“For a long time, Dell was an unrivaled success story among PC manufacturers. But in April 2006, Dell’s expansion hit its first significant speed bump, as its growth rate began to lag the overall PC market for the first time. Since that time, it has seen its market share plunge, as HP moved back into the number one position in worldwide market share. The market share figures for the first quarter of 2007 were no better for Dell, as the company saw its worldwide market share dip to 13.9 percent and its US market share drop six percentage points to 27.9 percent.
Dell’s best bet may be trying to muscle its way on to store shelves in big-box retailers like Best Buy and Circuit City. It’s time for a change in religion at Dell, if not an outright revolution.”
It seems like Dell’s current model is losing credence amongst casual IT-consumers, which obvious caused this change of heart. Ordering online has its advantages: it lends you the ability to customize a system to your specific needs, something that’s impossible with retail boxes. I also believe the average Joe would rather be able to see (and touch) their investment-to-be, instead of browsing through various muddy pics on the ‘net.
Undoubtedly, it’ll be a challenge to get into this market again, especially after having left it so long ago.