Konica Minolta to Build Up Nation-Wide Direct Sales Network in India for Production Printing
Quadrupling Sales Branches in India to Lead Market Expansion
Tokyo (April 8, 2015) - Konica Minolta, Inc. (Konica Minolta) today announced that Konica Minolta Business Solutions India Private Ltd. (Konica Minolta BIN), its Indian sales subsidiary for Business Technologies Business, will acquire business for Production Printing (PP) market from Monotech System Limited, a major dealer based in Chennai, India. The acquisition in the fast-growing Indian market is part of Konica Minolta’s initiatives in enhancing its PP business in emerging countries with strong growth potential.
Through this acquisition, Konica Minolta BIN will not only quadruple the number of its sales branches in the country for the PP field but also extend the sales network throughout India, further enhancing the company’s industry-leading position in the Indian PP market.
In addition to the advanced main markets in Japan, the U.S. and Europe, Konica Minolta has been expanding its PP business in emerging markets with the same digital printing system products and services as provided in the advanced countries. With a primary focus on high-quality color output products, the company has gained high market share in emerging markets through development of a broad portfolio of fully customer-centric solution proposals.
Konica Minolta BIN was established in July 2010, as it became essential to formulate a sales strategy to better meet the specific needs in the Indian market in pursuing Konica Minolta’s global strategy in newly emerging markets. Having opened its Digital Imaging Square, the digital printing solution and communications space for the PP filed, in Gurgaon in the state of Haryana, in July 2013, Konica Minolta BIN has been growing its business by providing products and services mainly through dealerships for a large number of customers in the printing-related trades and photo studios. Currently Konica Minolta BIN’s business is growing year after year as the leading company in the PP market.
Toward further business expansion in the Indian PP market where the growth potential is significantly strong among emerging markets, it is now essential for Konica Minolta to obtain direct sales network covering the whole country and enhance its service and customer support capabilities for higher customer satisfaction.
Aim and Effect
With a broad customer base in commercial printing and deep expertise in printing, Monotech is a major sales company that has a network of branches throughout India and commands brisk market share in each region.
Upon completion of the acquisition, Monotech’s sales network will become local branches of direct sales at Konica Minolta BIN and provide in the whole India high-quality customer support and services directly from the manufacturer.
Going forward, Konica Minolta BIN will take full advantage of the new direct sales network and develop value-creating proposals to increase the customers’ revenue and reduce their TCO (total cost of ownership) by making potential demand come up to the surface and reaping the benefits of digital printing so that the customer satisfaction will be optimized. Furthermore, the company will enrich its proposal-based sales activities such as photobook production, a country-specific and booming service in India, and drive continuing growth of the entire Indian PP market through digital printing.
Overview of Monotech
|Company Name||Monotech Systems Limited|
|Established||July 14, 1999|
|Headquarters||3rd Floor, City Centre, 66, Thirumalai Pillai Road, T. Nagar, Chennai - 600017, India|
|Number of Employees||444 (as of September 30, 2014)|
|Business||Sale and maintenance services for digital printing, prepress, Wide format, label & package printing equipment throughout India|
|Sales||FY2013: 2 billion Indian Rupees|
Method of Acquisition
Konica Minolta BIN and Monotech entered into a definitive agreement regarding the acquisition on April 4, 2015. Monotech’s PP business is expected to be transferred to Konica Minolta BIN on June 1, 2015.
Under the brand proposition “Giving Shape to Ideas,” Konica Minolta is enhancing its presence in the production printing field and the corporate value of its entire group by turning new ideas into optimized solutions and services based on the company’s strengths.