AOC’s Objective: Making A Forceful Presence in the Channel Market

By VARINDIA - 2010-04-15

AOC’s Objective: Making A Forceful Presence in the Channel Market

Gone are the days when PC used to be only a part of the office application tool. Today, with the growth of Internet and gaming applications, the demand for PCs can be expected not only from offices but also from the SoHo and home users’ space. And, as the Indian PC market matures in this space, the customers are demanding more innovations and value additions in PCs. This, in turn, has increased the importance of monitors in the eyes of the Indian customers. And, the reason behind this kind of rational thinking is that the monitor is not only the key interface between the user and the application, but it helps in overall infotainment. 

 
With TV tuner cards now getting hugely popular, the use of a monitor as TV presents an interesting option. Especially in the TFT LCD space, there are monitors that can alpenetrated the homes and the top-end of the corporate sector. Thus, in short, it can be said that the Indian PC monitor market is witnessing a rapid emerging trend in the buying behaviour of the Indian consumers. 

AOC in Indian Market
AOC, a brand product of the TPV (Top Victory Electronics) Technology Limited, listed on the Hong Kong and Singapore Stock Exchanges, is the largest manufacturer of computer monitors in the world. Globally, TPV Technology has a market share of around 26.4 per cent. The company has got the biggest R&D centre in Taiwan.
 
Having begun its operations in India in 2001 as an OEM supplier, AOC has sold around 1.20 million monitors in India and hopes to sell 1.5 million monitors in the current fiscal. The company has, at present, ten models of computer monitors in the Indian market and it intends to launch five new models by the middle of this fiscal. Speaking about the factors behind the success of the company, Mukesh Gupta, Vice Director, AOC, says, “There are two things that are critical in our business. One is the volume and the other is the cost. Whenever we deal with the customers, we try to maintain that the cost and the quality always remain very competitive. We also provide best quality of service and support for our monitors.” 
 
Being primarily in the OEM business, TPV does nearly 90 per cent of its business in the OEM space for the last five years in the Indian market. However, the company started selling its own brand under the brand name – AOC just last year. The rationale behind this initiative is to foray into the burgeoning IT Channel Market. 
 
Strategy Ahead
Today, the first and the foremost strategy of the company is to create strong brand awareness among the consumers. And, second, the focus is to create awareness among the channel partners. According to Mukesh, “Today, AOC has got a very big service network in India through RT Outsourcing.” 
 
AOC is quit aware that the channel partners are the only means to grow the AOC brand in India. So, the company is planning to create a strong channel base in India. Working in this direction, the company has appointed one national distributor (Vision Enterprises) and six regional distributors along with offices in Delhi, Bangalore, Bombay and Calcutta. Mukesh adds, “We are very much focussed on the channel now. Therefore, we have endeavoured to deliver better margin compared to our competitors. We have always believed in working and maintaining long-term relationship with our partners and that is why we run lots of channel programs from time to time.” 
 
In order to sustain and grow in the competitive ambience, AOC has always tried to deliver better quality of products and better service. On the service front, the company provides on-site service. AOC provides three years warranty on its monitors and all warranties are covered by RT outsourcing. Beside that, the aggrieved customers can lodge their complaints through its web sites and can make a call at the toll-free number.
 
Apart from generating revenue from the OEM and Channel business, AOC is also planning to generate revenue from the upcoming retail segment. Recently, the company has tied up with Tata’s retail store and is planning to enter into alliance with Reliance which has already started its retail business in various parts of the country. 

In the end… 
The Indian monitor market is full of challenges. In order to capture a commendable market share and create a strong customer base, AOC has to work hard and has to develop a proactive and well-thought out marketing strategy.so function as standalone TVs. Multifunction monitors have also now 

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