Strong performance during last year has catapulted the Indian operations of Dell to become the second largest outside the US and the fastest growing globally.
A few years ago, Dell India was lagging at eighth place globally. China is placed first outside the US for the $62-billion PC maker which has embarked on a journey of transformation from a pure-play hardware vendor to an end-to-end scalable solutions’ provider.
Investments in IndiaThe company has been making significant investments in India over the last 12 months toward eliciting positive customer feedback by using an ‘outside-in’ approach to customer needs, speeding up the process of building solutions stacks for customers, increasing geographic reach, training the sales team to sell solutions and offering differentiated value to customers and partners.
Calendar year 2014 has been a great year for Dell globally and a historic year for Dell India from a performance point of view, Alok Ohrie, President and Managing Director of Dell India told
“We saw strong acceptance of our strategy and positioning as an end-to-end solutions provider. Our new go-to-market strategy initiated last February has improved market coverage including – customer set, geographic reach and new partners. Customers have grown by 25 per cent; we have reached 50 cities in our commercial business and 200 plus cities in our consumer business; and the number of partners has gone up by over 100 per cent.
“The third reason for our strong performance is our sharp focus on delivering differentiated value to customers and partners unlike our competitors which is going through internal churn due to selling off some businesses, splitting the company, integrating new businesses into the organisation, etc,” elaborated Ohrie.
He said Dell’s market share gain in PCs and desktops has improved by 900 bps, the biggest gain for any vendor over the last 12 months. Likewise, in the server market there has been a growth of 850 bps in revenue and 700 bps in units and significant growth in storage and networking. The company is training its sights on a $23-billion India opportunity for its end-to-end IT solutions in financial year 2016 (Feb 2015 – Jan 2016).
The verticals that will drive revenue growth for in the current fiscal are Govt & Public Sector, Banking & Finance and SMBs .
“We have grown 5-6 times faster than competitors last year. And our priority this year is to build capability with better skilled and highly enabled channel organisation. Last year revenue from channels was 35 per cent which we want to increase to 45 per cent this year. We want to increase reach by doubling the number of Dell exclusive stores to 800 stores this fiscal, increasing our reach in Tier 2 and 3 towns,” said Ohrie, who is confident of the company’s growth momentum.