Date:16/10/2004 URL: http://www.thehindubusinessline.com/2004/10/16/stories/2004101601460200.htm

Back Canon India hopes to achieve Rs 270-crore turnover

Our Bureau

Mr Alok Bharadwaj, Director and GM, Consumer Imaging & Information Division & Volume Products, Canon India Pvt Ltd, along with the new office automation products in SMB & SOHO segments, in Kolkata on Friday. — Parth Sanyal

Kolkata , Oct. 15

CANON India Pvt Ltd hopes to achieve a turnover of Rs 270 crore during the year ending December 31, 2004.

In 2003, the company recorded a turnover of Rs 230 crore, according to Mr Alok Bharadwaj, Director & General Manager (Consumer Imaging & Information Division and Volume Products) of Canon India Pvt Ltd.

Addressing a news conference here on Friday, Mr Bharadwaj said the company's growth in the years ahead would be fuelled by demand from small and medium enterprises (SMEs) and the small office home office (SOHO) segments. Revenue from sales to these segments has been pegged at Rs 47 crore in 2004, up from Rs 33 crore in 2003.

By 2007, sales to SMB and SOHO segments would be around Rs 125 crore. Currently, the SOHO segment accounts for 18 per cent of Canon India's digital products business. This is expected to go up to 25 per cent by 2007. Within the SME segment, Canon would focus on verticals such as ITES, BPO and exporters.

Mr Bharadwaj said the size of the market for digital imaging products has been estimated at Rs 1,500 crore at present. The market size was estimated to go up to Rs 3,000 crore by 2007.

On its part, Canon India has adopted a multi-pronged strategy to augment market share. Besides extending the product range and expanding reach, the company was focussed on enhancing awareness of its product range and exhibiting and demonstrating the same.

The company today introduced seven new products that are specifically targeted at the SME and SOHO segments. These include a range of bubblejet fax machines and laser multifunction devices.

With this, Canon's product portfolio for the SME and SOHO segments has gone up to 12 products. According to Mr Bharadwaj, India has about 18 lakh SOHO and two lakh SMEs. The potential intake of digital imaging products by these two segments has been valued at Rs 300 crore. This is expected to go up to Rs 500 crore by 2007, Mr Bharadwaj said.