Why HP will continue its excellent run
By Yaser Anwar, CSC of Equity Investment Ideas
Hewlett-Packard is hiring "hundreds" of salespeople to increase demand across channels as part of a play for market share, CEO Mark Hurd revealed June 19 in an address to resellers at the vendor's Americas Partners Conference in Las Vegas.
The boost to the direct sales organization, while competing with VARs for business, would ultimately drive demand for HP's vast portfolio in the market and drive sales for VARs, Hurd said."This is not a statement about channel direction," Hurd told the more than 1,100 resellers. "This is about demand. As we add more salespeople, we add more demand for HP and increase the HP halo in the market. If you're aligned with us, you will benefit from increased opportunity."
The Palo Alto, Calif., company will use the additional staff to plug gaps in its coverage model on its march to greater market share, Hurd said. He called HP's current 4 percent share unacceptable.HP's market share more than doubles when the company has at least one salesperson, direct or indirect, assigned to an account, a ratio the company won't meet at its current configuration, he said.
HP has been a great turnaround story ever since Mark Hurd took over, outpacing Dell& IBM. This move should bring in more customers thus higher sales translating into revenues and the stock price.
http://www.equityinvestmentideas.blogspot.com/
Hewlett-Packard is hiring "hundreds" of salespeople to increase demand across channels as part of a play for market share, CEO Mark Hurd revealed June 19 in an address to resellers at the vendor's Americas Partners Conference in Las Vegas.
The boost to the direct sales organization, while competing with VARs for business, would ultimately drive demand for HP's vast portfolio in the market and drive sales for VARs, Hurd said."This is not a statement about channel direction," Hurd told the more than 1,100 resellers. "This is about demand. As we add more salespeople, we add more demand for HP and increase the HP halo in the market. If you're aligned with us, you will benefit from increased opportunity."
The Palo Alto, Calif., company will use the additional staff to plug gaps in its coverage model on its march to greater market share, Hurd said. He called HP's current 4 percent share unacceptable.HP's market share more than doubles when the company has at least one salesperson, direct or indirect, assigned to an account, a ratio the company won't meet at its current configuration, he said.
HP has been a great turnaround story ever since Mark Hurd took over, outpacing Dell& IBM. This move should bring in more customers thus higher sales translating into revenues and the stock price.
http://www.equityinvestmentideas.blogspot.com/
posted by douglas mcintyre at 5:29 PM
Subscribe
<< Home