Dell Finally Notices Its Poor Service Hurts Sales

from the ya-think? dept

For quite some time, Dell has been getting slammed for its shoddy customer service, something that's contributed to its slowing business and declining market share. But what was obvious to the outside world apparently wasn't clear to the company -- which at one point thought it would be a good idea to remove its toll-free support number from its web site to prevent people from calling -- as it's only recently really moved to improve its service and try to repair its dented reputation. This illustrates one of the downsides of competing largely on price -- when your competitors match, you've got to be prepared to differentiate and compete in other areas, something it looks like Dell's heavy focus on cost-cutting prevented. What's interesting is that many of the reforms Dell's new customer-service boss wants to implement are riffs on its manufacturing procedures, making it even more surprising that nobody noticed before. However, one stock analyst says all the changes (and resultant costs) "sure doesn't help Dell make its quarterly numbers" -- but when its poor service is holding back sales, the company's got little choice.

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  1. identicon
    Anonymous Coward, 13 Jun 2006 @ 12:56pm

    I've never owned or suggested a dell to anyone, partly because of their support reputation.

    Recently my grandfather bought a dell desktop and after a few months started having problems. I ran memtest86 and found bad memory and called dell to find out their procedure for warranty replacement. The tech kindly informed me that to troubleshoot a dell pc without the assistance of a dell certified technician (that MAY BE the next hot cert! look for it! lol) would void the warranty! Of course I didn't believe this so I spoke to a supervisor and she insisted that that was true. They ended replacing the bad stick of ram, but made it very clear that any future troubleshooting would void the warranty.

    What kind of crap is that? I still don't believe it, but it doesn't have to actually be company policy if the support people believe that it is.

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