|By Lori Witzel||
|January 15, 2013 05:00 AM EST||
The HP TouchPad was launched July 1, 2011, and was discontinued August 18, 2011. The Marketing Center of Excellence (MCOE) may provide a framework for understanding (and preventing) the sorts of “black swan” marketing failure that HP experienced with its TouchPad launch. I think the key value provided by a MCOE for reducing the risk of a “black swan fail” is its enablement of a holistic, cross-disciplinary approach to marketing at enterprise level.
Leslie Ament, SVP at Hypatia Research Group, asked a great question that points towards the complexity underlying the situation, and the potential value of a MCOE: “Is this a failure of 1) product features, 2) timing of launch, 3) targeting of market segment and/or 4) demand generation, branding, and execution of campaigns?” In the framework of a MCOE, the operator here would be an “and,” rather than an “or.”
Hypothesis: Events and Issues
These events may have lead to HP’s decision to discontinue the TouchPad:
A number of poor reviews.
Per Sean Portnoy at ZDNet, “The bottom line was the TouchPad was released with several crucial flaws that led to mediocre reviews…" Mediocre would be an understatement; here’s a small sample:
Walt Mossberg wrote, “[The HP TouchPad] suffers from poor battery life, a paucity of apps and other deficits.”
Said David Pogue, “In this 1.0 incarnation, the TouchPad doesn’t come close to being as complete or mature as the iPad or the best Android tablets; you’d be shortchanging yourself by buying one right now…”
Matt Buchanan on Gizmodo opens his review, “I am so goddamned tired of the iPad. Which is why I was so excited for the TouchPad. And that's why I feel so completely crushed right now.”
And from Eliane Fiolet on Ubergizmo: “Overall, the results speak for themselves: the touchpad is the slowest tablet that we have tried in 2011. … The HP TouchPad did not stand up to expectations, so much that it died before getting a chance to be improved.”
Underwhelming consumer demand at launch compared to projections.
The poor reviews may have contributed to the serious gap between potential customer interest and inventory forecasting. Best Buy sold “less than 10 percent of the units in inventory” according to the “OuchPad” article in All Things D. Other retailers reported similar issues with inventory, per International Business Times.
Reading through an aggregated analysis of the HP TouchPad fail on The Week, some high-level themes emerge:
Poor price-to-performance compared to a market leader. The most serious concerns noted in reviews were slow performance; at a $599 launch list price, people just didn’t choose the TouchPad over the iPad unless they were “A.B.A.” (However, when HP dropped the price to $99 to clear out inventory, retailers sold out.)
Channel issues. As reported by Matt Rosoff in Business Insider SAI, "Best Buy doesn't want all that unsold inventory taking up shelf space, and is asking HP to take them back. Todd Bradley or another HP exec is reportedly going to fly to Minneapolis to try and persuade Best Buy otherwise." While no other channel issues surfaced in my research, Best Buy can’t have been the only retailer pushing back.
Launch issues. HP had a daunting task—to cut through WebOS being lumped into Android “me-too-ness” while grabbing market share from Apple’s iPad. Rather than launch later, which would have put its new product in the run-up to the 2011 holiday shopping season, HP chose to launch on the July 4 weekend.
Despite the July 4th timing, Google Trends shows an incredibly steep climb in search volume for “HP TouchPad”; there was a lot of buzz and interest. Unfortunately, the climb quickly dropped off into a cliff that seems to represent an abrupt collapse in interest and demand.
Using the MCOE evolutionary model to respond to Leslie Ament’s question, what Marketing Communities of Practice would have been involved?
The issues noted by reviewers related to performance would be R&D and Product Management’s domain. The price-to-performance issues would be Product Marketing (possibly compounded by issues on margins and the cost of Bill of Materials involving Product Management). Channel issues would rest with Product Marketing. If there were problems caused by the timing of the launch or pre-sales Demand Generation/AR/PR, they are not reflected in the spike of interest shown by Google Trends. (It’s hard to say what the actual comparative search volumes were in Google - at this moment, “HP TouchPad” shows about 75-100 searches per day, and “Apple iPad” shows roughly 900 per day.)
If we make the assumption (and I know it’s a whopper) that a company like HP would at least be at Levels 2 to 3 on the MCOE Maturity Model across the horizontal domains of People, Processes, Technology, and Data, how could a failure of this magnitude occur?
Using the MCOE framework may help clarify where things broke down:
People. Even if each disciplinary area was focused on “best practices,” were there shared goals to drive and support cross-disciplinary work by the Communities of Practice? Were there breakdowns in communication like this one, but among disciplinary areas? How was conflict (for example, possible conflict between the Hardware team and the WebOS team) managed?
Processes. How were risks (for example, press/reviews) identified and weighted among and by the Communities of Practice? Was some form of cost/benefit analysis applied to risk, so executive management could be advised?
Technology. What inventory and sales forecasting systems were used, how accessible were they to the Communities of Practice, and could they provision for fast (near real-time) corrections?
Data. Were there issues with the data used in planning/reporting that affected accuracy?
In my opinion, the biggest risk to an organization from enterprise-scale marketing comes from silos that inhibit business agility and useful communication.The key value provided by a MCOE - not just for reducing the risk of a “black swan fail,” but also for enabling innovation, effectiveness, and efficiency—is its enablement of a holistic, cross-disciplinary approach to marketing in the enterprise.
Intelligent machines are here. Robots, self-driving cars, drones, bots and many IoT devices are becoming smarter with Machine Learning. In her session at @ThingsExpo, Sudha Jamthe, CEO of IoTDisruptions.com, will discuss the next wave of business disruption at the junction of IoT and AI, impacting many industries and set to change our lives, work and world as we know it.
Oct. 27, 2016 10:30 PM EDT Reads: 524
In today's uber-connected, consumer-centric, cloud-enabled, insights-driven, multi-device, global world, the focus of solutions has shifted from the product that is sold to the person who is buying the product or service. Enterprises have rebranded their business around the consumers of their products. The buyer is the person and the focus is not on the offering. The person is connected through multiple devices, wearables, at home, on the road, and in multiple locations, sometimes simultaneously...
Oct. 27, 2016 10:30 PM EDT Reads: 3,830
SYS-CON Events announced today that Transparent Cloud Computing (T-Cloud) Consortium will exhibit at the 19th International Cloud Expo®, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. The Transparent Cloud Computing Consortium (T-Cloud Consortium) will conduct research activities into changes in the computing model as a result of collaboration between "device" and "cloud" and the creation of new value and markets through organic data proces...
Oct. 27, 2016 10:30 PM EDT Reads: 1,498
Everyone knows that truly innovative companies learn as they go along, pushing boundaries in response to market changes and demands. What's more of a mystery is how to balance innovation on a fresh platform built from scratch with the legacy tech stack, product suite and customers that continue to serve as the business' foundation. In his General Session at 19th Cloud Expo, Michael Chambliss, Head of Engineering at ReadyTalk, will discuss why and how ReadyTalk diverted from healthy revenue an...
Oct. 27, 2016 10:30 PM EDT Reads: 3,070
SYS-CON Media announced today that @WebRTCSummit Blog, the largest WebRTC resource in the world, has been launched. @WebRTCSummit Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. @WebRTCSummit Blog can be bookmarked ▸ Here @WebRTCSummit conference site can be bookmarked ▸ Here
Oct. 27, 2016 10:30 PM EDT Reads: 9,783
Established in 1998, Calsoft is a leading software product engineering Services Company specializing in Storage, Networking, Virtualization and Cloud business verticals. Calsoft provides End-to-End Product Development, Quality Assurance Sustenance, Solution Engineering and Professional Services expertise to assist customers in achieving their product development and business goals. The company's deep domain knowledge of Storage, Virtualization, Networking and Cloud verticals helps in delivering ...
Oct. 27, 2016 10:15 PM EDT Reads: 1,155
The Internet of Things (IoT), in all its myriad manifestations, has great potential. Much of that potential comes from the evolving data management and analytic (DMA) technologies and processes that allow us to gain insight from all of the IoT data that can be generated and gathered. This potential may never be met as those data sets are tied to specific industry verticals and single markets, with no clear way to use IoT data and sensor analytics to fulfill the hype being given the IoT today.
Oct. 27, 2016 10:00 PM EDT Reads: 2,907
SYS-CON Events announced today that Hitrons Solutions will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Hitrons Solutions Inc. is distributor in the North American market for unique products and services of small and medium-size businesses, including cloud services and solutions, SEO marketing platforms, and mobile applications.
Oct. 27, 2016 10:00 PM EDT Reads: 2,089
OnProcess Technology has announced it will be a featured speaker at @ThingsExpo, taking place November 1 - 3, 2016, in Santa Clara, California. Dan Gettens, OnProcess’ Chief Analytics Officer, will discuss how Internet of Things (IoT) data can be leveraged to predict product failures, improve uptime and slash costly inventory stock. @ThingsExpo is an annual gathering of IoT and cloud developers, practitioners and thought-leaders who exchange ideas and insights on topics ranging from Big Data in...
Oct. 27, 2016 09:45 PM EDT Reads: 508
SYS-CON Events announced today that Enzu will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Enzu’s mission is to be the leading provider of enterprise cloud solutions worldwide. Enzu enables online businesses to use its IT infrastructure to their competitive advantage. By offering a suite of proven hosting and management services, Enzu wants companies to focus on the core of their online busine...
Oct. 27, 2016 07:45 PM EDT Reads: 1,462
The explosion of new web/cloud/IoT-based applications and the data they generate are transforming our world right before our eyes. In this rush to adopt these new technologies, organizations are often ignoring fundamental questions concerning who owns the data and failing to ask for permission to conduct invasive surveillance of their customers. Organizations that are not transparent about how their systems gather data telemetry without offering shared data ownership risk product rejection, regu...
Oct. 27, 2016 07:15 PM EDT Reads: 298
The Open Connectivity Foundation (OCF), sponsor of the IoTivity open source project, and AllSeen Alliance, which provides the AllJoyn® open source IoT framework, today announced that the two organizations’ boards have approved a merger under the OCF name and bylaws. This merger will advance interoperability between connected devices from both groups, enabling the full operating potential of IoT and representing a significant step towards a connected ecosystem.
Oct. 27, 2016 06:15 PM EDT Reads: 1,329
November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Penta Security is a leading vendor for data security solutions, including its encryption solution, D’Amo. By using FPE technology, D’Amo allows for the implementation of encryption technology to sensitive data fields without modification to schema in the database environment. With businesses having their data become increasingly more complicated in their mission-critical applications (such as ERP, CRM, HRM), continued ...
Oct. 27, 2016 05:45 PM EDT Reads: 1,190
SYS-CON Events announced today that Embotics, the cloud automation company, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Embotics is the cloud automation company for IT organizations and service providers that need to improve provisioning or enable self-service capabilities. With a relentless focus on delivering a premier user experience and unmatched customer support, Embotics is the fas...
Oct. 27, 2016 05:00 PM EDT Reads: 1,067
SYS-CON Events announced today that Cloudbric, a leading website security provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Cloudbric is an elite full service website protection solution specifically designed for IT novices, entrepreneurs, and small and medium businesses. First launched in 2015, Cloudbric is based on the enterprise level Web Application Firewall by Penta Security Sys...
Oct. 27, 2016 04:30 PM EDT Reads: 1,345
Smart Cities are here to stay, but for their promise to be delivered, the data they produce must not be put in new siloes. In his session at @ThingsExpo, Mathias Herberts, Co-founder and CTO of Cityzen Data, will deep dive into best practices that will ensure a successful smart city journey.
Oct. 27, 2016 04:15 PM EDT Reads: 3,282
Data is the fuel that drives the machine learning algorithmic engines and ultimately provides the business value. In his session at Cloud Expo, Ed Featherston, a director and senior enterprise architect at Collaborative Consulting, will discuss the key considerations around quality, volume, timeliness, and pedigree that must be dealt with in order to properly fuel that engine.
Oct. 27, 2016 01:45 PM EDT Reads: 3,998
SYS-CON Events announced today that MathFreeOn will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. MathFreeOn is Software as a Service (SaaS) used in Engineering and Math education. Write scripts and solve math problems online. MathFreeOn provides online courses for beginners or amateurs who have difficulties in writing scripts. In accordance with various mathematical topics, there are more tha...
Oct. 27, 2016 01:45 PM EDT Reads: 1,174
Successful digital transformation requires new organizational competencies and capabilities. Research tells us that the biggest impediment to successful transformation is human; consequently, the biggest enabler is a properly skilled and empowered workforce. In the digital age, new individual and collective competencies are required. In his session at 19th Cloud Expo, Bob Newhouse, CEO and founder of Agilitiv, will draw together recent research and lessons learned from emerging and established ...
Oct. 27, 2016 01:45 PM EDT Reads: 1,621
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, will discuss how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team a...
Oct. 27, 2016 01:15 PM EDT Reads: 874