The Indian tipper hydraulics market has become highly competitive over the last decade with the entry of many new players, all vying for a sizeable share of the fast-growing segment. The 40-year-old Turkish firm Hidromas is one among them, growing at a rapid pace, driven by a focused approach required to succeed in a market like India.
Hidromas entered the Indian market in 2008 and commenced production at its facility in Chennai in 2011. The company has managed to bag orders from some of the leading OEMs and has been growing at 20 to 25 per cent YoY.
Talking about the importance of investing in the Indian market, Mr. Burak Dumanci, Director – Sales, Hidromas, says: “Our first investment outside of Turkey was in India in 2008. We started production in January 2011 and are very happy with our growth in the Indian market. Over the last few years, we have faced challenging times in other global markets, including North Africa, mid-Africa and the Middle East which make India an increasingly important market for us. Also, our facility in Chennai is of strategic importance for our plans to serve South-East Asian countries like Malaysia, Indonesia, etc. Globally, our next target is Brazil where we plan to start production by the end of 2018 and look to cater to the Mid-American and South American regions from the country.”
Being one of the newest entrants in the Indian tipper hydraulics market, especially with some brands already deeply entrenched in the field, it wouldn’t have been surprising had Hidromas found it challenging to scale up and make a mark in the country. In contrary, the company has used its late entry as an advantage, with its thoughtful approach, quickly understanding the needs of customers and delivering products to suit their requirements.
Says Mr. Subhamoy Ghosh, Business Head – India, Hidromas: “We are the youngest player in the market which gives us an advantage, in the sense the youngest runs fastest, so the energy and speed with which we approach the market is having an impact on our performance and also the industry at large. While we have a good product, our core focus has been to serve our customers with excellent after-sales support. India being a vast country, we need to be present across every region, for which we have established a network of 24 dealers and are increasing our penetration across the country. Our competition has a similar number of dealers and we have been able to match their presence in quick time.”
Any new player needs a differentiated strategy to be able to succeed and carve a niche for itself. Hidromas’ differentiation comes with its special attention to the aftermarket space which is largely ignored by organized players in the market today. “Our goal over the medium- to long-term is to create a strong presence in the aftermarket which is not perceived strongly and has not received enough attention from hydraulic makers. There are thousands of tippers operating in the field and getting older, needing replacement of cylinders and pumps which are currently being catered to by unorganized players. Our target is to reach every nook and corner of the country, partner around 150 retailers and work on an e-platform so that customers can place an order for our products online. I believe the most potential and profitable business for us lies in the aftermarket. Yes, the OEM business is important because it gives us the identity and volumes, but when it comes to profitability and sustainability for our dealers, the aftermarket is the real area of focus as it is absolutely unexplored in India”, adds Mr. Ghosh.