Initial Palm sales with Verizon deemed as disappointing?

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Initial Palm sales with Verizon deemed as disappointing?
With commercials up and running for Palm’s handsets for Verizon, it looks like it hasn’t been able to spur up some impressive sales so far. Launching the phones on the nation’s number one wireless provider would’ve brought sales up to the positive, but according to Piper Jaffray analyst T. Michael Walkley, he is “slightly disappointed” with the outcome of the movement. On the flip side though, he contends that a more aggressive media campaign from Big Red and Palm should stir up some demand for the handsets. Just watching the commercials so far, one can gather that Palm’s devices are only targeting a specific demographic as opposed to attacking a mix of categories. Walkley states that the company is on track to meet his forecast goal of 1 million webOS phones in the February quarter. In order to hit his 1.5 million unit goal for the May quarter, Walkley says it will require “ramping sell-through trends at Verizon.” Maybe we’ll start seeing a different side to future commercials which will hopefully make it attractive enough to get consumers to start jumping aboard the webOS train.

via Barron’s

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20 Comments

1. JeffdaBeat unregistered

I think advertising is a big reason why WebOS and Palm hasn't been doing that great compared to everyone else in the market. When Sprint introduced the Palm Pre, there were almost no commercials on it specifically. They would do the "Members of the Now Network" and then show the Palm Pre at the end without even a name mention. it was only until later they started adding the name into the equation. The Pre couldn't stand on being a recognizable item alone...but that's Sprint advertisement for you. Moving over to Verizon was a quiet move compared to the absolute blitz of Android and even the Blackberry Storm. But I don't know. Maybe Palm won't be one of the major players. WebOS is awesome, but I just don't think the push is there by any of the companies. The general public won't know much about the phones unless they are told about it.

5. bopper2

Posts: 2; Member since: Jan 29, 2010

The average person who has never been on a phone website has no idea that the Palm Pre exists. I have an iphone and have told many friends about the Pre on Verizon (they never would switch from Verizon) and have never heard of it. This was a poor job by Palm initially and now Verizon has the Droid and Storm which are there lead products. Pre is superior to both but unfortunatey, they are dead. They need to be bought by Microsoft or Rim. Howabout the Blackberry Pre? Now you have a marketing effort.

10. VZWEMP

Posts: 158; Member since: Dec 11, 2008

the Pre is not superior to the Droid nor Storm. Sorry to inform you. The Web OS. Sales reps in my district know this and thats why they arent pushing it.

13. rhomaion

Posts: 187; Member since: Sep 23, 2009

WebOS is superior toAndroid OS and the BB's OS so what the hell are you talking about? Your a complete jack ass, sorry to inform you.

15. 203RichBoy

Posts: 76; Member since: Dec 15, 2009

No you are the jackass. How is WebOS superior to Android? Get a clue bitch...

18. IcanBEATali

Posts: 29; Member since: Sep 24, 2009

the webOS rep knows its not superior, so he/she isnt pushing it? That may be the dumbest thing I've ever heard.

20. BrokenImaege

Posts: 173; Member since: Jul 27, 2009

I am a Senior Sales Rep for Verizon Wireless. There are reasons why as sales reps we aren't pushing the Pre or the Pixi. First, you haven't seen any advertising hardly so no one is coming up asking for it. Second, The setup and go takes about 20 mins once you activate the phone because it wants the buyer to know a lot of the features and send you through the tutorial. While this is great for the customer, as a sales rep, its eating up my time to go make money. Droid is quicker to do setup and go on. Last but not least, we now, as sales reps, have return/exchange decelerators on our commision checks. The Pre is not a proven device yet and so people are hesitant in selling it. That last thing we want as sales reps, is the advance devices boomeranging right back to us like the Storm did. So we take a different approach now when selling and if we don't like a product or trust it, it won't be getting sold....

2. me.

Posts: 28; Member since: Oct 10, 2009

come on verizon, hurry up with the iphone, tired of seeing cheap ugly looking , feeling , and freezing devises.

11. VZWEMP

Posts: 158; Member since: Dec 11, 2008

what? shut up.

3. Kiltlifter

Posts: 742; Member since: Dec 11, 2008

webOS is superior to iPhone OS (in my opinion, as there is more functionality). But this aticle is right, VZW needs to advertise it b/c people don't know about it, and the US Palm commercials are creepy enough that people don't understand what the product is, or are tunred off by the style of advertising and are disinterested in the product.

4. kid.wonderbread

Posts: 38; Member since: Dec 16, 2009

It will sell better if they updated the hardware.

6. chupum

Posts: 115; Member since: Feb 10, 2009

I agree with Kiltlifter. Now if only they could develop their next phone with a faster processor...

7. testman22

Posts: 339; Member since: Nov 03, 2009

people want apps... palm needs to step up their app store and maybe throw in some free turn by turn navigation

12. rhomaion

Posts: 187; Member since: Sep 23, 2009

They do have free turn by turn navigation... oh sorry I mean they did until it came to Verizon.

8. *HOVA*

Posts: 564; Member since: Dec 11, 2008

When you position the Pre as a womans phone you might as well expect this sort of thing. Idiots.

9. phone333

Posts: 331; Member since: Feb 04, 2009

True ! whst's the deal with the whole "mom" thing ?

14. rhomaion

Posts: 187; Member since: Sep 23, 2009

Remember though, women can somehow use the Palm devices better than men that's why it's a mom's phone... VZW = FAIL

17. oddmanout

Posts: 443; Member since: May 22, 2009

yeah the whole mom thing (imo) ruined a lot of palm sales. Guys that were interested in the pre now have to hear comments like thats a girl phone and it doesnt only affect vz sales but sprints too. Sure the pre suits the mom audience but its kind of a suitor for everyone. If they would have advertised it as a phone for everyone "even moms" then it would have still directed sales to moms and kept guys interested too. Thats like advertising the iphone specifically to one gender... wtf were they thinking.

19. corporateJP

Posts: 2458; Member since: Nov 28, 2009

Palm's been dead since the Treo, and their current devices are no Phoenixes. Sorry to inform some of you. I know death is hard to take sometimes.

21. iHateCrapple

Posts: 734; Member since: Feb 12, 2010

As an employee at a premium retailer i see the cost price of the pre and then the commissions we get for selling them...yea we lose about $50 on a secondary upg. So needless to say we dont push it. And the pixi...seriously? Have you even seen the keyboard on that thing? I didnt even realize you could make it that small, a single thumb from an adult male (or female even) covers a good half of it. Not a lot of people are interested in it either. Palm=FAIL Try again... or just die out already

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