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Last Updated: Jan 31st, 2005 - 15:30:23 |
Dell Makes Major Movements on Projector Brand Awareness
I promise this is going to be a focus on Dell projectors, but you can't start anything that has to do with Dell without referencing computers. Computer is the first thing that comes to mind for the majority of people when they hear the word Dell. In our most recent projector brand survey, we asked experienced users and purchasers to describe Dell in a word or two. One quarter of all respondents gave us the word "computers," and keep in mind this was a projector survey.
Dell has spent a ton of money getting their brand image across to consumers, and it has paid off! Everyone can remember the Dell dude and the excitement that comes with getting a Dell. Or even the brown nosing interns always eager to help out. But what you may not remember is the concept and core of these ads--Dell's service and value for great high-tech products.
These ads were clearly computer driven ads, but Dell is a brand that has the luxury of the halo-effect. If consumers have a positive experience or image of a brand in another industry or product category, that positive brand association will often follow the company to other markets.
Dell clearly has a very solid brand image. Since the beginning, regardless of product type, Dell has been pushing to be known as a brand that offers a great product, at a great price, with customer service to back it up.
Clearly Dell has been able to ride the halo-effect coat tails all the way into the projector category. As a new entrant in the projector industry nearly 3 years ago, Dell was starting from scratch. Many might say there was no place to go but up--however, I doubt people thought they were going to move up so fast!
TFCinfo began tracking the strength of projector brands over 3 years ago in their annual Projector Brand Strength Study. The results of this research show the extent to which Dell has been moving up.
Over the past 3 years, Dell has moved from a #26 ranking to a #13 ranking on unaided projector brand awareness! "For a fairly new entrant, it is amazing to see Dell move up so rapidly," stated Paul Martin, president of TFCinfo Corp. "Although we are seeing this positive movement, Dell is still not a top tier brand when it comes to projector awareness. But if they continue on this path, Dell can count on continued success."
As mentioned previously, Dell has been pushing a very targeted brand image, and that image is clearly crossing over to the projector category. In the results of our projector brand strength research, it was clear that experienced projector users and purchasers think of Dell as an "affordable mobile projector that offers great customer service support."
This research was conducted across the five most important business segments in our industry: large corporations, small/medium businesses, education, government, and home users. In areas where Dell fared well, it was across the board. Dell seems to have a consistency among the segments right now. This could help Dell expand its market share moving forward, especially by offering projectors such as the Dell 2300MP DLP projector.
To me, this projector just screams the Dell image. On one hand, it is a "value" projector that can be bought on their website for $1,199. On the other hand, this is an XGA projector with 2300 ANSI lumens, which based on specs, makes it more of a business projector. With almost unlimited applications for this projector in conference rooms, classrooms and in living rooms, Dell continues to position itself as offering solid professional products at value prices.
And with an 8.3% marketshare in 3Q04 (source: TFCinfo's Projector Market Analysis Report), we can expect Dell to continue their rise, both in terms of brand strength and marketshare.
Historically we have seen the projector industry evolve by making better and better projectors. Projectors were coming out with higher resolutions, higher brightness and lower weights. However, in the last few years this trend reversed as price took over as the main driver. As the price came down, more and more customers (particularly education, small businesses and home users) were able to afford them. In order to accommodate this price driver, value projectors were introduced, reverting back to the lower SVGA resolution models of the past.
Dell has clearly figured out a way to compete in this market--offer the best of both worlds. A value projector with specs good enough for any business use application.
From TFCinfo's Sales Data Tracking Reports and their Survey Market Research Reports, it is clear that Dell is a brand to watch in the future. It is so important to have an image of your brand and to get that image across to your purchasers. Dell clearly gets it, and their target customers do too! Dell is not yet a top tier brand in terms of awareness or market share, but they are a top tier brand in terms of targeted marketing and perception.
We give Dell a thumb's up for progress!
© Copyright 2004 by TFCinfo.com
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