Syntech gets into PC, laptop manufacturing

Most channel companies upscale themselves from assembling to solution
providing. But Kolkata-based Syntech Informatics is doing it the other way
around. The company will soon introduce the Syntech brand of PCs, laptop, MP3
players, USB flash drives, UPS, plasma TVs and air conditioners.

Though this sounds like an ambitious undertaking, Syntech's MD, Milon
Chakraborty is confident of making it work. He is getting into consumer
electronics (CE) as these are fast selling products, which he can offer to his
existing clientele alongside an IT solution package. Syntech has even opened an
office in Shanghai, to be closer to its OEM partners.

Syntech, which is an IBM partner and sells its PCs, will stop trading in
these machines once it launches its own brand. This is to avoid conflict of
interest. It might even go a step further and stop its reselling business, if
sales of its own products is good.

Milon is confident of selling at least 250 PCs a month in the eastern region
itself. "We have an existing base of 250 partners in this region. Each
dealer can sell at least one PC monthly, which is why we have arrived at this
conservative estimate," he added.

Just like its product mix, the company is dabbling in every channel activity
to ensure that its revenues continue to grow at a steady pace. Syntech has five
divisions-service, turnkey projects, reselling, software development and
retailing.

When asked whether he is spreading himself too thin, Milon replies in the
negative. "If my PC business does not do well, then CE sales will balance
the loss. And if this venture does not work out to our expectations, we can
always rely on our other channel business to help us keep growing," he
said.

The company is also undergoing a certification before the launch of its
products. Milon expects this move to give his brand more weightage and
credibility in the market. Syntech was awarded as the most promising channel
partner by DQWeek at its first awards ceremony in Kolkata, this year.

VINITA BHATIA