Electronics manufacturer Lenovo has grown worldwide at ten times the market of the PC industry since 2009 and has mirrored this performance in SA where it has tripled its market share in three years according to Lenovo general manager in SA David Drummond.
Lenovos PC business has quickly risen to become the second biggest PC producer worldwide behind Hewlett-Packard (HP). The Chinese computer makers market share is now 14% compared to HPs 16.5% Drummond said.
Following on from groups dominant market share in China and Japan the brand was rapidly growing in Africa and other emerging markets he said adding that the groups focus on sustainable growth and maintaining the strong trajectory could see it become the world leader.
In SA the company had focused on products targeted at large businesses banks and government institutions and a dedicated range targeted at small- and medium-sized organisations.
Consumer demand for the companys PCs in SA has also grown quickly.
A couple of years ago you wouldnt have seen Lenovo in stores but now they are everywhere Drummond said adding that 75000 units were being sold every quarter in the country.
From its market share in SA of between 4% and 5% in 2009 the company now enjoyed a share of the industry of between 10% and 12.5% Drummond said.
Growth has been spectacular in SA he said.
In 2005 Lenovo acquired IBMs PC division and Drummond said that the company had retained many IBM customers which had helped drive its strong market share.
In 2007 Lenovo formed a PC joint venture with Japans leading IT company NEC. The new company was named Lenovo NEC with Lenovo holding a 51% stake in the group.
Drummond said that this showed the boldness of Lenovo to go into Japan and buy their number one brand.
He said that the humbleness of the companys beginnings and the down to earth nature of its leaders was a main contributor to its success. Lenovo products were once delivered on the back of bicycles he added.
On May 23 the group reported that it had begun 2011 as the worlds fourth-largest PC vendor and ended the year in second place.
It reported record full-year sales of US$29.6 billion and a record full-year pre-tax income of $582 million an increase of 63% year on year.
Yang Yuanqing group chairman and CEO said: We furthered our leadership position in the global emerging markets in which Lenovo already achieved double-digit market share in 15 markets and became number one in India.
With the emergence of multiple devices such as smartphones tablets and smart TV our industry is entering the PC plus era. Lenovo is focused on leading the PC industry and building upon that leadership in the PC plus era.