Smart devices and accessories maker Gizmore is planning to scale up production of smartwatches by about two and half times to 15 lakh per annum, as it looks to generate business of around Rs 200 crore in the next financial year, a top official of the company said.
Gizmore CEO and Co-Founder, Sanjay Kalirona told PTI that the company at present makes around 50 thousand smartwatches per month (six lakh per annum) in India and is going to scale up the production to around 15 lakh smartwatches in the next financial year.
"Smartwatches are the fastest growing segment for us. It now accounts for 60 per cent of our business. We expect to close this fiscal with around 40-50 per cent growth. In the next fiscal, we are targeting 100 per cent growth and over Rs 200 crore business to come from smartwatches alone," he said.
The company expects to close the current fiscal with revenue of about Rs 75-80 crore comprising Rs 50 crore revenue from the sale of smartwatches.
"We are expanding our reach as well as our portfolio. At present our products are available across major large format retail stores. We now have over 200 distributors. We are enhancing our focus on online because 70 per cent of the smartwatch business comes from online. We will be increasing marketing investments to grow sales," Kalirona said.
Gizmore has roped in Optiemus Electronics for manufacturing 10 lakh smartwatches and it will make 5 lakh units through other electronic manufacturing services (EMS) companies.
"We are making audio products, charging cables, power banks as well but this year our major focus is ramping up smartwatch production. We are a bootstrapped company as of now but we are planning to raise funds in the next financial year for investments," Kalirona said.
He said that the tax structure implemented by the government has made it attractive for the company to make in India and announcement to set-up artificial intelligence centres, 5G test labs are expected to boost product quality as well as demand.
"We are also going to set-up a research and development centre in Noida next month as Gizmore will focus on designing tailored products for our target audience," Kalirona said.
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