HP, Inc. Introduces PageWide Product Line and More Than 20 New Printing Products
Last September when HP, Inc. (HP) held its Securities Analysts Meeting (SAM) in San Jose, CA, its leadership team provided details on HP, Inc.’s strategy and opportunities for long-term growth. Enrique Lores, president of the HP, Inc. Printing Business, shared that his printing strategy was to drive value by growing supplies in the company’s printing core. HP’s 2016 Spring Launch is focused on capturing business share by differentiating with security, strengthening its portfolio, and leveraging its PageWide technology.
HP announced its new HP Secure Managed Print Services offering to fulfill its security concerns for Enterprise and large corporations. HP strengthened its portfolio by announcing 10 printing devices in its OfficeJet Pro and LaserJet series. Finally, it is leveraging its PageWide technology by announcing a new brand simply called PageWide that fits between the OfficeJet Pro and LaserJet families. HP announced an additional 14 PageWide devices for a total of 24 printing devices (see Figure 1).
PageWide has enabled expansion across HP’s portfolio in large format printers, inkjet web presses, and business printers. So far, HP has not attempted to expand into the A3 copier market by using PageWide technology – that is expected in early 2017. Finally, the company’s 3D printers with HP MultiJet Fusion technology that uses PageWide technology has not hit the market yet either.
Expanding HP PageWide Product Line
HP unveils four different PageWide series: HP PageWide Enterprise Color 500 series, HP PageWide Pro 500 series, HP PageWide Pro 400 series, and the HP PageWide Pro 300 series. Each series has been targeted for work groups that print up to a specific number of pages per month:
Up to 15,000 pages/month: HP PageWide Enterprise Color 500 series (see Figure 2)
Up to 6,000 pages/month: HP PageWide Pro 500 series (see Figure 3)
Up to 4,500 pages/month: HP PageWide Pro 400 series (See Figure 4)
Up to 3,000 pages/month: HP PageWide Pro 300 series (See Figure 5)
In each figure shown below, the availability, pricing, and other specifications of interest are shown. Several specs are not shown since some of the printers will not be available until May or later. The new HP PageWide products will be sold through retail and through specific channel partners.
New HP OfficeJet Pro Printers Have Innovative Features
The new HP OfficeJet Pro (OJP) printers replace the 8600 series, the OJP 276dw, the OJP 8100, and the OJP 251dw. Like the HP PageWide series, these new OJP All-in-One (AiO) printers have been targeted for micro, small, and home businesses that print up to a specific number of pages per month:
Up to 2,000 pages/month: HP OfficeJet Pro 8210 & 8700 AiO series (Figure 6)
Up to 800 pages/month: HP OfficeJet Pro 6960/6970 AiO (Figure 7)
The paper trays are embedded in the device and the printed pages come out face up. Additionally, for the OJP 8730 and 8740, these devices can print out Adobe PDF files and Microsoft Word and PowerPoint directly from a USB thumb drive.
The OfficeJet Pro 6960/70 AiOs are the baby brothers to the OJP 8700 series. Since these devices will not be obtainable until June 2016, not all specs are available now.
New HP LaserJets are Compact with Security Features
Since the 2015 HP Fall Launch, HP has introduced 10 new LaserJets. Today, HP unveils two new LaserJets that have significantly smaller footprints and use the JetIntelligence toner cartridges. The new HP LaserJet Pro M501 is a new monochrome product, it does not replace a current product. It can be thought of as the little brother of the HP LaserJet Pro M506. It is targeted at SMB or work groups printing up to 6,000 pages/month. The second LaserJet is the HP Color LaserJet Pro MFP 377dw which has a new price point of $489. This product would be considered the younger brother of the Color LaserJet Pro MFP M477. The CLJ Pro MFP M477 pricing is in the range of $529-$629. This product is targeted at SMB or work groups printing up to 4,000 pages/month (see Figure 8).
HP Announces New MPS Security Offering
As mentioned previously, HP introduced its new HP Secure Managed Print Services. The company has designed this new offering to support enterprise firms with the need for the strongest protection available. See Figure 9 as a comparison between the current HP MPS security vs. the new HP Secure MPS.
HP, Inc. finds itself in an unusual situation after posting a 12 percent revenue decline year-to-year (down 5 percent in constant currency) in its first quarter as a standalone company. It was a little unnerving from an analyst’s point of view that it may take about a year for a turnaround in unit growth and supplies revenue.
Despite this scenario, you could not tell it from this massive spring announcement. All told, HP announced 24 new inkjet and laser printers. HP had most areas covered with announcements ranging from security (HP Secure MPS), to a new brand (PageWide), and finally a major demonstration of its R&D with 14 new PageWide printers. Pigment flows in HP’s veins like the water flows over Niagara Falls. The company has put its fortunes on PageWide’s shoulders to increase revenue but more important, improve its profit.
An important part of this announcement that may have hidden due to this enormous introduction is the fact that PageWide technology brings new ways of billing to the office. HP could offer color for free with accent color billing or for the future have customers pay only for the color that was used with coverage-based billing. PageWide technology provides HP with many options.
HP is not as concerned if one of its LaserJet installs gets cannibalized by a new PageWide product since the company gets 100 percent of the revenue and 100 percent of the profit vs. a much lower percent of revenue and profit with LaserJet and toner. It is doubtful that HP is specifically targeting Canon with PageWide since the technology is being used in many other areas today. It is disruptive and it has many positive customer benefits.
In some ways HP going through a rather difficult first quarter may tend to sharpen its R&D and partner efforts. ‘They eat what they kill’ as the saying goes and for the company to turn around this ship, it will take a concerted effort by all HP employees to use innovation to transform industries with its products.