The local mobile handset maker, Micromax, is scripting the story of slow and steady success. Launched just 4 years ago in the B2C market, the company has already garnered five per cent of the domestic mobile handset market and has staked claim as the third largest handset maker. It has evolved from budget candybar feature phones to the latest Ninja handsets. Talking exclusively to vccircle.com, Vikas Jain, co-founder and business director of Micromax takes us through the journey, future plans and how where he sees Micromax five years from now.
Recently, Micromax also forayed into the tablet category by introducing its product called ‘Funbook’. The tablet available at an affordable price of Rs 6,499 targets students. The company also roped in Deepak Mehrotra as CEO in December 2011 besides hiring other senior people from Sony Ericson and HTC, to strengthen its top management.
The mobile handset market in India currently is extremely volatile right now since the consumer is literally spoilt for choices. As Samsung, Nokia and HTC indulge in price wars, Micromax has steadily grabbed a strong position. Still, Micromax is a brand that is synonymous with inexpensive handsets and its quality is often questioned. “We may not be able to develop a brand cult overnight but the consumers have accepted us and that is how we want to go about it. We are in no hurry, we are here to acquire the faith of the consumer by his own virtue,” says Jain.
Jain said the company is shipping about a million handsets a month and though online sales are an unmentionable entity right now, the company has identified it as a strong focus area.
On the IPO plans which were shelved recently, Jain said the market is pretty uncertain and one has to wait and watch.
Last month, Spreadtrum Communications Inc, a fabless semiconductor provider in China, had invested $10 million in Micromax. Will Micromax be able to retain its position and climb up the ladder through its new breed of smartphones? Keep watching the space!
(Edited by Prem Udayabhanu)