Excerpts:
Question: Could you briefly outline the business operations of Hannover Displays (HD) at the global level and the products manufactured?
Answer: Hanover Displays is Europe’s leading manufacturer of electronic destination signs for public transportation industry. Established in 1985, the company has subsidiaries in France, Italy, Spain, Australia and the US with a worldwide service network.
Q: When did HD enter the Indian market and what are the products offered in India?
A: The company which entered the Indian market a little over five years ago was the first to introduce LED signs here. It offers daylight viewable LED destination signs, internal displays, controllers, voice announcement units, TFTs, bus shelter signs, etc., which generally constitute the Passenger Information System.
Q: How good is the business in India so far?
A: Since we were the first to introduce these signs, it took us two years or more of consistent efforts to start generating business. Since then, the business has picked up, as more and more STUs are going in for LED sign boards for use in city buses. They may subsequently be installed in inter-State buses also.
Q: Who are your major customers?
A: All the OEMs like Tata, Ashok Leyland, Volvo, Eicher, Swaraj Mazda, etc., and most of the leading bus body builders and domestic airlines have been already using our products.
Q: About the important achievement in the Indian market?
A: Within a span of five years we have gained a market share of more than 70 per cent. A service network has been established countrywide for 24/7 support to customers. The trouble-free products enjoy quick market acceptability.
Q: Currently you are working with an Indian partner. Are you importing the products or manufacturing them locally?
A: Except the popular LED PCB board, all the aggregates have been indigenised.
Q: Do you plan to have a full-fledged manufacturing facility in India, so as to be more competitive?
A: Other than the radial and SMD insertion, the entire operations are done at the Indian plant. This being the case, we have proved extremely competitive. After the current orders obtained under the JNNURM scheme are executed and if the demand continues, we could contemplate establishing a full-fledged manufacturing facility in India. As of now, over 2,500 buses have been equipped with our systems.
Q: The JNNURM order has been a big boost to the city bus segment in India. What is your share of business?
A: Our share exceeds 60 per cent. Our products are better rated for intensity and visibility. With an offer of 10-year warranty, the products are known for their trouble-free performance.
Q: Apart from the bus market, which are the other segments you are targeting? Is rail a special focus area for HD?
A: As of now we are focused on the bus market and may soon start offering bus shelter and bus terminal signs. Metro trains is an area of interest, though the volumes do not yet justify our getting into this segment.
Q: What is your perception of the Indian market and what are future plans for the market?
