Xerox eyes 40% market share in 2004

Xerox Modicorp is looking to increase its market share in India from 34 per cent to 40 per cent this year in the copier segment on the back of new launches.

Xerox plans to expand its market share by making further inroads into the digital copier market by migrating exiting analogue customers to entry-level digital products and driving adoption of colour in the office, the company said quoting IDC data.

"As prices come down and visibility for document management technologies increases, we expect there to be an increase in demand for multi-functional colour devices and we expect to make most of this improving business environment to grow our market share to 40 per cent in 2004," Genndy German, marketing director, Xerox Modicorp, said in a statement.

The company plans to enhance its focus on in the office and SOHO segment, the statement said.

"Xerox Modicorp India's revenue from standalone copier and multi-function products currently contributes 75 per cent of the company's equipment revenues," it said.

Xerox attributed its strong performance in the Indian copier market to its strategy of repositioning its product offering to target the growing demand for multi-functional devices in the office and SOHO segment.

As part of its new office strategy, Xerox had revamped its product portfolio in India in 2003, launching several new products and instituting aggressive value pricing and trade-in schemes that helped it grow its customer base across the country.

Xerox is focusing on this growing market with a strategy of providing copiers with flexible entry-level configurations to make it the obvious choice of customers who are keen to purchase customizable products that meet the unique requirements of their individual business

Xerox Modicorp India's revenue from standalone copier and multi-function products currently contributes 75 per cent of the company's equipment revenues.

The company expects revenue contribution from equipment sales to grow, fuelled by its strategy of introducing document management products at price points that are more affordable to business users.

The organised copier market in India, as per IDC estimates, is 31,692 units, worth approximately Rs 410 crore , with the digital copier market estimated to be 11,000 units valued at Rs 228 crore.

The Digital copier market in India has grown by 90 per cent over the last few years and is expected to register robust growth of 65 per cent to 70 per cent annually over the coming years.