Please introduce us to the business idea behind IDS Logic.
IDS Logic is a full-service digital agency with the offshore development centre in Noida and the sales office in the UK. We integrate strategy, design, latest technologies and internet marketing to cater to our customers across the globe. As a Microsoft certified partner, we are a preferred option for outsourcing web services to India.
So, how did the business idea come about?
Well, the idea was to create an innovation-driven organization. With my own experience of working with many companies both as a client and an employee, I sensed a gap in what customers expect and what agencies provide. The biggest gaps were innovation, an open relationship and a true desire to help beyond the basics. Today, global customers are not talking about just prices and processes. They talk about innovation, ideas and what new we can bring to the table and how quickly. IDS Logic was born with this idea.
IDS stands for “Innovative Dynamic Solutions”. We were in search of a name which would encompass the core values of the organisation. We thought it would also make for a good mascot. After a lot of brainstorming, we zeroed in on a name called “IDYNASOFT”. Unfortunately, it got rejected by the Ministry of Company Affairs on grounds of existence of a business with a similar name (though we searched and there was none). We finally cut it short to IDS and suffixed it with ‘Logic.’
But how is IDS Logic different from other IT solutions firms?
Primarily, the difference lies in the DNA of the company. We set up this enterprise to help companies like ours in other parts of the world to take strategic advantage of services from low-cost economy countries like India. Our unique approach in defining outsourcing relationships and value-based business model differentiates us significantly from our competitors.
Our many years of experience of working with international clients have helped us refine our processes and leverage technology and innovation. Also we are a one-stop web solutions provider. From strategy till implementation and post “go-live” support, we offer integrated web strategies which encompass creative designing, technical development, Internet Marketing and Web hosting solutions.
Finally, we have a highly competent team, which uses latest tools & technology, offers world class project management and 100% IP protection to our customer’s intellectual properties.
How much money did you have to put in to get IDS Logic off the ground?
From a capital investment perspective, we funded it from our own savings. We started with a really small office with 4-5 computers and a server. We put basic office facilities in place such as internet, a telephone line, printer etc. Overall, the initial investment was approximately Rs. 5 to 6 lakhs to begin operations.
Tell us about your background.
I completed my Masters in Computer Applications from DAVV, Indore with honours. Before starting IDS Logic in 2007, I spent about 5-6 years working in the software industry in various capacities. My repertoire ranged from being an analyst to a project manager in different organizations of repute. I gained global exposure by working with many blue chip customers in India and abroad including clients like Canon, Best Buy, McKinsey and Govt. of India.
Let us know about the tie-ups that you have.
We have tied up with over 20 digital and marketing agencies across the world for offshore outsourcing to us here in India. These agencies are working with blue chip customers and brands, both local and global. Some of these agencies pitch to their customer by disclosing their ties with us and capitalise upon the cumulative strength that we bring to the table.
At the same time, there are a few agencies that just want to use our strengths to deliver to their customers in a white label method where our corporate identity and offshore outsourcing is not discussed with the end customers.
Since you mentioned overseas partnerships, can you give us an example of that?
If you take any digital agency in high-cost economies such as the UK or USA, they face 3 major challenges:
1. To scale up without making huge recurring commitments such as full-time resources
2. To reduce the time taken to deliver the solutions to customers so as to enable faster “go to market”
3. Access to quality resources and continuous innovation
These challenges can be dealt with better by having a strategic partnership with a dependable outsourcing agency in a low-cost economy such as India.
For instance, Bloom Media is a reputed UK-based digital agency working with some of UK’s biggest brands. In order to manage their growth, they needed a partner always ready to take on their clients’ project, concurrently maintaining international quality standards and doing continuous innovations to add value to their customer’s businesses. They found us and now, we are working together to deliver high quality solutions to their customers.
So, a lion’s share of the business comes in from abroad. What are your most popular products/services? Which of these are you looking to take even further?
We have a major client base in the UK and USA, followed by domestic clients in India. 80% of our revenue comes from the outsourcing service space.
Our popular services are internet marketing and search engine optimisation, followed by web development and e-commerce products.
Our e-commerce products are helping many small and medium enterprises. Also, our ability to deliver first page search rankings to our customers further allows them to generate handsome returns on their e-commerce investments.
We aim to focus on strengthening our e-commerce products further and become a market leader in providing end to end e-commerce solutions from strategy till implementation, post live support. Internet marketing, of course, remains the lynchpin to generate real business for our customers.
What is IDS Logic’s revenue model?
We have 2 types of revenue models:
1. A recurring monthly fee for various services such as internet marketing, search engine optimisation, server management and monitoring, dedicated and virtual private servers etc.
A fixed, milestone-based fee for software/product development, web design, web development and selling of web-based products such as e-commerce solutions.
And we are a self-funded, 100% debt-free company with a constantly increasing YOY profit.
How big is the IDS Logic team? Give us some info on team composition. Are you looking at hiring?
At IDS Logic, we are a heterogeneous team of 45 people which consists of creative designers, software developers, project managers, Internet marketing consultants, web security specialists and web server administrators.
As a growing organization, we are always in search of skilled software engineers and experienced business development professionals. We are currently hiring for these positions aggressively.
And finally, please take us through your expansion plans.
We have recently set up our office in Leeds, UK and plan to expand our office in Noida, India as well. We are hiring people aggressively to increase the strength of our team and we look forward to growing by at least 1.5 times in terms of revenue, profits and team size.
We are also focussing to develop and strengthen some of our products such as e-commerce systems to boost our revenue and profits and look forward to aggressively market them.
The entire team at YourStory wishes Ratnesh and IDS Logic much success. To know more, see http://www.idslogic.com/. Also, do let us know your thoughts on this story by writing to us at firstname.lastname@example.org.
Sriram Mohan | YourStory | 16th May 2011 | Bangalore