transitioning to transitioning to ebusiness within hp ebusiness within hp

paul horstmeierpaul horstmeiercommercial ebusiness mgrcommercial ebusiness mgrprinting and imagingprinting and imaging

the importance of ebusiness at hp

hp in 1998 $47 billion dollar

company 123,000 employees 130 product lines 147 countries one of 10 most

recognized global brands

historical strengths– products– sales & support– channel partnerships– decentralized business

model

first generation internet trends

publishing

time

support

commerce

customerrelationship

web sites web portals site customization

56%30%

9%5%

PrintingPCsEnterpriseAgilent

hp.com statistics Visits to

www.hp.com Total pages Country sites Traffic growth Driver downloads

Breakout of traffic by business

1,000,000 sessions/day

550,000 worldwide 47 20% year 180,000 per day

hp internal ebusiness challenges

hp web site– information glut– site fragmentation– minor standards– no common architecture

ecommerce– channel concerns– pilots “de jour”– product specific supply chain

strategies customer relationships

– hundreds of databases– multiple technology platforms– inability to recognize common

customers

centralized, empowered governance

web content and strategies spanning across all customers

consistent, integrated, branded customer experience

issue and enforce edicts

lesson # 1

manage your web site and content as a strategic asset

hp.com strategic framework

view localization look & feel navigation comm mgt vehicles

emarketing eselling esupport epartnering

content management customer data management

interface applications and data infrastructure

customerinteraction

ebusinessactivities

informationservices

technologies

customer experience focus

spending efficiency focus

integrated hp.com web improvements

Consistency

Globalization

Phase 1Q3 99

Phase 2Q1 00

Phase 3Q3 00

common navigationcommon look and feelcommon helpenhanced search

gateway management

New HP brand look-and-feel

Business to business customizationcommon login

Brand refresh

Common customer id

hp.com migration

Before Current

hp.com…our future site

“content” logical data model

Products & Solutions

Product & Solution Classification

Competitor Information

Marketing Programs

Product Marketing Information

Technical Information

Fulfillment Information

Manuals

Software

Customer Support Information

Marketing Communication

Legal Notices

Solution Matrix

BaseProduct

Supplies Accessories

Services Software

Manuals

Segments Categories

Competitor Company

Information

Regions & DCs

Price Availability Order StatusIndustryAwards

Features & Benefits

Technology Briefs

TechnicalSpecifications

Cost of Ownership

ProductManuals

SectionSectionSectionSection

DriverRelease

InformationDrivers

Issues & Resolution

SoftwareDownload

Instructions

Disclaimers, Agreements &Policy Statements

Chu

nk L

ibra

r y

CustomizedSellingPoints

ReviewersGuide

Promotions

Industries

FAQs & How-To’s

Advertising& Branding

DesignGuidelines

SuccessStories

ResellerPrograms

CustomerPrograms

Customer Information

PerformanceBenchmarking

Competitor Product

Information

Sales Tools

Product Presentation

SalesGuide

Sell-Against

Ordering Info

Customer Profiles

Warranty

HP Confidential

common segmentation

lead from customer-facing organizations

shift infrastructure from product to customer centric

common data standards, business rules, customer contact guidelines

lesson # 2

prioritize, develop, optimize around customer segments

hp’s ebusiness segments

enterprise

commercial

consumerconsumer

COHO

smallmedium

educationgovernment

US enterprise

Global enterprise

dedicated

cross functional

virtual

empowered

speed over elegance

lesson # 3

small, quick moving teams with new skill sets

holistic customer view

acknowledge, demonstrate business reality

identify where channel adds value, where you work together, where they have to evolve

inform your channel

offer customer choice

lesson # 4

proactively manage channel conflict

reseller integrationBusiness customer center

reseller integration

solution Sale

(3rd party)

product sale(hp)

set-up and training

(pre-qualified channel partner)

high touch sales

channel pr results “HP has figured out how to walk the delicate

balance between serving their SMB customers and maintain productive partnerships with resellers. I’ve always been impressed with HP’s understanding of the SMB market and ability to help us reach the right customers with our local consulting, implementation, and troubleshooting skills.” -- reseller quote

“One of the things HP has always been good at is keeping its dealers well informed and up to date. As long as they’re up front about what they’re doing and dealers understand what role they still have, I think it will work.” -- technology analyst quote

direct doesn’t mean “do it yourself”

when and why to outsource

speed versus differentiation order management call center web development fulfillment and

delivery marketing

lesson # 5

determine your core competencies

quicker feedback to all customer organizations

the best ebusiness ideas often have high ROI in indirect selling motions supply chain content mgt

systems database marketing cost-to-serve

models marketing program

effectiveness

lesson # 6

allow ebusiness to influence most of your core processes

1999-2000 US hp ecommerce results

$0$5$10$15$20$25$30$35$40$45$50

Jun Ju

lAugSep Oc

tNovDecJanFebMarApr

millions enterprise

commercialconsumer

What’snext?

Proliferation of modular services and IT resources available on the Net

you don’t have to go to a website to trigger an e-service

describe to each other what they can do

ecosystem of eservices can be allied on the fly

the next e: e

services

reinventing printing as you know it today.

printer is peripheral - frozen in time - waste and obsolescence - same for all - producer pushed

printer is service - timely, up-to-date - efficiency - customizable - consumer choice

recent printing e-services partners

Printer is Peripheral - Frozen in time - Waste and obsolescence - Same for all - Producer pushed

new printing e-services that simplify life

inventing new business models for printing and imaging customers

building the printing e-services ecosystem with HP as a partner

print, fold, seal AND stamp in one easy step

(hp and stamps.com)

business, financial, marketing, subscriptions bundled with printers

(hp instant delivery)

automatic supplies reordering automatic support notification (hp)

integrating products and

eservices

billing station

subscriptionservices

self-serviceprinting

our coalescing vision

a spirit of invention in all that we do

becoming the company that makes the Internet work for customers

providing the best total customer experience