transitioning to ebusiness
within hp
paul horstmeier
commercial ebusiness mgr
printing and imaging
the importance of
ebusiness at hp
hp in 1998
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$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
customer
relationship
commerce
support
publishing
web sites
web portals
time
site customization
hp.com statistics
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Visits to www.hp.com
Total pages
Country sites
Traffic growth
Driver downloads
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1,000,000 sessions/day
550,000 worldwide
47
20% year
180,000 per day
9%

5%
Breakout of traffic by
business
30%
56%
Printing
PCs
Enterprise
Agilent
hp internal
ebusiness
challenges

hp web site
–
–
–
–
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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
lesson # 1
manage your
web site and
content as a
strategic asset

centralized, empowered
governance

web content and strategies
spanning across all
customers
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consistent, integrated,
branded customer
experience
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issue and enforce edicts
hp.com strategic framework
customer experience focus
customer
interaction
view localization
mgt
ebusiness
activities
emarketing
look & feel
eselling
information
services
content management
technologies
interface
navigation
esupport
comm
vehicles
epartnering
customer data management
applications and data
infrastructure
spending efficiency focus
integrated hp.com
web improvements
Phase 1
Q3 99
Consistency
common navigation
common look and feel
common help
enhanced search
Globalization
gateway management
Brand refresh
New HP brand look-and-feel
Phase 2
Q1 00
Phase 3
Q3 00
Common
customer id
Business to business customization
common login
hp.com migration
Before
Current
hp.com…our future site
“content” logical data model
Technical Information
Customer Profiles
Technical
Specifications
Performance
Benchmarking
Customer Information
Product & Solution Classification
Cost of
Ownership
Segments
Categories
Product
Manuals
Competitor
Company
Information
Industries
Products & Solutions
Manuals
Competitor Information
Competitor
Product
Information
Sales Tools
Product
Presentation
Sales
Guide
SellAgainst
Solution Matrix
Section
Section
Section
Section
Supplies
Accessories
Base
Product
Services
Software
Product Marketing Information
Features &
Benefits
Customized
Selling
Points
Technology
Briefs
Manuals
Warranty
Software
Drivers
Driver
Release
Information
Fulfillment Information
Regions & DCs
Price
Customer Support Information
FAQs &
How-To’s
HP Confidential
Issues &
Resolution
Software
Download
Instructions
Marketing Communication
Advertising
& Branding
Ordering Info
Availability
Industry
Awards
Order Status
Legal Notices
Disclaimers, Agreements &
Policy Statements
Design
Guidelines
Reviewers
Guide
Success
Stories
Marketing Programs
Customer
Programs
Reseller
Programs
Promotions
lesson # 2
prioritize,
develop, optimize
around customer
segments
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common segmentation
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lead from customer-facing
organizations
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shift infrastructure from
product to customer centric
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common data standards,
business rules, customer
contact guidelines
hp’s ebusiness segments
consumer
consumer
COHO
commercial
enterprise
small
medium
education
government
US enterprise
Global enterprise
lesson # 3
small, quick
moving teams
with new skill
sets
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dedicated
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cross functional
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virtual
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empowered
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speed over elegance
lesson # 4
proactively
manage
channel conflict
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holistic customer view
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acknowledge, demonstrate
business reality
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identify where channel adds
value, where you work
together, where they have
to evolve
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inform your channel
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offer customer choice
reseller integration
Business customer center
reseller integration
high touch sales
set-up and
training
solution Sale
(pre-qualified
channel partner)
(3rd party)
product sale
(hp)
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
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“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
lesson # 5
determine your
core
competencies
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direct doesn’t mean “do it
yourself”
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when and why to outsource
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speed versus differentiation
 order management
 call center
 web development
 fulfillment and delivery
 marketing
lesson # 6
allow ebusiness
to influence
most of your
core processes

quicker feedback to all
customer organizations
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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
$50
$45
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$5
$0
enterprise
commercial
consumer
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ar
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pr
Ju
n
millions
1999-2000 US
hp ecommerce results
What’s
next?
the next e:
e services

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
reinventing printing
as you know it
today.
printer is peripheral
printer is service
- frozen in time
- timely, up-to-date
- waste and obsolescence
- efficiency
- same for all
- customizable
- producer pushed
- 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
integrating products
and eservices

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)
billing
station
subscription
services
self-service
printing

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