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Dell Closing U.S. Kiosks

By Colleen Bohen -- TWICE, 1/30/2008

Round Rock, Texas — Dell will close its 140 kiosks in the United States, according to an announcement today.

The Dell Direct Store stand-alone kiosks have appeared in shopping malls, manned by Dell employees, since 2002. The move to eliminate them comes now that Dell began selling its wares directly through major retailers like Best Buy, Wal-Mart, Sam’s Club, Costco, Staples and QVC for the first time last year.

“Moving into retail is a prime example of Dell listening to its customers,” said Tony Weiss, VP of Dell’s global consumer business. “Ever since we began our journey into retail, we wanted to give customers the opportunity to call, click or visit Dell and have access to our award-winning products. This move fits in with how our broad global retail strategy is evolving."
Weiss, a forme president/CEO of CompUSA, joined Dell last summer.

The company said it will continue to focus on its direct-to-customer and retail sales. Dell also noted that today’s announcement will not affect kiosks outside the United States.

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  Good move from Dell, but it could be a double-edged sword.
  While they may not be selling much from their kiosks, it does build brand awareness of Dell. Pulling kiosks eliminates the costs involved with a kiosk (like payroll and rent), but also eliminates the advertising they get from having live demos exposed to that many people. I hope the cost savings are worth it!
  If Dell pumps that money into traditional advertising, they may do very well. They may, however, end up "just one of the pack."

  
  

  
  Jeff Rothbeind - 2008-31-1 19:06:00 EST
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