India set to surpass Japan as Sony’s third largest market

Sony expects India to become its third-largest market globally within the next two years, with revenue from the country reaching Rs 10,000 crores, according to Sony India Managing Director Sunil Nayyar.

The company recorded Rs 6,353 crores in revenue from India in 2022-23, driven by the premium television segment and its audio and imaging products.

Nayyar emphasised Sony India’s optimism about the country’s growth, particularly in the gaming and imaging sectors. “We’ve come a long way. Ten years ago, we were lagging globally, but now, we’re the fourth-largest single country business for Sony. We aim to be number three soon and maintain that position,” Nayyar said in an interview with PTI.

Currently, the US, China, and Japan are Sony’s top markets, followed by India. Nayyar attributed Sony’s bullish outlook on India to the country’s robust economic growth. “In a couple of years, we should hit the Rs 100 billion milestone,” he said.

Sony India has seen approximately 20% growth in 2023-24, a trend that has continued for the past few years. The target for this year is another 20% growth. Nayyar noted that post-COVID, India has become a significant market for Sony’s premium products, aligning well with the country’s growing economy.

“Indian customers are becoming wealthier, and their income growth trajectory is upwards. They are willing to spend more on quality products, and Sony is all about quality,” Nayyar said.

The company plans to introduce new technologies in audio and video and expand its imaging and gaming sectors, where it already holds a leadership position.

Nayyar identified future growth drivers, with the TV business remaining a primary driver. However, the audio segment, including soundbars, party speakers, and true wireless headphones, is evolving. The digital imaging sector, encompassing cameras and gaming, also shows great promise.

“We’re transitioning from a traditional audio company to a tech-oriented one targeting Gen Z and millennials,” Nayyar added.

Currently, TVs contribute half of Sony India’s business, but other segments are expected to grow. After its parent firm exited the Vaio laptop and mobile handset markets, Sony India’s revenue had declined. PTI