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Prakash Prabhu Country Manager, Axis Communications, India


By VARINDIA - 2010-03-12
Prakash Prabhu Country Manager, Axis Communications, India
Axis eyes at Tremendous Growth in India
Axis Communications is a global company, headquartered in Sweden, offering network video surveillance solutions for professional installations. The Axis range of products includes network surveillance cameras, video servers, video decoders, video management software, and a full range of accessories. Axis Communications set up sales operations in India in 2007 and views India as a market with tremendous potential for Axis products.
 
In a conversation with VARIndia, Prakash Prabhu, Country Manager, Axis Communications, India, talks about the market for surveillance solutions in India.
 
How is the market for surveillance solutions doing in India? While the Indian market comprises primarily of analog installations, IP-based surveillance is fast gaining ground and is expected to be more than 20% of the total surveillance installations. The IP-based surveillance market in India is approximately valued at US$50–60 million. Factors driving the growth of the surveillance industry are the economic climate which requires improved RoI and asset protection, new laws and regulations, and increasing security consciousness throughout the world.
 

What is the growth potential? 
Axis sees tremendous potential in India as a market for security solutions as the country is experiencing rapid economic growth and sectors like infrastructure, transportation and retail, where security is a key concern, are booming. Also, there is a greater need for high-end security solutions due to the increased threat perception to national security in recent times. Currently, there are very few players in the organized surveillance sector in India and they are hampered by the absence of a consistent go-to-market mechanism.

What is the ongoing technology shift in the surveillance industry? 
The video surveillance industry today is experiencing a technology shift. The analog, closed circuit systems of the past are giving way to IP-based (digital), open and fully integrated systems. A Frost & Sullivan report has estimated that the global market for network video cameras will reach US$1.2 billion by 2010.

In 1996, Axis was the first company in the world to launch a network (IP) surveillance camera and continues to lead the market. Also, surveillance was always a part of the overall security concept, although legacy systems did not provide the option for seamless integration of various security components. But today we have the technology and open standard products available which allow for converged applications across various components. We can now integrate fire alarm systems, intelligent building management systems and access control systems over a common IP platform managed by a single application at the backend.

These systems are more beneficial than standalone discrete systems. Such integrated systems help in faster recovery of the cost of the installations and lowering the total cost of ownership.

Also, the advent of digital video is opening up new market opportunities for surveillance, beyond the traditional security applications. Digital technology offers the opportunity to provide customized surveillance solutions which can easily be integrated with, for example, footfall counters at retail stores. Traditionally, surveillance has been used to detect human threats, but we can now also react to environmental threats, fire hazards and chemical contamination with the right blend of technology.

Brief us about your operations in India. 
Axis products and solutions focus on security surveillance and remote monitoring. The Axis range of products includes network surveillance cameras, video servers, video decoders, video management software, and a full range of accessories.

Axis established its direct presence in India in 2007 through a sales office and is headquartered in Bangalore. Sales offices have been recently opened in Mumbai and New Delhi. Axis has a presence in major cities and towns in India through a network of partners – distributors, resellers, system integrators and application developers. In line with its global strategy, Axis works with its channel partners and has Ingram Micro and Anixter, as key distributors. Axis has established global strategic partnerships with companies like Siemens, Johnson Electric, Lenel and Honeywell.

What is Axis’ go-to-market strategy?
In India, Axis covers all major towns and cities through our network of partners –distributors, resellers, system integrators and application developers. Our partners are our bridge to the end-customer and act as trusted advisors to their customers.

Axis is strengthening its domestic presence with its partnership programmes, aiming to reach tier-I and -II cities across India through this network and has plans of expanding its product portfolio, bringing the latest technologies in network video surveillance to India. Axis is focussing on industry segments like the infrastructure, industrial, banking, retail, and transportation sectors.

What is Axis’ Channel Partner strategy? Which distribution model do you follow? 
Axis sells exclusively through an indirect distribution model, and the partnership concept is the cornerstone of Axis’s approach to sales. Axis’ way to the market is through a two-tier model for its sales process, utilizing distributors and resellers system.

Axis has a Partner Programme which is designed to help partners capitalize on Axis’ market leadership.

Axis has the following partner programmes: 
* Channel Partner Programme (CPP) for System Integrators 
* Application Development Partner (ADP) Programme – It helps software developers fully integrate Axis network video products in end-user solutions, by providing application components, technical documentation, and dedicated development supportArchitecture and Engineering programme – It provides support tools for network architects, engineers and consultants who design and specific IP-based security systems.

Our Channel Partner Programme (CPP) provides a platform for our partners to be abreast of the latest technologies, product offerings and bring the advantages of the best in network video to a vast majority of users. Lead-sharing, early product information and technical/sales training curricula at Axis Communications’ Academy are among the many benefits of this programme, giving Axis’ channel partners a distinct sales advantage. We believe that the potential of our technology can be multiplied by close, long-term partnerships with distributors, application developers, systems integrators, network infrastructure vendors and consultants in order to create an eco-system of opportunities The Axis business model is based on loyal, long-term partnerships. 

How many channel partners are you currently working with? Any plans to increase them? 
We have about 90 officially registered channels partners and many more are in the pipeline. We cater to all segments, including enterprise, SMB and the SOHO segment.

Axis with its open standards policy has more than 500 Application Development Partners worldwide and about ten in India who develop solutions for various industry segments.

How do you plan to tap the market? 
We are looking at multiple options, from pure surveillance, application-oriented video monitoring for retail, banking, etc. to Surveillance as a Service (SaaS) offerings through our partners. We intend to cover every possible space in the SMB, commercial and enterprise space through the right choice of partners addressing the requirements of each segment.

How do you promote your brand? 
Being a world leader, our brand is synonymous with IP (Network)-based surveillance. Our challenge is to educate the market segments, on the benefits of the technology and the strength of Axis Open standard technology.

How do you plan to take up the competition? 
Currently, we see a lot of gaps in the security establishment. There are very few players in the organized sector and they too are hampered due to lack of a consistent go-to-market mechanism.

Our intention is to adopt our successful two-tier strategy through the Channel Partner programme to provide an organized platform for our partners. There is room for partners who can provide value in their solution offerings. Our open standard products provide investment protection to our users and we consider it as our USP.

What are the challenges before you and how you plan to overcome them? 
The primary challenge is that of education of the channels and the end-users to drive adoption of new technology (IP-based surveillance). There is also some inertia in the System Integrator segment; we need to break the inertia to hasten adoption of IP-based surveillance solutions. As a market leader in IP surveillance, Axis is investing a lot in educating the market.

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