German technology major SAP is confident of sustaining double-digit growth in India and the broader Asia-Pacific Japan region. Paul Marriott, President, of SAP(APJ) Asia Pacific Japan said that SAP expects to see breakneck cloud adoption across industries as the country gears for a techade.
Marriott was speaking on the sidelines of SAP’s Grow program launch in Mumbai on April 20. In APJ, SAP grew cloud revenue to €417 million in Q4 2022, an increase of 28 per cent over the same period in 2021, with Japan and India showing particular momentum. Total APJ Q4 2022 revenue grew to €1.171 billion.
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Marriott told businessline, “SAP has witnessed fantastic growth in Asia, and the region grows above average compared to the global growth rate and my plan is to sustain it. In Asia, India is the fastest growing region.”
Big bet
He noted that the Asian market is the fastest growing market in the world, with India being the ‘jewel in the crown’. The company, although now growing from a higher base, will be able to sustain double-digit growth and will aim for triple-digit categorical growth.
SAP sees growth opportunity in the automotive and utilities industries with the accelerated move to green energy. “Over the next five to ten years, there’s going to be disproportionate large growth in these two industries, where we want to have the economic opportunity for India,” said Marriott.
The company is also betting big on the SMB market in India and sees it as a big growth opportunity. It announced a new offering GROW with SAP, aimed at helping midsize customers in India adopt cloud ERP that enables speed, predictability and innovation. SAP said that 80 per cent of it’s customer base currently is mid-market.
Marriott said, “The ERP public cloud offering comes with rapid activation services as organisations will be up and running within weeks. A significant portion of India’s growth is going to come from the SMB market and it is a strategic part of our own growth strategies in terms of our cloud revenue for the future.”
The company said in India, it serves 26 industry verticals inclusive of manufacturing, retail, media and entertainment, BFSI, public sector, utilities and automotive, among others. Godrej Agrovet, Rajasthan Barytes, RBL, MG Motors, Arcelor and Dimexon are some of the customers SAP works with in India.
Published on April 20, 2023
