We Have Not Done Enough Successful Marketing in India: Cisco Datacenter SVP
When you create a new breed of product, you do need to find a way to make customers appreciate and understand its valueDavid Yen SVP and GM , Datacenter Group
The Indian datacenter market is expected to grow substantially in the coming years. We spoke to David Yen, SVP and GM, Datacenter Group, Cisco, on his company's datacenter strategy, and how it is faring in the Indian market.
Given the current economic conditions, in which geographies do you see the greatest prospects for growth? Is your growth mostly restricted to the western hemisphere and not so much in the emerging markets?
The US, indeed, is our most successful market. This is partially due to the propagation of information and also because US customers tend to have a higher tendency of taking risks in accepting new products which are significantly different from older or conventional products. In Asia Pacific, including India, China and Japan, people are more conservative; people are more hesitant to accept non-conventional products. UCS is obviously an unconventional product, and though it takes some time for customers to understand and accept such a product, we are making significant progress. But you are right. In the emerging market, as we have been talking earlier, we still have room to grow.
As far as India is concerned, how is Cisco is faring vis-a-vis its competitors?
To be very frank, as I touched on earlier, the progress so far has not been satisfactory, partially because a new type of product, as I said, takes time to gain acceptance. Somehow, Cisco has not done enough successful marketing I believe in helping the customer understand the extra value Cisco has to offer. I'm saying this with no less respect of our local sales force. But it does take time for people to accept new products.
What has been your datacenter strategy globally as well in India? What sets you apart from your competition?
Well, a number of things. Some of our products like UCS are unconventional. So when you create a new breed of product, you do need to find a way to make customers appreciate and understand its value. UCS, in the longer term, is actually designed to reduce both opex and capex. If you read a number of use cases, including Cisco's own datacenters, you’ll see that UCS significantly reduced labor cost, power consumption, space utilization and other expenses. So I think in the datacenter business in India, we need to do a better job in propagating the message. We need to work with local Integration partners including several large global companies like Wipro, TCS, HCL, and Infosys. Also, we need to work closer with major Indian industry service providers and even government agencies. Cisco has a significant engineering workforce right here, and many of the talents are local. Therefore, there is a lot of further strengthening that we need to do. Hopefully, we will match the progress of the Indian economy and grow together.
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