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Logitech, the Largest Brand in Consumer Electronics Peripherals
September 2008 Edition
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Posted on - Monday, September 22, 2008   By VARIndia Correspondent
  Logitech, the Largest Brand in Consumer Electronics Peripherals 

Switzerland, a landlocked alpine country of roughly 7.6 million people in Western Europe with an area of 41,285 square kilometres, has been known for fine chocolates, dairy products, electronic watches, etc. This very country has also been responsible for bringing out a company like Logitech. A kind of antithesis for the country’s reputation, Logitech has been a worldwide leader in the space of IT desktop peripherals. The company has been a super brand across various technology spaces. In India also, the company has maintained its reputation.

Logitech has more than 140 IT products, including mice, keyboards, cordless desktops, webcams, speakers, headsets, notebook peripherals, gaming peripherals and consumer electronics peripherals. The product portfolio is increasing and changing rapidly to meet the needs of its consumers. Logitech has majority market shares in most product categories. The objective is to grow the market.

Subrotah Biswas, Country Manager, India & SAARC, Logitech, says, “We are first name that comes to mind when one thinks of a peripheral device. Our design, quality and consumer trust gained over the years are hard to replicate.”

Biswas says,”“Our key strengths have been our R&D leading to innovative designs and high-quality products. We take our position as being the first touch point between our consumers and technology very seriously. This drives all our innovation and helps us launch an array of products catering to various different needs and aspirations.”

Logitech provides 3 years replacement warranty on most products in its portfolio and this gives a great deal of assurance to our customers.

He adds, “By being consistent in our vision and approach over the last 27 years, we have managed to build the faith of our customers. We are one of the few technology product companies that customers have been using all their computing lives. We have evolved with them and adapted well to their changing needs.”

The strategy of the company has been simple and consistent – introducing new and innovative products that make consumers’ life simple and comfortable. The company has always made it a point to equip their peripherals with new technologies.

The company has evolved from being an IT peripherals company to complete digital lifestyle Peripherals Company. Logitech strives to make its consumers’ life as comfortable as possible, which has helped to gain the support and loyalty of all those consumers that the company comes across with. Logitech is synonymous to quality and reliability and this has helped us establish ourselves as one of the most preferred brands in the peripherals space.

The company started off as a mice manufacturer. However, with time the needs of the consumers have evolved and these needs are changing constantly. Convergence, tech-savvy consumers, etc. have driven this change. Consumers are now demanding cutting- edge technologies that would fulfil all their technological requirements and make their lives simpler. For example, till about a decade ago technologies like Wi Fi were a concept that was little known to the masses. However, now the use of Wi Fi network to access Internet has become quite a norm. Catering to the ever-changing demands of the consumers is the reason that has encouraged us to spread our wings to other categories, apart from keyboards and mice. The company has added speakers, headsets, webcams and gaming peripherals to our wide range of desktop peripherals. The company has also notebook peripherals designed specifically for notebook lovers. Consumer electronics peripherals like Harmony Universal Remotes and Streaming Music Systems are two of its latest areas of focus.

Logitech’s go-to-market strategy is completely poised upon the distributors and channel network. When the company is engaged with distributors like Rashi, Savex, Ingram and Neoteric, it has around 150 LORDS (Logitech Registered Dealers) across India. The number of total dealers today touches 12,000 across India. Logitech is literally present in more than 150 Consumer Electronic Stores in India. Logitech works very closely with all the distributors to continuously analyze the market sales situation and stock status at all channel levels. To ensure healthy business practices and maintain the sanctity of market dynamics, Logitech defines the Product Price Positioning for the entire channel.

The company also offers really good replacement warranties etc. to ensure that sales are quite easier and hassle free. Biswas adds, “We invest in marketing and branding initiatives to increase awareness and create stronger pull. So, while the margins are good, the selling is easier too. That is a great proposition to any channel partner.”

Acknowledging the contribution of resellers, Biswas says, “Our growth and evolvement into a complete digital solutions provider would not have been possible without the support of our partners. Our relationship with them has evolved during the years.””“The wide range of peripherals we offer has helped them reach out to a diverse and huge customer base. We would want them to evolve with the customers and us. We would want them to help us understand consumer needs better,” he adds. In order to motivate and provide them a platform to voice their opinions, the company held partners meets in 10 cities across India (in the month of May 2008). This helped the company to get a better understanding of their requirements. He adds, “We will use this knowledge to try and fulfil their expectations, thus lending them a helping hand for growth. By introducing more innovative products in our portfolio, we hope to give our partners a chance to expand their customer base.””

Marketing is at the forefront of all activities that Logitech does. It has different target consumers for different products and hence the activities are as diverse. This quarter, we would showcase Logitech products at various exhibitions, road shows, events, etc. We also have a Logitech Mobile Van which will be on roads in North and South India. From time to time, the company has outdoor campaigns, advertisements, online promotions, in-store carnivals, etc.

Today, Logitech has products which are quite “iconic” and distinct in the industry – MX Air – a mouse that works in air –, cordless keyboard and mouse desktop MX 5500, G15 Gaming keyboard, G9 Laser Mouse, diNovo range of keyboards, Pure-Fi Dream, etc. Today, most of the Logitech products are available in Indian LFRs (Large Format Retail stores) like Croma, Reliance, Staples, etc. Recently, the company has Labtec peripherals as its offering. The idea is to fulfil all the requirements. Labtec also offers quality experience at a different price level. These are aimed at people who want to enjoy high quality in entry-level products. Biswas says, “We have observed that the percentage of people who use entry-level products is considerably large. We wanted to offer more varieties to this large and growing consumer base. Hence, we decided to make available more varieties of products in the market through our Labtec products.”

In the end…
Logitech recognizes that its customers do have different attitudes towards personal peripherals. So, they segment their products according to customers’ attitudes – entry level, style conscious and value conscious. All Logitech products promotions would revolve around–“End Users””– their awareness about Logitech’s various product categories and providing them with an opportunity to experience these products. The company plans to establish more and more platforms for their consumers to interact with their products and thus developing their preference towards the brand. Its consumer communication focus would be on technology adaptation through value-added peripherals, which aim at enhancing their overall product experience in IT, Gaming or Home Entertainment categories.

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