Xerox to beat Canon at its own game

NEW DELHI: With a 38 percent revenue growth in last fiscal, compared with the other developed markets clocking seven percent growth and developing markets averaging 21 percent, Xerox Modicorp is betting big on India. With a five-pronged strategy in place, it launched new products and its game plan for the Indian market.

With the mantra of "One Xerox", the company plans to go all out in the market. Xerox Modicorp MD, Marcus Childs said, "we want to tap every segment and for that we have invigorated the brand, introduced products and worked on the service infrastructure."

In India, Xerox had revenues of $ 98 million and plans for a similar growth this year. It had a four-fold increase in the high-end color business and growth in equipment sales. Right now, India contributes 41 percent to the total revenues.

Armed with a five-pronged strategy, the company will be rolling out partner led sales and service initiatives, increase channel presence, introduce products and build up the brand. It will invest about $ 1.5 million in building up its brand and the channels' presence.

Its marketing manger German Gennady said that, Xerox in India would now want to be able to compete with its prime competitor-Canon.

Childs added that Xerox would not want to emulate the Canon game plans, but will follow its footsteps to beat it. On the consumable strategy, Childs said that the company will be tapping this cash cow in a bullish manner and will set up a separate channel network for it.

Gennady said that apart from the regular channel sales it is looking at few OEM tie-ups. "Last year we tried, but talks fizzled down in between. This year we will have a dedicated effort to drive the OEM tie-ups," he added.

In the coming year, Xerox will launch 20 new models (scalable in nature), invest heavily in online and offline media activities (with emphasis on SOHO and home segment), work up its retail strategy and strengthen its channels presence.

CyberMedia News Service