Government has infused musing initiatives to resurrect the manufacturing and somewhat the IT/ ITES sector. Amid the haves and have-nots, flaring for more than one and a half-a-decade, Vardhaman Technology has a long-suit into IT Hardware – manufacturing, distribution and servicing of high quality product and recently the company has made headlines for its ‘world’s smallest PC’. The company has robust R&D team working on hardware and software developing and manufacturing multiple revolutionizing products in the computer technology space.
Amit Rambhia | Founder & CEO | Vardhaman Technology in a viz with BiSINFOTECH shares an aerial on the company’s strategic accomplishments and at large their market visions. The veteran also extends dialogue on the recent budget and the repercussion of Government’s pragmatic initiatives. Excerpts.
How to define Vardhaman Technology Pvt Ltd in today’s market. What are your offerings and key market focuses?
Vardhaman Technology Pvt Ltd is well poised today to be able to cater to a wide range of consumer requirements. While the computer purchase may be on the decline, the penetration of computers in India is far off from being saturated. Strategically, we leverage this by providing the highest PVQ (Perceived Value Quotient) to all our customers for all products that they need. This is also in keeping with the insight of the India market being a value based.
What are the key market strategies of the company?
Vardhaman is a customer centric organization. Right from product design to CRM, the organization is built on the foundation of smooth customer experience. We are currently poised to cater to both ends of the segment. As long as we adhere to the high PVQ belief, our robust technology enables smooth handling and our CRM enables smooth transitions.
Who are your competitors and what is the USP of your products?
Currently with our range of products (not including the ones in pipeline) we have no competition in India. The USP of our products is simple and 3 fold:
- Seamless transition experience for customers
- Optimal performance as per stated usage needs of customers
- Robust technological backend ensuring sustainable products
Are there any specific challenges for Indian brands?
In the face of so many international brands seeking to enter the India market, Indian brands have a challenge with the deep pocket requirement. Also, regulatory norms need to facilitate homegrown talent more aggressively.
What is the key business model addressing the dynamic Indian market?
There are many business models. But relevant to our field we look at business models from the point of view of:
- Enablers – organizations focused on customer experiences as their DNA
- Innovators – organizations tapping dormant needs
- Imitators – organizations with scaling ability through pocket friendly imitations of larger technologies
Manufacturing has been given a thrust under the Make in India initiative. Which Industries do you think will experience the maximum benefits and the industries will be desuetude?
While manufacturing has received the needful impetus, manufacturing also needs marketing support to get the right penetration. In its current form, electronics and education will experience better benefits.
There is threshold of startup ecosystem in the country? Do you think it has brought new business opportunities or has driven vie in the market?
The startup market has just started / opened up. We’re going through a revolution after the IT revolution. This is a good revolution as it will enable true talent to come through. There is a threshold and investors now appear to be looking for robust business heads to build scalable and profitable models. There will be shake ups and consolidations, but before that newer business models built on sound foundations will emerge. It definitely has brought in opportunities in the market and is introducing new ways of working.
The recent budget is known to have stranded hopes of the IT / ITES / IT manufacturing companies.
Kindly share your opinions.
The budget has opened opportunities and also laid some challenges. Am sure as a next step, the government will announce more ESOP. The govt. is also initiating incentives for IT and IT enabled services under DEITY and even DIPP has been picking up with investors lately. The govt is also focusing sharply on identifying suitable zones for manufacturing investments.
They will initiate the roll out of GST very soon which will enable the business models to change drastically. However state tax barriers going down would be of great consequence in uplifting the Indian manufacturers and their scalability. Gujarat, Maharashtra, Tamil Nadu and Telangana has very robust IT policies that have enabled good investments here. So it’s really a mix and not as lopsided for now. But yes, there still are some challenges to be overcome.
What will be the key catalysts to boast the ‘Make in India’ Initiative considering a colossal ecosystem for manufacturing in India?
Employment and disposable income is a key factor in driving a colossal ecosystem for India. Measures that impact this will also contribute towards manufacturing getting benefits. As long as the consumer demand increases, logistics are improved to better scalability Make inn India will be very successful.
Currently there is a sense of instability in terms of consumer returns and hence is inducing a term I like to call ‘Lowsumerism.’ Where consumers intentionally cut down on spends to focus on the future. Stability will help address this phenomenon. Thus, giving a better impetus to purchase patterns.
Infrastructure also is very critical, situations like weeklong delivery time from Mumbai to Kolkata for instance induces higher purchase of cross-border Chinese products impacting Indian manufacturing strongly.
The market share of the company composited in the previous fiscal year and how do you draw the success story of the company?
We work very closely with our clients measuring our success in their business success. This is the fundamental reason for the high retention rates we have. Once a person uses our products, they tend to come back to us for more.
Govt. Policy and provisions thereof which helped Vardhaman to overcome hassles?
I think the digitization of the entire government processes has enabled a lot faster and smoother approvals – this has been one of the most effective drives undertaken by the government.
Also the Preferential Market Access (PMA) policy has also been a great initiative. This has opened better communication channels for the SME category.