Canon India, which has a software development centre in Noida with 40 staffers and about 150 people on contract basis, is now looking at taking bigger projects from its parent company and increasing headcount in the coming years.
"We are talking with Japan (head office) to expand our facility to utilise the resources and talent available here. Also, we will increase the spend on R&D activity in India," Kensaku Konishi, president and CEO, Canon India told PTI.
At present, the Noida centre develops software for the imaging products and provides BPO services to Canon Europe's e-learning system. But the company has a bigger plan ahead.
"We are looking at developing hardware in India for our global demand, and also establishing technical support system for maintenance and upgrading of software, which currently can be done only through internet in India," he said without giving details about the investment planned.
By the second half of this year, a lot of activity will begin on the research side and by next year, 30-40 more engineers will be appointed which could be extended up to a couple of hundreds, he said.
Globally, Canon spends 8 per cent of its total turnover in R&D, however, the amount spend in India is very small, according to Konishi. Canon unveiled a new range of latest technology digital cameras, DV camcorders, digital SLR and printers for the Indian market and is targeting a Rs 1,000-crore turnover in 2009.
"Last year, Canon's sales grew 35 per cent with a turnover of Rs 510 crore (Rs 5.10 billion). In 2008, the aim is to clock Rs 700 crore (Rs 7 billion) sales with 25 per cent market share and Rs 1000 crore in 2009 with a 40 per cent growth rate," Alok Bhardwaj, senior vice-president, Canon India said.
The company will spend Rs 100 crore (Rs 1 billion) in marketing and advertising in 2008. A new television commercial featuring Canon brand ambassador Sachin Tendulkar would also go on-air shortly, he said.
In order to drive growth, Canon would also focus on strengthening distribution and retail presence along with opening six brand showrooms during this year.
The company currently imports products for the Indian market and the sales here contribute less than one per cent to the company's global turnover.
Set up in 1997, Canon India is a subsidiary of Canon Singapore and markets a range of digital imaging products, which include photocopiers, multi-functional peripherals, fax-machines, printers, scanners, all-in-ones, digital cameras, digital camcorders and multi media projectors. The company has offices in seven cities across India and employs over 520 people.
