Relaunching of smartpad PDF

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This document will help you in writing assignment specifically on relaunching a failed product but it also covers many aspects of marketing as well....

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RELAUNCHIN

Smart Where the POWER

ACKNOWLEDGEMENT

All of the first we are very thankful to ALMIGHTY ALLAH and then we would like to express our gratitude and appreciation to all those who gave us the possibility to complete this report. Very thanks to our class mates and friends too for their valuable time and constructive suggestions regarding our survey of this report, their willingness to give their precious time has been very much appreciated. We would also like to thank our course instructor for guiding us and helping us in solving the queries related to our report. It would not be possible without her. We are highly indebted to Ma’am Syeda Tooba Saleem for her guidance and constant supervision as well as for providing necessary information regarding the project & also for her support in completing the project. Our thanks and appreciations also go to our teammates in developing the project and people who have willingly helped us out with their abilities.

SUBMITTED TO MA’AM SYEDA TOOBA SALEEM DATE 29TH – APRIL – 2019

Regards, Prometheans

Relaunching a failed product – HP Touch Pad

EXECUTIVE SUMMARY HP Touchpad was a tablet introduced by HP in the year 2011 at a grand event in San Francisco. And despite it receiving great response and excessive coverage in press it just wasn’t able to uplift in the market even though it did produce some good features. Many factors were involved which mainly consisted of not making the product available right after the launch event instead they waited 6 months to give out the product in the markets. Secondly the lack of shipment details also contributed to its failure. The introduction of HP Touchpad on an OS, which is Web OS that was recently acquired by HP Company also led to its failure. Other factors also led to cancellation of HP Touchpad just 2 months after its launch that you can read further in this report. Hence, after the cancellation of the product our team members have decided to relaunch HP Touchpad as HP Smart Pad to prove “Where the Power Exists” For its relaunching we marketed such features of the product which is completely according to the need of our consumers. As the name suggests, we have made our tablet smart that would help people of all ages. It has the potential to be famous among students, entrepreneurs and teachers. The specifications are exactly according to the new needs and wants of our consumers. It’s a new generation tablet that has the capability to exceed beyond the expectations of our tech savvy consumers. With a 10-inch display, processor of the highest quality that enables easy and fast functionality and full metal body that provides a stylish appearance to the tablet our consumers won’t help but fall in love with our product and that all in a very low price because money of our valuable consumer matter. Our target audience is people of all ages but we have especially targeted business owners and students. All in all our new product HP Smart Pad is a next generation Tablet that people are going to love for its high speed functionality. We have changed the course of our actions and strategies that would help us boost our product and brand equity and provide great features in less price that will provide our consumers with the best solutions possible.

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Relaunching a failed product – HP Touch Pad

INTRODUCTION About Our Company The Hewlett-Packard Company was an American multinational information technology company headquartered in Palo Alto, California. It was begun by Bill Hewlett and Dave Packard (hence the HP) in 1939. They had an initial capital investment of $538 and their original product was actually an audio oscillator. Working out in Palo Alto, CA, they were “discovered” by Walt Disney himself who purchased several of their audio oscillators for the very famous Disney animated feature, Fantasia. HP certainly did not invent the ink jet printer, and in fact, there is no single manufacture that can claim to be the true inventor. The transition into printers was more of a result of changing tides in the ever-competitive business world than anything else. It was 1978 when they first began the research into inkjet technology. The models that existed back then were very large and not really designed for document printing. HP began to make inkjet and laser printers back in 1984 designed for offices. The first model released by HP was known as the Think Jet. The Think Jet was superior to anything else on the market at the time in all aspects, especially in cost and print quality. It was 1990 when the company turned their focus to the consumer and developed both PCs and printers with them in mind. The dominance in printing has continued for the most part, even to today, but with competition stiffening, HP is at a crossroads with printers versus PCs. They have, however, established themselves as leaders in quality, reliability and affordability. The garage where it all began is still standing today and has been declared a historic landmark in the state of California and named the Birthplace of Silicon Valley. It developed and provided a wide variety of hardware components as well as software and related services to consumers. HP was the world's leading PC manufacturer from 2007 to 2013. HP specialized in developing and manufacturing computing, data storage, and networking hardware, designing software and delivering services. Major product lines included personal computing devices, enterprise and industry standard servers, related storage devices, networking products, software and a diverse range of printers and other imaging products. Hewlett-Packard spun off its enterprise products and services business as Hewlett Packard Enterprise on November 1, 2015. Hewlett-Packard held onto the PC and printer businesses, and was renamed to HP Inc.

Mission Statement HP doesn’t have an official mission statement but it’s expressed through “The HP Way” which states company’s values and objectives.

Vision Statement “To create technology that makes life better for people/ community around the globe”

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Relaunching a failed product – HP Touch Pad

BACKGROUND OF FAILED PRODUCT MARKETING MIX(4P’s) PRODUCT Developed by HP as a competitor to Apple’s iPad, the HP Touchpad is a tablet computer with a 9.7-inch screen, storage totaling 16 GB, 32 GB or, in rare cases, 64 GB, that can connect to wireless networks and be used for all manner of tasks. Featuring the webOS operating system, the Touchpad offers a user interface that is polished and attractive. The standard Touchpads that were available are:  Black, 1.2 GHz, 16 GB, Wi-Fi  Black, 1.2 GHz, 32 GB, Wi-Fi  White, 1.5 GHz, 64 GB, Wi-Fi NETWORK BODY DISPLAY

PLATFORM

MEMORY MAIN CAMERA

SOUND COMMS

FEATURES

Technology Dimensions SIM Type Size Resolution OS Chipset CPU Card Slot Internal Single Video Selfie camera Rear camera Loudspeaker 3.5mm jack WLAN Bluetooth GPS Radio USB Sensors

BATTERY Stand-by Talk time

No cellular connectivity 240 x 190 x 13.7 mm (9.45 x 7.48 x 0.54 in) Mini-SIM LED-backlit LCD, capacitive touch screen, 16M colours 9.7 inches, 291.4 cm2 768 x 1024 pixels, 4:3 ratio HP WebOS 3.0 Qualcomm APQ8060 Snapdragon S3 Dual-core 1.2 GHz Scorpion No 32 GB, 1 GB RAM 1.3MP No No No Yes, with stereo speakers Yes Wi-Fi 802.11 a/b/g/n, dual-band 2.1, A2DP, EDR Yes, with A-GPS No microUSB 2.0 Accelerometer, gyro, compass Touchstone technology MP3/WAV/eAAC+ player MP4/H.264 player Document viewer/editor Predictive text input Non-removable Li-Ion 6300 mAh battery Up to 300 h Up to 6 h

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Relaunching a failed product – HP Touch Pad

PRICE Pricing Strategy: Market Skimming Strategy HP set the price of HP Touchpad too high initially, using the market skimming strategy. But as the product itself didn’t had enough capability and features to justify its price that’s why in the very short time they had to lower the price from $399 to just $99 to increase sales or to just get rid of the production because it loses the competition. PROMOTION “HP Touchpad −¿ Works like nothing else” Although HP Touchpad faced too much disappointment at its final launching but the promotions carried out months before was very captivating. The customers went too much excited for the product as it was very nicely promoted and marketed. Following were some strategies that made up the whole sales of HP Touchpad.    

Celebrity endorsement Product placement in television shows TV Commercials WebOS event “THINK BEYOND”

PLACEMENT Since HP is a multinational brand and it has its market all over the world, it sells its products both directly and indirectly. The products of HP are available on the HP exclusive stores and on all the multi-brand stores. It has a presence on online portal as well. It has a lot of selling partners which can be located through its website and they are also selling HP products. Its subsidiaries are located in all the countries around the globe.   

Common Retailers E-commerce websites HP’s online stores and retailers

STP (SEGMENTING, TARGETING & POSITIONING) Hewlett – Packard is an American information technology corporation that provides PCs, printers, softwares and services. Adding with that in 2010 HP purchased Palm for $1.2 billion dollars. HP introduced its tablet the name of touchpad in the year 2011 that worked on Web OS. It's main competitors, if we closely look at the tablet market were iPad, Samsung galaxy tabs and Lenovo. Usually the interested parties when it comes to tablets are tech savvy consumers and also those consumers who already own a tablet. When HP touchpad was released HP did some collaboration. They collaborated with local retailers and e-commerce sites like best buy, staples, office depot, Barnes & Noble, Amazon.com and Walmart. While doing product placement they hired CW's Gossip Girl cast like actors; Russell Brand, Lea Michelle and Miranda Cosgrove

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Relaunching a failed product – HP Touch Pad

Segmentation: The market segmentations that HP touchpad focused on were Schools and students who can use touchpad as a tool for their studying also it can also be used by teachers who can use it and make their teaching methodology simpler. Another segment they were looking forward to was all the gamers on the go. HP touch pad had a good functionality that could have been suitable for gaming. HP touchpad was also interesting enough for eBook readers. Another segment from which the consumer would be interested was the Mobile Web Users. The main consumers that Hp Touchpad focused on were Business Professionals and entrepreneur. Tablet is a device that benefits the business owners especially entrepreneurs that would help them to schedule their work manage their important emails social networking sites on the go and just by a click.

Targeting: The consumers most likely to buy Hp Touchpad were business owners and entrepreneurs. And Hp actually did focus their market on this segment. Hp worked on an OS that had high functionality that provided an easy ground for business owners and enterprise owners to work on. Its easy user interface made it simple to work on. Hp was straddling two worlds, the enterprise systems and consumer electronics. Hp had an enterprise plan for Touchpad as vice president of marketing and enterprise solution for the Palm Global Business Unit say that “the tablet is enterprise ready”. The essential management and security further support this.

Positioning: The hp Touchpad with its Web OS and beats audio quality Wi-Fi capability and synergy tried to promote itself in the market by celebrity endorsement. In one of the advertisements they hired Lea Michelle as the face of the product making the advertisement a celebrity centred Ad and not about the product itself. They also tried promoting their product by placing it in different celebrity shows like they did on the very famous CW show Gossip Girl in the hopes that people might get more aware of the product. They also did various television commercials. Commercials help boost a product. Before the product was launched, they also did an event by the name of “Think Beyond” that was a huge success conjuring up a lot of press coverage for them. After the product was actually released the product was placed within the local and traditional retailers and distributors and was also placed on e-commerce sites enabling its online buying. The price of the product was set at $499.99 dollar for 16 GB model and $599.99 for their 32 GB and 64 GB models. After seeing that their products were not selling off they decided to drop the prices to just $99 so that the remaining units can be sold off.

SWOT ANALYSIS OF HP TOUCHPAD Strengths  Well-Established brand  Technical knowledge  Good Supply chain

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Relaunching a failed product – HP Touch Pad

Weaknesses  New market entrant  Acquisition culture clash Opportunities  Demanding product  Innovation in the technology  Apps Threats  Pioneer competitors in the market  Specialty in PCs and Printers

COMPETITOR’S ANALYSIS HP (Hewlett Packard) is a market leading brand of PCs and laptops. Apart from computing and other access devices, HP sells imaging and printing products as well as other related technologies, solutions and services. Among the main competitors of HP are Apple, Acer, Asus, Lenovo, Dell, Samsung, MSI, Epson and Canon.

Apple: One of the biggest competitors of HP, Apple is known best for its MacBook and I-Phones. It is among the most renowned companies in the PC industry. However, compared to HP its market share is much smaller. Its range of tablets is larger than that of HP. However, due to its premium pricing strategy, the customer base is comparatively smaller. HP on the other hand uses a more competitive pricing strategy to cater to customers from both the higher and the lower end market. The two global brands are among the largest five in the PC industry based on market share.

Samsung Samsung has a much smaller market share in the PC industry. Still, it is an innovative brand and has brought a nice range of computing products from laptops and PCs to memory products as well as printers and accessories.

Lenovo Lenovo is the closest competitor of HP. Its market share in the PC industry is higher than Apple and Dell. In 2017, when HP’s market share was around 21%, Lenovo’s stood at 20.8%. Like HP, Lenovo has also used a competitive pricing strategy. However, its product portfolio is larger and varied leading to more channels of revenue.

MARKET SHARE

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Relaunching a failed product – HP Touch Pad

PRODUCT FAILURE HP had barely gotten its feet wet in the smart phone and tablet business before it decided to pull the plug. There are many numbers of reasons why the company's mobile business failed. But the main ones include a failure to understand the competition or to even have a sound strategy for getting into the business in the first place. Read on to find out why: 

It misjudged Apple: Like far too many other companies in the mobile market, HP failed to realize that Apple's fame in the mobile universe was not going to slow down anytime earlier. The company believed that after the iPad 2 stayed on store shelves for a while and the iPhone 5 continued to be delayed, it could capitalize on impatient would-be Apple buyers. But that never going to be happened. Instead, those folks just bought Apple products-and HP lost finally.

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It didn't play the Android game: One of the biggest mistakes HP made was not accepting Android and introducing the WebOS that was not very well-known in the competitors. Like it or not, in today's mobile market, Android is the OS that every vendor (except for Apple and MS) should be using. It's a mobile OS that people know and trust blindly, and it has been proven to sell quite well in the mobile space.

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WebOS wasn't appealing: WebOS itself simply wasn't all that appealing as it seemed. The operating system lacked enough third-party applications to attract consumers, and its functionality was simply too different from iOS and Android for customers. Moreover, the OS wasn't really known outside of technical circles, putting it at a disadvantage from the beginning.

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The Touchpad was a mistake: HP's Touchpad tablet was a mistake. As mentioned, it was running WebOS, which already put it at a disadvantage from the beginning. Combine that with the fact that HP made the device look awfully like iPad, complete with a similar design, price tag and the same screen size even. Devices like the Samsung Galaxy Tab 10.1 are doing well because they're different enough from the iPad 2 to justify a buy.

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The smart phones were boring: HP's product line of smart phones simply wasn't all that interesting. The Pre and the Pixi lines were also-rans that neither consumers nor enterprise users even cared about. What's more, they featured small displays, sub-par functionality and designs that seemed rather derivative from other vendors' older earlier models. They contributed heavily to the decline of HP's mobile business.

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Leo Apotheker: When HP CEO Leo Apotheker came in, it was clear that many things were going to change. Apotheker, a former SAP CEO and career-long software industry executive, immediately started talking about software and discussing his vision for the future of HP. Mobile didn't seem to have a high priority in those discussions. As soon as the mobile business started to falter, Apotheker, who has no real experience in hardware to begin with, saw a chance to kill it. Make no mistake, one of the key reasons HP's mobile business failed was because of Apotheker's desired market focus.

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Bad timing: When it comes to the release of the Touchpad and the latest version of WebOS, HP's timing was very bad. The company believed that by delivering its latest and greatest

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Relaunching a failed product – HP Touch Pad

solutions over the summer, it could give itself enough of a buffer from Apple's product launches to carve out a piece of the market. But what HP failed to realize is that Apple is still dominant in the mobile market. And so far, that dominance doesn't appear to be waning. The better idea would have been to wait until next year when maybe (just maybe) consumers might have been more willing to accept a new solution in the technology market. Right now, the novelty of Apple's products has yet to wear off. 

The enterprise didn't care: If there is any market that's central to the success or failure of HP, it's the enterprise. The company has long relied upon that market to sell its high-end hardware and software products that drive its profits and growth. However, the firm's mobile products did not catch on in the enterprise. In fact, most IT decision makers scoffed at the idea of adopting WebOS. That hurt HP's mobile efforts in a big way.

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Distractions galore: The problem at HP prior to its decision to discontinue the Touchpad and shutter its WebOS hardware business was that the company seemed distracted. It was trying its luck in a host of markets and trying to get a new executive acquainted with how the firm was run. All the while, it was trying to salvage the pieces of a Palm mobile phone unit that was shattered by the HP acquisition just a year ago. It was a perfect storm of sorts at HP, and that mobile business was a critically ill stepchild.

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It played Apple's game instead of Google's: HP erroneously believed that it could be Apple. The company decided that in order to be successful in the mobile market, it would need to offer both hardware and software. But the plan backfired. Instead, HP should have simply followed Goo...