The Hindu Business Line : `India has a tradition of using luxury products'

"India is the only market where both the Signature andAscent product ranges have been launched simultaneously _this shows the importance we attach to this market."

Indians are well-known connoisseurs of the finer things in life. Be it super premium Swiss watches or high-end jewellery, major international brands have cashed in on the Indian penchant for luxury items. Taking a cue from the success of products such as high-end watches in India, the world's largest mobile phone manufacturer, Nokia, has launched its super premium mobile handsets under the brand name Vertu. In an interview with Catalyst, Vertu's Vice-President (Global Sales), Giles Rees, says Vertu is sure to appeal to the sensibilities of the upwardly mobile Indian consumer.

Why did you choose to come to India with such a high-end product?

<15,3m>Indians welcome luxury products, and this country has a long-standing tradition of appreciating and using such products. Before deciding to come here, we conducted a comprehensive survey on how luxury brands from companies such as the Richmond group and LVMH fared in India, and the results were very encouraging. India was a closed market earlier but today, it holds enormous potential for brands like ours.

Why are Vertu phones so expensive? What is the brand's USP?

Vertu phones are about owning a luxury brand. Each Vertu phone is hand-crafted by experts at the company's workshop in the UK. Vertu Signature's internal architecture features more than 400 mechanical parts and is available in a casing of the finest materials like stainless steel, 18-carat white gold, 18-carat yellow gold and platinum. The creation and manufacture of Vertu Signature has resulted in the company filing for 74 patents. The Vertu Ascent keypad alone contains over 150 different parts and the stainless steel keys, each of which sits on two jewelled bearings, is tested to over two million presses. In India, the Vertu Signature is available from Rs 3.71 lakh while the Vertu Ascent retails at Rs 2.42 lakh.

Indians may be appreciative of luxury products but they are also a set of very price-sensitive consumers. Is there going to be a range of Vertu phones priced keeping this Indian penchant in mind?

India is the only market where both the Signature and Ascent product ranges have been launched simultaneously — this shows the importance we attach to this market. Market and price-specific variants will come but later. Right now, our accent will be on building a market for this product.

How will you market and retail these phones?

We will rely largely on word of mouth to inform consumers that we are available in India. So, there will be very little below-the-line advertising, and we will concentrate almost entirely on above-the-line tools. There will also be some celebrity endorsement but not by movie stars — more by leading business people and those who represent a cause. Also, India-specific advertising will be done. We are not a new brand in an established category but an entirely new product category, so a lot of effort will be put into brand building. Vertu phones will be available at Regent Watch & Jewellery stores at the Maurya Sheraton in Delhi and the Taj Mahal Palace in Mumbai.

As these phones will be imported into India, will they be costlier than, let us say, the same model in other Asian countries?

As we do globally, the net retail price in India will be the same as anywhere else in the world. However, local taxes, including customs duties, VAT and sales tax, could make the phones in India somewhat dearer than the same phones available in, say, Hong Kong.

Why the brand name Vertu?

Vertu comes from the Latin word virtuoso, which connotes connoisseurship or appreciation of fine things. Since the brand represents luxury and a certain class, Vertu was the perfect name for these phones. Also, the phones carry logo `V,' as they represent an open gesture or a person who communicates expansively — our target consumer.

Will there be more to Vertu than just phones in terms of accessories?

Yes, but only accessories, which are directly related, like key chains and handbags. We do not want to extend the brand name of Vertu to a whole range of products.

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