Transforming Sri Lanka’s public sector: Power of strategic marketing

Sri Lanka’s state-owned enterprises (SOEs) and public institutions are at a critical crossroads. Despite playing a pivotal role in national development, they continue to grapple with inefficiency, limited public outreach, and financial instability. While private-sector organisations thrive on dynamic, competitive marketing strategies, SOEs often lack a clear, structured approach to marketing—resulting in outdated practices, declining public trust, and missed opportunities for growth. If Sri Lanka is to unlock the full potential of its public sector, strategic marketing must become a driving force for transformation.

Marketing: A catalyst for public sector growth

Marketing is more than just advertising—it is a strategic business philosophy that drives innovation, fosters competitiveness, and fuels economic growth. In the public sector, marketing ensures that institutions remain aligned with the evolving needs of citizens, enhance service quality, and increase accessibility. 

Nations that have integrated strategic marketing into governance have witnessed improved efficiency, greater public satisfaction, and stronger global competitiveness.

Building trust and citizen engagement

By effectively communicating objectives, achievements, and services, public organisations can build trust and accountability. A strong branding and engagement strategy enhances public perception, positioning institutions as reliable, modern, and responsive to societal needs.

Take the Sri Lanka Police, for example. By adopting strategic marketing, the force could reshape its public image, fostering stronger community partnerships and encouraging proactive citizen engagement. Initiatives such as crime prevention campaigns, social media outreach, and community-driven programs can shift public perception from enforcement-centric to collaborative and community-oriented.

Driving revenue growth and service innovation

Strategic marketing is a powerful tool for driving revenue growth in Sri Lanka’s state-owned enterprises (SOEs). By adopting a market-driven approach, SOEs can better understand consumer needs, identify emerging market opportunities, and position their services more effectively. Through targeted branding, promotional campaigns, and customer engagement strategies, SOEs can expand their reach, attract new customers, and boost demand for their services. Additionally, marketing can help diversify revenue streams, launching new products and services.

Let’s consider transportation sector as another example. With the right marketing strategy, Sri Lanka Railways and CTB can move beyond traditional models and embrace a modern, customer-centric approach. Introducing premium services—such as express routes, luxury coaches, and digital payment solutions—can improve user experiences, boost ridership, and enhance financial sustainability. A strong focus on branding, advertising partnerships, and digital innovation can further elevate these institutions, making them efficient, responsive, and commercially viable.

Sri Lanka Railways’ underutilised prime land holdings at strategic locations, could be transformed into vibrant commercial hubs, offering retail spaces, entertainment zones, and lifestyle facilities through public-private partnerships (PPPs). Strategic marketing can position these developments as thriving economic centres, attracting high-value tenants and creating steady revenue streams through long-term leases and rental income. This would allow Sri Lanka Railways to reduce dependency on public funding and operate at its full economic potential.

Strategic marketing for public sector transformation: Urgent need to establish a national marketing agency

Establishing a National Marketing Agency (NMA) is essential for transforming Sri Lanka’s public sector. Similar to the role of ICTA in advancing the public IT sector, the NMA would offer expert consultancy, data-driven strategic direction, market research, and support for developing comprehensive Strategic Marketing Plans. This dedicated government body would empower SOEs and other public institutions to adopt modern marketing practices and align their services with current market demands.

Many government entities struggle with a lack of in-house marketing expertise and limited resources to engage private consultancy firms. The NMA would bridge this gap by providing crucial strategic marketing support, enhancing operational efficiency, driving revenue growth, and transforming state-owned enterprises into citizen-focused, financially sustainable institutions.

Way forward: A marketing-driven public sector

For Sri Lanka’s public sector, embracing marketing is no longer a choice—it is a necessity for modernisation, driving growth and strengthening global competitiveness. By establishing a National Marketing Agency (NMA) and integrating marketing into governance, SOEs and public institutions can boost efficiency, strengthen public confidence, and contribute meaningfully to national economic growth.

A marketing-driven transformation will ensure Sri Lanka’s public sector thrives in the modern economy, delivers superior citizen services, and strengthens national progress.

(The writer is an experienced professional with a strong background in management, strategy, and leadership across both the private and public sectors in Sri Lanka and Canada. He is a graduate of the prestigious Chartered Institute of Marketing (CIM), holds a Science degree from Wayamba University of Sri Lanka, and has earned a postgraduate qualification in Finance from Ontario, Canada. He welcomes your feedback and can be reached at [email protected].)