Is a $298 HP computer sold by Wal-Mart a big deal? You bet!

It is a big deal for reasons that most people in the world probably will not ignore.  But if you are "in business" or a professional in marketing or in a management position of any kind--especially insofar as consumer goods and services are concerned--the Wal-Mart offering of a HP computer for $298 is very good news.  This is a clear signal that the entire U.S. consumer market is about to join the computer age and--pay attention here, this is the important part--the internet age!  

It is very likely that no one reading this post is "in the market" for a lowly $298, bare-bones computer from Wal-Mart.  Your appreciation of this significant event is based on something more subtle than that and has to do with what you--as a vendor, manufacturer, distributor, advertiser in the world of consumer markets--know about and how well you understand the people who will buy a $298 computer from a big box retailer--and how you go about getting the information you need from them.  

You ask, "Come on, what's the big deal really?"  The big deal has to do with what is called the "diffusion of innovation" and marks the "official" entry of the last segment of the innovation marketplace to enter mainstream internet practices--and that is huge, especially if you care about selling anything, any-how, any-where to consumers.  

Some background information first:  Most of what professionals [of all kinds] in commerce "know" about their markets comes from data, data derived from surveys, market research, buying patterns, etc.  Today much of that kind of information comes from two places: check-out scanners and the internet.  Some data about consumers is supplied by market research, but market research is increasingly difficult and costly to acquire--who really wants to answer questions when called at home, or shopping in the mall?  It can be done, but it comes at a high price.  

The internet has always provided a very low-cost approach to acquiring information about consumers--but has always been limited [maybe selective is a better word to use here] because of two important drawbacks.  First, at the very start of the personal computer and internet "age"--back even 10 years ago--the opportunity to query customers was obvious, but was less-than-adequate in providing useful information for one reason:  the people who were computer innovators and early adopters [and then for you who remember the marketing lecture on this, even those in the "early majority"] were never very representative of the entire market; thus, there was a big drawback to research conducted on the web--it was easy, cheap, and fast, BUT the people polled were, on average well-off [financially speaking] and highly-educated, and likely very different from everyone else, simply because they were on the internet in the first place, i.e., product innovators!  

The second reason marketing data and research from internet users is not unrelated to the first, in that until recently, the data from internet users has become much more representative of the U.S. population [i.e., income-wise, education-wise, etc.], except for the fact that it has still underrepresented the last 20% to 40% of the consumers--because they are what is called innovation "laggards."  For whatever reason, they simply have been reluctant [or unable to afford] to adopt personal computer--read: internet--usage and, thus, have been difficult for business to understand and, hence, sell to--particularly when it comes data pertaining to the purchase and usage of consumer goods, package goods, and some services.  

Wal-Mart's offering of a $298 HP computer is, indeed, a big deal.  The diffusion of innovation is just about complete; in the not too distance future, 90%-95% of mainstream consumers will be online--and, from a market research POV--not just to buy stuff, but to be better understood and "heard" from from a market and marketing research perspective.  

Market research--and specifically market research conducted on the web--is no longer just easy, fast, and cheap--it just got better!  And in the process, business for everyone just got better...for HP, Wal-Mart, the buyers of $300 computers, market researchers, clients of market researchers, marketing professionals [of all kinds], advertisers, and, not the least, consumers in large!  

You can read the story in the Wall Street Journal by Justin Schek that ran yesterday, September 25!  When you read the article you'll discover that these devices weren't just available--they got sold-out, almost immediately...and repeatedly!  If you're in business of any kind--this is a big event for reasons most people not in business will fail to understand.