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Dell’s Marketing Strategy
Koichi Tachiya
 Founded in Austin, Texas (May 1, 1984)
 Michael Dell (Chairman & CEO)
 Operational regions: Americas; Europe, Middle
East and Africa (EMEA); Asia-Pacific and Japan
(APJ)
 Number one supplier of computer systems in the
U.S. and second worldwide
Dell Inc. Background
Mission
Definition of a Mission
A Mission is defined as
‘Who we are and what we do’
Dell’s Mission
"To be the most successful computer company in the
world at delivering the best customer experience in
markets we serve."
Vision
Definition of a Vision
A Vision is defined as
‘An Image of the future we seek to create’
Dell’s Vision
"It's the way we interpret the world around us --
our customers needs, the future of technology, and
the global business climate.”
Value chain
Inbound Logistics
Dell shares its
-Daily production
schedules
-Sales forecasts
Operation
Just In Time
Reduces inventory cost
Outbound Logistics and Sales
Disintermediation
Service
• Immediate
feedback
• Quick response
to problems.
Value chain
Dell Inc. Fiscal Performance
Dell Inc. Fiscal Performance
4 P's Dell Inc.
Products & Services
For Home For Work
Customizable
Product, Segmentation &
Targeting
1. Consumer – Target: Household Customer
 Laptops & Ultrabooks
 Desktops & All-in-Ones
 Electronics & Accessories
Printers, Monitors etc
 New Touch PCs & Tablets
Product, Segmentation & Targeting
2. Small & Medium Business
 DELL Precision Workstations and mobile
Workstation
 Vostro and Latitude line of Notebooks and Netbooks
 Servers, Storage and Networking
Equipment
 Services
e.g. IT Consulting, Data Protection
Product, Segmentation & Targeting
3. Public Sector – Target: Government, Schools
 Digital Forensics, e-Government, Data Center
Efficiency
 Civilian and Defense Agencies, Intelligence
Security, Federal health, Consulting and
Deployment Services
 Professional Learning, Connected Classroom,
Private Cloud Computing, Wireless Classroom
 Learning Management systems
Product, Segmentation & Targeting
4. Large Enterprises – Target:
Large Cooperations
 Blade Server Solution, Server
Consolidation, Client Migration
solution, Virtual Clients
 RISK Migration, Storage
consolidation,
Cloud Computing, Mobility Solutions
 Business Consulting,
Product, Segmentation & Targeting
5. Intangible Products – Target: All four Segment
 Warranties
 Repair Services
 Software Services
 Sells mostly on the Internet
Direct to Customer
 Customized Computer – Just in Time
 Since 2007 restarted distribution through
Retailers
Just Consumer Products
Place – Distribution Strategy
 Prices comparatively low
Just in Time Production – Low Inventory Costs
Direct Distribution
 Dependent on Supplier Prices
 Dell Financial Services
 Customization
No Price-Tag-Effect
Pricing Strategy Based on Customer Needs
Pricing Strategy
Promotion & Positioning
 TV, Newspaper, and Magazine Advertising
 Limited Perios Sales on Website
 Dell Mailing List
 Product Placement
 Social Networking
 Buzz Marketing
 Best Global Brands 2012: Dell is ranked on 49 with a Brand equity of $
7,591 m
Branding Strategy
 Dialogue with our customers through social, mobile,
blogs, and dell.com
 Brand site which features customer stories, articles,
case studies and forums
 Dell's brand strategy is 100 percent customer-centric
 Dell has a formal integration program and a marketing
playbook
 Developed a set of brand standards to clearly guide
the new identity
Branding Strategy
Branding Strategy
 Traditionally, a direct-to-customer brand
 Now 80% of revenue in IT services and solutions
for SMB
 “The power to do more” campaign increased
overall brand health
 Implementing a Social Media Listening Command
to enhance brand experience
 Several corporate citizenship initiatives
Community Involvement
1. Environment
 Design for Environment
Smarter Material Choices
Energy Efficiency
End of Life and Reuse
Environmental Standards
 Green Packaging and Shipping
 Reducing the Footprint
 Dell Recycling Programs
2. Communities
 Dell Youth Learning
 Children's Cancer Care
 Social Entrepeneurship
 Disaster Relief
Community Involvement
3. People
 Diversity and Inclusion
 Diversity Partnership
 Employee Resource Groups
 Employees in Action
 Workforce Commitment
Community Involvement
4. Supply Chain
 Conflict-free Minerals
 Supplier Responsibility
 Supplier Diversity
Community Involvement
References
• Dudovskiy, J. [Web log message]. Retrieved from http://research-methodology.net/dell-value-chain-
analysis/
• skyrnnr87. (n.d.). Retrieved from http://www.studymode.com/essays/Dell-Vision-Mission-Statement-
135464.html
• The McGraw-Hill Companies. (1997). Dell Computer Corporation Online Case. Retrieved 3 6, 2011, from
McGraw Hill Higher Education:
http://www.mhhe.com/business/management/thompson/11e/case/dell5.html
• Vishal, R. (2012). Retrieved from
• http://vishalrawal5.blogspot.com/2012/12/segmentation-targeting-and-positioning_8347.html
• http://www.dell.com/Learn/us/en/uscorp1/dell-
difference?c=us&l=en&s=corp&cs=uscorp1&delphi:gr=true
• http://www.interbrand.com/en/best-global-brands/2012/Best-Global-Brands-2012-Brand-View.aspx
• http://www.dell.com/Learn/us/en/uscorp1/about-dell?c=us&l=en&s=corp&ref=ff41&delphi:gr=true
• http://www.techiestuff.org/social-media-case-study-dell-computers/
• http://www.ukessays.com/essays/marketing/marketing-mix-analysis-for-dell-marketing-essay.php
• http://www.interbrand.com/en/best-global-brands/2012/articles-and-interviews/dell-karen-
quintos.aspx
• http://inhowse.howdesign.com/corportfolio/corportfolio-dell-designing-on-brand/
• http://i.dell.com/sites/doccontent/corporate/secure/en/Documents/FY12_YIR_FINAL.pdf

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Dell Marketing Strategy Analysis

  • 2.  Founded in Austin, Texas (May 1, 1984)  Michael Dell (Chairman & CEO)  Operational regions: Americas; Europe, Middle East and Africa (EMEA); Asia-Pacific and Japan (APJ)  Number one supplier of computer systems in the U.S. and second worldwide Dell Inc. Background
  • 3. Mission Definition of a Mission A Mission is defined as ‘Who we are and what we do’ Dell’s Mission "To be the most successful computer company in the world at delivering the best customer experience in markets we serve."
  • 4. Vision Definition of a Vision A Vision is defined as ‘An Image of the future we seek to create’ Dell’s Vision "It's the way we interpret the world around us -- our customers needs, the future of technology, and the global business climate.”
  • 5.
  • 7. Inbound Logistics Dell shares its -Daily production schedules -Sales forecasts
  • 9. Outbound Logistics and Sales Disintermediation
  • 12. Dell Inc. Fiscal Performance
  • 13. Dell Inc. Fiscal Performance
  • 14. 4 P's Dell Inc. Products & Services For Home For Work Customizable
  • 15. Product, Segmentation & Targeting 1. Consumer – Target: Household Customer  Laptops & Ultrabooks  Desktops & All-in-Ones  Electronics & Accessories Printers, Monitors etc  New Touch PCs & Tablets
  • 16. Product, Segmentation & Targeting 2. Small & Medium Business  DELL Precision Workstations and mobile Workstation  Vostro and Latitude line of Notebooks and Netbooks  Servers, Storage and Networking Equipment  Services e.g. IT Consulting, Data Protection
  • 17. Product, Segmentation & Targeting 3. Public Sector – Target: Government, Schools  Digital Forensics, e-Government, Data Center Efficiency  Civilian and Defense Agencies, Intelligence Security, Federal health, Consulting and Deployment Services  Professional Learning, Connected Classroom, Private Cloud Computing, Wireless Classroom  Learning Management systems
  • 18. Product, Segmentation & Targeting 4. Large Enterprises – Target: Large Cooperations  Blade Server Solution, Server Consolidation, Client Migration solution, Virtual Clients  RISK Migration, Storage consolidation, Cloud Computing, Mobility Solutions  Business Consulting,
  • 19. Product, Segmentation & Targeting 5. Intangible Products – Target: All four Segment  Warranties  Repair Services  Software Services
  • 20.  Sells mostly on the Internet Direct to Customer  Customized Computer – Just in Time  Since 2007 restarted distribution through Retailers Just Consumer Products Place – Distribution Strategy
  • 21.  Prices comparatively low Just in Time Production – Low Inventory Costs Direct Distribution  Dependent on Supplier Prices  Dell Financial Services  Customization No Price-Tag-Effect Pricing Strategy Based on Customer Needs Pricing Strategy
  • 22. Promotion & Positioning  TV, Newspaper, and Magazine Advertising  Limited Perios Sales on Website  Dell Mailing List  Product Placement  Social Networking  Buzz Marketing
  • 23.  Best Global Brands 2012: Dell is ranked on 49 with a Brand equity of $ 7,591 m Branding Strategy
  • 24.  Dialogue with our customers through social, mobile, blogs, and dell.com  Brand site which features customer stories, articles, case studies and forums  Dell's brand strategy is 100 percent customer-centric  Dell has a formal integration program and a marketing playbook  Developed a set of brand standards to clearly guide the new identity Branding Strategy
  • 25. Branding Strategy  Traditionally, a direct-to-customer brand  Now 80% of revenue in IT services and solutions for SMB  “The power to do more” campaign increased overall brand health  Implementing a Social Media Listening Command to enhance brand experience  Several corporate citizenship initiatives
  • 26.
  • 27.
  • 28. Community Involvement 1. Environment  Design for Environment Smarter Material Choices Energy Efficiency End of Life and Reuse Environmental Standards  Green Packaging and Shipping  Reducing the Footprint  Dell Recycling Programs
  • 29. 2. Communities  Dell Youth Learning  Children's Cancer Care  Social Entrepeneurship  Disaster Relief Community Involvement
  • 30. 3. People  Diversity and Inclusion  Diversity Partnership  Employee Resource Groups  Employees in Action  Workforce Commitment Community Involvement
  • 31. 4. Supply Chain  Conflict-free Minerals  Supplier Responsibility  Supplier Diversity Community Involvement
  • 32. References • Dudovskiy, J. [Web log message]. Retrieved from http://research-methodology.net/dell-value-chain- analysis/ • skyrnnr87. (n.d.). Retrieved from http://www.studymode.com/essays/Dell-Vision-Mission-Statement- 135464.html • The McGraw-Hill Companies. (1997). Dell Computer Corporation Online Case. Retrieved 3 6, 2011, from McGraw Hill Higher Education: http://www.mhhe.com/business/management/thompson/11e/case/dell5.html • Vishal, R. (2012). Retrieved from • http://vishalrawal5.blogspot.com/2012/12/segmentation-targeting-and-positioning_8347.html • http://www.dell.com/Learn/us/en/uscorp1/dell- difference?c=us&l=en&s=corp&cs=uscorp1&delphi:gr=true • http://www.interbrand.com/en/best-global-brands/2012/Best-Global-Brands-2012-Brand-View.aspx • http://www.dell.com/Learn/us/en/uscorp1/about-dell?c=us&l=en&s=corp&ref=ff41&delphi:gr=true • http://www.techiestuff.org/social-media-case-study-dell-computers/ • http://www.ukessays.com/essays/marketing/marketing-mix-analysis-for-dell-marketing-essay.php • http://www.interbrand.com/en/best-global-brands/2012/articles-and-interviews/dell-karen- quintos.aspx • http://inhowse.howdesign.com/corportfolio/corportfolio-dell-designing-on-brand/ • http://i.dell.com/sites/doccontent/corporate/secure/en/Documents/FY12_YIR_FINAL.pdf