Monday, January 31, 2011

An example of an E-Commerce success and its causes

An example of an E-Commerce success is Dell.com.



The founder of Dell, Michael Dell, emphasised on the ability to sell their products directly to customers via http://www.dell.com/ rather than through a retail store. This marketing channel has enabled Dell to become a dominant supplier of computers in the 1990s and early 2000s.

Dell offers high quality; relevant technology; customized systems; differentiated products and superior services to customers that enable customers to purchase easily and use the product effectively. In fact, Dell focused on customers’ needs and desires, and constantly introduced new technology to satisfy their wants and achieve their dreams. Click here Helping you succeed is always a good story
.
As mentioned above, Dell’s sales and marketing include customers can purchase Dell’s products online at http://www.dell.com/. Besides, customers can also purchase directly either from dedicated sales representatives, telephone-based sales and other methods. But still, the most successful marketing channel being used by Dell is the online-marketing method. 


Among the reasons for its successful online marketing strategy are:
.
The ease of customization
Dell believed that customers would value the customization of their computers which could enhance the uniqueness of personal computers. Thus, Dell enables the facilities to customize computers on their websites that allow customers to select their favourite features effortlessly using the internet.

The convenience of purchase and delivery
Placing orders through Dell’s websites is not difficult because the steps involved are simple. Once customers have ordered the products, the process of delivery will be carried out immediately using parcel post or shipment. It increases the level of convenience because customers no longer have to purposely pick up the products that they have ordered from the retail stores.

The sufficient information of products
Unlike the paper catalogues being distributed by Dell that could only provide  limited information due to insufficient space, the internet has now enabled Dell to provide any sort of information related to its products, and customers can easily find the information needed.

The cost-effectiveness of its products
By using online marketing, Dell has eliminated most of the intermediaries that help Dell to reduce cost. In addition, while the manufacturing cost is reduced, thus the selling priced is reduced too. That is one of the reasons why Dell succeeds over their competitors which involve intermediaries to deliver products.





Reference(s):

Chaffey, D. (Apr 19, 2008). Dell case study / Dell.com case study. Retrieved Jan 31, 2011, from http://www.davechaffey.com/E-commerce-Internet-marketing-case-studies/Dell-E-commerce-case-study/.

Dell Marketing Strategies. (n.d.). Retrieved Jan 31, 2011, from http://www.ehow.com/how-does_4963888_dell-marketing-strategies.html

Helping you succeed is always a good story. (n.d.). Retrieved Jan 31, 2011, from http://content.dell.com/us/en/corp/about-dell-our-story.aspx

7 comments:

  1. Does it mean that Dell does not distribute any paper catalogue?

    ReplyDelete
  2. SheryL:

    No, since this post is about e-commerce success, we try to focus on the advantage of it. Anyway, Dell also does distribute paper catalogues. For instance, catalogues are distributed by sales representatives in shopping malls, and also catalogues are being put in The Sun and other newspapers.

    ReplyDelete
  3. michellelim5:29 AM

    Do you know why Dell begins to sell its products using other methods, such as sales representatives in shopping malls, instead of just using online marketing?

    ReplyDelete
  4. michellelim:

    From our opinion, Dell begins to sell its products through physical stalls because that is one of the marketing strategies to make profits too; Dell is trying to become a click and mortar company instead of just selling its products online because this will provide more options for customers to choose the way of purchasing that they prefer. Thus, customer satisfaction will be increased.

    ReplyDelete
  5. Anonymous2:57 AM

    Is there any other product sold or produced by Dell, besides computers?

    ReplyDelete
  6. Anonymous:

    Of course, Dell is also selling computer-related products and accessories like printers, notebook accessories, scanners and other products. You can log in to www.dell.com to check it out.

    ReplyDelete
  7. Dell DO NOT sell offline. The existence of offline store is just to cater for customers who need to 'touch and feel' the product. There is no concept of cash and carry. Selling is still done through web site.

    ReplyDelete