Infosys wants its name to find a place in the roster of global IT services vendors. In a bid to break into the elite club of global IT majors - IBM, EDS, Capgemini and HP - the Indian IT services major is embarking on a major re-positioning exercise. The brand is looking to change its perception from a mere one among the three tier-1 Indian companies to one of the global biggies engaged in high-value business solutions.
ET has learnt that the company has invited what could be one of the biggest marketing services pitch by any IT services company in India. Involving a couple of big Indian agencies to design a strategy, the multi-media campaign would be directed at existing customers, prospects, industry and financial analysts and media, primarily in the key markets such as the US, Europe and Asia-Pacific.
With the biggest client order, at less than $200m for a multi-year contract, and a majority of clients (220) under a million-dollar value, Infosys, much like TCS and Wipro, has got stuck with the classical low-value image. This has been the bane for the company, while playing for the big-ticket, billion dollar-plus global contracts.
“Indian companies are seen as low-cost, high-quality providers of 'code'. We want to be seen as a provider of high-value business solutions,” states an Infosys document. The company has planned a multi-million marketing surround programme involving branding, go-to-market, analyst relations, public relations, online & field marketing. Infosys declined to comment saying the company doesn't comment on rumours and speculation.
The move by Infosys also tie-ups with its often stated and avowed objective to chase the $500m clients. More so, in an environment where nearly $100bn worth of outsourcing contracts are up for renewal in the next 18-24 months.
According to the company's internal brand track, brand Infosys lags way behind global IT biggies such as IBM, EDS and Accenture in total brand recall. IBM leads the pack with 94% recall, followed by HP and EDS at 89% and 82% respectively. With a score of 41%, Infosys joins other Indian IT services brands at the bottom of the brand salience table.
The size of the proposed spend on the brand campaign could not be ascertained but sources say it would jack up the company's current spends manifold. Infosys' brand building stands at Rs 46 crore, up 35% over the last year. This includes Rs 15 crore of media advertising and marketing expense of Rs 12 crore.
Thus far, the company's branding efforts included participation in media and industry analyst events, sponsorship of and participation in targeted industry conferences, trade shows, recruiting efforts, community outreach programmes and investor relations.
For the record, IBM's global marketing budget is almost 70% of Infosys' revenue, something that Infosys is acutely aware of. Therefore, point sources, the company wants to go for a highly targeted and segmented communication programme that may omit high-cost television advertising in US and Europe.
The company has also instituted the Wharton Infosys Business Transformation Award, offered jointly with the Wharton School at the University of Pennsylvania to recognise visionaries and Global 2000 organisations that use technology innovatively to transform their industries. “We continue to invest in the development of our premium brand identity in the marketplace,” says the company in its annual report.
“We believe that a strong and recognisable Infosys brand will continue to facilitate the new-business lead generation process and enhance our ability to attract talented personnel globally.”