Teachers sacco rebrands to Univision DT to beat competition

Drawing impetus from a ten-year steady growth, premier 48-year-old Kitui Teachers Sacco has rebranded to Univision DT Sacco to stave off competition.

The strategic move according to Sacco's top management will thrust Sacco into the league of top deposit-taking Saccos in the country.

Consequently, the Sacco would join a growing list of numerous teachers' saccos that have adopted name change as they cast their nets wide in the wake of steep competition to tap into the non-teacher membership clientele. 

Even with its undisputed dominant presence in the Lower Eastern region, the Sacco has been facing competition from the expansionist streak by other financial institutions that were making inroads into its marked empire.

Even with an impressive asset base of Sh.10.1 billion and more than 51,000 members, the Sacco leadership was not lost to the fact that its name was a stumbling block in attracting members from different walks of life.

It has been instructively a Herculean task for the Sacco to effectively attract 

business people, civil servants and other salaried professionals as members since the name; Kitui Teachers' Sacco, was taken to denote that it exclusively belonged to teachers.

Consequently, during the society's 47th AGM at Ithookwe showgrounds in the outskirts of Kitui town in late January the management struck a chord with members who unanimously approved the change of name to Univision DT sacco.

The sacco management had toyed with the idea of rebranding for the last 15 years since the society's regulations were changed to open a common bond in 2008. The effect of the move was that the sacco was free to absorb employees from other government ministries and organisations. 

On Thursday last week not only did the Kitui teachers sacco formally rebrand to Univision DT sacco but killed two birds with one stone by also launching a five year, 2024-2023, strategic plan.

The event that was held at the Kitui town sacco head office and presided over by a director of Co-op Bank, Vincent Marangu.

The board chairman, Rev Augustus Munuve, admitted that other outlandish teachers' saccos had started eating into the Univision's market share.

"Over the years our sacco has remained resilient until recently when our market niche was encroached by many financial institutions including banks, micro finance and other rebranded deposit taking saccos," noted Rev Munuve.

He observed that some competitors had branded Kitui Teachers' sacco business model as uncompetitive and as meant only to take care of the needs of teachers in Kitui County.

"Our original name has been our major setback. Thus to put our business on a growth trajectory and sustainable compete on a fairground with compensation, we had to change it," Rev. Munuve pointed out. 

He told the ceremony that the sacco needs enough liquidity through deposit mobilization from both salaried members and business community in order to grow its profitability. 

The chairman noted that the society had attracted a good number of non-teacher members, growing the membership from a paltry 11,556 members in 2014 to 51,000 members in 2024, which translates to 500 percent growth. 

"This has seen the Sacco rapidly open eight full pledged branches in Kitui, Machakos, Wote, Mutomo, Mwingi, Makindu, Mutito and Kyuso towns. It has satellite offices in Kabati, Masii, Matuu and and Tseikuru markets," he added.

He said according to the 2024-2028 strategic plan, the Sacco hopes to double its asset base from the current Sh. 20.1 billion to Sh 20. billion by the year 2028, through digital innovations and aggressive business transformation.

Marangu told the Sacco leadership under Rev. Munuve that with the rebranding and the unveiling of a new strategic plan much more was expected of them in steering the Sacco to greater success.

“The work ahead now with a new name comes new responsibility. People are waiting for this rebranded sacco to make more money and more returns as you promised. They will watch your performance,” he said.