Vivo is a company that targets specific markets in India. There are companies in India which try and come in the market with a specific aim and audience. Every Indian cannot afford a OnePlus, Samsung, Apple or premium phones. That is the reason there are companies like Vivo which exist to tend such markets. Smartphones in India are still not completely used by everyone. There is still a huge market which the companies can exploit. Jio is coming out with its own smartphones for the same audience.
That being said, Vivo is also one of those companies which operate in sub 10 thousand rupees market in India. This is the market which is extremely popular in tier 3 and 4 cities in the country. There are people who love to have the features of an iPhone or Samsung in an INR 10 thousand phone. Vivo fulfills their needs and is, therefore, winning in India.
Vivo is also a firm believer of the Make in India plan of the current Prime Minister Narendra Modi. It has its manufacturing plants in India and is planning for an expansion. There are going to be a lot of investments and some of it is already here. The company is going to bring in investments in order to set up design, Research and Development centers in India. This will totally do justice to the Make in India plans of the Indian PM.
Vivo says that this will not only make India the R&D center for Asia but for the entire world. The smartphone technology will be first tested in India making it the hub for smartphone revolutions. That being said, Vivo has grown 63% in terms of value and 60% in terms of volume only in the month of January 2019. The company is citing the Gfk reports backing its success in India. The industry in India grew at 16.8% by value and 14.2% by volume in India.
That said, Nipum Maurya, the director for brand strategy in India talked to ET about the same. He said that India is going to see design and R&D hubs in the near future with massive investments. The company has already decided to invest around INR 4,000 Cr in Uttar Pradesh which will create around 5,000 jobs. This will be for a new manufacturing plant.
“In the near future, we believe we will invest even more in bringing design to India and R&D to India. We are evaluating all those options,” Nipun Maurya pointed out. Vivo has big plans for India and it will be interesting to see if those come good or they fail to hit the target. Currently, the company is doing extremely well and the investments are massive.