As part of our series titled ‘Global Trade Opportunities’ where we try and identify international firms that want to do business in India, Anurag Gaur from electronicsforu.com spoke to Chris Chang, managing director, ADATA about their business strategy in India and their plans going forward.
ADATA has been in India for almost three years and the company has managed to create a space for itself, especially in the memory card market. The company claims to be one of the world’s largest vendors of DRAM modules and USB flash drives (UFDs). Its portfolio includes memory cards, solid state drives (SSDs), and external hard drives. The company’s commitment to becoming a worldwide leader in providing DRAM memory and Flash application products led to ADATA distinguishing itself from the competition by its commitment to industry know-how and eye-catching product designs.
SEPTEMBER 2012: Q. How do you see India as a market for ADATA products and services?
A. India has a great potential for the range of products that ADATA deals in. Keeping this in mind, ADATA has been slowly investing resources in order to expand our presence in the India market. In the recent years that ADATA has been present, we have seen a steady growth in business- especially in the memory card market across India. ADATA already has its footprint present across the 4 metros through its sales representatives. Depending on the business dynamics, we plan to increase our footprint in the coming months.
Q. Out of the range of products and services that you deal in, what are the kind of products that you feel find more takers in India?
A. Memory cards and UFD drives are the product categories that have been accepted well in the Indian markets. Apart from that, with the burgeoning demand on digital media, we strongly believe that our external hard disk drives will be picking up in the Indian markets. SSDs are another product category that, with the advent of tablets and ultra-portable laptops, will be in good demand in the coming period, as these not only provide speed but are also very low on power consumption.
Q. Where all is your company present in India?
A. Mumbai is our India headquarters and we have a team to take care of key business functions like Sales, Post Sales, Marketing, Accounts and Finance etc. Apart from these, we also have our sales persons in key metros to manage our business including Bengaluru, Delhi, Kolkata. Sudip De, VP-Sales is taking care of India operations from the Mumbai office.
Q. What is your go-to-market strategy with regard to the Indian market?
A. Currently we have a two-tier distribution setup. The first level consists of National Distributors (NDs) and the tier-2 Regional distributors (RDs). In case of ND, we have Ingram Micro taking care of our UFDs and card business, Rashi Peripherals taking care of our RAM business and Technocrat expanding all our products categories nationally.
Talking about the regional distribution setup, we have one RD in each of the region to expand our business further down amongst the tier-3 partners across the region. In West, we have Creative Computers, in South Aldous Glare, in North – Champion Computers and Technocrat being located in east takes care of the eastern region.
Q. Are you open to partnering with distributors and system integrators in India?
A. ADATA will always be looking in to enroll more partners for cooperation, depending upon the market dynamics. This is a continuous process to increase our footprint in India. Our intent is to maintain a well-organised and healthy structure, so we look for partners who fit in this structure and ready to work with us on a long term basis.
Q. What are the challenges that you have faced and foresee in India?
A. The major challenge in the India market is the prevalence of intense competition. Therefore, as a brand we have to be patient and invest in building the brand and also create opportunities for partners as well.
Q. What have been your marketing initiatives to generate more business in the country?
A. Over the last 2 years that ADATA has been present in India, we have been participating in some of the key industry events like COMPASS in Kolkata, COM-IT in Mumbai, ACMA in Ahmedabad to name a few through our partners. The company’s turnover for 2011 was $995.22M.
Q. Tell us more about your company.
A. ADATA was formed in the year 2001 and managed to grow into an industry force shortly. The company has over 1700 employees worldwide, and an intellectual property portfolio with over 595 patents. ADATA is present worldwide at over fifteen strategic locations and in all key markets. ADATA products are internationally recognised by Germany’s iF Design Award, red dot Award, CES Best of Innovations Award, Japan’s Good Design Award, Best Choice of Computex Award, and Taiwan Excellence Gold Award. The company’s slogan of Love, Life, Dreams, embodies the ADATA brand and the role of innovative memory products in the human pursuit of universally cherished ideas.