Samsung Electronics wants to emerge as India’s leading white goods player and seeks revenues of $10 Billion by 2013. The biggest driver is expected to be its portable PC portfolio which now comprises of 28 models, and LED/LCD TVs. They have set a strong precedent in 2010 by achieving a remarkable 60 per cent growth rate, with a sales turnover of $3.5 Billion contributing to its $135.8 Billion in global revenues. It is currently ranked number 1 in LED and LCD TVs.
Samsung’s strategy is simply increasing its play in different segments and emerging as the technological leader as well as the consumers’ most preferred brand.
Digging Deep for the Future
The company has made major investments in India to increase its manufacturing presence with $325 Million so far, with an additional Rs. 350 crore expected by 2015. They are aiming for a 40% growth in 2011 with estimated profits of $4.9 Billion. They boast 18R&D Centers, including two dedicated R&D units in India, besides investing over 8 per cent of global sales in R&D processes to foster innovation. Samsung has approached 890 application development companies to facilitate a 40% share of India’s fast growing Smartphone market.
Netbooks to contribute 40 per cent of Overall sales
Ranjit Yadav, the IT and mobile business head in India, sees a huge emerging market with diverse consumer segments for net-books. “We have launched our NF series of netbooks in late 2010, which is witnessing excellent sales across markets, particularly among students, young professionals and frequent travelers.” Samsung already control over 20 per cent of the market share in the netbook category and are now looking at doubling it in the NotePC segment in 2011.
They have now launched the ultra premium Notebook Series 9 here, and have a significant thrust on retail for netbooks besides a strong retail network.
The Galaxy Tab makes Inroads as well
Ranjit believes Tablets are a key focus area and a prime category for Samsung. The popularity has been huge in India and Samsung is already targeting a 50% share of the Indian Tablet market by 2011 with the launch of Samsung Galaxy Tab 10.1” and 8.9” entertainment powerhouse variants.
And lastly, some powerful words from their CEO: “People talk about risk management these days, but I think risk taking is more important.”
We find Samsung’s ideology and relentless thrust unique among a bunch of assembly-line manufacturers, and this is what sets them apart in a notoriously fickle market like India. They haven’t clubbed us together with the other Asian nations but have systematically understood the vagaries of our market. Their numbers reveal the extent of their successful India story, and we wouldn’t be surprised if initial targets are met within the next year.
Do you think Samsung products have the edge? Tell us.