|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.
Is the ongoing quest for agility in the data center forcing you to evaluate how to be a part of infrastructure automation efforts? As organizations evolve toward bimodal IT operations, they are embracing new service delivery models and leveraging virtualization to increase infrastructure agility. Therefore, the network must evolve in parallel to become equally agile. Read this essential piece of Gartner research for recommendations on achieving greater agility.
Aug. 25, 2016 05:15 PM EDT Reads: 602
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.
Aug. 25, 2016 03:30 PM EDT Reads: 1,483
DevOps at Cloud Expo, taking place Nov 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 19th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long dev...
Aug. 25, 2016 03:15 PM EDT Reads: 2,199
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 19th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices - comp...
Aug. 25, 2016 02:00 PM EDT Reads: 3,543
The 19th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportuni...
Aug. 25, 2016 01:00 PM EDT Reads: 3,885
SYS-CON Events announced today that Venafi, the Immune System for the Internet™ and the leading provider of Next Generation Trust Protection, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Venafi is the Immune System for the Internet™ that protects the foundation of all cybersecurity – cryptographic keys and digital certificates – so they can’t be misused by bad guys in attacks...
Aug. 25, 2016 01:00 PM EDT Reads: 2,592
SYS-CON Events announced today Telecom Reseller has been named “Media Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Telecom Reseller reports on Unified Communications, UCaaS, BPaaS for enterprise and SMBs. They report extensively on both customer premises based solutions such as IP-PBX as well as cloud based and hosted platforms.
Aug. 25, 2016 09:00 AM EDT Reads: 575
For basic one-to-one voice or video calling solutions, WebRTC has proven to be a very powerful technology. Although WebRTC’s core functionality is to provide secure, real-time p2p media streaming, leveraging native platform features and server-side components brings up new communication capabilities for web and native mobile applications, allowing for advanced multi-user use cases such as video broadcasting, conferencing, and media recording.
Aug. 25, 2016 08:45 AM EDT Reads: 2,113
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.
Aug. 25, 2016 08:30 AM EDT Reads: 1,748
Pulzze Systems was happy to participate in such a premier event and thankful to be receiving the winning investment and global network support from G-Startup Worldwide. It is an exciting time for Pulzze to showcase the effectiveness of innovative technologies and enable them to make the world smarter and better. The reputable contest is held to identify promising startups around the globe that are assured to change the world through their innovative products and disruptive technologies. There w...
Aug. 25, 2016 08:30 AM EDT Reads: 464
Akana has announced the availability of version 8 of its API Management solution. The Akana Platform provides an end-to-end API Management solution for designing, implementing, securing, managing, monitoring, and publishing APIs. It is available as a SaaS platform, on-premises, and as a hybrid deployment. Version 8 introduces a lot of new functionality, all aimed at offering customers the richest API Management capabilities in a way that is easier than ever for API and app developers to use.
Aug. 25, 2016 06:00 AM EDT Reads: 1,436
Personalization has long been the holy grail of marketing. Simply stated, communicate the most relevant offer to the right person and you will increase sales. To achieve this, you must understand the individual. Consequently, digital marketers developed many ways to gather and leverage customer information to deliver targeted experiences. In his session at @ThingsExpo, Lou Casal, Founder and Principal Consultant at Practicala, discussed how the Internet of Things (IoT) has accelerated our abil...
Aug. 25, 2016 02:00 AM EDT Reads: 1,917
SYS-CON Events announced today that 910Telecom 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. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
Aug. 25, 2016 02:00 AM EDT Reads: 1,809
With so much going on in this space you could be forgiven for thinking you were always working with yesterday’s technologies. So much change, so quickly. What do you do if you have to build a solution from the ground up that is expected to live in the field for at least 5-10 years? This is the challenge we faced when we looked to refresh our existing 10-year-old custom hardware stack to measure the fullness of trash cans and compactors.
Aug. 25, 2016 01:15 AM EDT Reads: 1,640
The emerging Internet of Everything creates tremendous new opportunities for customer engagement and business model innovation. However, enterprises must overcome a number of critical challenges to bring these new solutions to market. In his session at @ThingsExpo, Michael Martin, CTO/CIO at nfrastructure, outlined these key challenges and recommended approaches for overcoming them to achieve speed and agility in the design, development and implementation of Internet of Everything solutions wi...
Aug. 25, 2016 12:45 AM EDT Reads: 1,924
19th Cloud Expo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterpri...
Aug. 25, 2016 12:00 AM EDT Reads: 2,995
Today we can collect lots and lots of performance data. We build beautiful dashboards and even have fancy query languages to access and transform the data. Still performance data is a secret language only a couple of people understand. The more business becomes digital the more stakeholders are interested in this data including how it relates to business. Some of these people have never used a monitoring tool before. They have a question on their mind like “How is my application doing” but no id...
Aug. 24, 2016 09:15 PM EDT Reads: 1,703
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...
Aug. 24, 2016 09:45 AM EDT Reads: 2,275
Amazon has gradually rolled out parts of its IoT offerings in the last year, but these are just the tip of the iceberg. In addition to optimizing their back-end AWS offerings, Amazon is laying the ground work to be a major force in IoT – especially in the connected home and office. Amazon is extending its reach by building on its dominant Cloud IoT platform, its Dash Button strategy, recently announced Replenishment Services, the Echo/Alexa voice recognition control platform, the 6-7 strategic...
Aug. 24, 2016 04:30 AM EDT Reads: 2,233
Cloud computing is being adopted in one form or another by 94% of enterprises today. Tens of billions of new devices are being connected to The Internet of Things. And Big Data is driving this bus. An exponential increase is expected in the amount of information being processed, managed, analyzed, and acted upon by enterprise IT. This amazing is not part of some distant future - it is happening today. One report shows a 650% increase in enterprise data by 2020. Other estimates are even higher....
Aug. 24, 2016 12:00 AM EDT Reads: 2,878