This paper presents a case study of the product development process in the “Rural Bank of Sto. Tomas (RBST) SUKI Microfinance Program”.
The paper states that:
* RBST was founded in 1973 with the intention of helping residents of the local community access financial services,
* It has grown steadily and has become a showcase for successful microfinance implementation in the Southern Philippines,
* Its microfinance SUKI loan program has contributed increasing revenues to its overall operation.
The paper describes the following aspects of RBST:
* Mission,
* Legal structure, governance and organizational structure,
* Funding sources,
* Socio-demographic profile,
* Market and clientele,
* Environmental factors,
* Operational and financial performance,
* The SUKI microfinance products: the SUKI loan, the SUKI savers club and the SAKA program.
The paper concludes by identifying the following reasons for the success of the SUKI Microfinance Program:
* Simple, standard products,
* Excellent customer service,
* Innovative savings products,
* Flexibility and sensitivity to customer needs and preferences,
* Efficient and able product development team,
* Buy-in,
* Clear target market,
* Institutional effectiveness,
* Lessons learnt from previous failures.
