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Monday , September 24 , 2012
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SAP logs into small business needs

Calcutta, Sept. 23: SAP India, a business software solutions provider and a subsidiary of Germany-based SAP AG, is looking to double its market in the small and medium enterprises segment by 2015.

Emerging business, mainly the small and medium enterprises segment, comprises about 80 per cent of the firm’s total customer base in India as well as globally. In India, SAP has over 3,880 SME customers, while it has about 98,500 SME clients globally.

“Besides catering to the mainstream industries, we have further developed 22 templates for micro verticals to meet the needs of the unorganised segments in India. These include solutions tailormade for poultry farms, dairy, real estate, sugar, plantation, gems & jewellery, city gas distribution etc,” said Priyadarshi Mohapatra, vice-president (emerging business), SAP India.

“We have extended our customer base beyond the metros or even the tier II cities and are trying to further reach out to the remote places in India. These will include places with sparse IT awareness such as Haridwar in Uttarakhand, Satara in Maharashtra, Ankleshwar in Gujarat, Keonjhar and Burbil in Odisha, Daman & Diu, Bihar, Jharkhand, and Rajnandgaon and Raipur in Chhattisgarh,” he said.

According to a 2012 study by consultancy firm Zinnov, the SME market in India that is conducive to technology adaptation stands at over 10 million. In the current economic scenario, SMEs are looking for low cost of ownership, fast implementation, quick return on investment and long-term investment protection, Mohapatra said. IT spending by SMEs is likely to grow to a third of the total spending in the country by 2015. SAP is looking to provide technological support in five market categories — cloud, mobility, analytics, database and technology.

“Our strategy also entails strategic acquisitions of specific technologies and capabilities that meet the needs of customers, adding to its broad solution offerings within and across industries…We have also invested in a strong channel partner and distributor ecosystem to reach out across solutions, verticals and geographies in India. We intend to increase the representation in our partner community by at least two folds by business year 2013,” he said.

The company is focusing on eastern India with a special emphasis on regions such as Bhubaneshwar, Chhattisgarh, Odisha, Bihar and Jharkhand.