This Dell case study designed for business and marketing students details Dell's business and marketing strategy focusing on E-commerce. Describes approach to managing Dell.com. Updated March 2008.
Dell is a technology company, offering a broad range of product categories, including desktop computer systems, storage, servers and networking products, mobility products, software and peripherals and services to manage IT infrastructure for large organizations . Dell are the number one supplier of personal computer systems in the United States, and the number two supplier worldwide. This case study is based on the Dell 2007 SEC filing. Read the latest Dell SEC filings from Yahoo!. I have also added additional insight from a Dell employee presented at E-consultancy 2007 Online Marketing Masterclass.
The main Dell product offerings are:
1. Desktop PCs — Five lines of desktop computer systems are produced for different
markets. For example, the OptiPlex line is designed to help business, government, and institutional customers manage their total cost of ownership by offering stability, security, and managed product transitions; The Dimension line is designed for small businesses and home users requiring the latest features for their productivity and entertainment needs. The XPS tm and Alienware lines are targeted at customers who require the highest performance gaming or entertainment experience available. In July 2007, we introduced the Vostro tm line, which is designed to provide technology and services to suit the specific needs of small businesses. 1. Servers and Networking — The PowerEdge tm line of servers is designed to offer
customers affordable performance, reliability, and scalability. Again different options are available for different markets include high performance rack, blade, and tower servers for enterprise customers and lower priced tower servers for small organizations, networks, and remote offices. 2. Storage — For example, storage area networks, network-attached storage, direct-
attached storage, disk and tape backup systems, and removable disk backup. 3. Mobility — Notebook computers are targeted at customers who require the highest
performance gaming or entertainment experience available.
4. Software and Peripherals — Office software and hardware including printers,
televisions, notebook accessories, networking and wireless products, digital cameras, power adapters, scanners, and other products.
5. Enhanced Services — Dell’s global services business offers tailored solutions that help
customers lower the cost of their services environment and maximize system performance, efficiency, and return on investment. These include: Infrastructure Consulting Services; Deployment Services to install and integrate new systems; Asset Recovery and Recycling Services. Training Services ; Enterprise Support Services and Managed Lifecycle Services (outsourced IT management). 6. Financial Services - for business and consumer customers in the U.S. through a joint
venture between Dell and CIT Group, Inc.
Dell business strategy
Dell’s vision is to “strive to provide the best possible customer experience by offering superior value; high-quality, relevant technology; customized systems; superior service and support; and differentiated products and services that are easy to buy and use”. The core elements of the strategy which are evident in Dell’s marketing communications are: •
“We simplify information technology for customers. Making quality personal computers, servers, storage, and services affordable is Dell’s legacy. We are focused on making information technology affordable for millions of customers around the world. As a result of our direct relationships with customers, or “customer intimacy,” we are best positioned to simplify how customers implement and maintain information technology and deliver hardware,...