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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: kemble s. matter who wrote (86847)	12/23/1998 10:18:00 PM
From: Mohan Marette	Read Replies (1) \| Respond to of 176387

DELL- Plenty of room to grow (On 'consideration rate') Hi Kemble: Well actually I was reading that article you posted to Pat and may I say that there is great catch you got there,thanks. I particularly liked the in-depth analysis of the company.For example I had no clue about the 2 different types of customers that DELL is catering to,at least not the definition of the two segment,ie transactional (consumer & small business)and relationship (I am assuming this represents the large corporate clients) based customers etc... I also didn't know DELL has a great opportunity to improve their 'consideration rate' with potential customers.Compaq commanding 44% 'consideration rate' vs DELL's 22% is quite a difference and I am glad to see DELL is diligently working on this issue as we speak.If Dell could do this well with 22% c.Rate imagine what they could do with an additional 10 or 15 % 'c.rate'. Also I am delighted to hear that they are trying very hard to improve the market perception of the company.I think this could be one of the reasons why 'they' don't understand the company as well as 'they' should,I am of course speaking of the market pundits and potential customers.The problem or the opportunity is the perception of the company,a lot these guys still think DELL as some 'mickey mouse' mail-order outfit.BOY, are they going to be surprised on of these days. Here is the excerpt for those who didn't have the time to read it yet. PS:I will try to be more obnoxious from now on.<vbg> ================================================ ....Market perception therefore still relegates Dell to the old "mail order" niche, says Scott Helbing, Dell's vp of corporate brand strategy. "We're trying to make clear we're a multi-billion-dollar, global company, with significant bricks and mortar here that we can bring to bear on the equation-full service, anything you'd want from a computer company." Helbing says Dell is clearly identified as a "first-tier" manufacturer in its target segments. But the company is "considered"-that is, it makes the final cut of vendors invited to submit detailed bids-far less often than it would like. "We have about a 22 percent consideration rate," Helbing says. But "the good news is the highest number in any research we've seen is Compaq, at 44 percent." Therein lies an opportunity-particularly because even a 44 percent consideration rate is low compared to top-tier companies in other businesses. Dell's immediate goal in a major branding campaign, then, is to move the consideration figure from the low 20s to 35 percent. [Mohan- I nominate the following for quote of the day.] "We know we have strong conversion rates when we're considered," he says......