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Channel Leadership Survey

"Now is the right time for HP to get into Tablets"

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Rajkumar Rishi
Sr. Director, Consumer GTM,
PPS HP India

 

The newly-launched tablet and phablet business of HP is, what HP calls, an extension of its PC business. "From a consumer standpoint, there is an overlap happening when we talk of both PC and tablet/phablet segment. After positioning ourselves as a leading player in the PC business – of both desktops and consumer notebooks, we had to have an entire range of products with all the technology available as far as mobility is concerned. This is when we decided to enter into the tablet segment," explains Rajkumar Rishi, Sr. Director, Consumer GTM, PPS, HP India.

In the category of voice tablet, HP has launched two Android-based dual-SIM devices – Slate 6 which is a 6-inch phablet and Slate 7, which is a 7-inch tablet. There is also the Omni 10 – a Windows-based 10-inch tablet. 

The tablet market has evolved today from where it was three years back and where it is today. There is a huge difference now. The tablet market is reported to be selling almost 1.2 million units per quarter. "It is absolutely right time for a brand like HP to get into," Raj says. "Consumers were looking for a core IT brand as now they have really evolved. A few years back when it was a new category, there were various kinds of buyers, starting from serious users to people using it as a gaming device. But now it has come to a point where customers know very well what they want from a tablet. We have done our homework on this and we know how to get to our customers better." This is notwithstanding the fact that HP came out with its TouchPads in the global market in 2011, but discontinued it after they were in for 6 months as the market has not evolved then. 

 

Channel Arrangement...

For sale of its tablets, HP is going to leverage its current channel. "On the one hand, we got our exclusive HP stores – almost 300 of them in the market – we also have associated with LFRs like Croma, Reliance Digital and large multi-brand outlets. We have engaged our huge network of distribution channel and resellers in different cities. So this is one way of going to the market. Additionally, there is a telecom channel available with whom we have started engaging too. So whereas our 7-inch tablet is sold both by IT and telecom channel, the 6-inch device is sold by IT channel. So there is a mix of both," Raj exclaims. 

On the marketing side, HP already has the TV, print campaigns and digital campaigns for the tablets running. In retail stores, HP is engaging below the line retail marketing tool to woo customers. "When people walk into a store, HP devices should be visible to them. We have appointed Store promoters in a large number of stores to provide product information to the consumer. So it is a 360-degree marketing that we are doing," Raj observes.  

In the long run...

The channel is going to play a very key role in positioning HP's tablet business, according to Rishi. "Physical channel has played a very important role in taking HP to where it is today. Since this is a new category, I have been in touch with a large number of partners and they all are very excited. We need to work hard to make our presence in this segment. For a brand like HP, we will have to play a balanced role and ensure there is a fair play between different channels. Traditional Channel is growing like we are growing. Similarly, branded shops are growing with us and so do the MBOs and LFRs."

Raj further reiterates, "We are No. 1 in almost every sub-section of our PC and printer business. If you have to be equally strong in tablet, you have to get across a larger segment rather than focussing on one particular segment."

HP's strength lies in its dealer network, its support service and most importantly the brand HP. Adding to it is the technology HP overall has. To further boost consumer interest, HP has roped in Deepika Padukone as the Brand Ambassador for the newly-launched tablets. The partnership drives home a simple message – that both Deepika and HP being multi-faceted will go a long way in making  HP tablets a big success in the market. 

samrita@varindia.com