Dell Case Study Essay

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Identify and evaluate marketing opportunities BSBMKG501B Assessment 1
1. List ways that dell conducts research on its customers to continually improve products and services?
Customer advisory panel days
Online surveys
Telephone sessions
Dell.Com customers Spotlights
2. What are the features of dell’s research? CAP conducts open discussion sessions for everyone to tell and hear about New products and services.
Social media also carried outfitting session for people to give input online.
Dell support provides information regarding trouble shooting problems.
Customers can access the information via popular sites, content types and technical support sites.

3. What are dells unique selling points? Customisation of product
Direct sale to customers
Various mode of purchase available
Special discounts available

4. What are the strategies Dell’s uses to generate revenue?

Dell built its reputation as a leading technology provider through listening to customers and developing solutions that meet customer needs. We are focused on providing long-term value creation through the delivery of customized solutions that make technology more efficient, more accessible, and easier to use. Dell focused on improving our core business, shifting our portfolio to higher-margin and recurring revenue streams over time, and maintaining a balance of liquidity, profitability, and growth. We consistently focus on generating strong cash flow returns, allowing us to expand our capabilities and acquire new ones. We seek to grow revenue over the long term while improving operating income and cash flow growth. We have three primary components to our strategy:
Improve core business
Shift Portfolio to Higher-Margin and Recurring Revenue Offerings.
Balance Liquidity, Profitability, and Growth.
Q 5 what does return on investment mean in relation to dells marketing campaign and how it is measured?
The basic return on investment can be found by dividing a company net profit by total investment and multiply by hundred to arrive on percentage.
Net profit/total investment x 100=return on investment.
Investors can use alternative return on investment formula which is net income divided by common stock and preference stock equity plus long term debt.
Dell then measures the effectiveness of each campaign, comparing and relating campaigns, learning from beat results, thus keep advertising and most importantly customer responsive. In addition the effectiveness of different campaigns can easily compare.
6 Identify their external threats and two internal weakness that dell could face?
Threats
One of the biggest threat to dell is price difference among various brands is getting smaller. Dell’s direct model attracts customers because it saves cost. Since other companies are able to sell computer at lower cost this could threat dell’s price conscious growing customer base. Price difference is no longer issue for customers. They might choose other brands instead of waiting for dell customised computers.
The growth rate of computer industry is also slowing down. Today, dell has the biggest share of the market but if demands slows down there will be more competition in the market. Dell has to work hard to differentiate its substitutes.
Technology advancement can also affect dell because people are always go for up to date products so customers needs changing with technology.
Weakness
Dell’s biggest weakness is attracting the college student segment of the market. Dell’s sales revenue from educational institutions such as colleges only accounts for a measly 5% of the total. Dell’s focus on the corporate and government institutional customers somehow affected its ability to form relationships with educational institutions. Since many students purchase their PCs through their schools, Dell is obviously not
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