and
safety risks in products as diverse as infant formula, toiletries, auto parts
and power tools. Furthermore, many of these goods are sold on street corners
depriving government of the tax revenues. As the industry umbrella group, URWA
will collaborate with government, manufacturers, agencies and relavant
authorities to stop counterfeit goods on the market.
Retail Academy
Institute:
The mission of the Retail Academy is to enable retailers, wholesalers and
manufacturers to better understand the needs and purchasing trends of the Ugandan
consumers; to enable the retail grocer to maximize growth through cost-
effective advertising and merchandising concepts and programs; and to promote
effective marketing principles as an integrated process requiring the
cooperative efforts of retailers with their wholesalers and suppliers. It will
offer several practical marketing programs and services, regional seminars and
workshops on industry-specific marketing issues.
Code of Business Practices
URWA is committed on behalf
of its member companies to encourage codes of business Practices among its
members to operate their businesses in a lawful, safe, and healthful manner. It
upholds the principles that no underage, forced, or prison labor should be
employed; that no one is denied a job because of gender, ethnic origin,
religion, affiliation or association, and that retailers comply with laws
protecting the environment. The Uganda Retailers and Wholesalers Association
will develop many industry codes of practice. Codes of practice will help the
retail industry self regulate with guidelines more effective in addressing
industry issues than perhaps government regulation could achieve. Industry
codes of practices can be a result from government pressure to adopt practical
practices within a given industry such as the Plastic Bag Code of Practice. By
adopting
POLICY Advocacy
The URWA will be the leading
voice in the retail industry for policy changes affecting the sector. As
a strong advocate the URWA will represent a vast number of retail businesses
making URWA one of the key ports of call for government, media, regulators and
other industry participants. By maintaining strong links with government the URWA
will be able to influence and direct policy that may affect the retail
industry. Being a member of the URWA allows you to become part of this process
and contribute to the development of retail policy.
Research and Development.
URWA will be a highly
effective peak advocate for retailers and will be committed to producing
quality research. Only by canvassing the sentiments of the retail sector can we
achieve an environment truly conducive to retail industry growth and
development.
Retail Consulting Support
URWA recognises the need for improving member retail
business and will be endeavor to provide the right assistance. We shall have
specialist Retail Consultant.
Offer consulting services in the areas of;
- Retail
Marketing
- Retail
Systems
- Retail
Business Plans
- Policy
and Procedures Development
URWA Specialist Retail Consultants
guide you to build a practical common sense business strategy tailored for your
business. Equipped with broad experience in developing business strategy in
small to medium sized retailers the consultant will guide you to analyse your
situation and develop a business plan that can include retail financials,
product buying systems and store operations. This is achieved through
supporting you with;
- Conducting an audit of your business
- Review your business model
- Develop a business improvement plan
- Implement the business initiatives
- Drive return from your retail investment
And they will benefit Retailers who are:
- New to the industry
- Wanting to review their business
- Franchise Systems
- Chain Stores in growth phase
- Experiencing trading issues
- Looking to grow their business
Membership Benefits
As an URWA retail member you
will access a wide range of products and services to help build your business
and increase profitability.
Employment Relations Advice
Advocacy, Policy and
Research
Publications and
Communications
Representation to
Government, manufacturer, consumers, suppliers and other authorities
News and Events
Retail Academy / Institute
Member Advice
Retail Service
