ReThink Inkjet: Transforming Printer Perceptions and Performance

1. HP Officejet Pro – ReThink Inkjet WIP Ashwini K Aggarwal Sept 2006

2. Insight & Problem Statement Insight: • We are dealing with a strong customer perception and mind-set that inkjetprintersCANNOT be cheaper and faster than laser. • Majority of customers see laser as the only choice for speed and quality and low cost printing when it comes to productivity. • Across AP we are also seeing the laser price point fall beyond the US$100 price point. Problem Statement: • Our target audience think laser technology is the future and Inkjet technology is at best inferior, or at worst outdated…so laser is their ‘default choice’ when they’re thinking about buying a new printer

3. Objectives, strategy & messaging

4. ReThink Inkjet Objectives • Build OJ Pro leadership while building the laser alternative category and own the 1-99 sector • Change perception by positioning Officejet Pro / BIJ as the low cost- per-page, high speed alternative to laser • Establish HP OJ Pro as the first choice for Soho, Micro-biz and Small business • Establish HP via OJ Pro (A3) products as the first choice for DIY / In- house marketing Est. leadership position Reinforce leadership Change perception Ownership

5. Campaign strategic focus ‘Productivity Ink’ ‘ReThink Inkjet – HP Officejet Pro’ 1 2 3 Myth Busting Dispelling myths about business inkjet printing Colour in the office AIO Q107 DIY Marketing Print in-house for less. HP enables you to do so with speed and quality Establishment leadership in DIY category Change perception and establishment of laser alternative category

6. Campaign focus areas

7. Integrated campaign Channel Educate key stakeholders (Awareness) ATL Focus on features that re-define Inkjets (Awareness) Online Interactive demonstrations of re-defining Inkjets (Preference & conversion) ‘ReThink Inkjet – HP OJ Pro’ (e)DM Targeted messaging focusing on key benefits of HP’s redefinition of Inkjet printers (Preference & conversion) PR Generating word-of-mouth around how HP has redefined Inkjet technology an the category (Consideration) In-store Convince during decision making process (Conversion)

8. Value proposition, messaging & tonality

9. Productivity Ink Value Proposition HP Officejet Pro - HP’s productivity ink printers offer lower CPP, faster speeds and professional laser print quality than that of laser printers • For micro business, home business and unmanaged small business customers who are seeking outstanding performance and value from their printers, HP’s OfficeJet Pro inkjet printers (AiO & SF) offer lower CPP, breakthrough speeds and unmatched print quality, backed by HP’s outstanding reliability and support, all at a similar or below price. Proof points: • 25% lower b&w CPP • 30% lower colour CPP • Fast print speeds – up to 2x faster • Professional laser quality - SpencerLab • CPP specific SpencerLab • 90% lower print costs vs. tradtional print shops (K850)

10. Productivity Ink Messages

11. Criteria for selling OJ Pro vs. Laser(HP Confidential – internal use only) (2H06 to 1H07) Colour laser Multi-function Colour laser Single function Mono laser Multi-function Mono laser Single function Ink multi function Ink single function 500 CLJ2605dn $499 CLJ CM1015MFP $499, Oct 06 8/8 12/10 19 LJ3055 $449 12/10 CLJ2605 $399 LJ3052 $349 19 LJ1320 $349 CLJ2600n, $399 22 8/8 LJ1160 $329 8/8 20 CLJ1600 $319 27 P2015 $309Nov 06 300 OJPL7580 AIO $299 (Mar 07) 12/10 US$ Street 19 LJ3050 $299 OJPL7380 AIO $219 (Mar 07) 12/10 LJM1005MFP $239 Aug 06 14 • HP business priorities • All price bands • Converting mono customers to colour when color is valued • -HP’s goal is to be the strong market share leader in all laser/ink technologies and price bands regardless of portfolio migration strategies • <US$300 street price + >400 pgs per month volume • - For customers deciding between printer technologies, HP would like to steer their choice to OfficeJet Pro. Ink has a higher priority than mono LaserJet or LJ AIO • - For lower print volume home customers (<400 pgs/mo), we would prefer to sell DeskJets/PhotoSmart or Office Jet AIOprinters • >$300 street price • - Colour LaserJet and CLJ AIO/MFP have a higher business priority than mono LaserJet or LJ AIO. 19 LJ1022 $199 15 LJ1020 $149 12/10 OJP k550 $149, $249 12 LJ1018 $129 6/5 BIJ1000 $119 0 Blue = current, Pink = future; Mono/colour speed BIJ speeds = Laser quality speeds 12/10

12. Criteria for selling OJ Pro vs. Laser(HP Confidential – internal use only) (2H06 to 1H07) HP business priorities All price bands • Converting mono customers to colour when color is valued • HP’s goal is to be the strong market share leader in all laser/ink technologies and price bands regardless of portfolio migration strategies <US$300 street price + >400 pgs per month volume • For customers deciding between printer technologies, HP would like to steer their choice to OfficeJet Pro. Ink has a higher priority than mono LaserJet or LJ AIO • For lower print volume home customers (<400 pgs/mo), we would prefer to sell DeskJets/PhotoSmart or Office Jet AIOprinters >$300 street price • Colour LaserJet and CLJ AIO/MFP have a higher business priority than mono LaserJet or LJ AIO.

13. Value proposition • HP OfficeJet Pro SF and AIO • Lowest cost per page in the market • up to 25% lower black cost-per-page than mono lasers* • up to 30% lower color cost-per-page than color lasers* • Very fast printing • world fastest desktop color printer • Up to 2X faster than 4 pass color lasers • Laser-like print quality on black text • * cpp comparisons are vs. mono laser <$250, mono laser AIO <$500 and colour laser <$500 OfficeJet pro • HP mono LaserJet SF and AIO • Laser quality mono printing • Fast mono print speeds • full speed at best quality • Robust and reliable • - low intervention rate • - high print volumes Mono LaserJet • HP Color LaserJet SF and AIO • Professional quality colour laser printing • Fast colour print speeds with HP inline technology • full speed at best quality • Robust and reliable • - low intervention rate • - high print volumes Color LaserJet

14. Optimized printing solutionsto meet every customer and business printing need High Functionality Professional photo printing Photosmart Pro Versatile home photo & document printing Photosmart High volume Business printing - OfficeJet Pro, mono LaserJet Color LaserJet - single function and AIO Versatile business printing Officejet Entry Basic home printing DeskJet Medium and enterprise Micro business Home office Small business Home Price

15. Message tonality vs. laser (in all mkts)

16. Country Prioritisation Platinum - KR / CH / IN • ATL, Online, PR, POS, CH Gold - TH / Aust / PH • Online, PR, POS, CH Silver - SGP / ID / MY / HK / Viet / NZ / JP / TW • Online / POS

17. Channel activity

18. Channel - “Be a OJ Pro MythBuster” Objective: • Change perceptions of inkjet (OJ Pro) relative to laser • Further educate and provide tools to help channel sell OJ Pro • Demonstrate compelling reasons as to why sell OJ Pro • Debunk the myths Channel elements: • Channel guide • Channel educational CD-ROM (videos, datasheets, 3rd reports) • “Be a OJ Pro Mythbuster” educational sessions (channel ppt) • “Be a OJ Pro Mythbuster” viral game • ReThink Inkjet premiums and rewards CERTIFIED MYTH BUSTER A HP OFFICEJET PRO MYTH BUSTER ‘BE A HP OFFICEJET PRO MYTH BUSTER’ RETHINKING & RESTORING TRUTHS

19. Channel Guide & CD-ROM Guide elements: • OJ Pro intro + awards • 5 reasons why • Debunking the myths – cpp, speed, quality • Spencerlab reports cpp & speed • CPP tables • Technology highlights • More reasons to go with HP OJ Pro • Success story – K550 & K850 • Q&A • When to sell OJ Pro vs Laser? • Product line-up CD-ROM • Videos – speed, SPT and product • Product datasheets • Spencerlab reports

20. ‘Be a HP Officejet Myth Buster’ Online Game • Overview : • Game Mechanics • Top 3 highest scorer at country level wins prizes. (prizes to be advised) at end of 2 months upon launch of online game. • Game Details • Setting/Scene – The internal of a HP BIJ/Officejet Pro showing clearly modular inks & off-axis printing. • Character – 1 HP Officejet Myth Buster • Tasks : To engage targets on a moving paper accurately within the time exposure by aligning position of printheads, selecting the right ink colour & using sufficient ink • Level 1 : Shot 10/15 targets within 30 secs • Level 2 : Shot 13/15 targets within 30 secs • Level 3 : Shot 15/15 targets within 25 secs • Accuracy bonus : Engaging 3 targets consecutively without missing any • Speed bonus : Engaging 3 targets consecutively within 4 secs • Creative & Art Direction • Intended direction - All illustration work, actions sequences & music will be directed to create a look & feel that is hi-tech, sci-fi, action-oriented, futuristic. E.g. X-Men. (Subject to availability, cost & time required) e.g. Intended Style of illustration

21. Visual of proposed game HP OJ PRO MYTH BUSTER PRINTHEADS Step 1 :engage targets on paper accurately by controlling the position of the printhead through (   ) arrows. Once printhead is in the correct position, player needs to move HP OJ PRO Myth Buster to activate the correct ink by ↑↓ arrows. ↑ to move right. ↓left. • Note : • 30 secs countdown per level • targets can come in varying sizes • Speed bonus for engaging 3 consecutive targets in 4 secs • Accuracy bonus for engaging 3 consecutive targets w/o missing Note : Paper moves continuously once game starts. Targets represented by the coloured outline can only be engaged in the shoot zone with a 3 sec exposure Step 2 : Press & hold space bar to activate ink. The ink powers up & down when space bar is depressed. Upon release the corresponding amt of ink fires out.

22. Upon completing each level • NOTES : • Upon completing each level : • There will be a wrap up page where the key BIJ messages are reinforced with the display of the game scores & stats. • The page will have print outs that captures the HP OJ Pro Myth buster in action with Headlines that relates to the Myth to be debunked about HP OJ Pro. • At the bottom will be game stats such as score, bonuses etc • Level 1 : Cost • B/W print out with low CPP for b/w printing message. • Level 2 : Speed • Colour print out with print speed • message • Level 3 : Quality • Colour Photo print out with Quality message.

23. ATL & Online

24. ATL specifics • Goal: • Build and implement a strategic campaign vs. a QTRLY tactical one. • ATL objectives: • Change perception surrounding inkjet (HP OJ Pro) • Establish the category and position HP inkjet printers as the preferred alternative to mono laser printer (the default choice). • Reinforce in the minds of target customers that by choosing HP they are making the RIGHT choice. A choice that meets their specific needs • Tracking: TBC investigating possibilities

25. Creative Idea Rethink Inkjets

26. RETHINK INKJET - COST Strong competitive laser msging Creative element Strong TA positioning Introducing the new HP OJ Pro series…. Establish OJ Pro as category leader Good, better, best strategy

27. CPP – China

28. RETHINK INKJET – SPEED

29. Advertorial

30. Online Rethink Inkjet microsite • Objective: • Reinforce OJ Pro story and help to establish category • Drive sales conversion • Site elements: • OJ Pro story + end user benefits – what makes OJ Pro so compelling • Various proof points – SpencerLab, Speed video, SPT video, product video • HP Original Supplies messaging • Additional online elements: • Key word search • Online banner ATL • HP.com

31. POS Creative

32. POS - category

33. POS - category

34. POS – standee SKU specific

35. POS – standee sku specific

36. POS – Why buy OJ Pro?

39. PR activity

40. Strategic PR Direction Objective: • Change perceptions of inkjet (OJ Pro) relative to laser • Further educate and provide tools to help media understand the benefits of OJ Pro • Demonstrate compelling reasons as to why sell OJ Pro • Debunk the myths Approach • Create a compelling story: focus story on micro-business (and smaller small businesses) and how OJ Pro addresses TA business concerns. • Pick specific customer demographics:to tell the PR story in a compelling way that will resonate in each market: • Creative businesses are HOT • China: architects, designers, advertising (TBC) • India: fashion, designers (TBC) • Partnerships: identify opportunities with partners. Eg Yahoo small business • Market specific: create tools that can be customized/localized and that resonate in key markets (China, India, Australia/New Zealand) • Make it scalable: ensure that work done now can be expanded in future to a broader campaign by adding additional elements

41. Strategic PR Approach • Scalable program: Build content/materials/ stories that provide immediate PR value and that add value when OJP line expands • Focus on key challenges: deliver on OJP issues first, but ensure programs can extend to a broader campaign-based initiative in future • Market specific: create template program designs that can be customized to resonate in key markets • Laser-like focus on target customer: focus on micro & SOHO customers to start to tell the OJ Pro story

42. 2–Phased Approach • Phase 1: OfficeJet Pro Focus • Programs that change perception and build OJ Pro support in short-term; also provide value when OJP line expands Q2 07 • Timing: Q4 ’06 • Phase 2: Micro-Business Customer Segment • Leverage OJP launch and combine with existing HP marketing elements to target new customer segment with expanded solutions-based messaging: Micro-business • Target micro-business segment by leveraging OJP, Laser, PSG, SOHO, mobility products and existing HP tools/initiatives • Timing: Q2 ‘07

43. B U S T E D Phase 1 Campaign Recommendations • OJP “Myth-Busting” Media Event • Differentiate OJP from traditional inkjets by highlighting its unique features and benefits to key media and influencers • OJP Masters of Micro-Biz Advocate Program • Building Awareness and Value Proposition by leveraging case studies and experiences of key target users

44. OJP Myth-Busting Media EventRefute misconceptions about OJP – show it’s not your typical inkjet to key media influencers through interactive, engaging and experiential event

45. Program Overview • “OJP Myth Busting” Media Event • Target countries (India, China, Korea) • Like the “PrintWatch” program, create a compelling experience that highlights OJP capabilities, but leverage the Masters of Micro-Biz to provide an end-user experience/perspective to the effort • Demonstrate history of inkjet technology, current capabilities and future technologies that will be built into OJP solutions • Focus on HP technologies that address the printing needs of small businesses • Create an interactive, educational 2-3 hour program that explains to tech journalists, analysts, channel etc. about value of OJP solutions to their readers/customers • Use “myth-busting” theme to make presentation engaging, interesting and fun • Include 3-4 demonstrations of OJP technologies in an entertaining and relevant way

46. The Concept: BUSTED!!! Busting Inkjet Myths With HP

47. B U S T E D Media Event Objectives “OJP Myth Busting” Media Event - Create awareness and educate tech and relevant business media about the technological enhancements of HP's OJP and position it as a laser alternative to meet the needs of SMBs for high quality color printing and multifunction capability at an affordable cost - Change media perception that inkjet is slow and expensive to operate relative to laser printers - Establish OJP as a viable and competitive alternative to mono and colour laser offering lowering CPP, faster-speeds and professional high quality print quality than that of laser printer - Create a compelling experience for media across regions highlighting OJP value proposition, and demonstrate current and future technologies that will be built into OJP solutions - Provide media with information and tools they need to better understand HP's OJP and how they are positionedrelative to laser - Position HP as a category captain of high quality colour inkjet printers

48. B U S T E D Hook The Media • Send creative hi-impact invite that will catch the attention of media and reinforce the myth-busting theme • The invite is to be a scroll sealed in a small glass box sent to the media along with a HP-branded hammer with instructions to bust the box “To reach the truth, myths must be busted. We invite you to bust myths with HP”

49. B U S T E D Media Event Creative Element • Select a country specific myth/general myth that can be busted in an entertaining way to lead the way to busting OJP related myths. For example: • Chinese Singing Bowl : Invented in China and Tibet, 2000 – 3000 years ago, these copper bowls are known to sing and known to reduce stress and improve health An expert can be invited to demonstrate the “singing bowl” and explain the secret behind the bowl, how does it ‘sing” – “why is it good for health” OR • Fire Eaters : Fire Eaters are known to place flaming objects in their mouths and “eat” the fire Fire eaters can be invited to perform and an expert can then describe how they line their mouths with chemicals that extinguish the flame OR General myths • Can microwaving metal make your oven explode? Is a spoon in a coffee cup inside a microwave oven a sign of death? • Is it worth running in the rain?

50. B U S T E D Media Event Venue/Decor • Invite media to bust myths with HP in a casual, cosy yet “real” SMB setting eg. spa, restaurant or design studio where the media can relax and yet be able to see the end-user benefits of OJP from the SMB perspective (This SMB would be either an MVC or someone who has been seeded by HP eg Polished Divas in Singapore, so that he/she can share his/her experience with the media) • Décor can consist of high-quality collateral that the relevant SMB prints on a regular basis on HP OJP – both K550 and K850 • Posters with the three main myths(Inkjet printing isn’t cost effective, Inkjet printers are slower than laser printers, Inkjet printers cannot produce laser-quality documents) are put up in acrylic glass cases (Plexiglas/Perspex) that can be busted by the HP spokesperson with the HP branded hammer. • Balloons with the same three myths can be put up and the media are told to bust the balloons when they are convinced of the “real facts” • Posters and balloons with the “real facts” are put up after every balloon and poster with myths has been busted • Counters set-up to demonstrate the Spencer Lab tests, demonstrating the superiority of HP OJP over other competitive mono/low-end colour lasers