How to fix Dell
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| The executive briefing center on Dell’s campus. Image: Dell |
Dell is held up as one of the business world’s train wrecks of the moment, sort of a tech version of Britney Spears. The stock is down near the levels where it traded when founder Michael Dell re-took the reins as CEO in February, and the pundits have plenty of questions about the company’s prospects. How could things have gone so wrong? Can Dell ever top the charts again?
Truth be told, things aren’t hopeless at Dell. Despite all the hand wringing over its deflated stock price, Dell’s (DELL) revenues and profits haven’t evaporated — they’re just not nearly where they should be considering the global boom in PC sales and overall high-tech spending. And Dell continues to be a cash machine, generating about $1 billion per quarter. A tech company could do worse — and many do. (See Advanced Micro Devices (AMD), Yahoo (YHOO), or Hewlett-Packard (HPQ) circa 2004.)
The problem for Dell is growth. Well over half of the company’s revenues come from PCs, yet its sales are sputtering while others surge; this year for the first time Hewlett-Packard shipped more desktop PCs than Dell, while HP’s laptop sales are outpacing Dell’s by more than 50 percent, according to researcher IDC.
If Dell’s going to grow again, it needs to start by doing two previously un-Dell things: One, consistently design and deliver beautiful laptops. Two, make peace with the middleman.
A financial edge from edgy PC design (Photos 1-7)
The Money in Mobility
Laptops will have to be the first order of business. Michael Dell himself mentioned this month that mobility is king: Industry trends show the laptop market growing six times faster than desktops. In Dell’s most recent quarter, 30 percent of revenue came from mobile products, up 19 percent from a year before; desktop sales were stagnant. Do the math, and it’s clear that for Dell can’t move the needle on market share and profits without a lineup of must-have mobile PCs.
Dell doesn’t have that kind of laptop lineup now. The real standout is its XPS M1330, a surprise hit that is drawing raves because it’s so atypical for Dell. What’s different about it? It’s thin, sculpted, and comes in multiple colors, giving it a look that laptop connoisseurs associate with design-conscious competitors like Sony (SNE), Apple (AAPL) and Toshiba. Even HP has lately won more kudos for its designs, and that’s no accident — HP’s computer marketing is now led by Satjiv Chahil, a veteran of Apple and Sony who is has an eye for beautiful objects. In the past, Dell was criticized for churning out cookie-cutter gray boxes, and not paying enough attention to pizzazz.
Designing better-looking laptops is only half the battle — Dell will also have to get them in front of consumers, and improve customer service. That has proven to be a bit of a challenge lately. This summer, the company couldn’t keep up with demand for its colorful M1330 or Inspiron laptops, leaving customers irate that their purchases were weeks late. (Dell blamed problem paint jobs for the delays.) And the company still lacks the retail reach of rivals like HP and Apple, which helps explain why quarterly U.S. consumer sales were down 6 percent from a year ago. It also explains why the company was eager this week to announce that its XPS and Inspiron PCs will soon be available in more that 900 U.S. Best Buy (BBY) stores.
New design in HP’s business displays (Photos 1-5)
Making Peace with the Middleman
Second, but also important to any turnaround: To boost its fortunes with business customers, Dell needs to make peace with the middleman. And since the company until recently spent a lot of time trying to eliminate the middleman, that will involve eating a little crow.
In the business technology, the middleman is often called a “value-added reseller.” These are typically smaller shops that sell gear to small and medium-size businesses, and even handle customer service.
Many resellers have suffered mightily from Dell pushing its business model, which was built on the idea that companies could save money by dealing directly with Dell. It’s not that Dell has never dealt with resellers at all — the company says its partners generated about $9 billion in Dell-related revenue in the past year. Still, Dell tended not to give them much special attention, and its culture was focused on its own deals whenever possible.
That old Dell strategy doesn’t work as well anymore. Now that technology costs have come down, purchasing tech gear is sometimes less of a hardship than making sure it runs smoothly — and many resellers have made themselves indispensable by keeping servers and other equipment running. For Dell to grow, it will have to get some of those trusted resellers to stock more Dell products and offer them to customers.
Now there’s more special attention for resellers. Wednesday Dell launched a program called PartnerDirect, designed to help resellers feel more comfortable dealing with Dell, and to help them finance and service Dell equipment.
If Dell makes all this work, will the shares perk up? Sure. But along the way the company also will have to keep costs in check, and prove to Wall Street that it can still reliably deliver strong operating margins and healthy stock buybacks.
Sound hard? Just remember, today Dell is much better off than HP was a few years ago.
I agree that the problem of outsourced services is huge. For you guys in the US it´s India, for us Europeans it´s Eastern Europe, where all the call centers are and where nobody can help. Dell certainly should show more regional/national presence.
Dell, hmmm let’s see i bought a used latitude junkbox, called “customer support” haha got some girl in india who couldn’t understand what i was talking about after about 30 minutes….
I couldn’t agree more!!!! Dell has lots of problems beyond a non-sleek look!!! We’ve been through three Dells. Never again. I tell everyone I know not to buy a Dell.
Dell, hmmm let’s see i bought a used latitude junkbox, called “customer support” haha got some girl in india who couldn’t understand what i was talking about after about 30 mins on the phone,after finally getting to someone who i could understand flat out told me it needed a motherboard,then i was asked for a credit card number to purchase another without even really knowing what was wrong,i wouldn’t purchase a pencil from a dell rep if they were blind on a corner,because it would probably be defective. my experience with dell,the worst customer service i have ever dealt with. btw i have been in the customer service industry for 23 years,and have never treated a customer with the rudeness and incompetence,that dell has dealt their customers, i hope for christmas they go under to a smaller better qualified,company.
I’ve been a Value Added reseller for 6 years now for HP. When customers have asked me to quote them Dell, I often remember the times where I had involved Dell in my business and days later my customers had been contacted directly by Dell insiders. Dell can never be Partner Friendly when their own sales people are back dooring the partners that feed them. Usually when I get a Dell request now, I push HP only. If the customer refuses to by HP then I hang up the phone and make a new customer who will buy HP. Most intelligent customers aren’t driven by price alone. If I wanted to sell crappy service, I’d sell white box.
Ken
Jesus -Look at the number of people looking for tech support. Dell should start giving computers free and charge for the support ![]()
Bought a Dell desktop two years ago and it was DOA. Several calls to the tech support didn’t help get it fixed. Rather, they kept asking me to run and interpret diagnostics which I have no clue to understand. Although I had “next day service warranty,” it was like pulling teeth to get them to come out. I finally had to threaten them with total return of the computer before they sent someone out with a “reman” motherboard, even after I told them new parts only for my new computer. NO MORE DELL.
I have been buying Dell computers for almost 25 years. I started buying from them because their machines had the best perfomance in their class, were highly reliable and Dell had the best customer support in the industry.
Now they have so, so products that have more problems then they should and are backed by support techs who you can’t understand.
All they have to do is get back to the basics.
What few people understand is that the tables are about to turn. Mark Hurd has destroyed much of the R&D infrastructure of HP, hired a hopelessly incompetent CIO that’s destroyed productivity, and destroyed employee morale. Sell HP, buy DELL.
I think their biggest problem is the outsourced tech to India. I won’t buy a Dell because I know that if something happens I’m on my own.
The big complaint I have with Dell is their shipping policy.
They ship requiring a PHYSICAL presence to receive delivery.
If you work, that means taking a day off to receive your order.
When you factor in the value of that day off, Dell is a much more expensive choice.
I guess consumer sales are down because they have only sold to people who live with their moms.
Dell’s problem is that they were trying to get away fro microsoft!
http://fakesteveballmer.blogspot.com
I love it!!! Keep hating on dell!!! Keep driving that stock price lower and lower so that I can keep buying more and more. I will be laughing when that stock price is at 60 plus dollars in a couple of years!!!
Mr. DELL mistake was giving the seat to person that is only there to get/spend his big cash. It is a recurring process of most succesful company giving up the seat to a person to spend all the money. It is like building a very profitable company then have it run by a person to suck/spend the amount/cash that you built. Mr. DELL made a wrong move on the chessboard. It was a checkmate for HP.
Reading many comments and the articles, I would like address couple of things to clear up.
Apple is not as wow as many people think and wrote. Just wait when it becomes the OS gorilla (which it never will) and you will be as plagued with virus, trojans, etc. Let alone, once the OS is cracked.. Well, see how long it takes to load Leopard back in (I am talking with experience and have OS X certification as well as being a MCSE and it is beyond your typical 2-3 hours windows install). So stop the comments about Apple. It is not even in Microsoft’s league (FYI, it can’t really run in a business because no business application works.. That is even with emulation… That is why you do not see Apple server being deployed in many Fortune 500 and many small-medium sized business.. I am not even going to go there on cost to make it work)…
Dell has faults and taken paths that shot themselves in the foot
1) no LOCAL VARS to work with
2) Technical Support
3) Quality Assurance and Reliability
FYI, I have been a sales account manger and now a network consultant. Previously, I sold Compaq at all cost with Dell and sell Dell as a VAR because they can’t compete with us on services (plus I have worked for Dell through a subcontractor)..
1) Being an account manager, Dell used to ask for my end-user and refused. I know that they would call them directly and undercut me out of the sales. Their constant sales tactic created so much enemies at the VAR level that everyone went to Compaq (not HP because they were consumer based before the merger). The model allowed them to be a direct hardware seller. No service, etc…
As business specialized, companies did not depend upon just the hardware. They needed VARs and specialist to integrate the software and hardware. Since Dell’s model was still direct sell and no service, they lagged beyond compare to IBM and Compaq. They simply cut themselves in high margin sales and services if they had the resources. Plus, the specialists are usually going to be the VARs and not Dell. So VARs sold HP/Compaq and it came to bite them.
Currently, they still compete with the VARs. Like one client who took our quote and went to Dell for a lower price. Instead of working with the partner and help the sale of the VAR.
2) Dell Technical support being outsourced does not help and compound the frustrations of the clients which lowers the overall customer satisfaction. I admit that my end-users call me to support them and get the necessary parts to take care of warranty matters. (Not the on-site to do the work but to expedite the warranty process. That increase end-users’ satisfaction without billing the customer completely when it is covered by warranty). One thing I admit, the NBD parts or 4hour response is the next best thing but it does not apply to all laptops or warranty picked up (almost all of our {PCs are business models and have the NBD part and appointments). Being a Dell Certified System Engineer (DCSE), I get many things expedited faster since I have already troubleshooted and the end-user does not deal with the technical support. My overall experience is that I actually know more than several of technical support.
That is sad and I had to explain things to them to make them realize the issue. (Again, lost of talent and outsourcing end-effect).
Side note, technical support generally is bad because all the computer vendors outsourced. Try calling Toshiba (I had to wait 45min-1.5hour for 1 issue and it was not once… HP had improved but I had waited anywhere between 15min-1hr. Dell, I get through between 5mins-1hour).
3) Quality Assurance has been one of the biggest drop besides Technical Support. I had more warranty issue in the past 1 year than I had with HP and several other vendors. As a dental computer consultant, I had 6 HDs go dead, 2 monitors go bad in 1 wk span (for 1 customer), Dell Server backplane and controller going all weird. Dell PowerEdge was known for design flaw back in the days when Dell was considered the best (compare to Compa). Though they had made improvements, it is not the wow that makes me say it is the best (warranty is the only thing holding with Dell due to my geographical cover area). What is worse is that they subcontract out their services to Qualxserve, Bantec, Installs inc, LLC, Unisys, etc to do the work. Working in the subcontract perspective, the right hand does not know the left. They make promises to the customer which the subcontractor can’t deliver (and they would blame it on the subcontractor). The experience and proficiency of the technians are marginal for most and seeing what they have done… Just say I told them how to do their work… There is no accountability and ownership from Dell with the technical services. Again, the end user satisfaction drops.
What Dell should do to improve:
1) Increase the base of technical support back to Rounds Rock, Nashville, and Ottawa (yes in Canada). I am an Asian descent male and I had times with the accent. You can’t assist clients if they do not understand your staff
2) Treat your employees right. Trust me on this but Dell lost a lot of talent for their business model. Look at Alienware that they purchased them. The company has not been the same in my view (just seem some of the complaints that has been posted with Alienware after merger).
3) Like all company’s folly, the mistake of the upper comes back to hurt the bigger but lower level personnel. Dell is too much Top heavy in comparison to other companies. They have too many high paying upper management and way too little lower tier. In my consulting years, we have changed 3 account managers. Our company does over $1 million in sales for Dell (our company consist 3 people). We get no support from the uppe rmanagement for escalation issues and it is always emails, etc. This is for a company making so much for Dell (even with those sales we lost to them). At the end, Partner Direct is an improvement but not the end all to being a computer service company. They are still hardware
4) They need to reassess their model structure as the article stated. Look at Geico. They were the same for insurance. Once they became stagnant, they realized they needed the “middle man” presence locally for the additional sales. They proclaimed in NY that they have people to talk to in person as well as the direct model. Dell got too focused on the model without adapting that resulted in what you see now.. A big mess.. Develop relationship with the VAR like HP. HP didn’t give that up because they saw the value. They understood that people like to see what they are buying in retailers. Walmart and Best Buy is a good trend but they still ignore the VARs in working with them and not against them.
5) Servicing Group has to make improvements. Either buy out the subcontractors and make them accountable for your service. Or hire the talent to cover the areas. It is not easy to make the best logistic and supply support. But that is what they did with the Dell model so why not on service?
6) Need to spend some R&D on design and quality assurance. I do not just emphasize it but I mean it… Success starts with innovation. Not cost… All company proclaims value without the $$ placed on it but placed the $$ on the cost when selling the goods that are “superior”.
As I would simply put it.. When you placed cost over quality all the time, you end up with a piece of trash in front of you. If you place quality over cost, you see value…. You can’t always sell high and buy cheap (operate cheap). Eventually, no one could buy it nor afford it or no one wants to deal with it.
I work for a company that is a supplier with Dell. All I can tell you is quality is NOT a main focus at this point. They layoff a bunch of thier quality guys a few months ago.
The Inspiron and Vostro are not dell design. They are design by 3rd party and Dell just buy the whole solutions.
I don’t work with this sales division, so I don;t have any comments on it. But I do agree with the one comment: morale is extremely low.
Good luck with Dell
The turmoil at Dell is above and beyond what’s being reported in the news.
The few technical support people they have in the U.S. were being lauded as the best in the Company (well, yeah, they speak English!).. recently as part of the 8,000 job cuts, a LARGE portion of a technical support area in Nashville was cut, virtually eliminating the last of the XPS support line in the United States.
That XPS 1330 everyone loves.. that Dell glues the dell logo on to.. had quiality control problems because the glue didn’t hold the button on. Even the computer doesn’t want the Dell name on it.
Every major release (the XPS 700, 1330, Renegade even) have had problems.. Anyone remember the charge Dell took to fix the Optiplex 260/270/280 motherboards? They’re on the way out… and companies like HP, Lenovo, Acer, Apple and others are absolutely thrilled to see the other blue beast get knocked off its high horse.
I purchased a Lenovo 3000 N100 in May 06. Great manufactured quality and excellent tactile keyboard feel. Pleased with performace too. I have had zero problems since purchase. Had to call tech support about a memory installation procedure question. Placed the call and got a case number. IBM support called back quickly, spoke English and answered my question promptly. Lenovo is doing things right as is confirmed in the Consumer Reports performance graphs for Laptop Brand Repair History and Tech Support.
I bought a Lenovo T60 last Christmas. I’ve never had any issues whatsoever! Lenovo is way better than Dell and very much underrated.
My 1st and only Dell was in the early 90s - shudda bought the stock instead. What each of you has written is simply a REPLAY of why I no longer buy Dell; my 7 year old E-Machine has been PROBLEM-FREE, except for its O.S. - its a toxic waste petri dish from….well, you KNOW. To resolve this conundrum, I’m getting a Mac Power Book - that in itself solves MANY problems before they begin. No, APPLE is NOT perfect, but infinitely better than constant, endless Jeb Clampett-like patches, spit, bubble gum and bailing wire from the other clowns. Michael Dell…you’re TOO rich to give a damn.
After I bought my Dell about 18 months ago I tried to get some support and, after a “conversation” with someone doing a bad Apu Nahasapeetapetalan impression, I hung up and have never and will never call back.
Chris, (the former Dell account executive) who posted earlier, is dead on target as to the reasons for Dell’s decline. Having worked there myself (as a design engineer), I can testify that the R&D budget is non-existent, and engineers are rewarded not on the basis of what they accomplished, but on the basis of which manager they brown-nosed. Incompetent and unqualified people were promoted, as long as they played politics, (the devil cares about the quality of work/ product)–as a result Dell lost whatever little engineering talent it had. Their stated goal is not to innovate and develop technology, but to cost reduce existing solutions — they wanted to be the Walmart of the tech. industry–and by god they got it. The most complex design work that happens there these days is deciding what glue to use to stick the Dell badge on all the products designed/ manufactured by other companies. My advice is buy the cheapest chinese manufactured computer you can find (if you want a PC)– Dell is effectively selling re-badged versions of the same, at a premium.
The problem with Dell laptops isn’t the “pretty” or “cool” factor- it is QUALITY. Build quailty, reliability, and good old fashioned design. mechanical parts need to fit and slide well, keys and buttons well laid out, reliable and durable. IBM thinkpad always had the lead in products that just plain fit right, and LASTED. And, don’t make me talk to India when I call for support. Make the web site clear and easy to navigate and get support, answers to common problems. Dell is having problems because it took its customer base for granted. They placed all their bets on large corporate and government customers, and left the little guy out in the cold. They blew a big lead, they choked.
I still feel as though the other issue is cost, not only for Dell but HP to some extent as well. Especially in the mobile sector, they pass of what amounts to “week-old bagels” at like-new prices, and the sour taste in the consumers mouth when that hard earned money is obsolete before it even gets delivered. Then if you want something that is cutting edge you pay a ridiculous premium for something that will last you 2-3 years. The XPS lineup is a great example of the consumer getting taken for a ride.
HPs laptops may be prettier, but the one I bought last week was a dud with the wireless networking. I took it back and ordered a DELL.
Jeff is 100% correct… Dell’s biggest mistake was the decision to eliminate quality support. As a systems builder, friends and family ask me for recommendations when they need a new computer. In the past, it was a no-brainer: I recommended they spend the extra money on a Dell every time.
Now I tell them to avoid Dell at all costs, citing the numerous difficulties I’ve had dealing with support (as well as the drop in quality requiring me to deal with support more).
Dell made a huge mistake outsourcing their support overseas, and they will have a difficult time wooing me back. They’ve lost my trust, and there are too many quality alternatives to waste my time and money giving them another chance.
As far as I’m concerned, I bought my last Dell three years ago.
It is my sincerest hope that one of the senior execs at Dell is reading these comments. The reason Dell’s sales are suffering is because Dell went from being a company that offered quality products with outstanding support to a company that offers the same marginal quality as everyone else with support that makes you want to open a vein after speaking with them.
I used to suggest to my entire family that they buy Dell so that if they ever had a problem they can get quality troubleshooting over the phone. After the last few stories they’ve recounted to me over the past two years about their experiences with Dell’s “Tech Support” I’ve told them to just go find whatever’s cheapest. People can get non-existent tech support from anyone they buy their computers from.
Dell has lost the only thing that it had to differentiate itself from the competition - Tech Support that can actually solve problems rather than pass the buck. And when you and the competition have nothing to distinguish yourselves, people buy from whoever sells it for the cheapest. Something tells me that Dell isn’t going to win that particular war.
How can Dell compete when it runs such a pathetic operating system such as Windows? I mean, XP is dated and still filled with typical problems PC users just accept as normal, and Vista is a dog that many regret being stuck with. An alternative? Apple and the Mac OS X is the first that comes to mind. The new operating system, Leopard, is so far ahead of any Windows PC, that it is sort of like a race between a Yugo (PC) and a Ferrari (Mac). Unfortunately, most businesses are stuck in a Windows rut.
So I guess credit should go to HP and Toshiba for making sales, despite running on sub-par software, and Dell (the Wal-Mart of computers), will still be solid. I just wonder why people put up with Windows (and I was one too), when a so much better solution is available.
I had the same experience as the person below. Not only that but when I talked to a sales person, and demanded that they honor some kind of discount, they said only if i was ready to buy right then and there would they even look at a reduction. LIKE DEALING WITH USED CAR SALESMEN. SLEEZY Totally SLEEZY. How can a suppossedly First class company act in this manner. I am so sick on the way Dell has treated its very loyal clients. I have purcahsed over 20 computers from DELL over the last 9 years for my bosses, myself,and my family members. The last 2 years has been terrible and after my last nightmare with rapair (just this last month) and what i am not sure is Dishonest warranty issues or OUTSOURSED techs from Philippines and India who do not know the warranty guaranty’s and make you send in the comptuer when they should be sending the tech to you when you buy a 24/7 warranty for all hardware and accidental damage warranty’s….I am scared to evey order a DELL again. I ended up writing to Michael_Dell@dell.com to make a 4 page complaint after a month and not until then did I get any reasonable care but how many people do that? I am still waiting for my replacement computer to arrive. If they are backordered on parts again, a common occurance (it took 21/2 months to get my computer - ordered in June got in late August), I might not get my computer until next year some time - it is crazy!!! DELL HELL - that is what I call it!
I just bought a 2 month old Dell laptop, used. Got it because I saved a lot of money for the hardware configuration I needed. I have to say, I’m a function over form person, but this thing is just ugly. It performs, but looks and feels cheap. This is a $2,200 laptop new! I’d at least like to avoid embarrasment when seen in public with it. On the plus side, it was easy to transfer the warranty from the old owner, but my only request to Dell for help was “too bad,” since the software configuration is no longer standard. Options that I would like to add (like a DVD burner) are only available as an option when building the computer. I just really think this company has lost touch. For a company with so much experience to make such basic mistakes speaks of some very serious problems in their organization.
Just before reading this article I actually tried to order a Dell PC that was advetised in a multipage, full color, magazine style insert that came in todays paper (NY Newsday). At their website I entered the “value code” as
shown in the ad only to get the response that it didn’t exist. I tried several other searches on the site before I finally gave up and called the phone number also listed in the ad.
The recorded messege said I had reached their business parts accessory
department. Still not giving up I finally called a number listed on their website and got to talk to a real person, gave him the “value code”
to which his reply was it didn’t exist.
I finally had to scan the ad and email it to him. After reading the ad he told me he would have to contact his marketing guy to find out how to order this package. I’m still waing for a call back, and that was several hours ago. And you wonder why business is bad?
This article misses a crucial point - the quality of Dell products has deteriorated in recent years. Dell has gone from being known as a very reliable PC to just being average, probably due to cost cutting and using cheaper components. All my tech friends used to recommend Dell; now, no one does. And that has nothing to do with pizzazz.
Dell continues to generate cash even if it loses a few market share points in a low margin PC market. Remember up until a few years back HP was losing market share to DELL and also burning cash funded by its printer business. While HP and others caught on, obviously its time to reinvent DELL. But that said, Micheal Dell has been slow at responding to changes. A company which is cut throat and lightening quick in its sales response, this paints a sad picture. The Channel policy took ages and even then we are seeing 1.0 version. Somewhere, if DELL succeeds its only because Computer VAR’s want an alternate out of desperation and if HP screws up. Quite frankly as a VAR, I am happy if Dell puts its hat in the Channel biz, it will get HP to dance and let some loose change for us VAR’s. Coming back to Slow Micheal, if the DELL Stock slumps further, Micheal must go, find a better professional manager from outside of DELL. Its not all lost, DELL is today a far easier case to fix than HP was a few years back, and look how it turned out. I think the best has yet to come, but it will get choppy before the Dell Ship becomes stable.
As a former Dell Account Executive–Wall Street and investors are missing a key point in Dell’s implosion: The treatment and compensation of its employees has been absolutely horrendous, resulting in a mass exodus of tremendous skill & talent. This is critical–as the quality of employee has now dropped to the very bottom of the industry. The sales staff is grossly underpaid, & now Dell has gone as far as refusing to pay commissions and bonuses owed to sales and marketing personnel–when the mistakes have actually been made at the top level in terms of both strategy and execution. See, Dell has made the glaring error of sacrificing it’s own backbone simply to save on OPEX, and it’s absolutely killing them! I’ve never seen a more disgruntled & unmotivated sales force in my career, and it seems they are now running out of Dell like the River Nile! Not a good sign for a recovery story.
Michael Dell aside, while former CEO Kevin Rollins and several VP’s were making 8-10 times the average compensation for their positions in the industry–the stock was slumping dramatically. Meanwhile–the sales and marketing teams were being fleeced out of owed commisions, bonuses, & taking both salary and benefits cuts across the board.
This ancient style of management has done nothing but lose talent throughout the operation. As a result, this “so called” turnaround will take a complete change in the paradigm…or it won’t happen at all. If you ask me–I beleive it’s the latter.
If I were the CEO of Dell, I’d shut it down and give the money back to the shareholders.
“Just remember, today Dell is much better off than HP was a few years ago.”
Unfortunately HP has more than just desktops to offer. Their blade business is kicking b*tt, they still make money hand over fist from printer supplies, and their services business dwarfs anything Dell has. Then there’s the rapidly growing software business, another thing that Dell has no idea about.
And for the guy who says Apple is taking Dell sales, consider that the increase alone in HP’s PC business over the last year is greater than Apple’s total sales figures. Apple is making its fortunes off the iPod and iPhone, which neither Dell or HP have an answer for.
never,never,will I buy a Dell I own a Travel Agency and my experience with Dell and their Lexmark printers cost the Agency a fortune.I switched to HP .It was like moving from Hell to Heaven… YOU CAN “Go to Hell with a DELL”!
In responce to Martin, Dell does have a large support base here in North America. This is a Global age however and its a small world. Companies must diversify support. I wonder how often people in Briton would say gee I wish those Americans spoke English
Y’all have a good day.
Apple is eating Dell for breakfast, lunch, and dinner.
That’s the subtext that seems to elude far too many folks. But that’s o.k. because it keeps Apple’s stock price reasonable while I’m stocking up and you’re sleeping.
Dell needs to teach their service people to speak English or better yet have customer service in the US. They make millions off of city, state and federal government contract and then send all their customer service overseas.
I disagree with a couple of the ideas here. Yes, desktops sales are stagnant, but that’s because Dell’s offerings are behind the times. Pay extra for Firewire and a few USB ports on the front of the machine? No wonder they’re not selling. Check out the HP Media Centre machines. After buying Dell for decades, I had to switch to HP to easily plug in my MP3s, cameras and GPS watch.
As for service, Dell was excellent. A live technician will show up by the next day with the replacement part. And there’s telephone and online help which, though often a pain, is better than the local AVR which has neither and requires you to bring the machine to them. That’s the downside of buying the HP - if there’s a problem machine goes in for a week and you’re high and dry.
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I purchased a Dell Inspirion 530 with the top offered processor, video card, etc. Totaling more than $1300. I have had the computer for 2 months. Already the hard drive has failed (ticking noise like a clock). They have sent a replacement part which arrived very quickly, but the Bantec technician will not answer his phone or return voicemails to come fix the computer. When I first got it, the monitor had a scratch on it, but I was given the run around on that for 3 weeks so I have just dealt with that problem.
I will never buy another Dell. This was a splurge on myself since I hadn’t bought a new computer in five years, but never another Dell. I hope the new HD, when it is installed, will last a while. I want to get at least 3-4years out of this computer before I have to buy another.
This of course does not include the Blue Screen of Death errors I get on my 3month old machine at work (Also a Dell). The IT department hates to even see me call or email because this machine is so buggy.