Dell invites customers to first US retail outlet
Dell Inc., which became the world’s largest maker of personal computers by bypassing retailers and selling direct, opened its first store to court U.S. consumers who may want to touch and feel machines before buying.
Customers will not be able to walk out with products. Instead, they will order online or by telephone from the store and await delivery. The decision to open the outlets came after No. 2 PC maker Hewlett-Packard Co. stole U.S. market share from Dell by catering to consumers able to pick up low-cost machines, notebooks in particular, immediately from their local retailer.
The Dallas store will house about three times as many products as Dell displays in more than 160 kiosks in U.S. malls and airports, Maher said. He declined to say how many employees will work at the outlet. “We’ll have it adequately staffed to handle all customers,” he said.
The retail push underscores the pressure on Chief Executive Officer Kevin Rollins to revive sales growth, which slowed to a four-year low last quarter after Dell’s poor service put off potential buyers. Consumers, who account for just 15 percent of Dell’s revenue, have led PC market growth in the past year.
Dell said last week that “aggressive pricing” will cut profit in the second quarter ending July 31 to 21 cents to 23 cents a share from 41 cents a year earlier.
