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Tata Consultancy Services (TCS) will adopt a differential pricing strategy in different regions and for different sectors for its recently launched iON, a cloud-based business solution for the small and medium business.
In the next five years, TCS has targeted revenue of nearly $1 billion from iON, according to a senior company official.
Since the launch of the solution on February 15, around 135 customers have signed up for iON even as the company is planning to take this pay-per-use model to smaller towns in a big way.
It says it would opt for differential pricing rather than standardised pricing, said Mr Venguswamy Ramaswamy, Global Head, Small and Medium Business, TCS. “We will soon come out with this pricing strategy,” he told newspersons on launching the solution for the Tamil Nadu market.
For an education institute, the solution is available between Rs 60 and Rs 100 per student per month. The pricing could differ for each client and the level of customisation. iON addresses the entire spectrum of an SMB's technology needs. This ranges from business solutions such as human resources, inventory, finance and ERP solutions, and basic applications such as email, document and Web site services.
pay-per-use model
iON is pre-configured with hardware, network and software bundled together and backed by business, technical and consulting services provided by TCS. Clients have the advantage of pay-per-use model without any upfront investment on technology, said Mr Ramaswamy, who is also global head for iON.
He said the company plans to take the solution to the smaller towns of Tamil Nadu, which has the largest number of SMBs with nearly half a million units employing four million people. Nearly 40 per cent of India's manufacturing output and 35 per cent of the country's exports are from the State. The State is strong in industries such as automobile component, textiles, leather and education.
Nearly 20 customers, including the SASTRA University, Suguna Industries, Cholayil, Rialto and Ankur Footwears, are using iON. “We are exploring options to take the solution to overseas markets, and are in the process of identifying the countries,” he said.
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