An Indian, family-owned enterprise with more than 100 years of experience in newsprint (paper and pulp), computer hardware and software, media and entertainment products, and household products and textiles, Aditya Group is composed of five subsidiaries to drive its various business activities. Aditya Infotech is one of them, now spearheading the group's development efforts in the physical security and video surveillance realm.
For the past 17 years, Aditya Infotech has introduced state-of-the-art IT and media broadcast solutions to the Indian market as a distributor, with more than 30 branch offices across the country. There are now six business units under Aditya Infotech: animation, broadcast and post production, video and graphics, professional audio, digital lifestyle and IT products, and finally security and surveillance.
With extensive experience in software engineering and video production, the company's move into the video surveillance sector is well-justified.
"We came from an IT and broadcast background when there was still no distributor in India with national presence," said Aditya Khemka, CEO and Director for Aditya Infotech. Over the years, the company has acquired solid technical know-how in IT, consumer electronics, 3-D animation software and engineering, and broadcast and postproduction hardware and software. "We started building relationships with companies like AVerMedia and Seagate before they entered into physical security, and we helped make their offerings more affordable and well-known."
Three years ago, Aditya Group decided to allocate resources to the video surveillance business. "The electronic security market in India was growing at 100 to 200 percent per year. We know IT and IP. We know video and audio. We have a national network. It was a logical decision, rather than a complete venture," Khemka explained.
Targeting the lower end but broader base of the pyramid, Aditya Infotech does not compete with system integrators on direct projects but focuses exclusively on building up its vendor/solution portfolio and distribution network and clientele. With its extensive reach and strong sourcing and bargaining powers from the IT days, the business has grown very rapidly — and so has the team, now employing more than 200 people across Asia and the Middle East.
Distributor Turned Manufacturer
Despite the much-coveted, bullish growth, not all is rosy with the Indian market. "Security comes with a relatively steep price here," Khemka said. "On average, import tariffs are taxed at 25 to 30 percent, with an additional 'luxury,' value-added tax of 12.5 percent." Needs for better value proposition and locally manufactured products have thus arisen.
Aside from its comprehensive product range, consistent quality, competitive pricing and fast deliveries, Aditya Infotech also offers IP and system design expertise, technical support and credit to valued partners. "In essence, we don't work with opportunistic buyers. We want partners who can impart up-to-date knowledge to integrators and installers, and who only need to worry about and can take care of the last mile," Khemka said.
To better meet certain price/performance and customer requirements, the company decided to develop and launch its own brand, CP PLUS, last year. "We have registered the trademark and some patents in Germany, and we also have a German engineering team dedicated to ongoing R&D."
The German team, INT Infosolution, is part of the Jacob Jurgensen Group, with more than 125 years of business experience in the fields of paper and pulp, timber, real estate, computer software development and international computer peripherals trading. Aditya Infotech also has solution developers and partners across China, India and Taiwan.
Global Distribution Redefined
Striving to become the No. 1 distributor in Asia and the Middle East this year covering more than 60 countries with more than 30 brands (including CP PLUS), Aditya Infotech has come fully prepared. "We already have subsidiaries and warehouse facilities in Hong Kong and Dubai, and offices in Taipei, Shenzhen and Australia. We are also starting operation in Bangladesh, Sri Lanka and Malaysia very soon," Khemka said.
These locations are staffed by both family members and experienced joint-venture partners, and investments in local and global marketing and promotional efforts have been made through trustworthy media channels and event organizers.
While this is all new to Aditya Infotech, Khemka is confident and pulling no punches. "We may need to fine-tune or improvise our targets and action plans regularly; but rest assured, we have in place very good people, technology, product portfolio, vendor relationships, support structure and overall cost/performance proposition, both domestically and internationally, to see things through." In India alone, Aditya Infotech is looking to grow to more than 40 branch offices by the end of this year, and 50 by next.
Overseas expansion with a multibrand approach is risky business and no small feat, especially with logistics, cultural differences and existing players. There is no telling how things will turn out for Aditya Infotech, a value-added distribution and marketing house and one of the fastest growing players in the world at the moment — only time will tell. For now, Aditya Infotech seems to have hit the ground running and gotten a secure footing.