Growth in emerging markets is an important focus for Dell. IDC forecasts that emerging markets will account for 27% of global IT spending in 2011, up +10% Y/Y. This means, 54% of all 2011 IT spending growth will come from emerging markets. Dell has been several executing key strategies, such as localization to help build market leadership.
From a financial aspect Dell has been delivering strong growth in BRIC countries. BRIC represented 13% of Q3 revenue; up +30% Y/Y. In China, revenue was up +20% Y/Y. In India, Dell holds the number 1 market share position, and grew revenue +55% Y/Y. Brazil has shown 6 consecutive quarters of revenue growth, and delivered +36% Y/Y in Q3. Last, Russia drove +40% Y/Y increase in revenue. Below we share just a few examples that have helped us achieve these results.
In EMEA, Dell has made good progress over the past 4 years in localizing our commercial products for emerging market. Today our partners import products into key countries such as Russia, Turkey, Saudi Arabia, United Arab Emirates, South Africa and Israel that meet local regulatory certification requirements. As an example, earlier this year we successfully updated our regulatory certification for Russia to meet newly introduced strict standards related to encryption technologies, both for client and Enterprise products.
As we continue our effort in simplifying business for our partners, we have set out to establish legal entities in key countries. This will enable Dell to bringing value to our partners through faster delivery of goods to meet customer demands. In addition, worldwide product development team has worked to provide localized product manuals; to date we have completed Turkish translation for a number of products and the work continues for the rest of the client and enterprise portfolio.
On the website, we currently have localized country pages (e.g. www.dell.ru) which consolidate Dell's strategic messages and product initiatives. The next step is to localize solutions pages such as mobility and efficient enterprise solutions in order to drive better awareness around our solutions offerings.
Dell launched a marketing campaign titled "Take Your Own Path" (TYOP). This campaign has been very successful in India, and now expanded to other regions. TYOP featured real customer "heroes" in our media campaign with the idea of building online and offline resources that offer no-nonsense advice, definitive technology solutions and strategies for using technology more effectively to address top business challenges. The campaign has helped drive a deeper connect with entrepreneurs and small and medium businesses, to validate Dell's understanding of this segment as well our commitment to offer holistic solutions and help us become a trusted IT advisor to these companies. You can watch the webcast from Consumer & Small and Medium Business President, Steve Felice, here.
Dell has been working hard on two initiatives in China (1) client solutions for banks and (2) data center solutions. The biggest opportunity lies with terminals installed at the bank branches, and represents an addressable market of 1M terminals. For the last 3 years, competitors have dominated this market with low cost desktops with complex attached device/ interfaces. However, banks would prefer a low cost, all-in-a-box solution. Since mid FY11, the product development team has set up a taskforce in China to work with the Financial Service Institute vertical team to develop the solution. We expect to see the prototype in 6 months.
Finally, we are addressing the exponential demand for high density/lower power consumption servers coming from large/medium size internet companies in China. Local engineers in China have teamed with those in the US to build a new design-for-China product, and anticipate launching in mid FY12.
These initiatives will improve Dell's customer satisfaction scores, help to achieve our growth targets and position Dell as a leader in the emerging markets.