LG targets R 1,000 crore from B2B business
The B2B division of LG Electronics has aggressive growth plans for its commercial displays, projectors and surveillance solutions businesses. The division, which contributes 5 percent of LG India’s revenue, is targeting ` 1,000 crore in 2014.
Said Hemendu Sinha, Head, B2B Sales, LG India, “We will grow 100 percent from ` 350 crore in 2012 to ` 700 crore in the current fiscal.”
On the solutions front the company is expecting major contribution of 60 percent from commercial displays (digital signage, video walls, interactive TVs) and the rest from projectors, and surveillance and video conferencing (VC) solutions. According to Sinha, in surveillance the focus will increase on IP-based products and cameras with built-in analytics. In projectors the company will focus on LED and ultra-short-throw projectors. In the next fiscal he expects projectors and surveillance to each bring in 15 percent of the revenue, and VC 5 percent.
Informed Sinha, “We are leading the LED projector market and will continue to do so with plans to launch 1,000-lumen LED projectors. We will also launch ultrashort-throw projectors early next year. We recently strengthened our display solutions with a 100-inch laser display and an 84-inch panel with 4K resolution.”
The division is counting heavily on the government and education verticals, and expects 40-45 percent of its revenue from them. Said Sinha, “The government is now focusing on infrastructure projects that were pending; this will create huge demand for displays, projectors, and VC and surveillance solutions. BFSI will add 20-25 percent to our business with its increasing demand for display and
“We will close 2013 with 100 percent growth with our revenues increasing from ` 350 crore to ` 700 crore. In 2014 we will cross ` 1,000 crore” HEMENDU SINHA Head, B2B Sales LG India
Further, the B2B division is looking for aggressive expansion of its current channel base of 250 partners. It intends to double this base and is looking for major tieups with IT partners. “IT partners will be the natural choice because they can value-add to the solutions around commercial displays, projectors, VC and surveillance,” Sinha said. “With their existing IT skills they can easily gain skills in these solutions and enlarge their wallet-share. We will also leverage the robust IT network for distribution.”
The company has Neoteric as its ND for its projectors, surveillance and commercial displays businesses. It plans to add five RDs to its existing 10 RDs for projectors and three RDs to its existing four for surveillance. “Besides, we will add 100 more SIs across all of our solutions businesses,” Sinha informed.
The company will conduct roadshows in 25 cities including Chandigarh, Bhopal and Kochi. According to Sinha, “These roadshows will serve as platforms to connect with customers and partners with demo and training sessions.” LG will introduce a partner portal in January 2014 to channelize all its schemes and programs.