Sony India MD says country expected to overtake Japan to become 3rd largest global market in two years

New Delhi: Japanese consumer electronics giant Sony expects India to overtake home market and become the company's third largest market globally in the next couple of years with its revenue from the country reaching Rs 10,000 crore.

Sony India Managing Director Sunil Nayyar said the company clocked a revenue of Rs 6,353 crore in 2022-23 in the country and is betting on the premium television segment besides its audio and imaging products to drive the growth.

According to him, Sony India is also betting big on the fast growth of the gaming segment and imaging business.

"We have travelled a long way. If I go 10 years back, we were quite behind the globe, but now, we are a close number four as a single country business across the globe, which means in a couple of years, maybe we can be number three and to remain in the top three in future I think should be a good position to stay as a Sony company around the globe," Nayyar told PTI in an interview.

At present, the US, China and Japan are the top three markets for Sony globally, followed by India.

He said Sony's bullishness over India "has to do with the country's growth as well".

"We are hopeful about India as a country itself. So within this context, and parameters and with our product portfolio, plus our strategy of making the premium as mantra to the market, we hope that we should be number three quite soon," Nayyar reiterated.

In terms of the growth of the size of the business, he said, "I also feel that maybe a couple of years down the line, we should be hitting the milestone of (Rs) 100 billion." Sharing how the company has grown over the years, he said, "We registered a growth of approximately 20 per cent in 2023-24 and this growth has continued for the last couple of years. So I think that we are on a good growth trajectory.

"So our target this year is to grow another 20 per cent." The good part is that India has evolved as a big country for Sony's premium products post-COVID. The business in India is syncing well with the country's growing economy.

"Customers in this country are becoming richer, I would say the trajectory of their income growth is upwards and that's where they need to spend good money, more money on quality products," said Nayyar, adding, "Sony is all about quality." The company would focus on introducing new technologies to the Indian consumers in audio and video business. Besides, it will also expand its imaging and gaming business in which Sony India has leadership now.

On future growth drivers, Nayyar said the TV business would remain a primary growth driver. However, the audio business which consists of soundbars, party speakers, true wireless range of headphones and buds is also evolving in a different way.

Besides, the digital imaging business which consists of cameras and gaming business of Play Station will also grow in India.

"We are now going out from a traditional audio company to the latest technology-oriented audio company, and Gen Z, millennial targeted company. So there's that that will continue to grow," he said, adding, "even digital imaging has a huge promise." These three are big pillars, besides the professional solution business.

"We have pretty strong so yeah, all in also, the good thing is not only television, but we have even audio, digital imaging and professional.

Currently, TV contributes half of Sony India business, however, it expects other businesses to grow.

Sony India was witnessing a fall in revenue after its parent firm exited from Vaio business of laptop and mobile handset. At its peak, Sony India's revenue was over Rs 11,000 crore in FY15.

"We are now reaching a similar tunnel after so many years of course, and we have made up with the televisions in the categories, which we now handle without laptops and mobile phones," Nayyar added.