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CHENNAI DELHI KOLKATA MUMBAI May 28-June 3, 2012 UPS UPS SANDHYA MALHOTRA New Delhi, May 24 T he power backup market in India currently stands at around `3,600 crore, which is a growth of around 9% over the previous year. In this market, UPS holds a major share. The Indian UPS market is turning highly competitive but is also getting fragmented. UPS market enters consolidation phase The Indian UPS market, though fragmented, is highly competitive. Price, after-sales service, and deliveries are the key differentiating factors Price, after-sales service, and deliveries are the key differentiating factors in addressing the demand of the market. Even in smaller UPS more emphasis is given on extending battery life by moving towards an efficient battery management environment and proper monitoring of batteries. The Indian UPS market has got close to 300 sup- pliers. If we look at the high-end UPS market, there are 4 key players—Emer- son, APC, Numeric, and Socomec. However, it is a highly-competitive, frag- mented, and growing mar- ket, with both multinational and Indian suppliers com- peting for the space. Off-late this space has been in the limelight as either some of the key manufacturers exited or were acquired. The recent acquisition of Numeric by Legrand and to some extent Luminous by Schneider Electric (Lumi- nous is known for its power inverters than its UPS) will pave the way for more acquisitions. Above all, this space is moving toward techno- logical advancement such as high-efficiency, trans- former-less UPS systems, especially in 50.1–200 kVA and more than 200kVA UPS systems for applica- tions involving regenerative loads and high load require- ment for specific manufac- turing processes. This trend is especially witnessed in the >200kVA segment and some of the prominent end user segments which have deployed these systems include packaging indus- try, research laboratories, semiconductor industry and data centers. Speaking on the cur- rent trend Anindya Das, industry manager,energy and power systems prac- tice, Frost & Sullivan, South Asia, Middle East & North Africa, said, “The Indian UPS market is wit- nessing an uptrend and is expected to witness con- sistent growth between 7-9% in the coming 2-3 Continued on page 4 power ranges, due to space constraint and rise in LEED certification in buildings. A recent trend witnessed among few end-users has been the adoption of Rotary UPS clocked a total sales of about 25 lakh units in FY 12 Key verticals Unit (2011-12) Household sector 19.63 lakh Establishment/Commercial sector 5.54 lakh Total sales 25 lakh Source: Mait

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Page 1: DQWeek National Supplement - May,2012

CHENNAI DELHI KOLKATA MUMBAI May 28-June 3, 2012

U P SU P S

SANDHYA MALHOTRANew Delhi, May 24

The power backup marke t in India currently stands at

around ̀ 3,600 crore, which is a growth of around 9% over the previous year. In this market, UPS holds a major share. The Indian UPS market is turning highly competitive but is also getting fragmented.

UPS market enters consolidation phaseThe Indian UPS market, though fragmented, is highly competitive. Price, after-sales service, and deliveries are the key differentiating factors

Price, after-sales service, and deliveries are the key differentiating factors in addressing the demand of the market. Even in smaller UPS more emphasis is given on extending battery life by moving towards an effi cient b a t t e r y m a n a g e m e n t environment and proper monitoring of batteries.

The Indian UPS market has got close to 300 sup-pliers. If we look at the

high-end UPS market, there are 4 key players—Emer-son, APC, Numeric, and Socomec. However, it is a highly-competitive, frag-mented, and growing mar-ket, with both multinational and Indian suppliers com-peting for the space. Off-late this space has been in the limelight as either some of the key manufacturers exited or were acquired. The recent acquisition of

Numeric by Legrand and to some extent Luminous by Schneider Electric (Lumi-nous is known for its power inverters than its UPS) will pave the way for more acquisitions.

Above all, this space is moving toward techno-logical advancement such as high-efficiency, trans-former-less UPS systems, especially in 50.1–200 kVA and more than 200kVA

UPS systems for applica-tions involving regenerative loads and high load require-ment for specifi c manufac-turing processes. This trend is especially witnessed in the >200kVA segment and some of the prominent end user segments which have deployed these systems include packaging indus-try, research laboratories, semiconductor industry and data centers.

Speaking on the cur-rent trend Anindya Das, industry manager,energy and power systems prac-tice, Frost & Sullivan, South Asia, Middle East & North Africa, said, “The Indian UPS market is wit-nessing an uptrend and is expected to witness con-sistent growth between 7-9% in the coming 2-3

Continued on page 4

power ranges, due to space constraint and rise in LEED certifi cation in buildings.

A recent trend witnessed among few end-users has been the adoption of Rotary

UPS clocked a total sales of about 25 lakh units in FY 12

Key verticals Unit (2011-12)

Household sector 19.63 lakh

Establishment/Commercial sector 5.54 lakh

Total sales 25 lakh

Source: Mait

Page 2: DQWeek National Supplement - May,2012

www.dqweek.comMay 28-June 3, 2012The DQ Week2 U P S

V E N D O R C H A N N E L S T R A T E G I E S

APC by Schneider Electric’s focus is to enhance channel relationships across the length and breadth of India. We are empowering our

channel by giving them a wide and reliable product portfolio, comprehensive training, innovative incentive programs, and timely post-sales service backup. Currently, APC by Schneider Electric has engaged 6000+ channel partners across the country, with an increased penetration in B- and C-class cities. Our global channel landscape program identifies the strengths of its partners and aligns their capabilities with the customer needs.

At the company, partners are classified by the business environment (home, SOHO/business net-works—wiring closet, server room/data center—small and medium, large data center) and then by the product portfolio (power and power distribution, racks and enclosures, security and environmental, management, cooling). We believe in extensive partner training as they are our key touch points with the customers. Customers have multiple options to choose from and are very prudent about their purchases. This makes it increasingly important for the channels to build a customer relationship and ensure satisfi ed customers by making both the pre- and post-sales experience enriching.

We have recently launched the Back-UPS Pro for SMBs and SOHOs. The Back-UPS Pro comes with some intelligent green features like two surge outlets.

It is the most energy efficient backup unit designed to protect homes and businesses from experiencing the inconvenience caused by power outages, minimize energy con-sumption, and help the consumer save as much as `2,000 a year on electricity bills.

We have picked up some big deals in the IT/ITeS and govern-ment verticals. We cannot disclose the names of customers, but we have grown strongly for the Q1 of this year, and over Q1 of last year, in terms of the orders booked.

Currently, we are present in approximately 450+ cities, via our consumer/commercial product offer-ing. Our target is to touch base in 550-600 cities by the end of this year, and we have specifi c geo-expan-sion programs in place. The challenges with respect to customer service and reach are addressed by our services team and we are fully equipped to take the plunge into the next 100-150 cities within India to establish a strong footprint with the support of our channel partners.

The UPS market in India is composed of numerous vendors, and the low-end of the UPS space has a lot of regional and unorganized players catering to

a loyal client base consisting mostly of SOHO and SMBs. The UPS segment is broadly divided into three categories: Sub 1 KVA, 1-5 KVA, and above 5 KVA.

We follow the traditional way of distribution. We have dedicated partners in place who in turn sell to the dealers/VARs. We try to be competitive and pass on maximum benefits to our partners through our monthly and quarterly programs. The focus is primarily on the system integrators and the retail outlets with maximum end-user footfalls.

We have more than 12,000 distributors and dealers in place spread across the country for the computer peripherals vertical. Along with that, products are also available at our 70 exclusive retail outlets—Intex Square and more than 150 dedicated counters of reputed chains of hyper markets and specialty stores across the country and on TV shopping channels. If you look at our service network, we have more than 500 service centers pan-India which ensure best-in-class post-sales service to the consumers.

For the entry-level UPS, which contributes to 25% of the overall UPS market size of `2,520 crore, household and SOHO segments are the biggest consumers. Indian consumers are no longer just price conscious; they have become value conscious too. Considering the critical role of UPS in a workstation, consumers do not want

trade-off quality with price. Today’s consumer is really aware of his needs, the importance of a good/quality power backup, and so values proposition. The percep-tion and the complete brand equity plays an important role in the purchase decision.

We are into channel sales and any orders which are meant for projects are catered by our channel partners directly. UPS is sold more like a commodity today but customer still goes for a brand after considering various factors like availability, service network and pricing. Intex always ensures that there is minimum undercut-ting and partners earn through channel programs. Being a vendor and in this product segment since last 14 yrs we are already present in tier-2 and tier-3 channels. Our costs are going up every day because of many factors. Due to rupee becoming weaker to dollar and the ocean freight just doubling up in recent months, our cost price has shot up by almost 10% - 12%. This has forced us to increase the price. We have increased prices of our UPS by 5-6%.

GURUDUTT M, director, home and business networks division, APC by Schneider Electric

Microtek is the largest selling power products

company, with the largest market share in external battery ups segment. However, it has more than 50% marketshare in both the segments.

Largely, we sell our products through dis-tributors and dealer net-works. The major chunk of our customers belong to domestic and SOHO segment.

We provide best of breeds channel training and certi-fi cation to our breadth of partners. For channel training and updation, we organize regular technical meets caterng to every area. Today, we have more than 12,000 partners all across India. That apart, we also organize volume based schemes to take care of dealers’ incentives and profi tability.

We are also targeting upcountry markets considering the fact that one can grow to a large extentby focusing in this area.

MANOJ JAIN, VP, Microtek International

Eaton, which has adopted a hub-and-spoke model

for improving its market presence, currently has a setup that can support partners directly in at-least 60-70 cities. We have a wide gamut of UPS covering the entire range of PC, workstations to data centers. We have regional distributors and value added resellers, providing both sales and after sales service. The company has a channel centric approach and intends to strengthen its engagement with channel partners across the country by facilitating solution deployment for them. Eaton recently launched ‘power advantage partner program’ that offers high margins and rewards to partners.

We have many prestigious installations in data center, manufacturing, IT, BFSI, pharma/healthcare and hospital-ity verticals. Currently, we have a direct presence in Delhi, Chandigarh, Ahmedabad, Pune, Mumbai, Hyderabad, Bengaluru, Chennai, and Kolkata. Last year, the company added another 7-8 cities including Cochin, Dehradun, Madurai, Coimbatore, Indore, Lucknow, and Jaipur to its portfolio apart from appointing channels in 30 other cit-ies. We are looking at both, organic and inorganic ways, to enhance our market share.

In addition, the company has decided to overhaul its schemes and promos. Usually, we roll out quarterly schemes for our partners, but now we are planning for regular short and high impact schemes, in order to engage with the partners on a regular basis and to push and sell eco-system.

ANOOP NANDA, MD, South Asia, South East Asia & Japan, electrical sector, Eaton Corporation

We enjoy very good marke t share in higher

rating UPS systems. Our current market share is around 15% and we expect it to increase to 20% in the next couple of years.

Our channel thinking is of focused and empow-ered partnerships which will grow into a long-term relationship built on trust and transparency. We integrate our strength to distributors and channel partners and provide opportunities to all to promote our channel range of products and services. We capacitate our chan-nel partners to be able to sell on their own with the latest competitive analysis and company positioning and also provide channel partners easy access to our products and services, sales and marketing activities, training and technical support.

We empower channels to always feel ‘Connected’ with Socomec and build loyalty and knowledge. Channel is a key element of our overall business plan in India.

We have revamped our channel go to market strategies in 2011 and the primary focus this year will be on extend-ing the reach of our sales and services to new geographies, expanding our foot prints in unrepresented areas and recruit new partners for sales and services. Moreover, we have taken solution oriented vertical approach with focus on getting into consortium with SIs for various IT and non-IT projects.

Our channel network in India comprises sole national distributor—Redington, national service provider—AFSL and we have nearly 21 business partners (sales and ser-vice partners), more than 30 active VARs and several resellers across the geographic. We also have strategic alliances with several SIs and OEMs for our complete range of products. Socomec conducts channel training at regular intervals as per the training modules or programs to strengthen the bonding and enhance the capability of partner and their sales and service teams. The key modules of training programs are new partner induction, basic products sales training, advanced product sales and service training, etc. The training programs give us a platform to directly interact and take feedback from our partners who are part of Socomec family.

Socomec fl oats channel schemes on quarterly basis to promote business partners and their sales wing. Every channel partner or partner sales representative can achieve great rewards on the total KVA sales of NETYS and ITYS range from 1kVA to 11kVA online UPS products.

Moving forward, business growth will be driven by B & C-class cities. The incremental business will come mostly from the projects being implemented across verticals by these tier-2 and 3 partners.

JEROME RODRIGUEZ, MD, Socomec UPS India

Uniline Energy Systems, the leading UPS manufacturers of the country, has created a distinct mark for itself in the government sector.

It not only specializes in designing the products as per the Indian power condition but also ensures high level of customer satisfaction by providing highly reliable products and services through constant innovation and competitive prices.

The company achieved `100 cr turnover last year and is aggressively targeting to garner another `50 cr in the next FY. Moreover, it has started manufacturing solar power systems.

Today, the company provides a plethora of tailor-made power systems for the defence sector of the country. We have supplied our power systems to army vehicles, all Indian navy vessels, and powered every Air Force sta-tion of the country. These stations are not only managed but also controlled remotely from Delhi, as it enables to switch off the UPS system from the remote location in case of any problem.

Uniline has also bagged government’s e-court project, wherein it has supplied close to 24,000 UPS systems for the Supreme Court, and most of the High Courts, District Courts, and Taluka Courts of the country. Besides, the company has provided over 800 UPS systems in most of the stations of the country’s Northern Railways.

As far as the company’s revenue model is concerned, its 35% of revenue comes from the government sector, 30%

from OEMs, and 30% through channels.

Uniline has adopted both direct and indirect models of selling its prod-ucts in the Indian market. Currently, it has 12 power partners who not only sell UPS systems but also install the systems and provide services to the customers, as and when required. That apart, there are other 70 to 80 active channel partners who are only involved in selling the products.

“In March, we roped in Iris Computers as our national distributor, which has a dealer network of close to 2000 partners in the country. After this partnership, we have started getting orders on a very regular basis. We also supply the UPS systems to a few companies who sell these products in their own brand name. In the govern-ment sector, the selling takes place through DGS&D rate contract,” highlighted Bansal.

Going forward, Uniline has kept an optimistic target of increasing its revenue by approximately 50% this year. Besides, the focus would be on some of the prestigious government projects like CCDNS, powering states like Maharashtra, Tamil Nadu and Jharkhand.

RK BANSAL, founder and MD, Uniline Energy Systems

SUHAS JOSHI, director, sales, UPS, Delta Power Solutions

The year 2011 proved to be lucrative for the power backup

indust ry . Overa l l , the market pie increased and a widespread shift from the unorganized to the organized sector was quite evident. We have clients from all across the verticals specially government, BFSI, IT and ITeS, industrial, plastic, bottling and education, etc. We intend to reach customers through all possible medium; reach them directly through our regional network as well as through our distribution network. Therefore, our business partners play a key role in the process.

Currently, we have a pronged strategy for channel busi-ness, which is to expand the reach across the country as well as consolidate current channel business. We have Global Infonet and Grainger, who are distributing our UPS products from 600VA up to 30kVA ratings all over the country. Moreover, we also offer the entire range of Online UPS Solutions from 1 kVA to 4000 kVA that is entry to high-end level directly to the end-users. Currently Delta has a strength of more than 38 power business partners for UPS with several power resellers under them.

For ensuring wider geographical coverage and provid-ing professional support to our clients, we have partnered with local companies that are certifi ed to sell and support our range of UPS in different parts of the country. To keep our channel partners motivated, we are running incentive program ‘Delta Challengers Program’. All authorized T1 partners from all across India are eligible for rewards under the scheme. Lastly, we are planning to do double digit growth in FY13.

The UPS sales have been good during the year, and the

demand from the IT and ITeS sector—which is growing 25-30% y-o-y, is one of the major drivers for this market, especially in more than 20kVA power range. The non-IT segments l ike manufac tur ing , electro-medical, banking, telecom, transportation and logistics, security, a n d o t h e r s c o v e r t h e r e s t 1 2 . 6 % o f the market share. We would expect multiple growth rather than additional growth. As India is having power problems, it may be an advantage if each PC is sold with a UPS.

On the channel and customer front, we have already started our efforts to spread our reach in tier-2 and tier-3 channels with our roadshows. In order to cater the SMB segment, we give prompt on-site warranty and reseller schemes to the customers. We usually come out with monthly back-end schemes for channels partners.

S SUDHIR, MD, Inspan Infotech, Chennai

VIKRAM KALIA, GM, product management, Intex Technologies (India)

Page 3: DQWeek National Supplement - May,2012

UP S 3www.dqweek.comMay 28-June 3, 2012

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Page 4: DQWeek National Supplement - May,2012

www.dqweek.comMay 28-June 3, 2012The DQ Week4 U P S

I n UPS space, Su-Kam is a well known brand in power backup industry. We have different segments in power backup solutions such as solar, home UPS , and UPS. We work on higher technology to provide our customers,

best solution. We are the best solution provider in power backup solution with a business of over `700 cr and a market share of more than 60%.

We design our solution according to the customer need. We have signifi -cantly done many projects in solar and we are going to provide the latest solutions for new UPS technology. Moreover, we are now committed to deliver 24X7 service. We have the more than 15,000 dealers all over India and the number is rapidly increasing. We have divided our business into four zones which are taken care of by a regional manager and branches which is headed by the branch manager.

We organize regular dealer meets and training workshops for dealers to educate them about the products. We also offer attractive schemes to our chan-nel partners so that they can earn more profi ts. We also believe in rewarding our top dealers with exciting gifts.

With the new range of products we are now expanding into tier II and III channels in order to cater to the SMB segment in the country. Our main strength is our sales force that delivers its best and reach out to the customers.

KANAV SACHDEVA, OSD to MD, Su-Kam Power Systems

V E N D O R C H A N N E L S T R A T E G I E S

We are majorly focusing on the entry level and SOHO segment of UPS. Our estimate about the market share is 7- 8 %. Last year, we have sold around 3.5 lakh units in the capacity range of 0.6KVA to 20KVA.

We have more than 325 numbers of channel partners across India to promote our products across India. The after sales and service support is directly handled by the company which helps the channel partner to focus on promoting our product. Our marketing team helps our channel partner to sell the product at the right price to the customer and sub-dealers. We conduct product meets regularly to update the knowledge of channel partners. Also, periodical visits of the technical team helps our partner to have good understanding about the range of our products.

We are promoting our products with good quality, competitive price, rea-sonable profi t and best after sales-support for the customers. It’s a continuous process for us to expand the business network across India. We have already made our presence felt across 100 cities and towns during last year. This year

also we have planned to strengthen our network in the northern and eastern markets of the country. The upward trend in the Indian UPS market is expected to continue, with consistent growth projected over the coming years as a result of steady demand from various end user sectors. We are expecting our growth rate at 35% and above this year by focusing on new cities and also in the new verticals of online UPS.

P SARAVANA BABU, marketing head, UPS, V-Guard Industries

The Indian UPS market is one of the fastest growing markets in India. In last 1 year or more, the market has shifted more from LI UPSs to Online UPS Systems. The Indian UPS market size is Rs 1,500 crore (approx), which is growing by almost 20-

25% every year. We had around 10% market share in 2011-12 and we had sold more than 5,00,000 units

of all types of UPS systems. Some of our major projects who contributed into this suc-cess were IDBI bank, DOMINOS, AXIS bank, IL&FS etc and few national level projects to execute. We also got some signifi cant orders from various other corporate, IITs and many industries.

We do most of our business through channel partners. We promote our partners by giv-ing all type of sales and service support, including best possible prices to grab the projects. Even, we take care for all our partners for maximizing the profi tability. Additionally, we provide them schemes from time-to-time to promote the sales.

In terms of reach we are already present into tier-2 and 3 channels and receiving good response from these markets specially the MB segment in the country. In future we are expecting more than 40% growth during 2012-13. We are also expecting our channel to grow by more than 50% during 2012-13.

RUPESH KUMAR, senior GM, sales, corporate communications, Best Power Equipments India

DISSECTING THE MARKET SHARE OF UPS PLAYERS

(Total Market `3,573)

years as a result of steady demand from various end-user sectors. Due to the continued power deficit situation, demand for reli-able, high-quality back-up power sources in the form of gensets, UPS and power inverters is expected to wit-ness a quantum leap.

WITNESSING HEALTHY GROWTHAccording to recent Frost and Sullivan report the total Indian UPS market was estimated at $528.5 mn in 2010-11. The growth rate in 2010-11 over 2009-10 was 10.6% and it is projected to exhibit signifi cant growth rate up to 2017-18. The expected growth rate at a CAGR of 6.6% will touch $828.2 mn by 2017-18.

The UPS market across India is booming with opportunities. The Indian UPS market was worth $591.4 mn in 2011 and is projected to reach $873.5 mn by 2015, as per IMS Research. The penetration of the IT/ITeS sector in tier-2 and tier-3 cities and the computerization initiatives of the government in vari-ous departments will be the key drivers.

TRACKING THE UPS MARKET (3 YEARS)Growth % Revenue

Continued from page 1

One major trend in the last couple of years has been the increased consolidation in the UPS market by next year. Luminous and DB Power as well as Numeric would not feature in this list. Their revenue would get accrued into the revenue of APC, Emerson and Legrand respectively

APC by SchneiderGurudutt M, director for Home and Business Networks Division in India, 4th Floor, Electra, Wing ‘A’ Exora Business Park, Sarjapur Outer Ring Road, Marathalli, Bangalore - 560 103

Emerson Network Power Ankesh Kumar, director - channel products & marketing, Plot no. C-20, road no-19, wagle estate, Thane, Maharashtra-400604

Luminous Power TechnologiesManish Pant, MDC8 and C9, Community Centre, Behind Janak Cinema Complex, Janakpuri, New Delhi 110058

Genus Power InfrastructureIC Agarwal, chairmanSPL-3, Riico Industrial Area, Sitapura, Tonk Road, Jaipur 302 022

Su-Kam Power SystemsKunwer Sachdev, founder & MDPlot No. 54, Udyog Vihar, Phase VI, Sector-37, Gurgaon 122001

Numeric Power SystemsR Chellappan, founder & MDNo 5, Sir P S Sivasamy Salai, Mylapore, Chennai-600 004

Delta Power Solutions IndiaSuhas Joshi, director, sales, UPSPlot no: 43, Sector- 35, Gurgaon, Haryana-122001

Microtek InternationalNK Aggarwal, chairman H-57, Udyog Nagar, Rohtak Road, New Delhi-110041

Best Power EquipmentsRupesh Kumar, senior GMB-68, Sec-65, Noida

Uniline Energy SystemsRK Bansal, MDRamesh Market, East of Kailash, New Delhi 110065

Aplab LtdNishith P Deodhar, MDAplab House, A-5, Wagle Estate, Thane-400604

Intex TechnologiesNarenda Bansal, Chairman & MDD-18/2, Okhla Industrial Area, Phase-II, New Delhi-110020 ,

ElnovaGyan prakash, GMB-165, Okhla Phase-I, New Delhi-20

SOCOMEC UPS INDIA Jerome Rodriguez, MDB1, II Floor, Thiru Vi ka Industrial Estate, Guindy, Chennai–600032

Eaton Corporation Anoop Nanda, MD – South Asia, South East Asia & Japan, Electrical Sector EON Free Zone, Cluster C, Wing 1, Plot No. 1, Survey No. 77, MIDC Kharadi Knowledge Park, Pune - 411014, Maharashtra

V-GUARD INDUSTRIESP. Saravana Babu, Marketing Head - UPSVennala High School Road, Vennala, Cochin 682028

(Total Market `3,573)

HOW THE UPS PLAYERS STACKED UP

(Revenue in ` Crore)

KEY DRIVERST h e m a r k e t o f f e r s tremendous opportunity for both multinational and Indian companies to introduce better/improved products at competitive prices with excellent after-sales service. The growing need of e-commerce, the evolution of data centers and the ever increasing number of servers have all increased the need for having a well addressed p o w e r c o n t i n u i t y industry.

Demand from the IT/ITeS sector - which is grow-ing by 15-20% y-o-y, is one of the major drivers for this market, especially in more than 20kVA power range. IT/ITeS sector covers 70% of the total market share. The non-IT segments like manufacturing, electro-medical, banking, health-care, telecom, transporta-tion and logistics, security and others cover the rest 30% of the market share.

Commenting on the per-formance of the UPS seg-

ment in India, Sabyasachi Patra, executive director, MAIT said that UPS clocked a total sales of about 25 lakh units in the fiscal 2011-12, with household sector accounting for about 19.63 lakh units and the estab-lishment/commercial sec-tor about 5.54 lakh units. He further said that given the huge demand-supply power gap and the energy crisis prevalent in several states of India, the sales of UPS will only show an upward trend in 2012-13.

WAY FORWARDThe fu ture o f power backup market seems quite promising, as it fi nds application in varied industries compelling the trend to remain positive over the next 5 years, but it has become highly competitive due to the presence of several players. The Indian UPS market which was affected by the global downturn in the last year, now has seen a 10-15% price hike, which has further slowdown the pace of its sales. The market is undergoing consolidation globally, but the Indian market is also witnessing its development.

(Revenue in ` Crore)

The future of UPS market seems quite promising in varied industries. However there is still significantly large unorganized sector, the industry definitly has better growth prospects if this market gets organized

LIST OF LEADING UPS PLAYERS

EASTEASTRAJESH KUMAR,

director, Peripheral Engineers

UPS segment is one of our core focus areas in distribution. We are the distributors for Microtek UPS range for Bihar and have 112 channel partners for this segment

spread across Bihar. UPS business last year had done too well in the state as power-cuts and electric issues continues to be a focus area across the state.

Last fi nancial year, we sold atleast 24,000 boxes of UPS across channels which accounted for `4 crore in terms of revenue. In our business line, we focus solely on channels and do not go for direct billing or sales and have no plans to enter direct billing in future. For this fi nancial year, I think that the demand for UPS will continue to remain the same and it may increase in class-C and D and markets. This fi nancial year, I would focus on increasing the topline with focus on the double-power UPS category. Presently, this category of UPS accounts for very little of the total billing and a subsequent push in this product segment would boost the topline. For the channels policy, I would like to maintain a status-quo position this fi nancial year.

Page 5: DQWeek National Supplement - May,2012

N E W S U P S 5www.dqweek.comMay 28-June 3, 2012

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ARUN KUMAR ARYAdirector, ALGORT Technologies (Delhi)

ALGORT has been into power solutions for the last

4 years. This company largely deals in IT infrastructure for power conditioning brands like Socomec and APC by Schneider Electric. In the last financial year the company garnered a revenue of `28 crore wherein UPS business contributed 60% to the overall business.

So far the company has sold close to 380 units of 600 kVA (online UPS). ALGORT’s con-stant endeavor is to provide product-independent and effi cient solutions at remarkable prices. “Our value system enables us to remain true to our core identity, even while stimulating change and growth in every-thing else,” said Arya.

The company’s key strategy is to offer cost-effec-tive power solutions to its corporate customers. Rather focusing on conventional suite of products, the company’s key strength is to provide modular power solutions to its major customers.

www.dqweek.comMay 28-June 3, 2012The DQ Week6 UP S

C H A N N E L P A R T N E R P R O F I L E SEASTEAST

NORTHNORTH

SOUTHSOUTHG VENKATESAN

director, Bluenet Computers (Tiruvannamalai)

Tiruvannamalai does not have

any heavy industries or factories. The m a r k e t t h r i v e s only on the SOHO and SME segments which demand a p o w e r s o l u t i o n against the eight-hour power-cut. T i ruvannamala i b a s e d B l u e n e t computers is dealing Apc UPS. With three people working on sales and marketing and two for service, Bluenet has sold around 240 numbers of UPS. The total revenue generated from the business during the last fi nancial year was `50,000. The partner is planning to double the sales in the forthcoming fi nancial year.

JAMES VICTOR RAJCEO, Guna Power Systems

(Theni)

Guna Power Systems is based out of Theni

and has diversified areas of business in the power s o l u t i o n s i t s e l f . T h e channel partner has sold around 500 number of UPS in the last financial year. Th maximum sales took place in the last three months of the fiscal. Peeved students appearing for the board exams, and families with ill people or infants, due to 10 hours power-cut, were the major buyers of the UPS. However, the current financial year does not look bright for the UPS business as the government has announced generation of power through windmills. Guna power systems, which does not solely depend on the UPS/inverter business, this year, is planning to forge into solar power production also.

G CHIDAMBARANATHANdirector, Micronics Computers

(Tirunelveli)

Micronics Computers, based out of Tirunelveli, one of the key districts in South Tamil Nadu, is dealing with the

range of UPS/inverters from APC, SuKam, Luminous, Microtek. Even though competition exists in the segment, but the scenario is not like the computer market where more efforts have to be made for least margins.

Talking about the UPS business in the state, the demand for the product shoots up when there are power cuts. However, when there is a buzz that the power-cut problem will be solved with government’s plan of producing power through windmills, the UPS sales falls drastically. This directly affects those who maintain stocks of UPS and are forced to sell it within less margins.

Micronics has sold about 50 units of UPS. A considerable revenue has also been generated from this category. The com-pany also has plans to include more brands for the year 2012-13 and creating wider network to achieve the same.

The power crisis in Tamil Nadu has created a major oppor-tunity for those selling the product in an intelligent way. But once the problem is solved in Tamil Nadu, there will be a slash in the market and Micronics will look for some other products for survival.GAURAV GOEL

director, Eastern Logica Infoway (Kolkata)

UPS segment has been stagnant in the last

financial year in Kolkata. On account of lesser power failures in the metro and the stable condition of electric supply, the demand for UPS has stabilized over the years. In the last financial year, we billed approximately 25,000 boxes of UPS out of which 600 KVA category accounted for over 80% of the total billing. In terms of revenue, it translated nearly into `35 crore which contributed to nearly 15% of the total turnover. We are the distributors for Microtek and Zebronics in West Bengal and sub-distributors for Beetel and APC. The main focus for our UPS line is through channels which accounts for 94% of total billings; the rest comprises direct retail bills.

I am happy at the current strength of 800 chan-nel partners for the UPS business and would like to maintain the status quo position. UPS prices have gone up and the demand has stagnated in Kolkata, so I don’t expect much of a market pull in this product category. However, upcountry markets are still open and the traction can be seen in these markets.

RAJESH RATHIfounder, Sri Rathi Retail (Siliguri)

We are the distributors of Intex and it accounts

for a major UPS brand for us. We also deal with Microtek and APC in this segment. The UPS segment in Siliguri has stagnated last year primarily on account the improved power scenario in the area. Voltage fl uctuation was never an issue here and as a result of this, UPS demand has stagnated. We have over 150 channel partners across North Bengal, Sikkim, Nepal and Bhutan and sold over 1,800 boxes in the last fi nancial year. PAT for us was around `4.5 lakh from this segment. UPS, however is not a major focus area for us.

I think this year too the UPS market will remain the same as that of the previous year with an improved power scenario across North Bengal. However, I have increased volume business for Intex and would like to stock as much as possible before the dol-lar appreciation takes a toll on the market. This would also mean increasing the channel base and an increased PAT target of atleast `6 lakh this financial year.

WESTWESTABHIJEET KATRE

executive director, SAS Powertech (Pune)

Pune based SAS Powertech is one of the prominent

partners of Emerson’s range of products. The distributor came on board last year after Emerson Network Power completed the DB Chloride acquisition. Earlier, SAS Powertech was DB Power’s leading partner across India. Apart from the deep-seated UPS line, the distributor has also started dealing in precision AC, data center, surge protection and harmonic fi lters solutions. Moreover, the brand Emerson Network Power has a lot of acceptance in the market which gives us an edge over the competition. At the moment, SAS Powertech is working with Emerson to deploy hybrid solutions in certain government data center projects.

SAS Powertech has had a successful business with Emerson. When Emerson’s products are taken into consideration, it rules in the Indian market. Since its association with Emerson market, the company’s business has grown over 40% y-o-y. This is because prior to our association with Emerson, its business was 80% dependent only on the UPS business, but Emerson provided with several product portfolio to strengthen its presence in the market. Although the partner had some concerns with Emerson’s operations in terms of upcountry reach and channel strategies, the partner is doing signifi cant business through Emerson line of products.

SANJAY DESAICEO, Advance Computers (Vapi)

Advance Computers was established in 1994 by

qualifi ed technocrats at Vapi. It deals in computers and peripherals like printers, power control equipment, networking p r o d u c t s , c o n n e c t i v i t y solutions (point to point and VPN), and also solution based projects which include video conferencing, mailing, security products.

The channel partner for almost a decade has been a solution provider of power solutions from APC. How-ever, in last couple of years it has also started dealing with other UPS vendors like Numeric Power, Emerson, Nexus, and Powersafe and is doing signifi cant busi-ness selling these solutions too. Due to aggressive pricing, in the entry level, the partners deploys solu-tions from either Numeric, Nexus or Powersafe while high-end solutions it utilizes solutions from APC or Emerson as per the customer requirement. As of today, the channel partners witness more traction from the entry level segment as compared to larger implemen-tations. The power solutions segment contributes to more than 20% of Advance Computers overall annual revenue.

HARESH GADAfounder and director, Network Techlab (Mumbai)

Mumbai based Network Techlab India Private

Limited (NTIPL) is a leading IT, power consultant and service solutions provider to small medium and large organization for more than 15 years. This solution provider is the platinum enterprise business partner of Emerson Network Power. They are also responsible for the authorized sales and service of Emerson for class products like UPS, Precision AC, Rack, Data Center Design, PQA etc. As of today, the company deploys innovative solutions and services for complete range of Emerson products for power and cooling solution.

Network Techlab partnered with Emerson Network Power in 2006 and have not looked back since. Due to the extensive portfolio from Emerson, it has helped the solution provider to cater to a broad spectrum of customers, whatever be their requirement. This seg-ment brings in about 20-25% of Network Techlab’s overall annual revenue.

ARVIND MITTALCEO, RANS Electronics (Dehradun)

RANS Electronics, one of the leading IT solution providers of

Dehradun, has been dealing with power management solutions since 1992. The company is dealing with two major brands of UPS’ ie APC and Uniline. While the total revenue generated out of its UPS business is `0.7 crore, Uniline contributes 80% to the total business and the rest comes from APC. The market dynamics have changed to a great extent. With the demand of desktops diminishing and rising adoption of notebooks and other mobile devices, there are no takers for UPS’ in the end consumer segment. Today, the demand for UPS is coming only from the commercial space, particularly the corporate and government sectors.

For the company, there is a demand for both APC and Uniline products. The difference is APC products get sold because of its name, whereas, Uniline is accepted for its quality. However, in the coming years, the company expects that there will be reduction in the size of UPS’ but increase in their output. Even the demand for electronic UPS is increasing day-by-day.

VK TEWARIdirector, marketing,

Cedar Engineers & Systems (Kanpur)

Kanpur based Cedar Engineers & Systems has been in the UPS business for more than a

decade now. Over the years, the company has built an effi cient team who are able to provide assistance and advice from the design and planning stage of a project right through to the installation and commissioning of power protection equipment.

The areas where the company has gained expertise is the sound and informed advice; and recommendations made by the company regard-ing customer’s specifi c requirements, which is offered following an extensive study of the specifi c site and application. The second point is that following an installation, the company’s engineers provide unrivaled service, in terms of preventive maintenance as well as prompt support, in the unlikely event of a problem developing.

With Kanpur as a base, the company’s sales and engineering personnel respond to a sales or a service request of the entire Uttar Pradesh as well as Uttaranchal.

SNEH PODDAROwner, Balaji Power Solutions (Jharkhand)

Jharkhand based Balaj i Power Solutions predominantly deals in Microtek UPS. It is an

authorized distributor of Microtek UPS, which contributes to about 80% in its overall revenue structure. With the sale of 3,000 Microtek UPSs every month, Balaji Power Solutions managed to generate ̀ 31, 000 from the distribution of Microtek UPS in the fiscal 2011-12. It further aspires to achieve `36,000 from the sales of the UPS in the ongoing financial year.

According to the distributor, there is a grow-ing demand of UPS as every organization in this competitive world needs to focus on their busi-ness continuity, and how they can increase their productivity with zero downtime in the present competitive market scenario. Also, in a bid to further expand its UPS distribution share, Balaji Power Solutions aspires to increase its partner count from the existing base of 150.

With inputs from: Nivedan Prakash, Avishek Rakshit, Prasanth Menon, B Swaminathan

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