Including Individual customers to corporate and retailing businesses. The company’s philosophy to deal with customers one-on-one has become a management model for other companies. Having gained the market leadership position in computer products and services, Dell’s team have always been careful in sustaining its marketing strategy of providing standard-based computing solutions. Marketing Environment Dell’s strategy Is global. It realizes that being closer to the customers Is essential In carrying out Its marketing strategies as well as In enabling It to build customer base.
First by establishing the Internet infrastructure for booking/orders related activities it has been able to increased its customer base from existing markets. Using the same infrastructure it has been able to carry out its marketing strategies in new offices as well. However, Dell differentiate in its marketing tactics in that it believes in establishing a brick and mortar market presence. This is why the company has established sales offices and manufacturing outlets across North America, Europe, Asia and South America. This way It has been able to gauge the local customers’ needs as well as services desired.
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Apart from the above customer level niche marketing, Dell also believes in reducing competition through collaboration. Unlike other leaders in the industry such as HP and Compact, Dell does not believe in taking over existing competitors to eliminate competition. Instead the company have always pride Itself In using partnerships and associations for integrated marketing. For example Xerox’s addition to the company as a partner for providing printing products and services has served the purpose of Integrating one more technology to Its lists of comprehensive business services.
As James Vanderbilt, Vice Chairman of Dell says:”By adding Xerox to our roster of preferred printing partners, we are even better equipped to serve our customers with a full range of office printing technologies that provide end-to-end solutions. The Xerox brand is synonymous with quality, technology leadership and world-class services. We share these core values. ” (“Dell and Xerox Forge Strategic Marketing Tie”). Not only Dell believes In Industry wide collaboration but also in global collaboration.
It has based offices in different countries of the world as strategic plan due to the fact that it would be able to reach the niche market effectively. By breaking the dominance or monopoly of other computer companies, Dell would be able to capture the market by providing products and services at competitive pricing strategies. SOOT Analysis Strengths: Dell’s dynamic organizational structure allows It to achieve diversified manufacturing process of Dell, it has been able to reduce middle channel costs.
These components, such as Memos, SMS, logistics, system integrators, repair and support companies, component suppliers, third party HOW and SW suppliers and distributors have become each of the company’s manufacturing processes so that ease of provision to the customers is possible. This reverse organizational process structure differ from other industry leaders. Weaknesses: Within the strengths lies Dell’s weaknesses. Much of its strategies have to rely on the capacity and capability of these manufacturing components.
Continuous updates and process improvement is required so that they can keep up with Dell’s pace of development. Opportunities: Having established an integrative and virtual network, Dell has been able to achieve the high level of corporate outcome that challenged most of the industry leaders. The established value web corporate model have also allow Dell to eave global wide access to customers and market. Reaching any niche market in any continent is therefore not a problem for Dell’s marketers.
Threats: However, due to the integration of components in Dell’s organization structure, Dell compete not only compete at the final product level but also at the suppliers level. Third party software for example have great competition for price and product categorization which could eventually affect Dell’s position in the market. Marketing Strategy Product: Dell’s unique approach to manufacturing separates the different processes o that Dell is not reliant on singular production or supplier’s chain for equipment production.
Though there is no segregation of the different products and services but nevertheless in separating the components enabled it to target the customers based on the regions in which the products are manufactured. By assigning each rationalized production center particular component for production not only have diversified the risk of concentration of labor and production costs but also depending on particular infrastructure. Price: Dell’s product pricing reflect the affordability of he local consumers.
For example basing plants in Examine, China Dell has been able to provide products and services at the local prices without incurring additional costs to price. Price restorability and the availability of support, after sales services and parts have alleviate Dell’s position from others. Place: Dell has been able to affect the location strategy aspect of its marketing campaign. As Dell’s products are always available at the nearest dealers customers develop trust for the “local Dell” thereby achieving the objective of gaining their trust in Dell products and services, and arming a large and diversified consumer base.
Promotion: Dell in the past have not concentrated on extensive marketing campaigns but this revolutionized in 1999 when Dell changed its tactics by engaging in extensive marketing campaigns. The “Be Direct” attitude has changed the way consumer view Dell as the local producers. Sales promotion 1 . Broken down market Dell computer companies will be in accordance with the product range of its products, respectively, in different areas of application or market classification classification, a different strategy. . Pricing strategy Through direct sales, Dell than in the other major manufacturers of low cost 100 to 200 U. S. Dollars, which use low-cost marketing strategy. 3. Advertising strategy pictures, and many more performance charts, and even made some advertising in the form of slides. These customers can purchase fully stimulate desire. Distribution channels Direct modes in compressed product production lines, supplemented by online purchase at great development of its direct sales model. Customer Service 1.
Online orders, and by a single production Dell companies to enable customers to purchase computer Dell. Com and Premiere. Mom for enterprise customers, the company has provided more than 60,000 customized web site to allow customers to track orders for the purchase and implementation. Valuating. Dell. Com orders through direct transmission to the supplier of raw materials Dell companies, such suppliers will be able to receive real- time information on raw materials, thus contributing to Dell companies control inventory. 2.
Video distribution and delivery guarantee Dell particularly unique is that the company provided a special specialized services : network users can choose in accordance with their own preferences and needs of the imputer, the company provides distribution of the final outcome of the hardware, and system performance forecasts. As a result, the network of shops in the best possible selection, Dell sites in the forefront in computer networks. Dell customers at the center of the customer requirements for different customers different custom, personalized products.
In all customers choice, the website also provides the corresponding price, payment method and delivery address and the identification and door-to-door in two days. 3. Online technical services and technical support Dell companies provide online services and technical support is very broad, users answer questions, the escalation on Windows, software upgrades informed, and so on. A wide range of services not only to increase the intrinsic value of their products, can also be user satisfaction, and enhance the competitiveness of our products. 4.
Online forums , help and Search services Not only large customers, small enterprises, a large number of persons were also attract home office in Dell brands around. From the autumn of 1998, Dell established executives and customers online forum “had breakfast with Dell” extended to small easiness users, the topic of this live chat server market trend not only includes such large topics, but also for general users the opportunity to make a wide variety of issues, then adopted Dell online knowledge base in artificial intelligence software to help automatically answered. Dell also provides comprehensive search services.
A user-friendly search service can find their desired product and technical support. The scope is very wide search, the search is on the hardware, but also software for the search; Both assembled whole sets of search; There are various parts of the search, and so on. 5. Orders enquiry and Purchase logistics and delivery logistics Customers only in the number of Internet customers of six figures or purchase orders numbers, a few minutes, will receive a detailed report on the progress of orders. Delivery logistics, the same achieved its online electronic payment, “customers trolleys” and transport management, etc. Unction’s. Purchase of logistics enterprise- enterprise e-business, not reflected in the website, presumably in the company’s internal network will be involved. – See more at: http://www. Segmentation. Com/ Dell India Dell in India – Business and Marketing Strategy Jan 8, 201 Articles Business Strategy – Strategic Marketing Dell’s Entry in India Dell International started in India about seven or eight years back by opening a customer contact center at Bangor in 2001. In 2003, the second contact center was opened at Hydrated.
The company operates its services from four centers based at Bangor, Hydrated, Changer and Surgeon. Dell started in Bangor 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 Dell’s Latitude E series and Precision notebooks were launched.
Manufacturing – The first Dell ‘Made in India’ desktop “The Achaean operation reaffirms the strategic importance of India to Dell, providing significant impetus to our growth plans and prospects here, where we are already among the fastest growing computer systems suppliers. “- R Amanda, UP ; MM, Dell India In July 2007, Dell began production t its new manufacturing facility in Achaean (Dell’s third manufacturing location in Asia-Pacific and Japan region and eighth overall).
The Surreptitious plant (Teacher site with a planned five-year investment of about IIS$ 30 million) was chosen for manufacturing in September 2006. The planned initial capacity was around 400,000 desktop computers per year. The company has doubled its production capacity since then from 400,000 in 2007 to the 1 million units in June 2008. Informs, one of Dell’s largest customers in the country, was presented with the first ‘Made in India’ desktop computer system. Dell’s Market Share in India “India is the fastest growing market for Dell worldwide and laptops have emerged as the fastest growing form factor. – Rajah Aqua, Director Communications of Dell PAPAS “By 2015, the number of PC’s in India will grow 10 times and in the last year our personal computer sales in India grew by 99% compared to the previous year” ” – Michael Dell. “We have gone from zero to 10 per cent share in the government segment and we’re the largest player in the large enterprise space” – Sesame Grade, India General Manager for Dell. In March 2007, Dell was roughly a half a billion dollar enterprise in India and has expectations to touch revenue of $1 billion within the next year. Within three years of launching its products in the Indian market, Dell crossed the $l-billion sales mark in India. ) In 2008, Dell ranked third in the Indian market with a 7. 6 percent market share compared to about 4 percent market share two years ago. In Q, 2008, Dell had a 16% share in the Notebooks segment and 6% share in Desktops segment as compared to 8% and 4. 5% share in Q, 2007 respectively. Dell’s new retail strategy and Direct-only model Dell’s innovative direct- sales model with good sales growth had been successful until inconsiderably. Dell was selling PC’s directly to customers by phone and online.
On May 24, 2007, Dell disclosed its plans to sell PC’s in the US, Canada, and Puerco Rice through Wall-Mart and Cam’s Club retail stores. This announcement came soon after Michael Dell returned as CEO replacing Rollins. In India, as part of the retail initiative, Dell tied up with Data Carom (the Data-owned electronics retail chain) in July 2008 and with select Staples stores. By the end of 2008, Dell planned to increase its presence tool 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 Combaters.
Dell also tied up with 600 systems integrators all over the country who could take orders on its behalf. Dell’s 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 roll 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 Visitor systems. Dell has also increased its SMB team to 200 and expanded its presence to about 600 tier-II and tier-Ill cities. Dell will also introduce a portal titled “Dell 360” (with discussion forums) where SMB can educate themselves on benefits of IT to their businesses. Dell’s New Advertising Campaign for SMB First launched in India, Dell’s new advertising campaign is titled – “Take Your Own Path”. The campaign targets Indian SMB with a new range of laptops.