Hewlett-Packard India Sales Pvt Ltd., the largest selling personal computer brand in India, launched a new range of desktops and notebooks under its mass-market brand Compaq, at the Taj Lands End Hotel in Mumbai today.
The occasion also marked the Compaq’s brand’s relaunch, with a new brand identity and logo, which was unveiled by their celebrity brand endorser, Bollywood actor Shah Rukh Khan. The new logo is a C and Q combined and also resembles a thought bubble to capture the possibilities, technology enables and inspires for consumers. The brand identity is futuristic and yet contemporary.
HP leads the personal computer market in India, with a market share of 21.2% in the personal computer space and 40.9% in the portables or desktop and laptop space.
The re-launch of the Compaq brand, which was kicked off in Shanghai earlier, signals the company’s intent to capitalise on the strong brand presence that Compaq enjoys in the region, especially in high-growth markets such as India and China. “Right now, it (Compaq) is present in most major markets. In the US market, for example, over 40% of retail is Compaq brand. It is only in some small countries that Compaq is not present.
However, we may consider selectively expanding the brand presence. As we reposition our strategy, we see an opportunity for the brand to open up new addressable markets for us,” says Satjiv Chahil, senior vice-president, global marketing, Hewlett-Packard Company.
The company plans to leverage the brand to enter new markets. “In the past, the Compaq brand positioning had become in some ways similar to HP, so there was no purpose for a dual brand. But now that we have distinguished the brands with clear target markets, we see an opportunity to expand in addressable markets,” he adds.
While the company refused to divulge details about ad spends and media, they did maintain that their strategy would focus on “improved creative expression and impact”, to get more bang for their buck. The company will look at new media, new conversation points and closely integrate the brand message with all their activities.
The new Compaq product range includes a Compaq Presario notebooks and desktops. Priced between Rs 15,990 –28,990 and Rs 25,990-45,990 respectively, the company is planning to address a larger audience.
“Looking at the aggressive pricing strategy, it is clear that the company is looking to expad in to the home market. The company strategy will probably be to tap into areas that are now considered high-growth markets in India. These are essentially smaller towns and cities,” says an industry expert, who did not wish to be quoted citing company policy.
“Typically, the barriers in markets such as India are affordability, useabilty and infrastucture. If we provide better value, easy-to-use technology and other incentives such as easy finance, we should be able to grow in this segment,” says Chahil.
“To further strengthen its leadership with an aggressive ’Go-to-market’ strategy, we plan to expand our retail footprint across 500 cities and expand the retail partner network to over 2000 by the end of the current financial year,” says Ravi Swaminathan, president, Personal Systems Group, HP India.