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Neoteric adopts vertical approach to growth
 

 
Vinita Bhatia
 
Friday, October 14, 2005

 

For well over a year Neoteric Infomatique set about consolidating its business and adding a few brands to make its product portfolio complete. Now it has decided to verticalize its product offerings to offer a complete solution to its partners in a bid to become a value-added distributor (VAD).

This VAD approach has called for the creation of seven focused groups. These include systems integration (SI), internal storage, external storage, digital imaging, digital video, digital pre-press and photo retail.

"Creating these business groups simplifies our go-to-market strategy as we can concentrate on different categories of channel partners for each vertical offering," said Paras Shah, CEO, Neoteric Infomatique.

The SI group offers solutions to integrators, AMC contractors, turnkey solution providers and corporate resellers. Similarly the internal and external storage solutions are targeted at SIs and storage specialists. The digital imaging solutions are meant for photo dealers, traders, labs and retail.

PARAS SHAH
To appoint a person to head enterprise segment within a month, who will negotiate tie-ups with leading brands in this vertical

Neoteric has also assigned a person for each of these groups who will drive the respective business nationally. This person will decide the product and the brand mix for that category, will come up with market development proposals and implement the same as well create awareness for the brands among partners and end-users.

Neoteric now wants to venture into the enterprise customer segment with storage and security offerings. "We plan to appoint a person for the enterprise segment within a month and he will then negotiate the tie-ups with leading brands in this vertical," mentioned Paras.

Recently, Neoteric invested Rs 1 crore in an ERP installation from Sweden-based IFS. Paras signaled that this could well signal the company's decision to get itself ISO-certified in the near future.

The distribution house is also trying to evangelize the concept of digital gifting in the corporate segment. I recently sold 1,000 MP3 players to Sun Pharma, which the pharmaceutical firm then gifted to doctors. It also cracked another deal with Lupin where the laboratory gifted 1,000 dock printers to medical practitioners.

Now that General Motors is also offering an iPod with every Optra, Neoteric is fulfilling this requirement as well.

VINITA BHATIA

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