Expert Speak

The Assembler Still Rules!

Assembler

Despite continuing efforts to stem its growth, the assembler market continues to prosper, enjoying a major share of the market over its branded counterparts.

p____p In fact, the so-called “unorganized sector” has managed to garner a whopping 65 percent marketshare, much to the chagrin of the branded segment. And this without any kind of government assistance.

p____p This is all the more significant given the fact that falling margins, declining sales and unhealthy competition have resulted in a record number of sellers going bust. Now if that�s not an impressive effort, then what is? Branded MNCs trying to topple the assembled market?

p____p Rest assured the assembled computers will continue to garner the lion�s share of the home and SME segment. In spite of huge advertisement budgets, branded multinational PCs have not made any breach in the assembler�s domain. Local Indian brands have fared slightly better because of lower difference in prices with assembled PCs. But then that�s about it!

p____p And does it take a genius to figure out what goes in a �branded� machine?

p____p Assemblers who have built trust by trying to cement relationships with consumers instead of a mere sales transaction, and not resorted to unhealthy pricing, have more than managed to give many an MNC a sleepless night.

p____p It is certainly unbecoming on the part of influential associations to treat the assembled market as a hurdle in the trade, while the supposed goal of the entire IT industry is to increase the growth of computer penetration in the country.

p____p It was the assembler market that first began the practice of providing AMC and personalized services to buyers, to be followed suit by the “organized sector�, laying the foundation of the system of customer service/call centers by affluent MNCs in India.

p____p It would augur well for associations representing the organized sector to use its influence and clout to tackle issues in such a way as to make IT trade well-accepted in the country, rather than indulging in politicking in an attempt to bring down the assembled market.

p____p As for the discerning customer, he has every right to choose the kind of configuration depending upon his requirements, which is mostly fulfilled by the assembler. If keenly observed, many computer users opt to build their own systems by studying products, comparing prices and evaluating resellers as opposed to buying an “assembled computer” from an OEM.

p____p All said and done, the noble cause of reducing duties should benefit the entire IT trade, and not just the organized sector.

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