Daewoo Telecom launched an entry level fax machine, the FA102, in Delhi last month. Over the next few months, it will be introduced in the metros and mini-metros, which constitute about 70 per cent of the fax market. Also setfor launch in the next two months are two other models: the FA109(T) and the FB101 inkjet plain paper faxes.

The FA102 is priced at Rs 12,000 a unit, as against others in the segment which cost Rs 14,000 onwards. Says Gopal Kumar Jiwarajka, joint managing director, Salora International Ltd: ``The small user is an extremely price sensitive segment and what it needs is a cheap, compact, well-serviced product.''

The FA102,has also been specially customised to the small user's needs. For example, since homes have no UPS or back-up systems, the machine is designed to tackle a wider range of electricity fluctuations. The company has earmarked a marketing and advertising budget of Rs 60 lakh for the year 1999, which will cover a press campaign, a road show in February at the metros and mini-metros, participation in trade fairs, and special schemes for dealers and distributors.

Salora has appointed 10 distributors for the entire country. Three dealers and 30 resellers have been put in place in Delhi. In order to expand reach, the company will build up a database of users through its dealers' network. It is also stocking the machine in superstores and big showrooms like Ebony, besides big electronics showrooms like Shop Electronics in Delhi.

As service is specially important for small users -- the SOHO segment works on a one person-one machine principle -- Salora also intends providing speedy and easily accessible servicethrough a network of service centres. They are also being provided with standby machines to meet emergency needs of customers.

The initial feedback from Delhi has been encouraging with the sale of 200 pieces in the first month. The company hopes to sell at least 400 more units this month. Targeting a 10 per cent share of the SOHO market, the product has also received a good response from corporates who want personal machines. Pertinently, while the lower segment of the fax market is shrinking abroad, with increasing PC penetration, in India this is currently an expanding segment.

Also set for launch in the next two months, are two other models: the FA109(T) and FB101 inkjet plain paper fax. Priced at Rs 15,000, the FA109(T) has additional features like automatic paper cutting, auto start, remote fax start and an answering machine. The FB101 inkjet plain paper fax, is a multi-paper machine with auto tel/fax switching facility, and is priced at Rs 23,000.

Salora International's Office Automation Divisioncurrently also markets Panasonic's fax machines. However, the company intends to ensure that there is no overlapping in the marketing of the two brands. ``The Panasonic market is a different one altogether with very high brand loyalty. We also want to keep the channels for both separate, so that one does not eat into the other's market,'' says Krishan Rastogi, general manager, marketing, Salora International.