#HP $HPQ to Cull PC's & Printers: New Company Called, "HP, Inc." - Get It?

"Ah ! well a-day ! what evil looks
Had I from old and young !
Instead of the cross, the Albatross
About my neck was hung."
--- Coleridge

In 1991 Lexmark was formed when IBM divested its printer and printer supply operations to an investment firm. On November 15, 1995, Lexmark was publicly traded .  Today the company is trading at $41.59 has a revenue around $3.7B and about 12,000 employees.  Back in the 90's, Lexmark boasted a revenue of nearly $2.0B.

IBM was in the midst of one of the greatest corporate transformations in history.  The company was in turmoil; internal leadership changes, intense competitive pressures, economic headwinds and a fractured self-image.  They didn't know who they were, what they did or how to do whatever it was they were going to do, better.
Crazy times, the 90's.

Today, another great technology firm finds herself in the throws of transformation - HP offers everything from servers, clouds, PC's, laptops, printers, supplies and services. But its not enough.  More accurately, its just too much. What IBM grew through, HP is now experiencing - you can't be everything to everyone.  If that were all, it would be bad enough, but its worse.  HP, Microsoft and the rest of the WinTel realm can no longer dictate demand. Their rule is not as relevant as in the past.

Take printers, for example.  HP brought the laser printer into the business world and for a decade or two, HP was synonymous with printing.  But in 2007, the winds of change were upon us.  No matter how much marketing tries to accentuate the shift from toner to ink, black and white to color, desktop to mobile, hard copy print will never rebound;  sinking more resources against the tide is folly.

What made HP great, is holding her back.  Print is the albatross.

Some will herald the move as great strategy - it might be - for sure, this is a responsive tact, not one that bends the market to HP's will.

Nothing, not even the company who brought the laser printer to nearly every desktop in the land, can reverse the trend.  Printing is dying.  Not because we've all decided to stop killing trees, or understand printing decreases the ozone layer or bringing on the next ice age.  HP is a victim of the shift in How We Work:

• No more desktop PCs
• No more servers
• Fewer laptops
• We do not print the same
• We communicate differently
• Fewer printers
• Almost no copiers

Today, we communicate under glass more than ever before. Generations of young adults live in a world without PC's, rotary phones, black and white TV, newspaper delivery or a printer.  Like generations before them understood life with electricity, they've never known a world without the internet.  Why in the world would they ever want or need to print anything?  Why?  Ask them.

Tablets, smart phones and new workflows, oh my.

"No one in the printing industry, or outside it, had any idea that the iPad would come along and destroy three- to four-thousand-year-old human traditions concerning paper," explained Gary Peterson, chief executive at Gap Intelligence, a San Diego-based research analysis firm.

No one except us...here.

In light of this expected turn, to all the paperless deniers, I ask this:

• If employees print 10,000 images each/year...
• If mobile print is a viable option...
• If global print volumes are rising...
• If OEMs can re-establish the relevancy of print...

then...

• Why did International Paper shutter it's biggest, 8.5x11 sized paper producing plant if print volumes are increasing?
• Why did HP layoff 40,000 employees when the second coming, mobil print or ink, is just around the corner?  Think of layoffs as The Rapture.
• Why is less than half of Xerox's revenue generated through equipment sales?
• Why would a leading copier manufacturer build an erasable copier?
• Even without printing capabilities, Apple still sold more than a dozen iPads

Denial.

"HP profits are reliant on selling "consumables" like inkjet cartridges, so the company can't be eager to see that business sidelined by the new prominence of tablets and smartphones. Even though mobile device make it easier to skip the printer in some cases, for example with electronic boarding passes and mapping apps, McCoog doesn't see printing as an endangered business.

Yeah, right.

What does this mean to all of you selling copiers and MpS?  Keep doing what you're doing, your resume clean and enhance your PERSONAL ACUMEN every day.  The change isn't coming, it is already here and you've got to improve yourself beyond the box and away from marks on paper.

Perhaps two decades from today, we'll look back and remember how HP built a great print business, sold it off and turned into the technology powerhouse Bill and Dave envisioned.


1991 -

The Death of A #CopierSale - Birth of a #ManagedServices Engagement

10/2014

There we were, sitting shoulder to shoulder with a freshly minted copier rep talking to a prospect. The rep was leading the team in monthly revenue and looking to lock it all up with this opportunity.

 The five of us, three on the provider side, and two on the prospect were discussing the benefits of managed services. Our prospect was lamenting the many challenges with the current IT services provider:

- "Never hear from them"
- "Whenever they come out, they charge us. And they always come out."
- "I asked them if our backup was secure and found out it wasn't last week when we lost power"
- "He only does hardware and knows nothing about printers"
- "What are we paying for, again?"

The pain was there waiting for us to isolate and trial close. We knew how much they were paying and they wanted to work with one company, for all their technology needs.

Yes - we could have closed right then and there...

But we didn’t.


Out of my mouth came the following words,

"Well, we can certainly remove all your current issues. Our managed services program is designed to address everything you mentioned...but for now, let's concentrate on getting your copiers squared away, and then talk about managed services...don't let a managed services decision get in the way of new copiers..."

Wait...what did I just say?

The Fall of IT and the Rise Of The Human Resources Department

BYOD, the Cloud and 99 cent apps are shifting Information Technology expertise from the glass room to the end user at an accelerating rate.

Once, all business tools were housed 'back at the office' - the phone system, postage meter, mainframe, desktop and network, all your paperwork and files were physically located under one roof.  To support this infrastructure, organizations splintered responsibilities into appropriate departments; accounting, marketing, warehouse, sales, and administration departments carried separate responsibilities, budgets and expectations.  

IT was one such department.  

The 2014 Executive Connection Summit - "They Let the DeathOfTheCopierGuy In?"

The Executive Summit has been in existence for three years, this is my first one.  For context, I've attended and spoken at every domestic Photizo MPS conference, I attended and spoken at a few ITEX get-togethers and a BTA meeting - I 've attended more shows than I can remember.

I've known of MWAi and the group for years, meeting Mike Stramaglio at a Lyra back in ....2009 or 08, I forget. Mike and I have broken bread and on occasion, we've even solved many of the world's problems over whiskey, Cabernet, or some other variation of libation.  

As it Turns Out RELEVANT Content is King.

Relevance - 

Peggy Winton, CMO over @AIIM, reposted an article on LinkedIN about the benefits and pitfalls of content. Read the article, here. The essence of the piece is good content is better than bad content and bad content may hurt your reputation.

Earth shattering, isn't it?

It doesn't take a Marketing Degree agree or disagree with the author who presents good insight

From the article, "Being barraged with irrelevant content, misleading titles and promotion actually damages the brand." this is, and ALWAYS has been true, from late-night infomercials to toilet paper adverts.

Another great quote applicable in the copier/imaging industry, "A strategy based primarily on vendor generated content negatively impacts conversion because buyers consider that information biased and untrustworthy."

This includes content(sponsored) in free magazines, white papers and especially from the analyst community - it is all bought and paid for.

We've been saying this for years, the top-down, 'build it and they will buy' mentality propagated by OEMs and supported through hardware quota's was once old-fashioned.   

Today, its dangerous to the channel.

The phrase "Content is King" assumes 'relevant' or 'pure' is in there somewhere, as in "Pure Content is King". Which leads to the next level, "How pure can your content be, if you outsource its generation?"

In the turbulent world of content marketing and marketing content, Purity is difficult to muster.  The foundational question is,  "How can your content be relevant if you and what your offering is irrelevant?" Like it or not, the act of printing and copying is not that important and if you've built your business on the reliability and relevancy of office printing and copying, you could be in dire straits.

But I don't believe you are irrelevant, yet.  I believe you have happy customers with great stories.  I believe you ARE transforming into a leaner and more intelligent organization.

You just need to get your clients' stories out into the open.

Click to email me. 

What the #LatteSalute Says About Managed print Services

The internet is afire with accusations and defense around the President of The United States(POTUS) lackluster salute.

Say and think what you want, but our personal, core values are illustrated every day, on a subconscious level.  The clothes we wear, our body language even the way we look at others, tells the world who we are and what we believe.  How we move and act when nobody is watching displays how we feel about ourselves and the world around us.