-R.K. Amar Babu
Even though IT is a vast area to be covered in the given time, let me cherry-pick some of the key trends in the current market scenario.
To start with, I see the trend going towards, PC to PC+ which I mean, the desktop being a depression product and the growth rate of PC is in -5% which means, there is no growth in PCs. However, regardless of size and price, PC + is the reality- be it a tablet or a mini laptop.
This new trends have various implications on the channels- new rules, new skills and investments. Partners should learn all the new concepts and primarily know where the opportunity lies exactly. In some companies, it is a fact that they sell more mobiles and tablets compared to the other devices. It is the hightime the partners should change the mindset in accordance with the emerging trends.
The second trend is the proliferation of the devices. Today, we find too many models and devices. Customers have different choices and at the same time IT products once become old are like rotten fruits. Many leading players had left the business in the laptop segment and it is only the fight between top three players. Partners should expand their portfolio and look for the right portfolio and know inventory management.
Next trend is consolidation. Whatever product you sell, whichever brand you are associated with, it is highly important what your role in the value chain is and what value you add for the customers. You can get associated either with one premium brand or have multi-brand tie ups as that length and breadth is up to you.
I am sure that most of you are experiencing the last trend- online sales. At this moment I want to put forward to everyone that online sales is going to continue and is not something that is going to exit immediately. With the sales percentage from online is between 10-15% and is likely to grow in the coming days, no individual is ready to give away that platform.
At the same time think what the channel community should try to do is to focus at differentiated products. In my recent visit to the US, I had decided to buy a camera and checked the rate online and went to a famous shop and the price difference was around USD $150.
However, after going to the retailer, he asked me about my usage- required pixels, budget, the screen which I view images and more and you will not believe me, he made me purchase the right product that suits me. This is what one quality I expect from the Indian channel community also. Instead of blaming on the online sales, partners must think on generating opportunities.
(The article is the transcription of the speech by R.K.Amar Babu, president, Manufacturer association of information technology during the recent summit of Confed-ITA in Goa.)
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