Has Transcend made any changes to its channel policies in lieu of the economic scenario?
Expecting the slowdown to have an effect on the IT channel business, we had made a crucial adjustment in Transcend's channel structure and taken the route of National Giant vs Local King, whereby our regional partners primarily focus on Transcend products only. The strategy has paid off well and our shipment is now crossing one million pieces milestone month-on-month. We have also made some other changes like shipping to multiple locations for our customers to help them save on their in-land transportation, expedite delivery time and offer more flexibility in product customization.

Will more partners be added to the network this year or will there be a freeze?
We have had a very comprehensive IT channel distribution network for quite a few years with excellent results. Last year, we added Bharti Teletech to strengthen our telecom channel. This year, we will focus on collaboration with more alternative channels such as gifting, corporate, education, bundling, cameras, etc. However, these activities will be executed through our existing distributors only.

What new launches can the channel expect this year?
Due to the slowdown, we will be introducing products that offer more value for money, like best cost/performance, as well as entry-level product lines. Secondly, we are offering huge flexibility to customize our products.

What initiatives are you taking to support your channel partners?
The most important initiative we plan to take this year is to introduce Transcend Care Service Network throughout India. It is a third-party authorized service center across 40 plus locations in India. This is a major step to further boost our sales in consumer electronics product lines such as portable HDD, MP3, SSD, digital photo frames, etc.

Has Transcend seen increased demands from a particular segment?
First is, of course, the mobile segment. Second, we also see a huge growth potential in the camera channel to use lots of flash cards bundling and retail purchase. Third, the popularity of netbook has resulted in rapid growth of portable devices such as USB drive, portable HDD. Lastly, as the price of digital photoframes comes down, we see more growth in this segment as well.

RUTH SAMSON
ruths@cybermedia.co.in

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