There is massive headroom for growth in India, says Arnold Su of Asus India2 min read . Updated: 19 Oct 2020, 05:03 PM IST
- Asus has been the number one brand in the gaming laptop segment with 25% market share in 2020 till now. It is striving to sustain the top position and take 40% market share by Q4
NEW DELHI: Ever since the covid-19 outbreak, PC brands have seen a huge uptick in demand for laptops for remote working, learning and gaming. The lower PC penetration in India means there is still a lot of room for everyone — be it more established brands such as Dell, HP, Lenovo, and Asus or new entrants like Xiaomi and Huawei’s sub brand Honor.
In a Q&A with Mint, Arnold Su, business head, consumer & gaming PC, system business group, Asus India, elaborates on the importance of India market, why offline retail is still the focus area and key expectations from India.
Q. In spite of the pandemic India remains a key market for most PC brands. Why?
India has the biggest consumer for PC products across Asia-Pacific region, and is the third-largest market worldwide. More importantly, a large section of its population is yet to fully adopt digital products such as PCs, laptops, and smartphones, so there is massive headroom for growth. The dynamic nature of the Indian market and the accelerating push towards digitisation will only fuel this potential business opportunity. All of these factors make India an extremely important geography for us.
Q. Demand for laptops grew in first two quarters. Has the demand dipped in Q3 as many people have started going back to work? Which vertical got most traction?
Despite all the challenges we have managed to outperform ourselves with every passing quarter. In consumer laptop segment we grew 132% QoQ (quarter-on-quarter) in Q3. Even the gaming laptop segment witnessed 400% QoQ growth in Q3. The convertible segment also performed fairly well in Q3 due to work from home and study from home situation prevalent across the country. We have also seen heavy demand for entry level laptop category in the sub 30k segment.
Q. PC market is largely driven by offline channels. Is there more emphasis on online channels after covid-19?
We believe that the convergence of both online and offline distributions is the most viable way forward for us. We have Flipkart, Amazon and Paytm as our online partners. Customers have become accustomed to online shopping due to the pandemic but there will always be a need for meaningful real-world experiences in PCs that only physical stores can offer.
We have an extensive retail expansion strategy in progress. Currently there are 100 Asus exclusive stores in India and our target is to reach to 200 across all key metros and tier 2 cities by 2021. We also have 100 premium shop-in-shop outlets in multi format retail stores and we aim to have 400 of them by 2021.
Q. What is the target for Asus in India this year?
As per International Data Corporation (IDC), Asus had 15% market share in Q2 2020 and we aim to close the year with a 20% market share in the consumer laptop segment. Asus has also been the number one brand in gaming laptop segment with 25% market share in 2020 till now. We are striving to sustain the top position and take 40% market share by Q4 2020.