August 31, 2011
By the ZippyCart Content Team
Well, after the dust had seemingly settled on the roller coaster that has been the HP Touchpad firesale, the computer giant announced today that it is fact making more of the bargain-bin tablets. This final run of TouchPads is being made specifically to fill existing backorders and allow users who have not been able to get their hands on a device one last chance to finally purchase one. There has been no estimated time of arrival for the TouchPads, and no word on where exactly they will be available. For those who have not been following the TouchPad debacle, here’s a quick run-down:
HP announced two weeks ago that they would no longer be producing or developing new WebOS hardware. That means no more TouchPad tablets, and no more Pre smartphones. So, as any good multinational corporation would do, they decided to clear out their stock of the discontinued devices for an incredible price: $99 for a 16gb TouchPad, and $149 for a 32gb device. No one, including HP, was ready for what ensued.
Orders for the discounted devices, which initially sold for at least $499, overwhelmed ecommerce solutions around the world. HP sold out in a blink of the eye, as did Amazon and Office Depot. HP’s Home and Office site crashed multiple times under the load. Best Buy, who had previously complained to HP about the 250,000 unsold TouchPads it had sitting in its warehouses, cleared out of inventory both online and in-store in just a couple days. Barnes and Noble oversold, and thus cancelled many angry customers orders. The TouchPad, in all it’s deathly glory, rose to the top of Amazon’s bestselling electronics list. Since then, rabid consumers and tech enthusiasts have been bombarding HP and other retailers for more information on when stock is arriving.
“Despite announcing an end to manufacturing webOS hardware, we have decided to produce one last run of TouchPads to meet unfulfilled demand,” HP spokesman Mark Budgell wrote in a company blog post. “As we know more about how, when, and where TouchPads will be available, we will communicate that here and through e-mail to those who requested notification.”
While it hasn’t officially come to a close, the moral of the TouchPad saga is two-fold. The feverish sale of the device should show tablet manufacturers that the $100-200 price range hits a potentially huge market, and despite the fact that the TouchPad costs an estimated $300 to manufacture, tablet producers can likely find a no-frills solution for the low-end tablet market. The second component is perhaps the most important. Customer satisfaction is key in the business world. Many of these ecommerce solutions were grossly unprepared for the influx in traffic and order numbers. Inventory management was almost non-existant, and as a result many customers are walking away from major retailers like Best Buy or Barnes & Noble with a cancelled order, dashed dreams, and most importantly a tarnished view of the company as a whole.
While it would have been difficult for these ecommerce solutions to anticipate the vast quantity of orders for the previously unpopular TouchPad, it is also too easy to excuse it for a freak volume of orders. Retailers should take the time to reflect upon the lessons learned from the TouchPad firesale. Providing the best customer experience is the pinnacle for any online business, and customers rightfully expect the best service from the largest online ecommerce solutions. Hopefully, customers purchasing the next round of TouchPads will have a better experience, and in the future we will see a more satisfactory shopping experience from the major online retailers.
Taylor is originally from Washington, DC, but has lived in the Seattle area for the past 5 years. He’s a senior at the University of Washington, studying Political Science (with no interest in entering the political world). He’s more interested in the Tech industry, especially consumer electronics, cloud computing, and how mobile internet and devices will change the business world. He spends most of his free time tinkering with his Subaru and surfing whenever possible.
