The global economic slow down is forcing enterprises to focus on cost reduction. And in a globalised economy, travel expenses add up to a significant sum. To reduce down on their travel expenses such enterprises are increasingly resorting to video-conferencing solutions. One of the leaders of video-conferencing products across the world and in India as well is Tandberg.
TelecomTiger speaks to Dinesh Sehgal, Regional Director, India, Sri Lanka and Bangladesh, Tandberg to gain more insight into the company’s strategy and future business plans for the Indian market.
Q1) While other video-conferencing manufacturers primarily focus on price advantage, TANDBERG products interestingly come at a premium. Kindly provide insight into what makes TANDBERG products come at a premium when compared to its competitors?
Ans: We believe in providing value propositions beyond the acquisition price of a single product. The real value of a VC solution should be measured based on the usability and benefits. For example, our solutions are standards-based i.e. they can work with standard protocols and environments and interoperate with other complementary solutions; can be centrally administered and managed; and are designed to be extremely easy to use. If you measure just the product acquisition cost, we may be more expensive vis-a-vis some other products but what good is a solution if it cannot be easily used, cannot interoperate with other solutions, and cannot be easily managed? The fact that the majority of Fortune 50 companies use our products is a testament of the acceptance in the market of our value proposition approach.
Q2) TANDBERG channel partners in India often complain that they lose out on tenders due to premium price. Does this hold true in reality?
Ans: (The price reasoning is same as mentioned in the previous question)We have done very well in India, growing 95% last year, so many of our channel partners have found success.
Q3) Polycom is working aggressively in tying up with service providers like Reliance and Airtel. We are yet to hear about a similar alliance from TANDBERG. Do you completely rule out such tie-ups in India?
Ans: TANDBERG India is also working with service providers for various “sell to” and “sell through” opportunities.
Q4) TANDBERG had announced setting up of a R&D centre in Bangalore earlier this year. What are the activities associated with the centre and what are its future road map?
Ans We launched our R&D centre in Bangalore on 8th April and christened it as TANDBERG Technology India Private Limited, which is already incorporated as a wholly owned subsidiary of TANDBERG. The R&D facility in India will drive the development of innovative technology solutions in the area of video communications and is important step for us in our global expansion. The R&D centre will create new intellectual properties for TANDBERG and develop next-generation video communications solutions that will enable organizations to increase productivity, reduce travel costs, and contribute to greener world by reducing unnecessary business travel. R& D centre in Bangalore is a state-of-the-art facility with world-class equipment and infrastructure located in the Central Business District of Bangalore. Furthermore, the facility will showcase TANDBERG’s entire range of telepresence and high-definition videoconferencing solutions and house audio, video and hardware labs.
Q5) How has been TANDBERG’s journey all along in India in terms of market share, revenues, growth trends etc and what are its future business plans including likely additions in its product portfolio?
Ans: We do not comment on market share, revenue breakdowns by country, nor on future product development plans.