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Effect of social media on branding
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1) Dell’s online products and services Ten years back, where the majority of business transactions were conducted offline. Today, the trend of most of companies is to deal with its consumers through internet and not just using PCs, the customers are using different types of platforms such as mobile phones, tablets and other small mobile devices. Just imagine that all computer manufacturers are in along marathon has no end point, guess who is running alone in the front? Answers would be different but sure Dell is one of them. Its success came from a strategy which is missing with most of its competitors. Dell has effectively relied on its online selling strategy more than offline selling strategy. Actually, the core of Dell’s strengths is on its website which is the platform of most deals and services and also selling computers directly from company to customers. These deals and services are shown in the following: Popular Products: Product Name XPS 15 Inspiron 15 laptop Inspiron 15R Alienware X51 Price $1,599.99 $479.99 $679.99 $699.00 Picture Deals for Homes: Dell has categorized its online deals into different divisions and “Deals for Home” is one of them. From the website it sells home use devices such as laptops, desktops, and other type of devices. Moreover, Dell offers tablet devices like Dell Venue 7, Dell Venue 8, and Dell Venue 11 Pro. More than this, the company are recently used to offer customized computers for even individuals and group of customers. This is really a competitive advantage makes Dell outstanding compared to its competitors. Home devices are always needed and Dell make the available on hand ... ... middle of paper ... ...ok and linked in. They use social media sites to picture their imagination and to place the company events. 7) Recommendations: Reach: focus more on customers in social media by finding what interest them and try to initiate interaction with customers and increase the buzz about the brand. Act: improve the company website to make it more interactive with customers such as using products rating and comment on products they have used. Dell should focus on building and expanding brand advocates and use them in order to increase interaction. Convert: using other platforms rather than relying on company website to increase interaction in order to the expand sales by providing discounts and promotional coupons. Engagement: Dell could use co-creation (procumer) with customers to engage them to contribute in the creation of new products and services.
Why has Dell been so successful despite the low average profitability in the PC industry?
...performance in the retail industry. This has enabled the company to engender customer experience service that has improved the company’s productivity over years. The company has adopted numerous technological innovations to boost its customer relations (Fleisher & Bensoussan, 2007).
Enhance its brand image and customer service proposition by undertaking intensive market penetration strategies as well as market development strategies to expand into untapped geographical markets both locally and internationally.
Dell's strengths were oriented around listening to the customers, responding to the customers, and delivering what the customer wanted. The direct relationship was first through telephone calls, then through face-to-face interactions, and now through the internet. It has enabled them to benefit from real-time input from real customers regarding products and future products they would like to see developed. The company also doesn't use reseller or retail channels because every computer is built-to-order, which allows less inventory. The direct model allows them to take the pulse of whatever market and provide the right technology for the right customers.
Through Dell Marketplace, suppliers and buyers can leverage Dell's e-commerce expertise along with its relationships with strategic Internet infrastructure partners to access goods and services from a wide range of companies, the majority of which are Dell customers
New online manufacturer brand e.g. Dell.com - Entrepreneurs saw opportunities for developing online manufacturers' brands that took advantage of online technologies that enabled innovative new products to be adapted to customer preferences, and by using IT to enable efficient and effective operations such as assembly and logistics.
The company’s missing social media presence might be another reason of its charm among fans. The company needs to be careful not to lose that while developing its social media presence and starting to communicate directly with
Zappos, is an online retailer that combines shoes and social media remarkably well. The company is one of the earliest adopter of social media for marketing purposes and it has certainly taken a leadership position. Social media is a core part of Zappos’s business strategy, and they utilize this by using Twitter to collaborate with consumers, employees, vendors and investors. “Scores of blogger, lots of video blogging, and 198 employees on Twitter help keep the company’s profile high and humanize the folks behind the shoe sale” ( (Kirkpatrick, 2008). Additionally their business strategy is built around their company website and other popular social networking platforms such as Facebook, Pinterest and YouTube. The company continues to maintain
Therefore, the service content of Lenovo should learn from the experience of DELL, it should provide more information on purchasing home computers, and after-sale service. Customers‟ focus has changed from product quality and price gradually to control energy consumption, frequency and quiet technology (Jack, Telaote, Lise, 2006).
Social media can take part to their promotion. Good reviews to these pages can help them to attract more customers
Co-creation activity refers to the emerged or co-operate as a business between company and end users. Customer or end users could be involved in the design and development of personalized product process, services, and experience (Marko Seppa and Stoyan Tanev, 2011). It is a form of business strategy that emphasizes the generation and ongoing realization of mutual firm-consumer value. Interacting with the customers in different function can be result in risks and benefits for innovation. Innovation is about the successful exploitation of new ideas. So, customers can supply the innovation in the business both tangible and intangible factors of production. They also can be direct and indi...
The conversion of online searchers or online customers into buyers by researching or marketing for customers through interaction, thereby simplifying the customers of consumer process of finding the products they wish to buy. Secondly, the increase in cross-sell by charming or pleasing the customers by upgrading the quality of the manufactured goods which is one of the factors that are not originally implemented and thirdly, creating successful relationship between customers.
· Use of social media for promotion- word of mouth and social media help to get the message across and promote the product efficiently
Dell’s initial competitive strategy, when it was founded in 1984 by Michael Dell, was to focus mainly on differentiation. Its strategy was to sell customised personal computer systems directly to customers, which was a rapidly emerging market at that time (1). This was done by targeting second-time customers, those that already understand computers and know what they wanted. Meanwhile other companies at the time was selling “’plain brown wrapper’ computers” (2). By offering customisations, Dell gained a better understanding of customers’ needs and wants. This helped the organisation position itself differently against the more popular brands, such as Compaq and IBM.
The first advantage of using social media in business is increasing brand awareness. Social media can help business to build their brand awareness by increasing interactions with a business brand. Brand awareness means the total percent of a target people who know the company exists and what the company offers of products or services. When the brand awareness is increased, the possibility of buying is increased. Thus, efforts should be made to make the brand a part of the consciousness of customers. For example, Coca- Cola is one of the best companies that enjoy unusual...