Promotional Messages Used by Dell

¶ … promotional messages used by Dell Computers, describing how these messages are being conveyed. In addition, it will analyze how the messages work to position Dell's products to appeal to its target audience. Lastly, this paper will identify where the products are in its product life cycle and how this life cycle stage affects pricing strategies, for Dell. Dell Computers Dell Computers is a leading provider of computer systems for individuals, global organizations and everyone in between.

The organization designs, builds and customizes their products and services to meet the varied needs of their diverse customer base. To this end, Dell works directly with their customers ("Company background," 2005). This paper will investigate the promotional messages used by Dell Computers, describing how these messages are being conveyed. In addition, it will analyze how the messages work to position Dell's products to appeal to its target audience.

Lastly, this paper will identify where the products are in its product life cycle and how this life cycle stage affects pricing strategies, for Dell. Promotional Messages Used by Dell: Dell has used a variety of promotional messages to attract the attention of consumers. Not so long ago, the "Dell Dude" was the marketing focus, with the slogan, "Dude, you're getting a Dell!" However, the Dell Dude has been retired and Dell now focuses on its product more than the hype of its commercials.

One of the most played television commercials was Dell's advertisement for their Dimension 2400 Desktop with CD Burner. Out of all the advertising campaigns run on network television, this Dell ad ranked number three, according to Advertising Age, in frequency, with only People PC and Petmed Express playing more often ("Top 10 most frequently," 2004). The Dimension 2400 desktop system is an entry level PC that starts at just $299.00.

Dell portrays the computer as affordable computer solution that's perfect for basic computing needs and entertainment, for the home or the office, with the CD-RW drive to meet a consumer's multimedia needs. They note that the computer is fully upgradeable. Dell finally focuses on their award winning service and tech support that comes with the computer, completing the package. A print ad running in Hollywood trade publications is another example of the promotional messages Dell is using. As opposed to playing to individual consumers, this advertisement is a business-to-business ad.

The headline of the ad is "The assistant to the assistant to some of the most powerful people in Hollywood" and then continues with "From scripts to special effects, it's the power behind the scenes" ("Hooray for Hollywood," 2004). This marketing message is focused on Hollywood moguls and mogul wanna-bes, specifically. "It created the sense that Dell has a keen understanding of Hollywood's lingo and hierarchy" ("Hooray for Hollywood," 2004). This campaign clearly targets a very specific niche market, with the demonstration that Dell understands the business of Hollywood.

In addition to print advertising and television advertising, Dell also utilizes direct mail to share its marketing message with consumers. The Dell direct mail campaign consists of a limited catalog of Dell's computers, televisions, and more. I sampling of Dell's most popular products are highlighted. Everything from entry level computers for those whose computing needs are limited, to top of the line multimedia computers with multiple processors and memory to spare. In addition, other electronic items are featured as well, including MP3 players and LCD and plasma televisions.

It's an effective piece. With the offering of such a wide variety of products, there's something for everyone. In addition to the wide variety of products offered in this advertising piece are a wide variety of price points, something for every budget, as well. The Internet is the fourth vehicle for promotional messages, for Dell Computers. Dells website has the full array of their products detailed. Desktops, notebooks, printers, hand helds, MP3 players, televisions, and projectors can all be found online.

Their virtual catalog is available twenty-four hours a day, seven days a week. and, many of their products are fully customizable, right online. They also highlight special offers, such as free shipping on Dimension desktops or a free printer with purchase. Just as in their direct mail catalog, Dell is trying to appeal to a wide target audience, including everyone from an individual to a global organization.

Dell Products, Life Cycle Position and Pricing Strategies: There are four primary phases in the product life cycle that a product progress through, in sequence: introduction, growth, maturity, and decline. In the introduction phase, product branding is established, while pricing may be low build market share, or it may be high to recover development costs. Promotion is geared towards early adopters and builds product awareness. The growth stage is where the organization looks to build their brand preference. Pricing remains stable as increased demand is realized.

Promotion begins to expand to a broader audience. The maturity phase, of the product life cycle, is the stage where strong growth in sales begins to decrease. Competition becomes intense, which typically lowers pricing. Promotional efforts focus on differentiating the organization's product from competitors. Finally, the decline phase is the last of the product life cycle.

Sales begins to decline and the organization usually looks to revitalize the product with new features, or by finding new niche markets, reduce the product costs and continue to offer it to their loyal customer base, or discontinue the product altogether. Computers and computer peripherals are the lifeblood of Dell Computers. For this reason, they are also the primary thrust of their marketing efforts. Dell's computers are in the maturity phase of the product life cycle. They are under intense competition from direct to consumer manufacturers, such as Gateway.

For this reason, their pricing strategy is to offer comparable products at the price point or slightly lower than their competitors. At this stage, very little differentiation, in actual product, occurs, as the computers are built with.