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Built for Professional Creates a Huge Market
By
ChannelTimes Staff
Mumbai, Mar 31, 2008
Nvidia's 'Built for Professional' (BFP) initiative aims to provide a new range of Quadro products at the price point of Rs.6,300 as well as educate the channel to ensure that they provide the right solutions to their customers.
TYLER WORDEN, who is the director of emerging markets at Nvidia and is responsible for the overall Professional Solutions Business in these regions, also has the worldwide responsibility for the BFP initiative. In this upfront interview to ChannelTimes, Worden dwells in detail on the new business opportunities the initiative opens for its partners as well as incentives, among others.
Worden has over 20 years of experience across various functional areas and has helped Nvidia cement its leadership in the new markets.
What is 'Built for Professional' (BFP) all about? Please elaborate on this new initiative?
'Built for Professional' is our new channel initiative which consists of 2 parts:
The first is the launch of a range of products at a never-before-price-point of Rs.6,300. This makes it extremely affordable for everyone using professional applications to use professional, certified hardware instead of the consumer-class products that people have been using thus far.
The second part of the initiative is, of course, to educate the channel about giving the right solutions to their customers. People carry the impression that a consumer-class product is usually good enough to power the professional applications. The fact is that, for the same price, a professional-class product will generally outperform the consumer-class product by 3-5 times in pure performance alone! Then, of course, there is the reliability and stability factor, which means that, overall, a professional product gives a tremendous boost to overall productivity vis- -vis a consumer-class product.
This is the key message we want to educate the channel with to ensure that they provide the right solutions to their customers. There is a Quadro product at every price point and is the optimal solution for anyone using professional applications like Autocad, 3DStudio, Max, Maya etc.
Wouldn't reducing Quadro prices affect your existing range of products?
To be clear, we are NOT cutting prices of our existing Quadro range. They continue as it is. We are simply introducing a whole NEW range of Quadro products at the price point of Rs.6,300. The markets served by both are vastly different. Our present customers want the ultimate performance on the most robust platform on the planet their needs are served by our Quadro products like the FX 4600, 5600 and solutions like the QuadroPlex.
The new products like the Quadro FX370 and FX570 address those users who have been using consumer-class products for professional-class applications and work environments. So we see no conflict between the new and existing range of products.
What're the business opportunities for Nvidia with this initiative? What are the incentives for the partners?
Since Nvidia does not sell direct to the end-user, 'Built for Professional' actually creates a huge new market for all our partners, from major OEMs to all the resellers, distributors and, of course, the AIC partners.
Our partners have many incentives to get involved in and take advantage of the 'Built for Professional' initiative.
a) It lets them differentiate themselves from the other vendors who also sell the consumer-class products. So there is value addition at their level.
b) Professional products will also give them better margins so it's a great way to increase their business.
c) The total additional Total Available Market (TAM) that we think our new price point brings up is around US $200-$300 million for India alone. So, this is a HUGE opportunity for our partners.
d) Since they are educating their customers and giving them the right product, viz. Nvidia Quadro, the customer satisfaction will be high and the number of support calls and returns will be much lower. All this will, of course, be a significant cost saving, but more than that, it will save them time, which they can then utilize to sell even more - and finally, happy customers are more likely to return for more!
How are you training the channel to take advantage of this initiative?
To educate the channel, we are running various training programs starting this week. The first one is a 3-city tour (Bangalore, Mumbai and Pune) introducing BFP and the products to our channel partners these are from distributors to resellers and dealers.
The training includes the important benefits of Nvidia Quadro over consumer-class products, highlights about the key issues that their customers will face if they don't use Quadro and finally, live demonstrations and hands-on workshops to ensure that our partners have the perfect knowledge about the benefits of using professional-class products and are able to communicate them, effectively, to their customers.
Finally, we have a great website section at www.nvidia.in/bfp, which the end-users and partners can visit to understand the key proposition behind using a professional-class product for their professional applications.
Who are the channel partners involved?
All of our partners can be part of this initiative OEMs, system builders, distributors, resellers, value-added resellers for professional software vendors like Autodesk, etc. In short, every single partner selling professional-class hardware or software can become a part of this initiative.
What're the key segments you are targeting with 'Built for Professional'?
We are targeting any and everybody using a professional application - whether it is Autocad, Max, 3DStudio, etc.
In terms of industry space, the key targets would be CAD, Digital Content Creation, Videographers and Video editors. If you look around in India today, there is construction everywhere, be it bridges, roads or residential and commercial apartments. All this is being designed using CAD software and is therefore a potential target market.
Another example would be the sheer amount of videographers that we see shooting the myriad wedding videos and then editing them, that is another opportunity to educate them about the benefits of using Quadro for their professional software applications.
There are many such segments that abound and that can be tapped into. So the opportunity is absolutely enormous.
Related Link
Nvidia Extends Reach With PartnerForce Program
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