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About DELL: Dell at a Glance Globally 2nd in computer hardware design, manufacturing and distribution with a market share

of around 16%. Founded by Michael Dell in 1984. In 1985, the company produced the first computer of its own design the "Turbo PC", sold for US$795. The volume of sales is Greater than $50 Million per day through the internet with yearly revenue of $55.908 Billion with employee base of 78,000. Ventured in areas of storage products, workstation systems, online technical support, appliance servers, network switches, standards-based point-of-sale offering for retail customers. Dells Entry in India Dell International started in India about seven or eight years back by opening a customer contact center at Bangalore in 2001. In 2003, the second contact center was opened at Hyderabad. The company operates its services from four centers based at Bangalore, Hyderabad, Chandigarh and Gurgoan. Dell started in Bangalore providing customer support to English speaking countries and later also began providing technical support, procurement of financial back office and Knowledge process outsourcing. After the U.S., Dell India is the second biggest centre with 13,000 employees. The strategic importance of India to Dell is evident from the fact that India was one among three locations (the other two being US and UK) where Dells Latitude E series and Precision notebooks were launched. Key Person: 1. Michael Dell Chairman of the Board and Non-Independent Director 2. Suresh Vaswani Chairman India
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VisionStatement: Its the way we do business. It's the way we interact with the community. It's the way we interpret the world around us-- our customers needs, the future of technology, and the global business climate. MissionStatement: Dell's mission is to be the most successful Computer Company in the world at delivering the best customer experience in markets we serve. Financial position: As of 2010, Forbes estimates Dell's net worth at $13.5 billion. Net Income $1,433 million in 2009

Major competitors: Major competitors of dell are Apple Hewlett-Packard (HP) IBM Samsung Sun Microsystems Gateway Lenovo Sony Acer Toshiba Hcl Lg

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Product mix: 1.Laptops Dell Inspiron Mini 10 Laptop Dell Inspiron 15R New

Dell(TM) Studio 15 Laptop

Alienware Laptops

2.Desktops Studio One 19 Desktops InspironTM One 19

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3. Monitors

4. Accessories

3. Projectors

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Brands : Dell uses several brand-names for its product ranges, including: OptiPlex for office desktop computer systems Dimension for consumer Desktop computer systems Latitude for commercially-focused laptops, Adamo Luxury, high style, first class Inspiron for consumer laptops, Studio student computer Precision for workstation systems and high-performance laptops Power Edge for larger corporate servers Power Vault for direct-attach and some network-attached storage (NAS) Dell EMC for storage area networks Axim for PDAs utilizing Microsoft's Windows Mobile Dell Digital Jukebox (DJ) MP3 Players Dell monitors LCD Dell On Call - extended support services (mainly for the removal of spyware and of viruses) Mini Notebooks portable, low cost not in india Alienware performance at any cost, high style points for unique design

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Pricing of DELL with its competitor HP: In 2006, Dell cut its prices in an effort to maintain its 19.2% market share. However, this also cut profit-margins by more than half, from 8.7 to 4.3 percent. To maintain its low prices, Dell continues to accept most purchases of its products via the Internet and through the telephone network, and to move its customer-care division to India and El Salvador According to me dell can maintain its pricing of products at the same level which help the dell to maintain and expand its present market. Dell can discount certain products in maturity stage to gain market share and can sell most of the products It is currently following low pricing mechanism which may affect the profit in longer run PRODUC DELL DELL HP HP PRICE T NAME PRICE MINI LAPTOP

Everyday computing Laptops

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UltraPortable Laptops

ENVY Laptops

ADAMO model

Marketing strategy: Dells marketing strategy research papers point out that Dell Computer Corporation is defined by its direct model approach to selling, which is in turn dominated by the companys intent to generate as many sales as possible on the Internet. Dell's marketing strategy sees the Internet as the purest and most efficient form of the direct model for sales, service, and support, as well as the most efficient means of customer communication both presently and in the future. Currently the company receives more than 2.6 million visits each week to its more than 80 country-specific sites. This resulted in more than $40 million in revenue per week being generated by the online marketing of Dell. The company touts its site as allowing existing and potential customers to access information regarding its products, configure computers to the customers liking, and then make the purchase. Dell sees this process as the
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most efficient method of selling because it allows the consumer to guide the process. While the consumer is choosing and configuring their Dell computer, as well as after the purchase at the Internet site, the customer has access to volumes of support and technical information. Instead of sales people answering questions, the customer is left to find their own answer. This presupposes a base line of technical knowledge in the customer, which guides the information-gathering process. Without this base line of knowledge, the customer will have difficulty making sense of computer hardware jargon that defines the capabilities of PC units. In addition, such a technically unsophisticated customer may have difficulty in even formulating the questions that should be asked in order to evaluate if a particular Dell computer will meet their needs. Individuals who are making their first computer purchase are unlikely to have access to the Internet or the navigational expertise to find Dells site. The marketing model of Dell Computers, however, does not differentiate between types of customers, and instead treats each potential customer as if they have equal technical knowledge.Dells Direct Method provides two distinct advantages: 1. reducing marketing and sales cost by eliminating markups of distributors and retailers and 2. building to order reduced inventory costs and risks of retaining inventories. Dells Direct Model is the main reason why it has achieved its stellar status in business today. This strategic model enables Dell to interact with customers directly providing them with fast, reasonably-priced and friendly means of production and distribution.

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Promotion: Dell advertisements have appeared in several types of media including television, the Internet, magazines, catalogs and newspapers. Some of Dell Inc's marketing strategies include lowering prices at all times of the year, offering free bonus products (such as Dell printers), and offering free shipping in order to encourage more sales and to stave off competitors. The biggest area of expansion for Dell is the consumer market. In order to develop more sales in this market Dell needs to focus more advertising on the needs and wants of the consumer. Dell promotes its direct model, which is a key factor Dell needs to create a better position for itself in the consumer market. With all of the PCs in the market being more or less equal, Dell needs to focus on what differentiates its products from the competition, namely service and support. The advertising campaign need to focus on the emotions of the PC users as oppose to merely their logical side. With a strong emotional ad campaign focusing on the anxieties and fears of the consumers when it comes to making the decision for a computer purchase Dell can
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reassure the consumers that we are there for them. The direct model and more importantly the virtual integration should be the focus of the campaign as oppose to a "teen-age" part-time employee at your local mall. Why would anyone want to go into a super store where the salesperson pitches everything under the sun to you before you finish telling them what it is you need. With the build-to-order direct way Dell operates "you tell us what you want, we don't tell you what you want." In 2007, Dell switched advertising agencies in the US from BBDO to Mother. In July 2007, Dell released new advertising created by Mother to support the Inspiron and XPS lines. The ads featured music from the Flaming Lips and Devo who re-formed especially to record the song in the ad "Work it Out". Dell recently began using the slogan "Yours is here" to show that it customizes computers to fit customers' requirements. In India, as part of the retail initiative, Dell tied up with Tata Croma (the Tata-owned electronics retail chain) in July 2008 and with select Staples stores. By the end of 2008, Dell planned to increase its presence to100 Indian cities by increasing its channel partners. In October 2008, Dell announced the opening of the first Dell exclusive stores in India at New Delhi and Coimbatore. Dell also tied up with 600 systems integrators all over the country who could take orders on its behalf. Dells New Marketing Strategy in India Dell is targeting the small and medium businesses (SMB) in smaller towns in India as its main driver for growth as the company believes this market sector is growing rapidly and is not exposed to global shocks making it a much more stable market. Dell India is focusing on simplification of the business processes (basic areas to improve cost efficiencies) as part of its new rollout plan. It has even tied up with Tally to offer accounting solutions online. For an initial period, customers get a Tally subscription free along with select Dell Vostro systems. Dell has also increased its SMB team to 200 and expanded its presence to about 600 tier-II and tier-III cities. Dell
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will also introduce a portal titled Dell 360 (with discussion forums) where SMBs can educate themselves on benefits of IT to their businesses. Dells New Advertising Campaign for SMBs First launched in India, Dells new advertising campaign is titled Take Your Own Path. The campaign targets Indian SMBs with a new range of laptops. Testimonial Advertising instead of Transactional In December 2007, Dell partnered with WPP (after withdrawing its advertising responsibilities from over 800 different agencies worldwide) which launched its own specialist unit Enfatico with Dell as its only customer. Enfaticos first international campaign for Dell targeted SMBs featured successful Indian faces (like P Rajendran NIITs co-founder and COO, Raman Roy CEO of Quattro among others with their testimonials) and aimed at establishing an emotional connect with brand Dell.

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Various dell ads are:

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SWOT Analysis of Dell Computer Strengths Dell's Direct Model approach of enables the company to offer direct relationships with customers such as corporate and institutional customers. Their strategic method also provides other forms of products and services such as internet and telephone purchasing, customized computer systems; phone and online technical support and next-day, on-site product service. This extensive range of products and services is definitely one of Dells strengths. Dell Computer's award-winning customer service, industry-leading growth and consistently strong financial performance differentiate the company from competitors for the following reasons: Price for Performance Dell boasts a very efficient procurement, manufacturing and distribution process allowing it to offer customers powerful systems at competitive prices. Customization - Each Dell system is built to order to meet each customers specifications. Reliability, Service and Support Dells direct customer allows it to provide top-notch customer service before and after the sale. Latest Technology Dell is able to introduce the latest relevant technology compared to companies using the indirect distribution channels. Dell turns over inventory for an average of every six days, keeping inventory costs low. The company's application of the Internet to other parts of the business -including procurement, customer support and relationship management -- is growing at a rate of 30 percent. The company's Web site received at least 25 million visits at more than 50 country-specific sites. Weaknesses Dells biggest weakness is attracting the college student segment of the market. Dells sales revenue from educational institutions such as colleges only accounts for a measly 5% of the total. Dells focus on the corporate and government institutional customers somehow affected its ability to form relationships with educational institutions. Since many students purchase
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their PCs through their schools, Dell is obviously not popular among the college market yet. For home users, Dells direct method and customization approach posed problems. For one, customers cannot go to retailers because Dell does not use distribution channels. Customers just cant buy Dell as simply as other brands because each product is custom-built according to their specifications and this might take days to finish. Opportunities Personal computers are becoming a necessity now more than ever. Customers are getting more and more educated about computers. Secondtime buyers would most likely avail of Dells custom-built computers because as their knowledge grows, so do their need to experiment or use some additional computer features. Demand for laptops is also growing. As a matter of fact, demand for laptop has overtaken the demand for desktops. This is another opportunity for Dell to grow in other segments. The internet also provides Dell with greater opportunities since all they have to do now is to visit Dells website to place their order or to get information. Since Dell does not have retail stores, the online stores would surely make up for its absence. It is also more convenient for customers to shop online than to actually drive and do purchase at a physical store. Threats In a volatile market such as personal computers, threats abound. Computers change in a constant sometime daily basis. New software, new hardware and computer accessories are introduced at a lightning speed. It is essential for Dell therefore to be always on the lookout for new things or introduce new computer systems. The threat to become outmoded is a pulsating reality in a computer business. Not only that, companies must produce products that are high in quality but low in price. This is one challenge that Dell contends with. One of the biggest external threats to Dell is that price difference among brands is getting smaller. Dells Direct Model attracts customers because it saves cost. Since other companies are able to offer computers at low costs,
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this could threaten Dells price-conscious growing customer base. With almost identical prices, price difference is no longer an issue for a customer. They might choose other brands instead of waiting for Dells customized computers. The growth rate of the computer industry is also slowing down. Today, Dell has the biggest share of the market. If the demand slows down, the competition will become stiffer in the process. Dell has to work doubly hard to differentiate itself from its substitutes to be able to continue holding a significant market share. Technological advancement is a double-edge sword. It is an opportunity but at the same time a threat. Low-cost leadership strategy is no longer an issue to computer companies therefore it is important for computer companies to stand out from the rest. Technology dictates that the most up-to-date and fastest products are always the most popular. Dell has to always keep up with technological advancements to be able to compete. Our Suggestion: If I were the marketing manager of DELL, I would like to adopt following strategies; 1. Dell can open physical shops in India. Since e marketing in this place cannot increase it volume of sales 2. Dell can introduce high priced product with limited edition which can make dell to get a competitive gain in prestigious market where apple are present. 3. Nowadays hp introduces a concept of no shipping cost on certain products. Similarly dell can implement it. 4. Dell can also try to bag many government contracts in which the new comers are bagging it. 5. Dell can concentrate on desktops, printers, projectors, accessories where hp os going for product diversification 6. Dell can look into promotional activities with an innovative approach. 7. Dell can improve its B2B market whereas presently it has more market on B2C market.
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8. The demand for dell is growing .but the supply is somewhat low, thus it can look into demand rather than order. References: Dell.com Cio.com Idc.com Wikipedia Google.com Quest.com I2.com http://www.intel.com/ebusiness/pdf/affiliates/i2-dell.pdf

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