How AGC Networks perceives SME market in India? What is the potential ?

 Small and Medium Enterprises (SMEs) play a pivotal role for the growth of Indian economy by contributing 45% of industrial output, 40% of exports, employing 60 million people, create 1.3 million jobs every year and produce more than 8000 quality products for the Indian and international markets. SME’s Contribution towards GDP in 2011 was 17% which is expected to increase to 22% by 2012. There are approximately 30 million MSME Units in India and the growth will pace ahead of GDP growth. It is imperative for AGC Networks to be present in this segment. The ‘SME & Channel Business’ of AGC Networks has been identified as one of the major growth drivers for the company as a whole.  

AGC is known as an organization for the large enterprises, how does AGC address the SME market ?

SMEs require simple, flexible, scalable solutions that are cost effective and need minimum investment. Keeping these in mind we have tried to reduce the complexity of a large enterprise solution and convert it into a ‘solution in a box’ package for SMEs. For example a ‘Networking’ project for a large enterprise would require a complex design consisting of servers, switches, routers, firewalls, Wi-Fi, etc. however for an SME a compact ‘all-in one-box’ with limited ports can do the wonder at an affordable price point. We are also taking the channel route to reach these SMEs present at various Tier II & III cities.

What kind of offerings you have for the SMEs partners ?

AGC Networks has designed its SME solutions with a clear objective of enabling them to communicate quickly, increase productivity, develop new business opportunities, and connect to global networks. We are here to help them choose, manage, and provide seamless upgradeability of all their Information & Communication Technology (ICT) related needs, be it voice, data, video or security solutions. We work with best of the breed brands to bring in solutions from basic EPABX systems to Networking Solutions through data switches, routers, Wi-fi, Video Conferencing solutions, IP Surveillance, Information Security & Storage Solutions, IT audit services, Contact Center Solutions & whole lot of other Applications which helps them to run your business smoothly & effectively

Whether ‘Channel Partner Connection 2011’ covers SMEs also ?

Yes. It very much does.

What is the uniqueness about this programme ?

For the first time AGC Networks is trying to upgrade the channel partners from ‘Product/Box Selling’ to ‘Solution Selling’ through this program.

How different is it from others ?

This program provokes the channel partner to think differently in terms of selling a ‘Solution’ to their customers & also demonstrates how it can be beneficial for the partner in terms of increasing their revenue & win over the competition.

What are the criteria of the partners to be your partners ?

In order to be our partner, we look at if he has hunger for growth. Secondly, he should have Strong customer network and last but on the least he should have inclination towards technology solution selling.

What benefits they get as AGC partners ?

A lot of benefits they get being AGC Partners it could start with expanding their customer base. They get more business from the existing customer. They get more business from the existing customer. For all AGC products they become the single point contact for all product & technical support. They get easy access to knowledge, venture into new technology segments, enjoy schemes/incentives and finally they become a part of the ESSAR family.

Which are the Cities you have presence and which smaller cities you want to penetrate ?

We have presence across all the metros. We are also planning to penetrate into the Tier II cities starting with Jaipur, Chandigarh, Bhuvneshwar, Guwahati, Nagpur, Ahmedabad, Nashik, Coimbatore, and Indore.
What is the turnover of the company and what kind of contribution SME segment makes to the number?
AGC Networks is a Rs.1000 Cr. company. The SME & Channel Business has been into existence for past 8-9 months. We are targeting to contribute around 10% of the overall revenue of the company by the end of this fiscal year.

What kind of growth are you expecting and how SME contribution is expected ?

We have been growing quite aggressively.