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10 Step Marketing Planfor Hewlett-Packard

Emmanuel JunioMarch 2013


This 10 Step Marketing Plan is part of the mandatory requirements of Prof. Remigio Joseph De Ungria’s AGSB marketing management class.

The data included in this report are based on publicly available data such as those on internet websites, news, package declarations, public reports.

When appropriate, data are “masked” so as not to create unexpected conflicts.

The reports are posted and linked on slideshare, blogs and facebook so that there is easier sharing among students from different marketing classes.

Disclaimer


1. Small, Medium and Large Corporate Enterprise businesses

2. Customers want the best high-quality IT solution and services to optimize business

3. Competing 3rd Party IT Service Providers (IBM and Fujitsu) or In-house support

4. Gap is all other IT vendors offer the similar services at cheaper price

5. $184B USD. HP niche is $34.678B

Steps 1 to 5

Summary headline of your PTM and market


6. IT Enterprise Services7. HP price is more often higher than

competitor price8. All promo methods (ads, media,

entertainment, commercials, multi-media, experiences, etc)

9. Global (AMS, EMEA, APJ)10. Generic Winning Strategy of Mix

Steps 6 to 10

Summary headline of the marketing mix & strategy


1. Primary Target Market

Corporate Businesses- Small, Medium, Large Enterprises

Businesses engaged in IT technology and IT services

Businesses with at least $1 million Total Contract Value of at least 1 year contract duration


2. Customers’ Needs, Wants and Demands

Enterprise Customers choose HP for the best IT solution and services

Enterprise Customers: Need to run the business the most

efficient and effective way possible Want to be secure, patronized by the

end-users/clients Expect the best service for the price


2. Enterprise Customers’ needs, wants and demands

7Reference: Maslow’s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler

Enterprise Customers needRecognition, Awards, etc

Enterprise Customers needs business security

Enterprise Customers needsacceptance from End-users/End-Customers

Enterprise Customers needto go beyond the basics


3a. HP and its competitors


3a. Variables affecting Competition Price Capability Offerings End-to-end Service Offerings (plus value

add) Service Window Service Level Exclusivity of service

(Leveraged/Dedicated)


3b. Positioning Maps

# Company

1 IBM2 HP3 Fujitsu4 CSC5 Accenture6 Capgemini7 Hitachi8 Ericsson9 NTT Data Corporation

10 NEC11 BT Global Services12 T-Systems13 Lockheed Martin14 SAIC15 Atos Origin16 Huawei17 Siemens18 ACS19 Microsoft20 Digital China

# Country Companies

1 United States 53

2 United Kingdom 7

3 Japan 6

4 France 5

5 India 5

6 China 5

7 Other 19


4. HP positions strongly in a niche market opportunity

HP is the only IT company: which ranks in the top 10 in Fortune 500 which offers end-to-end IT solution (hardware,

software, services, etc) to small, medium, large enterprise business; private, or government institutions

has strong global presence across the globe that pioneered Green revolution (eco-friendly

IT solution)


5a. Market share

The world's leading companies in IT services are IBM, HP and Fujitsu. With services revenues of US$ 37.3 billion, IBM remains the largest IT

services company in the world. HP (2) however, almost closed the revenue gap with IBM, after taking over

EDS in 2008: HP now posted services revenues of US$ 34.7 billion. Fujitsu and CSC held on to positions 3 and 4 on the list, respectively,

followed by consultants Accenture (5) and Capgemini (6). Ericsson (8) boosted services revenues in 2009, entering the top 10 as a result, while Hitachi (7) had a more difficult year (–10%).

All of the top 10 companies brought in more than 10 billion USD, and 93 of 100 companies in the Services Top 100 posted revenues above 1 billion in 2009.

Together, the Top 100 saw their revenues creep up 1.7% to US$ 453 billion. Protected by long-running outsourcing contracts, most firms did not suffer any material declines during the economic crisis. Probably, the industry will return to double-digit growth rates when the economy gains traction.


5b. Market Size

# CompanyServices Revenue

US$ M

1 IBM 37,3472 HP 34,6783 Fujitsu 26,9354 CSC 16,2815 Accenture 15,5556 Capgemini 11,2557 Hitachi 11,0508 Ericsson 11,0319 NTT Data Corporation 10,425

10 NEC 9,55511 BT Global Services 9,23712 T-Systems 8,74413 Lockheed Martin 8,08714 SAIC 7,54715 Atos Origin 7,38616 Huawei 7,27717 Siemens 6,94918 ACS 6,70019 Microsoft 6,26520 Digital China 6,218


6a. HP Products and Services


6b. Product Description

HP offers: the state-of-the-art technology the best high quality products and

services


7. Price

HP’s price is 20-30% higher than competitor products and services

But is almost at par with IBM price


8a. HP uses all promotional methods


8a. HP Marketing


9. HP is located everywhere

Globally available AMS, EMEA, APJ Onshore, Nearshore, BestShore Local or overseas Virtually, Remotely or Physically

available


10. HP Winning strategy?

HP’s strategy is to dominate the IT Enterprise niche market and to continue to become the number one (1) IT industry in the whole world

HP has excellent products and services available globally with proven track record through the ages


Summary


1. Small, Medium and Large Corporate Enterprise businesses

2. Customers want the best high-quality IT solution and services to optimize business

3. Competing 3rd Party IT Service Providers (IBM and Fujitsu) or In-house support

4. Gap is all other IT vendors offer the similar services at cheaper price

5. $184B USD. HP niche is $34.678B

Steps 1 to 5

Summary headline of your PTM and market


6. IT Enterprise Services7. HP price is more often higher than

competitor price8. All promo methods (ads, media,

entertainment, commercials, multi-media, experiences, etc)

9. Global (AMS, EMEA, APJ)10. Generic Winning Strategy of Mix

Steps 6 to 10

Summary headline of the marketing mix & strategy


10 Step Marketing Planfor Hewlett-Packard

Emmanuel JunioMarch 2013

mm marketing 10 stepmarketingplan - emmanuel junio

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