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Leveraging Group Buying with Dell Swarm. Presented at ad:tech Singapore June 2011.
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Leveraging Group Buying with Dell Swarm
17th June 2011
Damien CummingsOnline & Social Media Director
CSMB Online & Social Media
We revolutionizedthe industry once, andwe’ll doit again
One of the firstto launch online
discussion forums
First company tohit $1M a day inonline revenue
One of the first companies to launch online
support
First to sell complex configurable items
CSMB Online & Social Media
Dell Online TodayOnline:
Dell.com + Premier + Global Portal + B2B + Channel Portal + eSupport + Community
An online orderis placed
every 2 seconds
$10Bonline revenue
34 languages supported
Googled 1M times per day
58KChannel partnersonline
150M online resolutionsvia eSupport per day
170M visitsto community properties
190kPremier pages
725K B2Btransactions per year
166 countries
13Bpage views in FY’09
1Bvisits per year to
Dell.com
CSMB Online & Social Media 4
Dell’s Social Media and Community Journey
CSMB Online & Social Media 5
Consumer
Early AdopterSMBLE
Public
1995 2006 2007 2008 2009 2010
Social RelationshipsUsers find each
other online
Social FunctionalityUsers interact innew ways online
Social ColonizationSocial not limitedto “social sites”
IndustryEvolution1
Strong brands, but nearly 90% YoY traffic decline
2K ideas in first 2 weeks
Moved to segment-specific blogs
1.3M Followers on Twitter today; $6.5M revenue
Premier, Health Storms launched
10K+ ‘accepted solutions’
Shown to improve conversion by as much as
176%
Recent implemented ideas include backlit keyboards,
Linux OS
7 core blogs, 100+ contributors, 4-5 posts/week
Decreased ability to respond due to resourcing
1 Forrester, “Future of Social Web” * Data as of October 2009
SocialNetwork Platforms
GlobalOffsite Properties
IdeaStorm
Blogs
Forums
Blogosphere Outreach
Ratings & Reviews
Dell’s Social Media Heritage
CSMB Online & Social Media 6
Dell’s Social Media Marketing & CommercialStrategy
CSMB Online & Social Media7
4 Steps To Social Media Leadership
Dell.comDell Swarm
Best Practice: Best Practice: Best Practice: Best Practice:
1 2 3 4Online Video & Viral Marketing:New Product Launch& Key Brand Campaigns
Social Commerce: Including Dell.com Improvements & Dell Swarm Group Buying
Social Media Training for all Employees
Build Fans & FollowersThrough Social Networks
Content & Listening:SNSBlogs & Twitter
CSMB Online & Social Media8
Social Commerce & Group Buying
CSMB Online & Social Media
Social Commerce Models
9
• Group Buy
• Big discounts (50%+)
• All about coupon redemption.
• Drives foot traffic and site visits.
• Auction
• Inherently social
• Rating & Review driven
• Community rules
• Facebook e-commerce (F-Commerce)
• Pulls personal data from your Facebook profile
• Knows your birthday
• Suggests gifts based on personal data
CSMB Online & Social Media
Group Buying For Small & Big Business
10
The Good
• Drives foot traffic and site visits.
The Bad
• One-off nature of Groupons.
• “Strip mining” of small business.
And For Big Business?
• Margin, customer engagement and longevity are all concerns.
CSMB Online & Social Media
Social Commerce: Group Buying via the Dell Swarm brand
CSMB Online & Social Media
Dell Swarm Platform Positioning
Dell.com
• Premium, New and Full Range of Products
• Customisation & everything you’d expect of Dell.com
Purchase, Delivery and Help all leverage Dell.com platform
Dell Swarm
• Group Buy• Focus: S&P and End-of-life• Large discount expectation• Social, WOM and Buzz generation• Upsell/traffic drive to Dell.com
CSMB Online & Social Media
Dell Swarm in Australia
1hr 11min10hr 5min2hr 23min 33min 22min19hrs 12minSold Out Sold OutSold OutSold OutSold OutSold Out
Success due to a number of factors:- Business Partners able to
offer steep discounts- Affiliate Marketing partners- Growing WOM (now 50% of
traffic), +19% more likely to Buy than average
- Simplified Discount approach (modeled on Groupon)
CSMB Online & Social Media 14
Next Steps for Dell Swarm
Geo Expansion Partnerships
Mobile & Social
Integration
Now:- Singapore & Malaysia,
Australia, UK & Brazil.
Coming Soon:- The World!
CSMB Online & Social Media
Twitter:@DellOutlet1,570,397 followers$5m+ revenue
CSMB Online & Social Media
Questions? Damien Cummings
Online & Social Media Director
Email: [email protected]
@damiencummings
http://www.linkedin.com/in/damiencummings
Blog: “Digital Future” http://www.digitalfuture.asia