Published by MBA Skool Team, Last Updated: February 20, 2017
Marketing Strategy of Dell analyses the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on Dell marketing mix, help the brand succeed.
Dell marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Dell Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
Dell Product Strategy:
The product strategy and mix in Dell marketing strategy can be explained as follows:
Dell is known for constant innovation and providing quality products to its customers. The Dell XPS 13, has won numerous awards at CES 2017. The product portfolio in the marketing mix of Dell includes consumer products and business products. Its product portfolio offers laptops and 2-in-1s, Desktop and All-in-ones, Gaming series, XPS series, monitors, electronics and accessories. For business, it has developed Vostro series laptops for small business use, Latitude series that provides scalable and durable design, Dell precision mobile workstation with ISV certification, Chrome book with powered by Chrome OS laptop. Its XPS and Alienware series is priced premium that targets potential customers which look for premium quality and high end hardware configuration. Dell introduced an online remote troubleshooting tool called Dell Connect which allows the technician to access user’s computer and resolve the system problems. As after sales is a major concern for users, the Dell Connect helped the company to attract potential customers.
Dell Price/Pricing Strategy:
Below is the pricing strategy in Dell marketing strategy:
In notebook category, Dell has priced Inspiron series laptops at lower prices followed by XPS, which is priced premium and Alienware series accounts for highest priced laptop in its notebook product portfolio.
The pricing strategy in the marketing mix of Dell has set different set of prices based on the consumer segment it is targeting which includes consumer segment and business segment. The pricing also varies based on the hardware chosen and the operating system version selected. The customization feature has helped Dell to increase its market share as users prefer to configure their laptops as per their requirements. Dell allowed customers to customise their laptop hardware configuration which differentiated it from its competitors. Also it provided various bundling offers as it gives accessories, extended warranty for the customers. Dell also helps its customers to choose the product by providing guides and “Help me feature” that assist users.
Dell Marketing Strategy comprises of not only its Marketing Mix, but also segmentation, targeting, positoning, competition and analysis like SWOT. Also read Dell SWOT Analysis, STP & Competitors
Dell Place & Distribution Strategy:
Following is the distribution strategy in the Dell marketing mix:
Dell products are sold through its website, e commerce sites such as Amazon, Flipkart, Snapdeal and also in retails stores. Apart from online, the place in the marketing mix of Dell also covers the stores and shops. There are various showrooms, dealers, distributor outlets across the world. In the early 1990’s Dell sold its products online in Unites States on websites such as Sam’s Club stores, Costco and Best Buy. In USA, Dell opened Kiosk locations that allowed customers to have a feel of the product before purchase but later it was shut down to sell through retail outlets. In 2008, it signed an agreement with Officeworks that displayed Inspiron Desktops. There are Dell exclusive stores in major cities across India that allows customers to view the products and purchase.
Hence, this summarizes the marketing mix of Dell.
Dell Promotion & Advertising Strategy:
The promotional and advertising strategy in the Dell marketing strategy is as follows:
Dell uses various promotional techniques to reach out to its potential customers. The promotional strategy in the marketing mix of Dell focuses on 360 branding through TV, print media, online ads etc. It distributes brochure to public through newspapers, e.g. Star In-Tech in Malaysia which is one of the most liked issue of IT consumers and tech enthusiasts. Its product awareness was created as it reached mass public in a cost effective way. Apart from festive discounts, it also gives regular offers to tap in the customer base and carries out online promotions through contests. It also sends newsletters to users registered with Dell which provides latest information of its products, innovation that increases customers interest. It also offers bonus products and waiving off shipping charges for certain products. Dell used the slogan “Yours is here” that indicates customers can customize their products. Dell also hosted conferences such as Dell World that featured new technology and services of Dell.
Dell is a computer technology company founded in 1984 by Michael Dell and headquartered in Round Rock, Texas in United States. Dell sells multiple products like Laptops, Desktop & all in ones, 2 in 1 PC’s, Gaming PC’s, Monitors, Batteries and adapters, Speakers, Storage media, projectors and other computer accessories. It also sells Workstations, Servers, Storage and Networking devices, monitors and other electronic devices among many other. Dell was known for providing computers and laptops configured as per customer requirements and specifications using its built – to – order approach and configure – to – order strategy. Dell Inc. acquired EMC Corporation to form Dell Technologies in the year 2016. Dell’s home / consumer brands include XPS [High end specifications], Inspiron [Budget notebook and desktop], Alienware [Gaming Systems]. Dell’s major competition include Lenovo, Asus, Acer, Toshiba and Apple in consumer brands. Recent acquisition of Dell includes EMC2 , Statsoft, Quest Software and AppAssure. Dell claims that it has collected more than 1.6 billion pounds of E – Waste globally since 2007. Dell announced fiscal year 2017, 3rd quarter revenue of 16.2 billion dollars and non-GAAP revenue was $16.8 billion as per company reports.
Dell is ranked No. 1 in sales of PC monitors in the world.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
Browse marketing strategy and 4Ps analysis of more brands similar to Dell. The Marketing Strategy & Mix section covers 4Ps and 7Ps of more than 800 brands in 2 categories.