To further accelerate its growth in the camera division, Canon India recently announced the launch of 23 new state-of-the-art next-generation digital camera and camcorder products. With this launch, 60 per cent of the camera division’s product portfolio has been churned.

At the launch, Canon unveiled products from Canon’s Imaging Communication Products division, which included 8 Digital Compact Cameras, 12 Digital Video Camcorders, 1 Digital SLR and 2 Selphy printers.

Speaking on the occasion, Kensaku Konishi, President & CEO, Canon India, said, “Canon has made a focussed effort around breakthrough technologies across categories. And today, we are continuing the momentum with an expanded portfolio of stylish, next-generation, easy-to-use consumer digital imaging products that will help to make lifestyle a reality for more people every day. The products launched present revolutionary ways for consumers to interact and enjoy their experiences with never- before-seen features and concepts. The stylish looks and the advanced technology of the products give them a distinctive edge in the marketplace.”

The launch introduced path-breaking technologies in sync with the youth trends and lifestyle of today. The first revolutionary technology introduced is the “Flash Memory” in the new Canon HF10 dual flash camcorder. This technology offers dual advantage to the customer and makes it possible to reduce the size of device and make it a compact stylish package; battery life is extended thanks to the use of flash memory, as less power is required to operate the camcorder as compared to other storage media types. 

Alok Bharadwaj, Senior Vice-President, Canon India, said, “Canon believes in enabling connectivity between people, technology and lifestyle. We have always tried to manage this challenge by introducing the most innovative products with superior technology. With the new launch, we have introduced technologies, which will redefine the categories and buying preferences of customers. Canon with its heritage in digital technology is at the forefront of simplifying the consumer experience.

The digital camera segment is highly competitive and Canon has been successful in providing apt services and support. The new motion detection technology in digital cameras and flash memory technology in digital video will enhance our business substantially.”

To further strengthen PowerShot sub-brand appeal, Canon has recently shot a TVC campaign with Sachin Tendulkar. This new ad campaign will propel Canon’s stylish brand imagery of digital cameras as being uncomplicated as it features kids using the camera. TVC will start airing in the third week of April across all the leading channels. On the launch of the new TVC featuring Sachin Tendulkar, Bharadwaj said, “Sachin brand fits very well with kids. We have attempted to capture the essence of easy-of-use and technology benefits in this commercial.” 

Canon’s key strategies towards high growth in 2008 will focus on enhanced product portfolio across categories and innovative marketing coupled with faster response to the market. Canon would be investing Rs.100 crore in marketing and advertising overall in 2008. 

The vendor generated a revenue of Rs.510 crore in 2007 and is targeting Rs.700 crore revenue in 2008. As Bharadwaj said, “We experienced growth of 38 per cent and Rs.700 crore revenue in 2007. In the year 2008, we are targeting growth of Rs.700 crore with 40-per cent growth in digicams, 22-per cent in DV camcorders, 70-per cent in D-SLR, and 66-per cent in photo printers.”

It currently has 27-per cent market share in the digital camera segment, 10-per cent in the Digital Camcorder segment and 53-per cent in the D-SLR segment. It expects to grow its camera division by 50 per cent in 2008. This division contributes 30 per cent to Canon India’s revenues and Canon expects to generate the same contribution in 2008 also.

To enable this, Canon has announced several new initiatives for end-users and channel partners. As a step towards rewarding high-performance partners, Canon would be taking its top-performing camera partners to Photokina in August 2008. Canon would also be participating in all the major exhibitions across the country, apart from hosting more than 300 road shows throughout the year.

It will enhance its channel structure for the digital and camcorder category which now includes 65 IT channel partners, 358 photo channel partners, 214 consumer electronic partners, 637 MOM retailers and 5 distributors. The DSLR channel structure includes 20 distributors, 168 retailers and 4 accounts of SLR exclusive distributors.

Canon realizes the immense potential of retail and is expanding its penetration through various formats such as National Retail Chains and City Retail Chains. The organized retail boom in India has also increased opportunities to create multiple touch points with the end-consumer. Besides this, Canon has a strong presence in the country for its digital cameras across 13 major retail chains operating in India with presence in 200 stores, 28 city retail chains 31 flagship stores under Experience Zones and Digiclick Zones and over 1,200 dealers. This segment currently contributes to 15 per cent of the revenues of the camera division. As part of Canon’s thrust, it would be providing 200 promoters across the 200 NRC stores across the country. 

To increase the company’s presence across all retail formats, Canon will be opening six large exclusive Canon showrooms in all the major markets across India. The first exclusive Canon showroom will be launched in Gurgaon. There will be five more such showrooms by December 2008, which are B2C, and three additional showrooms for B2B business. Canon currently has two Level IV master service centres in Gurgaon and Mumbai and plans to open two more in Bangalore and Kolkata by December 2008.

For consumers, Canon is bringing its summer travel bonanza offers. As per a recent study, travel season is expected to increase sales of related purchases by almost 40 per cent. Canon expects the season to increase its digital camcorder sales by more than 50 per cent this travel season. Towards this, Canon is offering 1GB card and free charger with all its digital cameras and a return ticket to Singapore with the IXUS models.

Canon has recently created a fifth division called CII – Corporate sales which will focus on selling all camera and printer products into the top 100 corporate accounts. The need for the division was felt, as this is a huge opportunity and needed specialists with focus on the same. As a part of this task, this division is focussing on bundling deals with high involvement categories and companies like Toyota, Honda, LG, Samsung, Cox & Kings, Thomas Cook, Kingfisher, Jet Airways, etc and for these categories Canon lifestyle products are a perfect fit as reward. 

In 2007, Canon had launched a loyalty programme for its D-SLR consumers called Canon Edge, which offered them benefits ranging from free service, classes on photography to air tickets. In 2008, for the professional range of digital SLR cameras, Canon has launched the industry’s first Pro-Community site for its Canon Edge loyal members. The site would involve an eminent panel of photographers who would be providing content for the website as well as giving tips and resolving queries online. The website will also host a community for sharing practices.