Deck presented to CtrlS Dataceters Ltd as a part of summer internship program.

1. Brand Awareness Of CtrlS and
Analysis of Market Potential for
Cloud Products
Presented by Vineeth R Tengse, 12DM-169
PGDM, IMT Ghaziabad
1st August, 2013

2. Acknowledgements
• I wish to thank the following people for their
guidance and assistance before, during and after
my internship:
• Mr Sandeep Khanna, Regional Head
• Mr Abhinav Misra, Head-Channel Sales North
• Mr Vipul Dubey, Manager
• Mr Vaibhav Maheshwari, Assistant Manager
• Mr Kiran Reddy, Manager-Marketing and all staff of CtrlS
Datacenters Ltd., New Delhi
• Dr Poonam Garg, Professor, IMT Ghaziabad
• My fellow interns in CtrlS Datacenters Ltd

3. Agenda
• About CtrlS Datacenters
• CtrlS Offerings
• Brand Awareness
• Data Collection
• Respondent Profile
• Results and Insights about Brand Awareness study
• What leading consultancies are saying about Cloud Computing
• Methodology to calculate Market Potential
• Assumptions
• Calculation of Market Potential
• Conclusion
• References

4. About CtrlS Datacenters
• Founded in 2007 by Rs. 7500 million Pioneer Group and
$24 Billion Och-Ziff Capital
• Pioneer Group is a pioneer in the IT Infrastructure sector
since 1992
• CtrlS owns and operates India‟s first Tier-IV certified data
center in Hyderabad
• The availability has been 100% since operations started
• Second Tier-IV data center brought on-line in Mumbai in
2011
• Third data center brought online in San Jose in 2012
• Fourth Tier-IV data center planned in Noida to be
operational by end of 2013

5. CtrlS Offerings
• Dedicated Server Hosting
• Dedicated Servers to host websites, database servers, application
servers, heavy traffic forums and social media platforms
• Virtual Private Server Hosting
• Virtual Servers to host websites or applications that are not
resource intensive
• Colocation Services
• Customer
brings
in
the
hardware,
power, connectivity, cooling and security
CtrlS
provides
• Disaster Recovery Services
• Recovery or continuation of technology infrastructure vital to
organisation after a natural or human induced disaster

6. CtrlS Offerings (cont.)
• Online backup Services
• Periodic back up of data from customer‟s storage to CtrlS
• Hosted Exchange
• Fully managed mailing solutions
• Cloud Computing
• Public Cloud
• Services are rendered over a network that is open for public use
• Private Cloud
• Infrastructure is hosted for use of a sole organisation
• Cloud CDN
• Content Delivery Network solutions based on the cloud architecture
• Cloud SaaS
• Various applications such as CRM, SCM, etc. hosted on cloud
infrastructure

7. Brand Awareness
• Brand
Awareness refers to respondents ability to
recognise and recall a brand under different conditions
and respond to the brand name, logo, etc., linking them to
certain associations in memory
• Brand Awareness is critical because if the target
customers don‟t know the brand, they will not consider
buying it

8. Types of Brand Awareness
• There are three types of Brand Awareness
• Top of the Mind Recall
• Strategic Awareness
• Aided Awareness
• Top of the Mind Recall: This occurs when the brand name pops
into the mind of the consumer when asked to name the brands
in a particular category
• Strategic Awareness: This occurs when there is not only Top of
Mind awareness, but the consumer is able to identify distinctive
qualities that set apart the brand from others in the market
• Aided Awareness: This occurs when the consumer expresses
familiarity with the brand when he reads a list of brands or any
other type of visual or audio aide

9. Data Collection
• Interviews were carried out with CIO/CTO/IT Heads of
companies across Noida, New Delhi and Gurgaon. If an
organisation did not have a CIO, the decision maker such
as MD or CEO was interviewed
• Questionnaires were created by the CtrlS Marketing
Team, which gauged the adoption of technologies such as
Virtualisation, Cloud Computing, BYOD, Disaster
Recovery and Data Backup policies
• The
respondents were asked to respond to
questionnaires, any extra information gathered was kept
for additional analysis

10. Respondent Profile
Total no. of respondents: 147
Consulting
4%
Others
Retail 6%
3%
Others
1%
Financial
Services
4%
Real Estate
5%
Manufacturing
28%
New Delhi
21%
Noida
47%
Electronics
7%
IT/ITES
43%
Respondent Industry
Gurgaon
31%
Respondent Location

11. Are you aware of CtrlS?
YES
20%
NO
80%

12. Location wise awareness of CtrlS
AWARE
22%
NOT
AWARE
78%
Noida
AWARE
30%
NOT
AWARE
70%
Gurgaon
NOT
AWARE
100%
Nehru Place
New Delhi

13. Industry wise awareness of CtrlS
AWARE
NOT AWARE
52
33
9
11
4 6
7
0
1
5
9
3 3
2 2
0

14. Some insights about Brand Awareness of
CtrlS
• There seemed to be a general lack of awareness of CtrlS
and its services amongst the surveyed companies
• Only companies who had done business with CtrlS in the
recent past or who had considered CtrlS for a requirement
recently were aware of the company and the services
offered
• 20 companies which were aware of CtrlS were large scale
companies (>500 employees)
• Amongst the Small Scale Enterprises, there was complete
unawareness of CtrlS

15. Where is Cloud Computing in Hype Cycle?
Please see
the note
section

16. Cisco‟s Cloud Readiness Index shows that India
is still an emerging cloud computing market

17. Cloud Computing – What reports say
• Global cloud computing sector is growing at a rate of 28% and cloud-
•
•
•
•
generated IT innovations could produce US$1.1trn annually in new
business revenues by 2015 – Asia Cloud Computing Association
(ACCA)
By 2016, Asia-Pacific will gain top spot (1.5 zettabytes), followed by
North America (1.1 zettabytes) and Western Europe (1 zettabytes) in
Cloud traffic - Cisco's Global Cloud Index, 2012
India ranks 9th in APAC region on ACCA‟s Cloud Readiness Index
2012. The main factors dragging down the rankings are: Broadband
Quality, Power Grid and Data Center Index
India ranks 29th out of 30 countries in Cushman & Wakefield‟s Data
Center Risk Index 2013. Factors for this ranking include: difficulty in
doing business, high corporate taxes and low energy security
“However, despite these challenges, the perspective remains that in
the long-term India will be an attractive investment opportunity” Cushman & Wakefield‟s Data Center Risk Index 2013

18. Cloud Computing – What reports say
• “The cloud computing market in India is expected to cross the
$1 billion mark by 2014, growing at a CAGR of 32% between
2011 and 2015” - Cloud computing adoption – Large
Enterprises in India, a report by Research and Markets, Inc.
• Indian National Telecom Policy 2012 emphasises “Promoting
synergies between roll out of broadband and various
government schemes such as AADHAR, MGNREGA, etc. The
synergies can be created through Cloud Computing to enhance
e-Governance initiatives”
• According to Symantec State of the Cloud Survey 2012,
• 11-19% respondents have implemented cloud
• 34-50% respondents in trials/implementing cloud
• 19-20% respondents in discussion/planning mode cloud
• 19-25% respondents are not considering cloud

19. Methodology to calculate market size
• According
to MaRS DD, a consulting firm in
Canada, Market Size calculation involves the following
steps
• Step 1: Define the target customer
• Step 2: Estimate number of target customers
• Step 3: Determine the penetration rate
• Step 4: Calculate the market size volume and value
• Market volume=Number of target customers × Penetration rate
• Market value=Market volume × Average value

20. Assumptions
• Gartner‟s report says the market for Cloud Computing in India is forecast to
•
•
•
•
grow to $443 million in 2013, with an annual growth of 70% over 2012, with
SaaS forming 36% of the market
Based on Hype Cycle 2012 and Cisco‟s Cloud Readiness Index, Cloud
Computing in India is set to take off in a spectacular way in 2 years.
However, at the current point of time, adoption of cloud computing is not high
on the surveyed companies priorities
Economic conditions also have to be taken into consideration. With Indian
GDP set to grow at 6% in 2013-14 and recovery slow in USA and
Europe, companies are postponing significant investments in IT infrastructure
if the RoI (Return On Investment) is not particularly high
CtrlS North India region had revenues of Rs. 11 Crore in 2012-13, of which
23% came from Cloud Computing services. The total market for firms
providing services similar to CtrlS in Delhi was Rs. 60 Crore
There were 10 customers, the average order size works out to 25.3 Lakhs

21. Assumptions (cont.)
• Assumption is that the share of revenue from Cloud computing is similar for
all the firms in Delhi
• This analysis ignores all Government or PSU organizations because:
• No Government/PSU agency has been covered in the survey
• The IT decisions in such organizations are not straightforward and involve multiple
actors and are affected by political considerations

22. Step 1: Define The Target Customer
• IDC‟s India Cloud Market Overview, 2012 states that large businesses
•
•
•
•
•
are more savvy and able to adopt cloud computing more than SMEs
The same report states that SMEs “either don‟t have existing IT
systems or have ones that lack experience, and as such, are more
averse to adopting the cloud for their use”
According to HP‟s Innovations for the Next Billion Customers
Lab, less than 1 percent of these SMEs use any type of
automation, and rely heavily on paper documentation
An Indian CIO said “in my culture, we don‟t just want to „kick the tires,‟
we want to drive them for 10,000 kilometres and wear them out
before we buy.” to IBM Global Business Services
So, the target customers for Cloud Computing Services are
medium and large companies i.e. companies with more than 500
employees
The share of such companies in the survey was 65%

23. Step 2: Estimate Number Of Target Customers
• There are 11217 registered companies with head offices
in Delhi/NCR. Out of this, about 60% are small scale
enterprises thus, 40% of the companies are medium or
large scale i.e. 4487 companies are medium and large
scale enterprises

24. Step 3: Determine the penetration rate
• According to CyberMedia Research, the cloud computing
•
•
•
•
penetration was 6.8 in Indian enterprises in 2012
Another research by TechSoup arrived at a penetration
rate of 6.6 in a survey carried out in 2012
We can assume that the cloud penetration rate in
Delhi/NCR is same as the rest of India
Since cloud computing is forecast to grow at 53%
CAGR, we can assume that the penetration rate in 2013
would be 6.6 + (53% of 6.6)
Thus the penetration rate is 10.1

25. Step 4: Calculate the market size
volume and value
• Market volume=Number of target customers × Penetration rate
•
•
•
•
•
•
Volume=4487 * 10.1% = 454
Market value=Market volume × Average value
Value = 454 * 0.253 = 115.87 Crores
Thus the market value in Delhi/NCR is Rs. 115.87 Crores, with a low
penetration rate of 10.1%
However, as cloud computing becomes more popular, the penetration
rate will increase and the market size will grow
We have ignored the Government and PSU sectors for this analysis.
Projects such as UIDAI, NPR, etc. are taking off and schemes such as
MGNREGA, Direct Cash Transfer, etc. are being tightly integrated with
the above projects
According to Zinnov Consultancy, PSUs such as BPCL, IOCL, and
ONGC have expressed interest in moving to cloud within the next two
years
Since the above projects are controlled by Central Government in
Delhi, the market would be at least 30% more than the calculated size if
we include the Government sector and PSUs

26. Conclusion
• The awareness of CtrlS and its offerings was 20% in the
surveyed companies
• The market size for Cloud Computing in Delhi/NCR is Rs.
115.87 Crores excluding Government and PSU sector.
However, this is expected to increase by 53% CAGR until
2016 to reach Rs. 635 Crore

27. Thank You

28. References
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
CtrlS Offerings From CtrlS Website (http://www.ctrls.com)
Gustafson And Chabot, "Brand Awareness", Cornell Maple Bulletin 105 (2007)
Gartner, "Hype Cycle 2012"
Cisco, "Global Cloud Index 2012"
Asia Cloud Computing Association, "Cloud Readiness Index 2012"
Symantec, "State Of Cloud Survey 2013"
Cushman & Wakefield, "Data Center Risk Index 2012"
Research And Markets, "Cloud Computing Adoption - Large Enterprises In India 2012"
Ministry Of Information And Broadcasting, "National Telecom Policy 2012"
MaRS Development District, "Estimating The Market Size"
Gartner, "Cloud Computing Report 2012"
Sales Figures From Mr Abhinav Misra
IDC, "India Cloud Market Overview 2012"
HP Labs, "Innovations For The Next Billion Customers 2012"
IBM Global Business Services, "Business Strategy For Cloud Providers 2010"
Fundoodata.com (http://www.fundoodata.com/companies-in/delhi-ncr-l0)
CyberMedia Research, "Cloud Computing India 2012"
TechSoup Global, "2012 Global Cloud Computing Survey Results"
Zinnov Consultancy, "Indian PSU Landscape 2012"
KPMG, CII & Amarchand Mangaldas, "The Indian Cloud Revolution 2012"
Gartner, "Data Center Services: Regional Differences In The Move Toward The Cloud 2012"