ITC Infotech India Ltd (I3L), the wholly-owned IT services arm of ITC Ltd, is taking big strides into Europe. For the first time, the company will soon float global rep offices in Denmark, Spain and Germany which will essentially operate as offshore sales and marketing entities. All three global rep offices will report to I3L’s UK subsidiary, ITC Infotech-UK, which is headquartered near London. Parent ITC’s objective is clearly to take the ‘I3L IT services brand’ across the European Union.
The latest developments were confirmed by ITC Infotech officials. When contacted, Hardeep Garewal, CEO of ITC Infotech, UK said, “While the UK market continues to generate over 65% of ITC Infotech’s total business ($60-million), the company has very aggressive plans in Europe. We believe there’s a huge market out there and the coming months will see the opening of international rep offices in Germany, Spain and Denmark.”
In the immediate term, I3L is keen to explore emerging IT services opportunities in the busy Oslo-Copenhagen trade corridor and strategic pockets of eastern Europe. Not surprisingly, I3L’s already opened an international rep office in the Czech Republic capital, Prague.
In what ITC Infotech calls “its verticals-focused go-to-markets strategy”, the company’s bouquet of IT services for the European market will include the banking & financial services/ insurance (BFSI), consumer products group, manufacturing and travel-hospitality segments. Significantly, I3L’s focus till financial year 2004-05 was on the UK market, given that in just one year some 12 new IT services customers were added to the UK portfolio.
“However, the company’s focus is progressively shifting to Europe, especially after one of I3L’s largest customers (name undisclosed) moved its European IT operations headquarters to Prague,” a top ITC Infotech official said.
If anything I3L’s renewed European focus has spurred big-ticket customer acquisitions outside the UK.
For instance, of the I3L’s 12 new IT services customer wings in recent weeks, five are based in Finland, Norway, The Netherlands, France and Germany. The decision to set up a global rep office in Denmark to handle Nordic clients is testimony to the company’s emerging focus on the bustling Oslo-Copenhagen trade corridor.
It’s a different matter that operations in all European rep offices, including the Prague unit, will be overseen by the I3L’s UK subsidiary.