HCL Peripherals aims 20% marketshare in monitors

CHENNAI

FEBRUARY 15, 2007

HCL Peripherals is making all round efforts to increase its market share in
the monitor business. The manufacturing company, which claims to hold 15 percent
of the total monitor market in India, is now aiming at 20 percent by end of the
current financial year (June 2007). HCL Peripherals recently went in for
restructuring and has appointed BK Sarangababu as the new national manager for
display products. "Coming from Ingram Micro, I bring in a rich front-end
sales experience with me to this organization. HCL Peripherals has got strong
product lines and all have to be corrected is the go-to-market strategy, which
will take the company to the new heights," said BK Sarangababu. Ingram
Micro is incidentally the exclusive national distributor for HCL monitors.

Sarangababu, along with his team, have worked out several key strategies to
take the business to the next level. Channels will continue to be the thrust
area in business, to achieve the projected numbers. "We are increasing our
partnership base across the country, while expanding the network by adding up
more locations. HCL Peripherals has recently increased its direct presence from
five locations to 16. Similarly, we have increased our channel presence from 30
to 60 cities/town, in the last three months. Our regional distributors (RDs)
strength is also being doubled from 40 to 80, which will be finished in the next
six months," he detailed. The company has clarified that all the expansion
programs are continuous process and will be carried out for some more time.
Service is also getting major attention.

HCL Peripherals is taking a two-pronged strategy with the channels to
increase its business prospect. The company wants to strengthen its relationship
with existing partners through loyalty programs, schemes and surprise back-ends,
the new accounts will be developed by company people mainly in Class D and E
markets. "Now, we have monthly budgets and sanctions for channel
development programs," quipped Sarangababu.

Some of the latest offerings from the company include 19-inch wide LCD
monitor, 20.1-inch TFT, LCD televisions and 19-inch CRT monitor. HCL Peripherals
is increasing its scope in the display segment by brining in many new product
categories. The company will soon launch membrane keyboards, optical mouse and
webcam in the market. There is also a rumor that the company plans to get into
large format display solutions, through a joint venture. "LCD is a booming
market and our business ratio between CRT and LCD completely swapped in the last
three months. Now, we are doing 60 percent of TFT and only 40 percent of CRT in
the total monitor sales," he pointed out.

HCL Peripherals is putting concerted efforts to increase its business in
north and west, while east growing gradually. The company, which has a strong
base in south, now wants north and west to contribute equally with south India.

HCL Peripherals has registered a turnover of Rs 290 crore in the last year
and display division contributed more than 60 percent of revenue in it. For the
current fiscal, the company projects a revenue of Rs 350 crore.