Dell to take a second stab at retail

dartworth

Lifer
Jul 29, 2001
15,200
10
81
source

As it struggles to maintain its lead as the number one personal computer marker, Apple Computer rival Dell Inc. plans to once again dabble in the retail business when it launches two stores at shopping centers later this year.

Though unlike Apple, which stocks products on-hand for customers to carry out after purchase, Dell will remain true to its direct model by having shoppers order products online for later delivery, according to Statesman.com.

The Round Rock, Texas-based Windows PC maker plans to open its first location at the NorthPark Center in Dallas, Texas in late summer and followup with a store at the massive Palisades Center in West Nyack, New York in the fall.

The store will reportedly span about 3,000 square feet and face-off against Apple retail stores which currently operate out of both shopping plazas.

For Dell, this won't be the first time it has dipped its toes into the retail arena. About three years ago, the company ended an experiment with small outlets at a handful of Sears department stores.

According to Statesman, the company currently operates 161 kiosks at malls across the United States, where customers can preview a selection of its products and place orders.

The two full-size stores, which Dell claims will be an extension of its kiosks model, are considered to be part of a pilot program aimed at displaying more products and systems for customers. They will reportedly feature a home theater display designed around a personal computer as well as systems designed specifically for kids.

According to Statesman, the stores will also sell Dell services, such as home network installation. However, the company is still "working out how to handle tech support questions that existing customers might bring to the store."

The success of Apple's retail strategy has largely been attributed to the customer support offered through its Genius Bars, which are installed as a centerpiece in each of the company's 147 locations world-wide. There, trained staffers answer questions, offer solutions, handle repairs and provide technical and creative support on a one-on-one basis with Mac and iPod users.

Apple's latest retail store opened this past weekend in Midtown Manhattan to a crowd of over 3000 enthused shoppers.
 

AgaBoogaBoo

Lifer
Feb 16, 2003
26,108
5
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I have to wonder why they won't stock products there that can be bought right away - I personally see it as an advantage. A lot of purchases made in malls are impulse buys and so they can cash in on that, display some good products and keep it available for sale so people can take it home that night instead of wait a few days for it to arrive. That's just how I see it affecting generalized customers, I personally don't mind waiting for it to ship.
 

LtPage1

Diamond Member
Jan 15, 2004
6,311
2
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I don't think this could really work for Dell. I could be wrong in my analysis here (huge apple fanboy), but I think the average consumer sees Dell as just another (albeit supposedly trustworthy) PC manufacturer. They're no Apple, with a ton of unique hardware and software- people do cross-shop them with other PC manufacturers. Why would I make an impulse buy of something that I know other companies make pretty much exact versions of, without looking around first?

I know I'm giving the consumer way too much credit, but I just don't see a bunch of boring black and gray towers selling like iBooks. And the Dell Jukebox is a joke, so that certainly couldn't be driving interest. And there's certainly no fanatical fan base that'll camp out to be one of the first into one of their stores.
 

notfred

Lifer
Feb 12, 2001
38,241
4
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The Apple store looks like this.
I imagine Dell stores will look more like this.

I don't think Dell can compete with Apple as far as getting people walking past the store to stop and take a look inside goes.
 

Kelemvor

Lifer
May 23, 2002
16,928
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They already have Kiosks in the malls so how would this be any different? Other than it's a physical store... And if they really want this to fly, they shoudl have the standard models avaialble right there for purchase but then have it ordered if you want to customize it. But even better would eb a stockroom of standard upgrade options (more memoery, bigger HDD, etc) that they could just swap while you wait...
 

vegetation

Diamond Member
Feb 21, 2001
4,270
2
0
Without the products in stock, it's already doomed to be a failure. Many people who walk in retail stores need a computer immediately; not to order one online.
 

V00DOO

Diamond Member
Dec 2, 2000
3,817
2
81
Because Dell has display stand in California malls we now has to pay sales tax for Dell Home.
 

tfinch2

Lifer
Feb 3, 2004
22,114
1
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Originally posted by: vegetation
Without the products in stock, it's already doomed to be a failure. Many people who walk in retail stores need a computer immediately; not to order one online.

Ding ding ding ding.

If I get off my lazy ass, and waste gas to go and buy something at B&M, you better bet your ass I'm gonna get instant gratification by bring it home with me and using it.