Issue #0910/1 – As follow-up to the TCPglobal article , printer users are able to take advantage of a wide range of special offers from Hewlett-Packard around the world, notably in the US where cashback rebates as high as $1,000 are available on laser printers. The breadth and scale of the offers further underline the desperation of printer manufacturers to keep product moving, prevent a build-up of inventory and ensure that the effect of the current financial downturn on revenue and market share is minimised.
As the biggest printer manufacturer, a downturn of the scale we are experiencing hits Hewlett-Packard first and hits particularly hard – the Imaging and Printing Group experienced a 19% fall in revenue in its last quarter. However, while revenue was down, operating profit as a percentage of revenue was up by three percentage points over the previous quarter and almost three points over the same quarter a year earlier. So, Hewlett-Packard is by no means destitute and the ongoing supplies business is still strong, albeit at a reduced level.
Just as a taster of offers available, and as a means of investigating some of the implications, we take a look at the offers being presented in US, Germany and the UK.
Starting with the US, we find an enormously wide-ranging array of offers (affecting 56 products), comprising cashback on many mono and colour laser products and also on the latest range of Officejet Pro products. We’ll split the categories in order to reduce confusion.
Hewlett-Packard Trade-in and SaveHewlett-Packard’s handling of the trade-in aspects of the offers is quite different from what we saw from Lexmark in the previous article, in that the company takes (almost) full responsibility for the collection and recycling of replaced products. In fact, an indication of Hewlett-Packard’s determination to move as much product as possible lies in the fact that the company is not concerned whether the old product that is returned for recycling actually works or not!
With effective discounts of up to 30% available on 17 models of 20ppm and 30ppm colour laser printers and MFPs, there should be something for most companies. This represents the middle and upper end of the printer product range and middle section of the MFP range, so clearly not particularly targeted at very small companies with low print volumes, although at these prices, many will be tempted anyway.
|
US Trade-In and Save offers Colour Laser Printers |
Original Price | Offer Price | Saving | Percent |
|---|---|---|---|---|
| Colour LaserJet CM2320n | $599 | $499 | $100 | 17% |
| Colour LaserJet CM2320nf | $699 | $549 | $150 | 21% |
| Colour LaserJet CM2320fxi | $899 | $799 | $100 | 11% |
| Colour LaserJet CM3530 | $2499 | $1999 | $500 | 20% |
| Colour LaserJet CM3530fs | $2999 | $2399 | $600 | 20% |
| Colour LaserJet CM4730 | $4999 | $4199 | $800 | 16% |
| Colour LaserJet CM4730f | $5299 | $4449 | $850 | 16% |
| Colour LaserJet CM4730fsk | $6549 | $5549 | $1000 | 15% |
| Colour LaserJet CP2025n | $449 | $349 | $100 | 22% |
| Colour LaserJet CP2025dn | $499 | $374 | $125 | 25% |
| Colour LaserJet CP2025x | $599 | $499 | $100 | 17% |
| Colour LaserJet CP3525n | $699 | $599 | $100 | 14% |
| Colour LaserJet CP3525dn | $899 | $799 | $100 | 11% |
| Colour LaserJet CP3525x | $1299 | $999 | $300 | 23% |
| Colour LaserJet CP4700n | $1349 | $949 | $400 | 30% |
| Colour LaserJet CP4700dn | $1599 | $1199 | $400 | 25% |
| Colour LaserJet CP4700dtn | $2499 | $1999 | $500 | 20% |
Mono laser devices on Hewlett-Packard’s US Trade-In and Save offers number an amazing 24 products, ranging from 30ppm to 60ppm printers and 26ppm to 45ppm MFPs. Maximum effective discount here is 31%, with the lower end still just in double figures at 10%.
As with the colour laser products, these fall within the upper portion of the product range, again indicating a target audience of business users with medium to high print volumes – the market segment that gives rise to the high demand for printer supplies!!
|
US Trade-In and Save offers Mono Laser Printers |
Original Price | Offer Price | Saving | Percent |
|---|---|---|---|---|
| LaserJet M2727nf | $599 | $499 | $100 | 17% |
| LaserJet M3035 | $1599 | $1199 | $400 | 25% |
| LaserJet M3035xs | $1999 | $1499 | $500 | 25% |
| LaserJet M4345 | $2599 | $2099 | $500 | 19% |
| LaserJet M4345x | $3699 | $2999 | $700 | 19% |
| LaserJet M4345xs | $4799 | $3999 | $800 | 17% |
| LaserJet P2035 | $229 | $159 | $70 | 31% |
| LaserJet P2035n | $299 | $224 | $75 | 25% |
| LaserJet P2055dn | $399 | $349 | $50 | 13% |
| LaserJet P2055x | $499 | $449 | $50 | %10 |
| LaserJet P3005 | $549 | $449 | $100 | 18% |
| LaserJet P3005n | $799 | $599 | $200 | 25% |
| LaserJet P3005d | $649 | $549 | $100 | 15% |
| LaserJet P3005dn | $899 | $699 | $200 | 22% |
| LaserJet P3005x | $999 | $799 | $200 | 20% |
| LaserJet P4014n | $899 | $799 | $100 | 11% |
| LaserJet P4014dn | $1179 | $979 | $200 | 17% |
| LaserJet P4015n | $1199 | $899 | $300 | 25% |
| LaserJet P4015dn | $1479 | $1079 | $400 | %27 |
| LaserJet P4015tn | $1349 | $949 | $400 | %30 |
| LaserJet P4015x | $1729 | $1279 | $450 | 26% |
| LaserJet P4515n | $1599 | $1199 | $400 | 25% |
| LaserJet P4515tn | $1849 | $1399 | $150 | 24% |
| LaserJet P4515x | $2129 | $1629 | $500 | 23% |
Interestingly, the latest models of Officejet Pro, only launched at the beginning of March, are included within the range of offers in the business inkjet category. Totalling 15 products, the full range of offers also cover printers and All-in-Ones in both integrated cartridge and individual cartridge configurations.
Although the lowest effective discount remains at the 10% level, the highest in this category is as high as 34% – network (wired) colour printer.
Clearly, being Officejet products, these are also targeted at business users and the fact that this range includes the latest, just-released, products, supports the feeling that Hewlett-Packard intends to push the new Officejet Pro range hard to convince users of the extremely low Total Cost of Printing these devices afford (see article ).
|
US Trade-In and Save offers Business inkjet |
Original Price | Offer Price | Saving | Percent |
|---|---|---|---|---|
| Officejet 6310 | $149.99 | $119.99 | $30 | 20% |
| Officejet J4580 | $99.99 | $89.99 | $10 | 10% |
| Officejet J4680 | $129.99 | $119.99 | $10 | 8% |
| Officejet J6480 | $199.99 | $169.99 | $30 | 15% |
| Officejet Pro K5400dtn | $229.99 | $179.99 | $50 | 22% |
| Officejet Pro L7590 | $299.99 | $199.99 | $100 | 33% |
| Officejet Pro K8600 | $299 | $249 | $50 | 17% |
| Officejet Pro K8600dn | $399 | $349 | $50 | 13% |
| Officejet Pro L7680 | $399 | $279 | $120 | 30% |
| Officejet Pro 8000 | $149 | $99 | $50 | 34% |
| Officejet Pro 8000 Wireless | $179 | $129 | $50 | 28% |
| Officejet Pro 8500 | $299 | $249 | $50 | 17% |
| Officejet Pro 8500 Premier | $499 | $449 | $50 | 10% |
| Officejet Pro 8500 Wireless | $399 | $349 | $50 | 13% |
| Officejet Pro K5400 | $149 | $99 | $50 | 34% |
It is not just the wide range and scale of the cashback offers here that is significant but also the terms and conditions surrounding the offers, again confirming that Hewlett-Packard is targeting high-volume users.
As indicated, Hewlett-Packard in the US is also prepared to take back printers and MFPs for recycling in exchange for the new device purchased under the cashback schemes. Relevant features include:
- A buyer can claim cashback and trade-in on up to 400 units!
- 0% finance can be arranged
- Old printers and MFPs are recycled free of charge to the user
- Any brand of device in any condition can be turned in for recycling
- Cashback offers are valid on claims made on printers purchased up to the end of 2009
- Cashback will be forwarded to the customer by cheque/check within a period of 6-8 weeks of receipt of the trade-in device
- Free HP Total Care Access Care card with each purchase through to the end of April
Hewlett-Packard’s Total Access Care card offers free or discounted tools to help small businesses manage their budget, resources and IT security and to get the most out of their technology. There is over $900-worth of offers, including: McAfee Total Protection Service; intuit credit card processing kit; HP Insight Control for managing ProLiant servers; and recycling offers on Hewlett-Packard and non Hewlett-Packard personal computing products.
There are, of course, certain conditions applied to ensure that the offers cannot be abused and are of a limited time-scale. For instance:
- Although a customer can claim for 400 new units, the offer does not cover customers with a Managed Print Service
- In addition, although a device of any brand and in any condition can be returned for recycling, the device must have been owned by the customer for a minimum of 12 months prior to being traded in
- Floor-standing units are excluded from the free recycling offer
- The customer is responsible for the return of the old printer or MFP for recycling (meaning decommissioning and packaging). However, as long as the device is packed in an appropriate box with all supplies removed and packed individually (within the same shipping carton) and Hewlett-Packard’s designated carrier is used, Hewlett-Packard will carry the cost of shipping
- The replaced unit must be returned for recycling within 30 days of receipt of shipping instructions from Hewlett-Packard
- These offers are valid only within the 48 continental states of the US
So, the value of the offers to customers is very significant. As long as the basic conditions are met, this represents a very key opportunity for customers to update their hard copy hardware at reduced cost, with some of the burden surrounding the replacement taken off their shoulders.
Moving on to the UK, offers are somewhat less wide-ranging and the overall value of the offers may not be as advantageous to the customer, except that the effective discounts are much higher than those offered in the US.
A total of twenty two products are included, with effective discounts ranging from 16% on the mono LaserJet M3035xs MFP right up to a massive 50% on the Officejet Pro L7480 and the Deskjet F4280. This brings an Officejet product down to a price point well under £100.
| UK Cashback offers | Original Price | Offer Price | Saving | Percent |
|---|---|---|---|---|
| Deskjet F4280 AiO | £70 | £35 | £35 | 50% |
| Colour LaserJet CP2025dn | £399 | £309 | £90 | 23% |
| Colour LaserJet CP3505n | £449 | £299 | £150 | 33% |
| LaserJet M3035xs MFP | £1839 | £1550 | £289 | 16% |
| LaserJet P2055d | £185 | £139 | £46 | 25% |
| LaserJet P2055dn | £245 | £189 | £56 | 23% |
| LaserJet P3005 | £299 | £249 | £50 | 17% |
| LaserJet P3005d | £369 | £299 | £70 | 19% |
| LaserJet P3005n | £469 | £379 | £90 | 19% |
| LaserJet P3005dn | £529 | £429 | £100 | 19% |
| LaserJet P3005x | £599 | £479 | £120 | 20% |
| LaserJet P4015n | £749 | £599 | £150 | 20% |
| LaserJet P4015dn | £749 | £699 | £150 | %20 |
| LaserJet P4015x | £999 | £849 | £150 | 15% |
| Officejet J4580 AiO | £87 | £52 | £35 | 40% |
| Officejet Pro L7480 AiO | £149.99 | £74.99 | £75 | 50% |
| Officejet Pro L7590 AiO | £249.99 | £149.99 | £100 | 40% |
| Officejet Pro L7780 AiO | £330 | £243 | £87 | 26% |
| Officejet Pro L7780 AiO | £379.99 | £279.99 | £100 | 26% |
| Photosmart C5380 AiO | £129.99 | £79.99 | £50 | 38% |
| Photosmart C6380 AiO | £179.99 | £99.99 | £80 | 44% |
| Photosmart C8180 AiO | £299.99 | £199.99 | £100 | 33% |
In addition to the cashback offers above, Hewlett-Packard UK is also offering a three-year warranty on the Officejet Pro K8600 printer. There are no other special conditions or recycling offers available within this offer. However, many of these offers expire today.
Finally, using Germany as the basis for offers in Europe, we find that the range is reduced even further. Only five products benefit from cashback offers and there are, again, no other special conditions or recycling offers presented.
There is, however, a three-year warranty offered until 30th April on the entire range of Officejet Pro products.
In addition, Hewlett-Packard in Germany has teamed up with a major chain of automotive fuel suppliers to offer a €30 fuel voucher on purchases of the new Officejet Pro 8000 printer. This offer ends on May 31st.
Cashback offers are as follows:
| Germany – Special offers | Original Price | Offer Price | Saving | Percent |
|---|---|---|---|---|
| Colour LaserJet CP2025 | €449 | €329 | €120 | 27% |
| LaserJet P2055 | €299 | €209 | €90 | 30% |
| LaserJet P4014 | €789 | €569 | €220 | 28% |
| LaserJet P4015 | €1099 | €799 | €300 | 27% |
| LaserJet M1120 | €179 | €159 | €20 | 11% |
Up to 30th April, Australian customers can receive a fuel voucher worth up to $200 on purchases of a number of Photosmart and Officejet models.
In conclusion, although the scope, scale and nature of the offers vary considerably depending on geography, Hewlett-Packard is working hard to maintain its position as the number one printer manufacturer, manage its inventory and win new customers at a time when many are shelving capital purchases till better times.
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