HP HP4100 Market Conditions and Trends
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Current HP4100 Market Conditions and Trends
marketing strategies for chipped cartridges
The presence of a highly sophisticated computer chip on the HP4100 cartridge has had an
unprecedented impact on our industry. Initially this impact was to raise the most serious barrier to
date to our market growth. Now, this single component is creating a unique market opportunity for
some, a new competitive threat for others, and a signal of a new industry landscape for all. Retail end
customers currently being supplied non-chipped HP4100 cartridges are becoming the new growth targets
for resellers who offer chipped HP4100 cartridges. And recent and forthcoming LaserJets
®
from HP
reaffirm that chips are here to stay. HP’s decision to use its sophisticated RF (Radio Frequencies) chip
technology has made it much more difficult for the aftermarket to compete with HP’s OEM cartridges.
Without a chip solution, the aftermarket is placed at a huge disadvantage.
The HP4100 and HP9000 were just the first phase in HP’s chip strategies. Now, HP has utilized their
RF chip technology on the newly introduced HP4600 Color LaserJet. It will also be utilized on a
forthcoming 22-ppm, tandem-engined HP8550 replacement, reportedly named the HP5500 Color
LaserJet. Later this year an even faster color tandem departmental printer is rumored to be in the
works, and it will undoubtedly utilize chip technology as well. The impact of HP’s chips on both the
HP4100 and HP9000 aftermarket is highly visible and measurable.
Aftermarket Status as of April 2002:
•
The aftermarket volume for the HP4100 cartridge had achieved only about 1/3 of its potential
at that point of time compared to the same time period of the HP4000 market in 1998 and 1999.
•
Industry surveys concluded that less than 50% of remanufacturers who currently build HP4000
cartridges are also producing an aftermarket HP4100 cartridge. At this same point of time
during the HP4000’s ramp-up, over 75% of remanufacturers were producing a cartridge.
•
The surveys also revealed that sales of OEM supplies had hit all-time highs for retail resellers,
fueled largely by the sale of HP OEM 8061X cartridges for the HP4100.
•
Wholesale market activity was less than 20% of its potential, despite the existence of an ample
supply of empty cores.
•
No measurable aftermarket volumes of the HP9000 cartridge existed. This had never occurred
in our industry. The aftermarket had never failed to achieve some measurable marketshare
within 12 months of the introduction of a new HP monochrome cartridge going back to the
SX cartridge of 1989.
How do you want to position your business?
Inside discover 3 current marketing strategies for the HP4100.
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