Which are the products that you are planning to introduce in
India?
As you know, we have already launched scanners in India. We
plan to introduce LCD monitors as well as digital still cameras very soon.
How is your relationship with Neoteric Infomatique, your
distributor? Are you planning to introduce these products through them?
Our relation with Neoteric is very good. We are satisfied
with them and they account for a major chunk of our business in India, which is
growing. It is the same with our second distributor Summit Infotech also. Both
of them do almost the same amount of business. But Neoteric does more business.
But we will have separate channels for products like digital still cameras and
LCD monitors.
Will you go through your other distributors?
Our current distributors do not seem to be interested in
these products. But we can’t wait for anyone anymore. We have a list of Indian
companies who have approached us at Computex in Taipei. But I think that Summit,
our second distributor is more Net-oriented. So I think they will be interested
in our digital cameras.
Can you tell us something about your monitors?
Our latest product is the Maxvision A5 LCD monitor. The
monitor displays a true 15-inch TFT flat viewable area with vivid and rich
colors. It has a 15-inch viewable surface area and features 1024 x 786 high
resolution. It is 1.5 inches thick and weighs only 4.2 kg. The monitor also
features Active Max Color Technology that provides sharper and vivid photo
realistic images.
Moreover, it complies with the world’s strictest standards
of TCO’99 and Energy Star of low radiation, safety, ergonomics, recycling and
power management.
What will the prices for both the products be?
Our digital still cameras, which go by the brand name
Astracam, would cost Rs 9990, while our LCD monitors would have an end-user
price of Rs 55,000.
What do you have to say about your channels in India?
About channels in India, all I can say is that things have
changed. In fact, things are changing and things will continue to change.
Channels in India are likely to follow the trend abroad, where distributors
approach retailers directly. I believe the business style will change step by
step. In India, we too are trying to sell to the resellers directly. But I do
not know whether it will work here or not.
What about competitors like HP?
Basically, HP has its branch office here. So it has an
advantage when it comes to duty. Kodak is the number one in digital still
cameras. So it takes time to push a new product through the channels. Three
years ago we were not very strong in India. But that is changing.
What message do you have for channel partners who complain of
falling margins?
Well, it is difficult to have very high margins. Everybody
likes to have more margins. The only way to counter falling margins is to push
more volumes.
Does Umax have plans to manufacture in India at any point of
time?
No. We don’t plan to manufacture in India. It is easy to
manage manufacturing operations in China where we have our plants. But of
course, localization is very important. We have plans to open a branch office in
India. After all our intention is to do business locally.
Don’t you think manufacturing is a way to beat the high
duty structure?
In India, duties are very high. I believe that if the duty is
deducted, then it is close to international prices.
How do you plan to sell your monitors and digital still
cameras?
To begin with, we plan to do some bundling, especially for
the LCD monitor. I would like to talk to our channel partners before we do this
because Umax is a beginner in LCD monitors. We would like to build up our image
and undertake marketing activities. Wherever possible we plan to give a scanner
free along with an LCD monitor.
Do you have any plans to introduce webcams for desktop video
applications?
We have no plan to introduce webcams. Right now we are
concentrating on LCD monitors and digital still cameras. We have met dealers and
resellers in India. We will select them immediately after I return to Taiwan.
Which are the main factors pushing your business?
Our business is growing mainly because of the Internet. What
we provide is a whole solution. We were not strong in India even three years
ago. Today we have a reasonably stronger presence in India. It takes time to
built up a channel and push your products.
Do you provide any special training to your distributors’
engineers or their channel partners?
When it comes to issues like training, we prefer trained
engineers. But if the technology is new, we will provide training. These days
scanner technology is not changing much though interfaces are changing rapidly
to become more user friendly.
Bobby Anthony In Mumbai