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Zenith aims to double market pie with new laptops

Our Bureau

Bangalore , Aug. 18

ZENITH Computers Ltd expects to double its share in the Indian laptop market to around 6 per cent in the current financial year, following the launch of its new range of seven laptops on Wednesday.

Priced attractively between Rs 32,000 to Rs 70,000, the new laptop range is designed to suit the requirements of professionals at all levels in the corporate ladder — from a sales professional to a CEO, said Mr Raj Saraf, Chairman and Managing Director, Zenith Computers Ltd.

"The prices of laptops are inching closer to that of desktops and we want to lead the market by increasing penetration and making the laptop more affordable," he said.

Unlike the multinationals, which outsource their manufacturing to a bunch of vendors in Taiwan and the US, Zenith produces its own laptops, Mr Saraf said adding, "It gives us the flexibility and cost advantage."

Zenith, which sold 3,000 laptops in 2003-04, expects sales to increase to 15,000 units in the current fiscal, he said.

The entry-level `SalesPro', which comes in two variants with a Via chipset and a Intel Celeron chipset costs Rs 32,000 and Rs 39,000 respectively, while the high-end Presidio, billed as the lightest laptop in the world weighing 1.1 kg, is priced at Rs 70,000, said Ms Devita Saraf, Director, Zenith.

Presidio's features include an Intel Centrino Mobile processor for wireless connectivity, 40-GB hard disk and pre-loaded Windows XP. The pre-loaded software is not bundled with the other models.

"Currently, we are the only major player in the market offering the entire range of laptops at attractive rates. This range even the multinationals are not able to offer," Ms Saraf said. Zenith's laptop customers include Sony India, Siemens, State Bank of India, and the Indian Business School. .

Laptop sales, which accounted for 5 per cent of Zenith's revenues in last fiscal, are likely to contribute to around 10 per cent of the earnings this year. Zenith, which posted a turnover of Rs 285 crore in 2003-04, expects sales to rise to Rs 350 crore in the current financial year, Mr Saraf said.

The Indian market for laptops was estimated at 70,000 units in last year, and is expected to grow between 150-200 per cent, Mr Saraf said. IDC estimates laptop penetration in India at around three per cent, as compared to 40 per cent in the US.

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