Branding Matters

It was around few years back when it started all. Kolkata based
distribution house Jupiter International had first launched its own
brand Frontech. It went on to become a household name not only in
Eastern India but other parts as well as far as IT components are
concerned. In 2005, Supertron Electronics launched its home brand
Supercomp and went on to introduce various product ranges like USB
devices, cabinets, mouse, speakers, MP3 players in succession.



The move prompted a new trend that saw many of the leading distributors
from the region launching their own brands. From PCs to UPS
and USB devices to PC components, the product ranges included
everything. However, apart from Jupiter's Frontech range of products
only three companies have been successfully selling their brands
– Supertron, Lalani Infotech and Technocrat Infotech.



Encouraged by the success of Supercomp, SEL introduced last year a new
series of product range under the brand name of Solitaire. Positioned
to target the niche and premium market segment, Solitaire was launched
with an intention to offer feature rich and superior quality products.
The other leading distributor from East, Lalani Infotech too joined the
bandwagon and launched Kanry in 2007 that includes a gamut of IT and
office automation products. Recently the company enhanced its product
portfolio by adding several new products under Kanry including TFT
monitors, motherboard, MP4 player and other office automation products.
Technocrat launched Bitec in 2005. Under its brand the company
introduced products like UPS, speakers and home theaters, modems and
cabinets.



Initially restricting their business
within East, all three companies have gradually executed plans to
launch their respective brands nationally. Supertron already being a
national level player, launched both Supercomp and Solitaire across the
country much earlier. While both Lalani and Technocrat took a little
more time to expand their operation beyond East. It was only last year
when both the companies entered the national market and introduced
their brands respectively.



Higher margins earned over selling their own branded products seems to
be a major factor behind the strategy. But another common factor that
played a crucial role instigating these regional distributors walk the
extra mile is the ambition to ascend the pyramid. Already establishing
their positions as leading regional distributors, launching own brand
would strengthen the company's position further in the market and
contribute largely to future growth.