The Next Level: Entrepreneurs
Test-driving the Technology: Women Warm Up to the New High-tech Gadgets
By LaQuinda P. Brewington
Apr 24, 2003, 13:30

Going it alone. It's probably one of the riskiest decisions a woman can make today. And they're doing it by the thousands, in business.

According to the U.S. Census Bureau's "1997 Survey of Women-Owned Business Enterprises," the growth of women-owned firms continues to exceed the rate of growth of all other types of businesses. The potential payoff is driving many women to take on challenges they'd never anticipated, to grow their companies. This is especially true in the high-tech arena.

In its 1997 report, "Embracing the Information Age: A Comparison of Women and Men Business Owners," the Center for Women's Business Research discovered that women entrepreneurs are leaders in the use of technology. This tech-savvy population has doubled its numbers in the past 12 years, and its sales have grown fivefold.

Meantime, women continue to move into the U.S. labor force, increasing their numbers and influence in areas where high-technology is increasingly commonplace. Sixty percent of the nation's women aged 16 and older now work a job other than keeping their homes and raising their children, up from 43 percent in 1970. The female percentage of the labor force, 46 percent in 1998, is expected to increase to 48 percent by 2008.

Statistics like these are making marketers of high-tech equipment stand up and take notice.

"So many women today are dealing with the demands of work and home," says Tim Twerdahl, a product manager for Palm, Inc., a leading provider of handheld computing devices and wireless solutions. "They didn't need a product that would add to that stress."

When Palm first launched its now defunct Pilot series, the device came with lots of "gee whiz" technology that only appealed to a specific subset of the consumer audience.

"More than 80 percent of our sales at the time were from men," says Twerdahl. "They tend to be much more tolerant than women are of all the little bells and whistles."

Women First

Along with increasing competition came the realization that Palm wouldn't be able to maintain large profit margins in the long run if it didn't begin thinking differently about ways to grow market share.

The goal, says Twerdahl, was to create a more consumer-focused device that had women's needs at the forefront. As a result, a more flexible, user-friendly model replaced the more difficult technology.

Billed as "a simple, functional, and fun way to take control of your life," the company launched its PalmŪ m100 Handheld series in August 2000 to help consumers keep track of appointments, addresses, and to-dos. The company says its ergonomic design allows for easier gripping, while a colorful selection of 19 interchangeable faceplates allows users to express their individuality.

To date, more than one million units have been sold -- 40 percent of those to women -- making it the fastest-selling device in the company's history.

A Tough Sell

Patti Ross, IBM's segment executive for U.S. women-owned businesses, says winning women customers over was no easy feat. Contrary to popular belief, women generally do not buy compulsively. And getting women to buy the latest high-tech equipment has proven to be a particularly hard nut to crack. Ross' job is to figure out what women in business want and then to make it happen.

"It's amazing to find out what you thought was true really wasn't true at all," Ross says. "Research told us that women wanted a lighter weight ThinkPad. We are pleased that we now have a 3.1-pound ThinkPad (X Series) and many women are purchasing it."

Hoping to find out what really motivates women to leverage new technology, IBM decided to go straight to the source: the women themselves.

"We've spent the past two years trying to understand what the technical requirements for women are. What is the uniqueness of women users versus men?" says Raiford Cockfield, IBM Americas vice president - Market Development.

Physical Factors

So what are the top attributes women want to see in a high-tech device? Product quality, ease of use, and support ranked high on the list of "must haves," says Cockfield.

"A lot of the appeal of these devices is how they're packaged," he says. "Its size, weight, and mobility are all significant factors when consumers and business owners finally decide what kind of technology is suited to their lifestyle."

Just ask Magali Baquero, whose decision to use a handheld product led to some significant health benefits. Admittedly change-challenged, Baquero, a regional human resources manager with fiber optic network manufacturer Global Crossing, was a longtime user of paper organizers.
"I had been disappointed in the past by electronic organizers and had really moved away from considering them as a tool to help me do my job better," Baquero says.

For starters, she says, they took too long to program. Her recollection of losing several hours worth of data into an electronic address book is particularly vivid.

For Baquero, jumping back onto the technology bandwagon was more than a matter of opportunity and access: A nagging back problem compelled her to find ways to lighten her load as she went from meeting to meeting. And, since Global Crossing had a program for executives to buy these devices, she decided to give it another shot.

"I've had my Palm Pilot for nearly a year, and I love it," says Baquero. "I use it to help keep my schedule straight at work. And, at home, I print calendars for each month and post them on the refrigerator for my children to see.

"Sometimes you have to test the technology in a protected environment, if you tend to be intimidated by it, like I was."
Comfort does count. Which is precisely why IBM's online business center for women was established.

Market Linkages

"We found that many of the women we are trying to reach join professional organizations whose membership is made up of women business owners, authorized IBM business partners, and certified suppliers, says Ross. "These women network and conduct business with each other and we market our products, services, and solutions to them."

IBM has a partnership now with several associations for women and other constituency groups, among them the National Association of Women Business Owners, American Business Women's Association, Asian Women in Business, Women of Color in Technology, Women President's Organization, the National Association of Female Executives, the U.S. Hispanic Chamber of Commerce, and the African American Chamber of Commerce of Westchester County.

IBM says its partnerships make the company's resources available to women business owners and offer a wealth of information on the latest in mobile computing devices and solutions.

"We've been marketing to women as a segment since 1995," says Ross. "IBM is very serious about its commitment to this group."

So serious, says Ross, that the company established a research group, in 1999, to explore development of a product specifically for women. The company asked more than 1,700 women business owners -- who together had revenue of more than $47 million -- what would make their lives easier.

"We approached this from a techno-savvy standpoint," says Cockfield. "We talked to women who are proficient users of high-tech devices, women who were virtual novice users, and those who use computers in the workplace.

"One of the more important things women told us was that their lives don't stop at work and pick up again when they walk into their houses. Their lives are multifaceted, and they wanted a product that was able to improve productivity in all aspects of their lives."

Versatile Helpmates

Very true, says Nancy Felix, senior engineering manager at StorageTek, maker of data storage tapes.

"I'm an engineer," says Felix, "so technology is something I'm exposed to every day."

Just like everyone else, she says, she uses her organizer to coordinate meetings, appointments and the like. Most often, she uses it as a tool to keep up with the stock market.

"I'm a member of an investment club and have found this device to be very useful in that way. It's my work/home/everything tool."

So, then, what's the message in all of this? That there's something for everyone, regardless of her level of technical proficiency. And the resources needed are only a double-click away.

For more information about IBM's lightweight ThinkPads, Desktops, WorkPads, Netfinity Servers, and other products, visit the IBM Womens Business Center at http://www.ibm.com/smallbusinesss/women. Find out more about Palm products and accessories at http://www.palmgear.com/ or http://www.palm.com/.

LaQuinda P. Brewington is a freelance writer based in Brandon, Fla. She can be reached at LBrewington@ccgmag.com.