Bet On: Benq

Re-branding has always been a very sensitive issue with organizations. One
that requires a very good understanding of the customer mindset and formulation
of strategies that would give the new brand a similar kind of recall as it
enjoyed before getting re-branded.

The going was not easy for Acer Communications and Multimedia (ACM) either,
when it decided to change its name to Benq. After having being known by a name
for many years, this change was a big risk.

However, if one looks at the company’s sales figures, what becomes obvious
is that the evolution of ACM into Benq has been more of a wise decision and that
risks were efficiently converted into advantages.

Tashi Gelek will focus on brand consolidation
Strengths
	Renamed Benq to create a separate brand identityÂ
	Plans to bring in products in the wireless communication category

THE TRANSFORMATION

One of the most important factors behind the re-christening of ACM as Benq
was the necessity to create a separate brand identity for itself. Since ACM kept
evolving to become a digital lifestyle device company, it derived the name Benq
from its punchline "Bringing enjoyment ‘n’ quality to life".

This also helped the company distinguish itself from Acer Computers, while at
the same time emphasizing its association with the Acer group by mentioning
"Inspired by Acer" alongside the brand name.

Now that the transformation is nearly complete with almost all ACM products
available as Benq, the company plans to continue increasing brand awareness
among the reseller community. For this, company has been regularly sending
mailers to its resellers and has developed an Integrated Customer Database
System (ICDS).

"This year will see Benq consolidating its presence in the market and
will put all its strengths in building up its brand. Only from next year
onwards, would we concentrate more on volume business," says Tashi Gelek,
MD, Benq India.  

END-USER AWARENESS

Though resellers are quite content with the steps Benq has taken to educate
the channel community about the name change, they unanimously feel that a lot
needs to be done as far as end-user awareness is concerned.

Tashi admits this but says they are taking one day at a time and would begin
end-user awareness campaigns only once the exercise is over for resellers.

Even though both Benq and its channel have their own opinions and are right
in their own place, what cannot be denied is the fact that despite a name
change, Benq as a brand has been selling well.

GROWING EVERYDAY

Within two years of its operations in India, Benq today has achieved an
appreciable marketshare in different product categories. As of now it is
offering a range of products in display devices, optical storage and imaging
solutions. It also plans to bring in products in the wireless communication
category.

The star product so far for Benq has been its CDRW where Benq today commands
nearly 45 percent marketshare as compared to 25 percent of Samsung. It also
leads the industry in this segment as far as CDRW speeds are concerned.

Benq also enjoys a good share in the CDROM segment at 15 percent, while it is
inching towards a two-digit marketshare in scanners, LCD monitors, digital
cameras and projectors.

Benq is committed to follow the same channel philosophies it had adopted when
it was ACM. And with the brand equity of ACM now completely transfered to Benq,
it is hopeful of emerging as a premier digital lifestyle company in the days to
come.