Kaspersky offers anti-virus software for less than Rs 600

In a path-breaking move, Kaspersky has become the first ever company to
provide Internet security software at affordable price range. This move has been
taken well by both the channel partners and customers. It may be noted that the
company is offering one of their products Anti-Virus Internet Security for three
users at an MRP of Rs 1,450 whereas the margin operating price (MOP) of the same
product for dealers is less than Rs 600. In comparison the MOP of a three user
anti-virus internet security from Symantec is valued at Rs 2,400, McAfee offers
the same product at an MOP of Rs 1,700, Trend Micro's is valued at Rs 2,000 and
Panda's is available at Rs 1,500.

Following suite, E-scan has already lowered the price of their Internet
security software. According to partners this initiative will push the other
vendors in this space to lower their prices as well.

Talking about this QA Tapia, Head-Sales, Kaspersky India stated that vendors
today are offering anti-virus, anti-spyware and other related software at a
price range of Rs 2,000 to 3,000. While a PC is available at affordable prices,
uploading software alone leads a customer to shell huge sums in comparison to
the hardware. This deters the customers from buying original anti virus software
and they end up buying pirated versions.

“We dropped the prices of our products because India is a price sensitive
market and we want our customers in India to enjoy the best in quality security
products at an affordable price range. This will further discourage them from
buying pirated versions. In addition to this we are also looking to lower the
prices of our other products,” opined Tapia.

Besides, in their bid to support the channel partners, Kaspersky is offering
the same product to the dealers at an even lesser price thus enabling them to
earn huge margins.

Indicating the same, Tapia mentioned that the channel partners have to
operate at minimal or no margins and this leads to an unhealthy environment
within the industry which is not good for their (partners') business.

“We wanted to empower the channel so that they can support the product and
drive it aggressively in the market,” said Tapia.

The partners on the other hand are in a buoyant mood. G Suresh, Director of
Chennai-based E-caps Computer India said, “They are doing a fantastic job by
dropping the prices, and this will increase competition among other vendors and
lead them to drop their prices accordingly. Performance wise the product has a
phenomenal acceptance. By selling other vendor's products we earn margins as low
as between Rs 50 to 100, while with Kaspersky's software we are making margins
in the range of Rs 400 to 300. In the past eight to nine months alone I have
sold 6,000 to 7,000 licenses and the demand is overwhelming.

Alok Gupta, CEO of Delhi-based Softmart Solutions mentioned, “This is the
first time that a security software providing company is offering an Internet
security price at an immensely affordable price. We as dealers are happy when it
comes to driving these products in the market as it is giving us enough margins
to operate on. Other vendors will have to think in this direction as well. One
of the vendors, E—Scan has already reduced their prices.”

“People are well aware of the technical superiority of the product and
because this product is a three user pack ie can be used in three PCs, it has an
advantage over other vendors' products. Kaspersky's initiative will discourage
the customers to buy pirated software and this in turn will generate good amount
of business for us,” opined Alok Gupta, MD of Mumbai-based ACI Infocom.