"We’re in the middle of a badminton boom"

Li-Ning's India head Ram Malhotra (right) with the company's dealer P Kumar

It’s been a year since Chinese sports goods major Li-Ning entered the India market. Over this period, the brand has steadily gained recognition in the badminton space. Li-Ning couldn’t have had better brand ambassadors, for it is the official sponsor of the Chinese badminton team whose stars are recognized all over the world.

RAM MALHOTRA, Head of India Market for Li-Ning, talks to Dev S Sukumar about his company’s strategy for India, and how the growth of badminton in this country enthuses him. Excerpts:

Li-Ning is sponsoring a seniors’ inter-club tournament in Bangalore this week. Is the club segment something you’re looking seriously at, rather than just the big tournaments?

The Malleswaram Club tournament is the biggest club tournament in Bangalore; the exposure is good. With club-level tournaments, there is immediate focus. It’s easier to organize marketing, and there’s more attention and exposure in the media. Apart from the club level, we are looking at university and corporate tournaments. People in those areas should know Li-Ning. If we sponsor only state-level tournaments, we won’t make much of an impact. The coverage given to national tournaments in the media is ten times lesser than the space given to cricket. This year, the strategy is to focus on clubs and academies, because that’s where the talent is coming through. We have sponsored 100 players and nine academies. We will be organizing an Indonesia camp for 15 selected kids.

There is talk of an Indian Badminton League. Does that interest you?

We’d love to be associated with the Indian Badminton League. It will bring money to the sport; it will increase its popularity. We have a team in the MBL (Maharashtra Badminton League). We’re open to getting in wherever we can. Recently, we sponsored a corporate tournament in Pune with 35-40 companies. It was a big success. We’re creating awareness now.

Do you have a specific marketing budget for this year?

There is no budget as such. We will do whatever comes our way. The aim is not just to create revenues. These are not just tournaments for us. We don’t consider these promotional activities as expenses; we look at them as investment. Of course, we have to draw a line somewhere on how much we want to spend. Promotion is generally not expensive if you’re providing shuttlecocks and T-shirts.

Despite being a multi-sport brand, you have entered the Indian market using badminton. Any particular reasons?

Our main focus is badminton. Badminton has a lot of potential in India. If you consider the total number of players, the ones playing the game seriously are not even one percent.

Our promotions are not limited to badminton though. Li-Ning is a multi-sport and lifestyle company. In Kanpur, we sponsored a squash tournament. We’ll soon be launching other products.

How do you look at the growth of badminton in India? Would you say we’re in the middle of a boom, or are we in the early stages yet?

I’d say the early stage was two years ago, so we’re somewhere near the middle. The market has grown – it’s not just Yonex and Li-Ning. There are several other brands, and they’re all growing without hurting each other, which means the market as a whole is growing. If the Indian Badminton League comes in, that will again be good for badminton.

Could you put a figure on this growth?

It’s hard to put a figure because in India there is the unorganized sector alongside the organized sector. If I had to put a figure, it would be in the range of Rs 150 to 200 crore for equipment alone, all brands included. The Indian sports market is around Rs 1700 crore, and I’m not including apparel or fitness equipment. Badminton is growing; it is number two to cricket.

Your brand ambassadors are doubles players like Jwala Gutta, Ashwini Ponnappa and V Diju. In singles, though, you don’t have a star yet. Would you be looking at a singles star to be your brand ambassador?

We’re not ignoring singles. We have Anup Sridhar, Arvind Bhat and Chetan Anand. Our focus is not lost on that point.

It’s been one year since you started out in India. Are you happy with where you are right now?

I’m happy. I’m surprised at where I am. I did not expect to be here at all. The response and acceptance of people is positive.