Revenue
$58.5 billion (2019)
Employees
55,000 (2018)
Founded
1939
Lock-in
How they do it: Hewlett-Packard’s printers have only limited compability with 3rd party ink cartridges, leading to a lock-in effect for customers once they purchased a Hewlett-Packard printer device.
Razor And Blade
How they do it: Hewlett-Packard sold both inkjet and laser printers individually as well as in multi-function products incl. scanner, copier and fax functionalities. Whereas the electronic products were sold at low prices, the company earned a lot of money with the special ink cartridges as a consumable.
Rent Instead Of Buy
How they do it: Hewlett-Packard allowed its business customers to rent equipment. This allows customers to balance seasonality in server and storage capacity, data center move or consolidations, or disaster recovery.
Learn from this company and apply the same patterns to create your own successful business model!