Dell to sell PCs in Tesco

 

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Posted on 21 Dec 2007 at 14:31

Dell is ditching its direct sales policy in spectacular fashion, after agreeing to sell its PCs in Tesco's supermarkets.

The PC maker, which built its business by ignoring retail and selling straight to consumers, will stock both its XPS and Inspiron laptops and desktops in the country's biggest supermarket.

The Tesco deal comes just days after Dell agreed to sell its PCs in the Dixons Group stores, which include PC World and Currys.

It's a far cry from Dell's formative years, when Michael Dell would regularly espouse the values of the direct model, and even wrote a book entitled: Direct from Dell: Strategies that Revolutionised an Industry.

However, a leaked memo earlier this year indicated that Dell was having a radical change of heart. "The direct model has been a revolution, but is not a religion," it read. "Dell plans to make information technology affordable for millions of customers around the world. We will do this by simplifying IT where others perpetuate complexity, and innovating beyond hardware into solutions."

Dell clearly hopes to regain lost ground on rivals such as Acer, which have made huge gains in retail. "With over 13 million customers per week shopping at Tesco's stores, this deal will result in substantial exposure for Dell's brand and products," claims Mark Ormerod, vice president and general manager of Dell's consumer business. "Customers like to experience technology first-hand, and can now purchase Dell's award winning products in a Tesco store convenient to them."