Sify unable to turn around its consumer business
For the period 2009-2010, Out of $18.71 million Sify was only able to make a turnover of $156.93 which is just 11% of its total revenue. The consumer business of Sify is getting declined every year to an amount of $28.92 million which accounts to 35% of its revenue. Sify’s consumer business was low as $3.5 million which has to around $6.03 million for the last year.
But on the other side, Sify’s enterprise business is showing positive effect when compared to the consumer business. There was a great decline in the consumer business and it started to decline gradually every year. Cybercafes (e-ports), broadband service and portals (Sify.com, Samachar.com) includes the consumer business of Sify.
Sify has come up with new plans to attract the customers by providing free broadband services for a period of three months, six months and for one year. But still Sify was not able to cope up with the situation, the sales of broadband customers started to decline from 106,000 from 121,000 which accounted for 12%. Also the Sify franchisees and other cable operators who signed up with Sify also started to turn down gradually from 1967 to 2011. The decrease in Sify services totally accounted for 36%.
Well, but there is something interesting with Sify, they have planned to setup new wireless towers to target retail space, small office and home with a speed of 2mbps.