Hyderabad: International Data Corporation (IDC) the leading global research agency has rated LG as the only company to have registered sequential growth in the consumer desktop segment in the Indian market. LG has registered an impressive 22 percent growth in the consumer desktops market.
The IDC report states, "The market for consumer desktops declined by 6 per cent sequentially, and grew 22 per cent year-on-year. This was lower than initial forecasts as buyers put their purchases on hold in anticipation of price drops after the WTO tariff reductions. The implementation of the VAT (value-added tax) also caused some degree of confusion amongst the vendors and channel partners as they tried to understand the nuances of the new system.
In a declining market, LG recorded an impressive 22 per cent sequential growth, and grew its market share from 6 per cent to 8 per cent. Moreover IDC has also ranked LG in the 'Hot' category along with other vendors like HP and Acer in the 'Top Vendor Temperature reading'.
According to IDC, "Moving against the grain, LG yet again managed to close the quarter with a sequential gain in the consumer desktop category. The vendor is likely to close with yet another impressive performance in 2Q05, especially since consumer purchases are expected to be brisk then".
Speaking on the occasion R Manikandan, GM, sales and marketing IT products, LG Electronics India said, "This is a great achievement for us. This phenomenal growth can be attributed to our quality products, excellent value propositions through bundle offers backed with nationwide service support. Having established our credentials in the Indian market, we will be further strengthening our penetration levels in the country by expanding our network and focusing on our services".
Previously IDC in its Q3 -2004 report had ranked LG No. 3 in the consumer desktop segment in the Indian market.
LGEIL achieved a turnover of Rs6500 crore in 2004 and aims to be a $10 billion company by 2010, with an investment of $250 million allocated over the next five years to the Indian market.