FITDAK and CeBIT partnership to change the IT landscape of Karnataka

Anand Rao, President, FITDAK elaborated upon the partnership of FITDAK and CeBIT India 2015 where members of FITDAK will come together and showcase their innovations in the field of technology. Signing over 3 year MOU with global leader in organizing IT fairs, HMF (its Indian subsidiary is HMFI) as its Association partner for CeBIT, an exclusive IT fair in Bengaluru. With aim towards devising special tariffs for its members put up their stalls with the help of CeBIT, giving global exposure to members the emerging technologies globally, leveraging lot of deals for the exhibitors happen through new tie ups and collaborations.

How did the idea of FITDAK collaborating with CeBIT India come into being?

Our idea of collaborating with CeBIT is more than one year old. When CeBIT had its first edition during November, we started with CeBIT right from June-July. We heard that CeBIT through HMFI is going to come for the first time in Asia, that too in India, in Bangalore. We were excited to hear about it as HMFI is a globally know brand for exhibition, IT fairs. So, taking consultants, technology service all the way to Hannover Germany to witness the technology fair there. So, we were very much excited that this show is coming to Bangalore.

It was an appropriate thing to collaborate with them. So, initially we thought FITDAK would also see it as an avenue for providing some technological exposure to our channel members across the state. So, FITDAK is a consortium of 13 district associations. There are actively around 15-16 districts who have collaborated with us.

What were the specific accomplishments that you achieved from CeBIT India last year?

Firstly, we could make our members travel across different parts of Karnataka to witness this event which happened during November of 2014. Secondly, we had worked out with CeBIT to offer stalls for our members to exhibit (whoever was able to participate as an exhibitor), we worked out special tariffs for them, and a reasonably good amount of space that would be deployed for our members to participate in the FITDAK pavilion. Not only did our members participate but we also stretched our efforts to see that some OEMs also participated through our influence. So, that’s how we could achieve around 415 sq. metre spacing at the exhibition arena last year. Thirdly, we took the CeBIT show because it was the first edition in India, so in the interest of people who are remotely situated, we conducted roadshows in different districts to take the message out that CeBIT and HMFI are going to be at what will be the benefit of channel through this show. Along with these messages that these stalls are available at affordable prices, we conducted around 6 places the road shows – Mysore, Belgaon, Hubli, Mangaluru etc.

In Bangalore, we had arranged a curtain raiser programme. So, it was very successful in terms of making of partners visit the exhibitors, OEMs, talk about possible collaborations. This was what we accomplished. We also generated some revenue out of sale of the space

What were the challenges that you faced at the initial point of the show?

One, during last year the IT was facing a slow down for some period but it was very much constrained. And secondly, anybody who wants to participate in these kind of show, they wants to see first edition, second edition and depending on its success people would come forward to participate. Third was that decision makers were scattered across the country, some decision makers were in Bombay, some decision makers were in Calcutta, not all decision makers were in Bangalore. So, we couldn’t reach out as far as FITDAK is concerned, of course CeBIT had its own reach across the country. Rest of our capability in terms of proximity worked out, but the thing is the strength we conveyed to the people who were potential customers to participate as exhibitors was, for quite some time now, nearly a decade none of the IT exhibitions happened in Bangalore. Some of the exhibitions that happened were not too effective, not too impactful or profitable for the organizers but we looked at CeBIT because it is going to have its presence in India, in Bangalore and has a global status. CeBIT is known for maintaining global status. So this is one trump card, or plus point we had in our mind. Secondly, it wasn’t just us but everybody knew that this show would be held at a grand scale.

Was this opportunity limited to the state of Karnataka or was it open for other states as well?

Last year when we were participating, we were Karnataka association and we were one of the prime associations for the CeBIT event. Over the period of one year, after CeBIT was over and lot of incidents have happened leading to the formation of an association of Federation of All IT Associations (FAITA). Now FITDAK is associated with FAITA and we assume and hope to promote this event in Karnataka, and we expect and hope that FAITA would address the potential from elsewhere, apart from Karnataka. FITDAK is catering to the Karnataka market in terms of good quality visitors as well as selling the exhibition space, and FAITA will be driving similar activities in places apart from Karnataka.

How has this event changed the IT landscape of Karnataka in comparison to other exhibitions?

Compared to other exhibitions, it has definitely been more impactful, since the scale on which HMFI operates is different. Nevertheless people have an apprehension which has to be proved wrong, that many ITs, technologies, consultants can get all the information from the internet, then why go to an exhibition. It’s totally untrue because there are so many aspects, once you see the product or meet the people who are behind the exhibition, you can discuss in detail possible collaborations. The technology is changing rapidly and the industry is volatile, and the CEO’s, COO’s, CDO”s all come in the physical environment to witness the product or technology. Another good thing is that CeBIT also organises global conferences of great quality that benefit solution providers like us, and they have made a great difference.

What are your expectations from the upcoming event?

Now IT has got different verticals in terms of products and solutions starting from the IT infrastructure which consists of computers, be it laptops or desktops. Then comes storage, wherein security, which is a crucial aspect that we need to ensure.

We see internet security and data security as two primary challenges. So these are the two opportunities that we want our members to go through, and big data and security are two of the important topics at CeBIT India 2015. And the government is talking about the digital era in India through Make in India, Digital India, so what are the manufacturing opportunities, and new evolution of smart cities. So it is an opportunity for our members to figure out where exactly they can look into.

Another challenge is the impact from e-commerce which has shattered the profitability of the channels. Not only profitability, it is even challenging the very survival of few channels, small and medium. And there is a need, a compulsion for channels to diversify their activities by coming out of their comfort zone.

What figures did you achieve last year from the event in terms of business growth?

Unfortunately we haven’t compiled any data, and it wouldn’t be possible because the impact one could see by exhibiting the product can’t be quantified immediately, it may happen over the period of time.

Dealer network is one of the important parts of the channel. How do you make the dealer network aware?

The scenario has to gradually change. Unfortunately, the dealers are compelled to be online either by selling or buying. We expect that these dealers will realise along that this will not take them anywhere, and we believe that only one particular product vertical will be available through online, and that is definitely affecting some set of business partners. We feel that consumers would prefer traditional retail channels for products that need a lot of pre-sales and installation support. Nevertheless we practically accept online as one more extended reach for customers and consumers. We aren’t saying it shouldn’t exist but unfortunately their predatory pricing which is 20-25% less than the buying price selling in the market.

What is government’s role in CeBIT India 2015?

Last year, there was a joint collaboration between CeBIT India and the government to showcase Bangalore ite.biz but its frequency has not regular. It was happening once in three or four years without much publicity. Last year was an appropriate time for them to collaborate with CeBIT India but for reasons not exactly known, this year the collaboration isn’t happening.

Is there any specific product that will be showcased at CeBIT India?

As far as display of products and services are concerned, there wide spectrum of exhibitors who are participating in all the product verticals. What I meant earlier was, people are expecting more information on smart cities evolution, what are the opportunities for the channels in that context. There will be presence of dealers from all the districts. We have issued them free entry without any fee.

Is there any expected number of dealers?

1200-1500s