SAP Reiterates Commitment and Strengthens its Leadership Position in the Indian Market

India One of Top Three Markets in Asia Pacific Crosses 1000 installation-mark in India

MUMBAI, INDIASAP India, the leading provider of Business Software in the subcontinent, today reinforces its commitment to India by announcing its decision to strengthen its leadership position through the adoption of an accelerated growth plan, which positions India as one of the top three markets in Asia Pacific excluding Japan.

Speaking at the SAP Summit ’04, Hans-Peter Klaey, President and CEO, SAP Asia Pacific said, “We are extremely pleased with our performance in India, an advanced IT market, which is among the top three countries for SAP in Asia, excluding Japan. Despite challenging economic times, the IT industry in India has maintained its growth momentum due to innovation.”

Elaborating on the need for Indian industry to adopt innovation for growth in his address, Alan Sedghi, President and Managing Director, SAP India Sub-Continent said, “Information technology is an important engine for business and society. By helping companies turn information into knowledge, IT drives innovation in both areas. Innovation at SAP has the sole objective of increasing the competitive advantage of our customers. Our first summit in India is designed to demonstrate what innovation can do and where we are investing resources to improve IT and create value for our customers. It is a platform that will enable our customers to gain insights on adopting technology for driving growth through innovation.”

SAP to Strengthen Market Leadership in 2004
In 2004, SAP India has been building on the momentum it gained in 2003. The company has put together an accelerated growth plan that will enable it to further strengthen its leadership position in India.

Elaborating on SAP’s accelerated growth plan for India, Mr Sedghi, said, “The accelerated growth plan will focus on further enriching our industry-specific solutions, strengthening partner relationships, penetrating deeper in existing vertical segments while gaining footprint in the new segments identified. We are confident that with this strategy we will be able to grow our business atleast 1.5 to two times the industry.”

Commenting on the tremendous success SAP saw in 2003, Mr, Sedghi added, “With a market share of 57.4% in ERP and 26% in CRM (according to IDC), SAP will seek to strengthen this leadership position further in 2004. SAP added over 60 new customers in 2003 with license revenues increasing over 70% in a market, which saw other players shrinking in revenues. 2003 was clearly one of the best years ever for SAP in India.”

SAP’s clientele in India include seven of the 10 most capitalised companies in the country, four of the five oil and gas companies, six of 10 largest pharmaceutical companies, six of 10 largest steel and metal companies, six of 10 largest information technology companies, four of the five large two-wheeler manufacturers, two of the largest newspapers and some of the largest engineering companies. Prominent among these include Wipro, Infosys, Tata Power, Indian Oil, ITC, Ranbaxy, Hero Honda, Bajaj Auto, Larsen and Toubro, Tata Steel, Pepsi Co., Coca Cola, ICICI, BPCL, Asian Paints, Mahindra & Mahindra and The Times of India.

Some of the significant wins in 2004 include Zandu Pharmaeutical Works, Videsh Sanchar Nigam Ltd., ABG Shipyard, Phillips Carbon, Network Clothing, Hindustan Zinc Ltd Primary Metal & Steel, PCS Industries, Siddhi Forge Pvt. Ltd., John Keells and Tata Toyo Radiator Limited. SAP now has over 600 customers in India.

In 2003, SAP also made significant wins in Sri Lanka, Bangladesh and Nepal. In 2004, it will continue to strengthen its footprint in the subcontinent.

In 2004, SAP plans to further strengthen its consulting and global support center in India. Last year, SAP had announced its decision to make India’s support center as one of its global centers

Leadership in the Small and Medium Business (SMB) market
With more than 250 SMB customers, SAP is the market leader in the segment. In 2003, SAP acquired more than 30 new SMB customers and plans to double this business in the next two years. Some of the major wins in the SMB segment include MTR Foods, HTMT, Nilkamal Plastics, NATCO Pharma, Matrubhumi, Suzlon Energy, Emcure Pharmaceuticals, Mark Auto, and Goa Optolab, etc.

SAP is addressing the SMB opportunity actively through partners and value-added resellers. The organization is working with an elite group of partners with domain expertise that provide marketing, implementation and services behind SAP’s SMB offerings. As part of the SAP Solutions for SMBs, SAP has developed individualized, two-tiered SMB solutions – mySAP™ All-in-One and SAP Business One®. These solutions are scalable, offer ROI at a reasonable cost and have integration capabilities.