DELL: CRADLE- TO GRAVE !

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DELL: CRADLE- TO GRAVE !

 user 2006-03-13 at 10:05:00 am Views: 59
  • #14790

    Dell :”cradle-to-grave”
    Dell
    is poised to enter the print managed services space with a
    “cradle-to-grave” offering designed to extend the company’s sales reach
    inside the enterprise, a top executive said.
    Mar 2006Dell is poised
    to enter the print managed services space with a “cradle-to-grave”
    offering designed to extend the company’s sales reach inside the
    enterprise, a top executive said.
    Joseph Marengi, senior vice
    president of Dell Americas, said Wednesday at the Morgan Stanley
    Semiconductors & Systems Conference that Dell also is ready to jump
    back into its strategy of slashing prices on low-end printers as a way
    to boost system sales.
    “Printer managed services are the same as
    when we went into the Dell managed services, and eventually they will
    wrap under the same umbrella,” Marengi said at the Dana Point, Calif.
    conference.
    “We’re going to manage [customers’] print
    infrastructure–outside of the big production print machines they
    have–across their entire business,” he said. “And that would be
    everything from replacing the [printer] asset that exists in there
    today with a new Dell asset and managing and taking care of the asset,
    making sure there’s always paper there, making sure there’s ink and
    toner always there. And when it comes time for the life cycle of that
    product retiring, [we’ll] replace it with a new one. It’s a kind of
    cradle-to-grave, if you will, for the printers inside of a corporate or
    public institution.”
    By entering the printer managed services arena,
    Dell would be following rivals like Xerox and Hewlett-Packard, which
    provide those services in the United States largely through solution
    providers. Marengi stopped short of detailing how Dell would build an
    infrastructure to provide print managed services or if the company also
    would provide workflow consulting services, which are now provided in
    part through the channel by Xerox, HP and Lexmark, among others.
    Marengi
    noted that, ultimately, Dell’s printer business exists for other
    purposes beyond imaging. “At the end of the day, the conclusion is that
    we need to sell the system,” he said. “If the printer helps sell the
    system, we may go back and work with [discounting] again. We may go
    back to doing promotions on single-function [printers]. It depends on
    where we are in the course of a year.”
    Dell boosted its unit sales
    on the low-end printer segment last year via a series of aggressive
    promotions, including bundling some inexpensive printers with desktops.
    However, Dell executives have said such promotions aren’t a practice
    they like, because customers that get free printers are less likely to
    use them and order high volumes of consumables.