Press Release: May 29, 2007

HP Shows Off System that Affords Every Customer a Personal Shopper

PALO ALTO, Calif., May 29, 2007

Imagine walking into a retail store and, with the swipe of a card, receiving a printout that includes a personalized shopping list, relevant coupons, notice of associated store discounts or sales, and even a map to where the items can be found in the store.

This scenario could one day be reality as HP today showed off the Retail Store Assistant, an experimental system designed to enhance the consumer shopping experience and improve efficiency for retailers by bringing the power of online access to brick-and-mortar stores.

Developed by HP Labs, the Retail Store Assistant includes an in-store kiosk, which customers can access with a loyalty card or by typing in their phone number, that is linked to a retailer’s IT system, which contains inventory, sales and customer purchase information.

By better connecting consumer and store data, the system works to the advantage of both customers and retailers. For example, if a grocery store detected that a customer bought yogurt every time it went on sale, it might offer that individual the sale price every time he or she went to the store. Or, if the grocery store determined it had an excess inventory of onions, it might give shoppers a recipe for onion soup, note that onions were on sale and point out where to find them.

The personalization provided by the Retail Store Assistant makes for a better shopping experience and is key to closing what retailers call the “intention-action gap.”

“Instead of sending consumers advertising and coupons and hoping they’ll come in to buy, it’s better to reach them when they’re actually in the store – they’re more likely to make the purchase,” said Mohamed Dekhil, manager of retail applications in the Digital Imaging and Printing Lab at HP Labs, the company’s central research facility. “Besides, about 99 percent of all junk mail is thrown out because it doesn’t offer anything people want. The Retail Store Assistant provides consumers information only about things they really care about.”

For Father’s Day, graduation or any gift-giving holiday, retail stores could, with the permission of the customer, maintain “registries” on what he or she bought, including the item, size, color, style and other relevant information. Customers could even post a “wish list,” just like a bridal or baby registry, so gift givers could eliminate the problem of getting someone something they already have or in the wrong size or style.

People could register at book stores with their favorite authors or subjects or at music stores with their favorite artists or musical styles. Do-it-yourself enthusiasts could register for coveted tools at their favorite home improvement store.

Demonstrated at a news conference today at the Palo Alto offices of HP Labs, the Retail Store Assistant can provide information in text, audio or video and, using advanced HP publishing technology, could provide a customized, full-color printout. The system is a prototype and is not currently being tested in any commercial location.

The Retail Store Assistant has additional advantages:

It can provide product information about items for sale, including third-party reviews. It can also offer recommendations for related products (“people who bought this also bought ...”).

It can provide shoppers with price and availability of a product at the kiosk. In a chain store, if the item isn’t in the local shop, the system could recommend another location nearby that has it.

Using HP print technology, it can produce custom printouts of personalized coupons, shopping lists, information on products, and a map of the store with location of selected items. This printout contains a barcode that can be scanned at the checkout terminal to automatically deduct the correct amount for each item on sale and virtually eliminate coupon fraud.

It is also available on the web, so shoppers could access its services before going to the store.

In addition to providing instant inventory tracking, the system also benefits retailers by providing real-time reports and analysis of marketing and sales campaigns, enabling store managers and marketing directors to modify their activities whenever they like. It also provides sales assistance to customers without the need for staff, and it can be used for in-store employee training.

Photos of the Retail Store Assistant are available at www.hpl.hp.com/about/media/SmartShopping/.

About HP

HP focuses on simplifying technology experiences for all of its customers – from individual consumers to the largest businesses. With a portfolio that spans printing, personal computing, software, services and IT infrastructure, HP is among the world’s largest IT companies, with revenue totaling $97.1 billion for the four fiscal quarters ended April 30, 2007. More information about HP (NYSE: HPQ) is available at http://www.hp.com.


This news releases contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to statements of the plans, strategies and objectives of management for future operations; any statements concerning expected development, performance or market share relating to products and services; anticipated operational and financial results; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include the achievement of expected results and other risks that are described from time to time in HP’s Securities and Exchange Commission reports, including but not limited to the risks described in HP’s Quarterly Report on Form 10-Q for the fiscal quarter ended Jan. 31, 2007. HP assumes no obligation and does not intend to update these forward-looking statements.

© 2007 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein should be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein.

About HP

HP Inc. creates technology that makes life better for everyone, everywhere. Through our portfolio of printers, PCs, mobile devices, solutions, and services, we engineer experiences that amaze. More information about HP Inc. is available at http://www.hp.com.