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Thursday, July 13, 2006

Dell To Hone Pricing, Cut Promotions And Bundles

The last quarter has been somewhat of a disappointment for Dell, and now they're ready to make a comeback. Instead of offering 40 or 50 different promotions on a single product within the quarter, they plan to simplify their pricing scale.

Many customers have been frustrated by seeing a great promotion one day, only to find out a week later that it's no longer available. Now, Dell plans to cut promotions by 70% this year and by 80% the following year in order to lower overall prices.

According to Ro Parra, senior vice president and general manager of Dell's Home and Small Business Group: "Over time, we'll be compressing list pricing. We'll provide far more transparency than the heavily promotional environment we have today."

To learn more about the upcoming changes, read the full article (link above).

Submitted by Joshua Feinberg