Dell to become Prominent on Retail Shelves

Dennis Faas's picture

Last month, there was a lot of talk about a comment made by Dell CEO Michael Dell. He had said in a memo, "the direct model has been a revolution, but is not a religion." This comment certainly caused some buzz. After all, Dell's direct model had been the root of the company's outstanding sales record.

Was the company going to head in a new direction? If so, what kind of direction?

In a recent interview, Michael Dell sat down to explain why the company is beginning to divert from its traditional model -- and why that's a good thing. (Source:

Specifically, Dell indicated his plans to steer the company into the retail channel in the future. While he did not provide any details, he said that the company is going to be "quite aggressive... I think you'll see Dell showing up in a lot more retail locations -- not only here in the US, but also in major countries around the world over the next several quarters," he said. (Source:

So far, Dell has dabbled in the retail market by setting up mall kiosks. While the kiosks do not hold any inventory, they provide potential purchasers with a place to test out a Dell. There are currently 150 kiosks open in 20 states across the US. (Source:

While the kiosks have provided the company with some retail exposure, Dell explained that the new push into retail reflects the company's aim to capitalize on some of its partnerships. (Source:

"I think what you can expect to see is Dell is working with a wide range of partners. Today, the direct model serves customers, and we've addressed roughly 20 percent of the opportunities out there. There are certainly folks out there who don't want to buy direct. So now, those customers will have a chance to have Dell product as well." (Source:

Rest assured, the company is not going to eliminate its direct model. Rather, Michael Dell says that the company will have a direct channel and an indirect channel, both operating as separate businesses. Certainly this is good news for those who want to have their Dell, and see it too.

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