Lenovo's Lanci vows to keep company at the top
Lenovo has continued to make significant inroads in major markets globally
In his first roundtable press briefing to journalists in Dubai recently, Gianfranco Lanci, president EMEA and senior vice president, Lenovo Group, pledged to keep the PC vendor at the top, following the market share gains the company has made over the last 24 months.
The promise came as Lanci, who has been in his new role for just over six months, praised Lenovo channel partners for their contribution to making the company draw equal with arch-rival HP at the top of the market.
Lanci's pledge comes on the back of a Gartner report released in October that started Lenovo had officially wrestled the crown away from HP to become the largest PC maker in the world.
According to Gartner, Lenovo was able to nab an industry-leading 15.7% in worldwide market share during Q3, 2012, just enough to slip past HP, which came in at 15.5%. The report stated that this marked the first time since Q3, 2006 that HP hasn't come out on top.
Fellow analyst firm IDC, however, quickly countered Gartner's analysis, still placing HP at the top of the list with 15.9% worldwide share.
Gartner, for its part, attributed Lenovo's growth to its aggressive pricing models, particularly within the enterprise market.
"In addition to acquiring other vendors, Lenovo has also taken an aggressive position on pricing, especially in the professional market," read Gartner's report. "As a result, Lenovo has achieved significant market share gains over the last two years, exceeding regional average growth rates across all regions."
As the PC Plus era continues to take shape, Lenovo has made several moves during the second fiscal quarter to consolidate its position, announcing two acquisitions: Brazilian electronics company CCE, and Indiana-based software firm Stoneware, which focuses on cloud computing.
Gartner's report made note of HP's recent restructuring efforts, which have been in high gear since the company first toyed with the idea of spinning off its Personal Systems Group in August 2011.
Lanci said analyst figures for Q2 and Q3 2012 reaffirm that Lenovo has continued momentum in the marketplace and that the formula for success - a clear strategy, innovative products, great execution and a strong, diverse global team - continues to work. "We know the PC market is highly competitive, but also firmly believe there is room for continued profitable growth in this space," he said. "Becoming the clear leader in global PC share remains one of Lenovo's aspirations, but it also only represents one more milestone in our journey as a company and our mission to become the leader in the PC Plus era," he outlined.
According to Lenovo, the PC Plus era includes PCs, tablets, smart phones, smart TVs, cloud and enterprise computing. "Our goal is to make Lenovo not only a leading PC Plus brand, but also one of the most respected companies in the world," he said.
Lanci pointed out that Lenovo's MEA business is today a significant contributor to EMEA revenues and the company recognises the enormous contribution that this region lends to the overall business success worldwide.
As per IDC Q3, 2012 final results, Lenovo in EMEA has a 10.8% market share and is now ranked the number three PC manufacturer with 26.5% year-on-year growth, the highest growth amongst the top 10 main PC vendors. According to the IDC report, in MEA, Lenovo has also achieved the highest growth amongst the top 10 main PC vendors.
"We are witnessing a year-on-year growth of 46.6% in MEA and 61.3% in the Gulf region. In desktop PCs, we have jumped up to third in MEA with 13.2% year-on-year growth and sixth in portable PCs with 56.6% year-on-year growth. In the UAE, we have increased our market share to 12.2% while in Saudi Arabia, we have reached a historic high of 8.8% and doubled our consumer segment in the Kingdom," he said.
Lanci pointed out that the enthusiasm for new technologies is exceptionally strong throughout the Middle East region and this will complement Lenovo's mission to become the leader in the PC Plus era by addressing the increasing demand from consumers to stay connected on different devices.