Chinese mobile phone maker Yuho Mobile on Thursday said that it plans to invest Rs 500 crore to start its production in India as it looks to touch the Rs 1,000 crore sales mark by the end of next year.
“We are planning to invest Rs 500 crore by next year. We are talking to Foxconn for setting up a manufacturing facility at Noida,” Yuho Mobile business head (distribution sales) Rajeev Tiwari told reporters in Guwahati.
The company will outsource manufacturing of the handsets and is looking to have a capacity to produce 10 lakh units annually, he added.
“The production is likely to start from mid-2018. Apart from the Indian market, this facility will also cater to the SAARC countries like Nepal, Bangladesh, Sri Lanka, Vietnam and the Philippines,” Tiwari said.
Yuho Mobile Pvt Ltd launched its India operations four months back and is currently having sales of Rs 30 lakh every month, he added.
The mobile phone company announced its presence in the Northeast market on Thursday with the launch of three smartphones.
Commenting on the launch, Tiwari said that the company, in partnership with Guwahati-based mobile distributor Orrion Infotronics, is launching three models – Y1, H1, U1 – in the Northeast market. “We are pleased to announce our presence in the Northeast India. Our target customers primarily would be people who are possibly fence-sitters in the feature phone segment but eagerly anticipating an opportunity to enter the smartphone segment. We offer the price advantage to make this target audience readily buy smartphones from their nearby retail outlet. Our product is designed to offer the best of 4G experience on the Android platform,” he said.
The phones launched on Thursday were priced between Rs 6,000 – Rs 15,000. The models promise long battery life, one touch access to all apps, special privacy feature and protective back cover for break-free assurance. The smartphone comes in 1GB, 2GB and 3GB RAM variants with premium quality. The company is serving 555 days service warranty for its customers.
Talking to the media during the launch, Michael Wu – general manager, Yuho Mobile, said that the primary business objective at the outset is to provide the right product, at the right time, at the right price and forge a strong business relationship. “More than capturing market share in the category, we would like to consistently build equity through positive word of mouth via 2 main channels – retailers and end customers. This can be possible through keeping the basics right and constantly value-adding to the product and service, coupled with strong messaging through offline and online mediums. From there on we are looking at YoY growth to the tune of 25%,” Michael Wu said.