It’s always interesting to see first hand on how major Fortune 100 companies are using social media to promote their products, enhance their brands and connect with customers.
This is why I decided to interview Richard Binhammer (@richardatdell) who is one of the key people responsible for social media at Dell. You might have read a lot recently about how they were able to make $3 million dollars last year – just using Twitter alone! – so I’m sure it will be a great case study to work with 
And what you’ll find is… there’s not much difference, whether you’re a Fortune 100 or sole trader. The rules of social media remains the same – it’s all about connecting with people. Enjoy
1. What is Dell’s main objective or goal for getting into social media marketing? What is Dell trying to achieve here?
I cannot say it any better than Michael Dell did in a Business Week article in the Fall of 2007:
“These conversations are going to occur whether you like it or not. Do you want to be part of that or not? My argument is you absolutely do. You can learn from them. You can improve your reaction time. And you can be a better company by listening and being involved in that conversation.”
You might find this Q&A with Michael and Shel Israel to provide even more context and background:
http://redcouch.typepad.com/weblog/2008/02/michael-dell-ph.html
2. How has Dell managed to turn its brand around by engaging in social networking sites such as Twitter and Facebook and simply listening?
Our brand has always been about direct connections and customer relationships, as well as all about the power of the web. I think listening was a first step….a critical step, but so is learning, as well as engaging and having conversations, sharing perspectives and information….in all directions. I think the social networking sites help us be even more of who we aspire to be as a company.
3. How does Dell use Twitter as a marketing tool to help promote their products? How much has Dell made through Twitter?
We’ve been involved in Twitter virtually since it launched about two years ago. Current Dell involvement in Twitter includes:
- Direct connections between Dell and customers – listen learn and engage in direct connections with customers. There are ~ 200 Dell employees using Twitter to connect with customers for technical support, sharing information (@dellservergeek), collecting ideas from customers for the next generation of net books/Dell minis (@dell_mini), connecting with gamers (@JohnBatDell) and much more
- Subscribe to Dell info – customers can subscribe and get Dell news from our blogs/Ideastorm Twitter ( see them at dell.com/twitter)
- Dell offers from businesses – some of our businesses, notably Dell Outlet, publish their latest offers on Twitter. As you know, we’ve attributed ~ $3 million in revenue for Dell outlet from @Delloutlet Twitter presence, with more than 1,000,000 followers, and is a “recommended” Twitter presence to follow by Twitter. It occasionally makes “Twitter-only” offers available to followers. Also, some people following @Delloutlet offers have come over to www.dell.com and bought new equipment to the total of $1 million. You can learn more here http://en.community.dell.com/blogs/direct2dell/archive/2009/06/11/delloutlet-surpasses-2-million-on-twitter.aspx
You can find more about about Dell businesses on Twitter here: www.dell.com/twitter.
4. What is IdeaStorm? Does it help increase revenue?
Ideastorm is not about revenue….Ideastorm is about the wisdom of the crowds and innovation. It is about listening to what our customers want from their products and services or what they want from Dell . Dell’s Ideastorm is all about feedback and ideas from customers for us. We have implemented more than 340 of them in 2 years.
5. To what extent has the use of social networking tools (such as Twitter, Facebook, corporate blogging, IdeaStorm) helped increase the top/bottom-line for Dell? How effective has those tools and tactics been?
Well $3 million on Twitter answers part of that question, not to mention the numerous personal requests those of us involved in social media answer about products or services, many of them ultimately resulting in sales. Of course, it is always nice for us too when we run into Dell fans, actively engaging with their own networks and friends.
But equally important is the opportunity social networking allows all of us at Dell to further our direct relationships with customers, to listen learn and engage….make improvements to our business and just keep making Dell a stronger and better business all the time. It’s like having our customers walk the halls of the Dell everyday
6. What are the effects Dell’s social media efforts has had on things such as revenue, engagement level, brand mentions etc?
Dell’s social media efforts have been helpful in a variety of ways and are a component of what we consider to be effective business. As has been reported elsewhere we have seen negative commentary decline by around 30% points. We have identified processes we need to change or things we need to fix, sooner than might have otherwise come to our attention. And yes….we measure all kinds of things and have various metrics.
More importantly, we continue to refine and work on measurement. I think moving forward some of the traditional metrics you mention may still hold weight, but not the same weight. For example, if someone from Dell tweets some news about our expanded recycling efforts, what is the significance of the retweets by others we may not even be associated with? How about links to Facebook page or direct2dell post, and what about the number of times that gets shared by others? I think those may tell you more than some of the items you mention – longer term, anyway.
7. Is Dell considering adopting other social networking tools such as Twitter reps, live streaming etc to further engage with customers and provide better support?
At Dell we are constantly looking to be where our customers are and we are experimenting and trying various things….all the time. It might take the form of better support, or connecting with customers, or sharing information and “accepted solutions” in the forums, or expanding ratings and reviews…time will tell
8. What are some of the main issues or weaknesses Dell is currently facing with its social media campaigns? How are you overcoming those problems?
I think the fact is we learn every day and constantly seek to improve. I don’t see this as “social media campaigns” as I noted before….it is about much more than the latest campaign when it is about connecting directly with customers, relationships and listening to the customer voice.
I think there is a challenge for any organization to have social media permeate in all the right places it needs to be …and we are working on that. I also think it’s a challenge to get it right. Just because Twitter or facebook is the latest and greatest does not necessarily mean someone or a part of the business *has* to be there. I go back to depends on business objectives and what you are trying to achieve.
9. What trends do you see in social media in the future? What new opportunities do you see that Dell will be able to exploit and benefit from?
More specific measurements and different quantifiable results.
I think social media opens opportunities we have not yet recognized yet for improving and building customer *relationships* through human and direct connections…that go way beyond traditional thoughts about CRM and relate more to community.
10. What advice do you have for small businesses looking to integrate social media into their marketing campaigns?
Listen first. Check out the resources readily available to you…give it time.
And, thank you Stanley for the opening, I am biased but check out: Social media for Small Business, powered by Dell on Facebook. http://www.facebook.com/dellsocialmedia
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August 31st, 2009 at 6:35 pm
It’s great to see Dell take full and complete command of their social media experience- as it’s a real benefit to all those involved with their products. Great work!
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September 1st, 2009 at 1:34 am
A nice, detailed interview on Dell’s usage of social networking. Great work, and nicely laid out. Gives a lot of useful information. I think the more in-touch a company (especially one specializing in technology or any digital platform) is with common social networking, the better they can integrate their products to accommodate it, and the better they can promote and raise awareness to their products and services.
Nice work on this!
-Jen
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September 1st, 2009 at 9:31 am
Very interesting and informative interview
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Mind Ruin (3 comments) Reply:
September 9th, 2009 at 8:10 am
I couldn’t agree more.
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September 1st, 2009 at 4:26 pm
DELL’s are pieces a sh!t! I bought a Studio 1537 in Feb. ( my very first laptop ) and it still doesn’t work right!
I have spent a total of 8 hours on the phone with the outsourced Indians, I have installed 3 hard drives sent to me by DELL, and had a DELL tech guy come to my office — all to no avail.
So now I hold in the HD wire (which seems to be the problem now) when I use it.
I have practically begged DELL to take it back and give me money back, it’s cheaper in time and money for both of us. Do you think they will take it back — HELL NO! I can return a $14 hole punch to Staples, and tell them I didn’t like the color, with no questions asked.
Every person I talk to who has purchased a DELL has NOTHING good to say about their customer service. I recently flew into Milwuakee and was chatting with the guys at Enterprise Car Rental, I mentioned DELL customer service, and the guy at the counter said; “Yeah, that have got to have the worst CS in the world”.
I was a first-time, potentially life-long DELL customer, first impressions are key, and DELL lost me. With the reach that bloggers have these days companies better be damn careful, and go above and beyond for their customers.
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RichardatDell (5 comments) Reply:
September 1st, 2009 at 8:28 pm
Jenna, Best CSS and Smart Boy, thanks for the perspective and feedback. Kiley…we will look into it and thanks for the follow up.
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Nicole Price (80 comments) Reply:
September 4th, 2009 at 11:19 am
Richard, I hope that you would not mind my butting in. I am a fusspot about customer service. Your response to Kiley is disappointing after exposure to your interview. If you could have done some homework and answered in more detail, it would have perhaps saved some more negative publicity being generated. A holding reply in a public forum like this is likely to spread.
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RichardatDell (5 comments) Reply:
September 4th, 2009 at 2:03 pm
Nicole,
I am working on the situation and seeing what we can do. Kiley is aware of the steps being taken. Due to policies I am obliged to uphold the protection of customer privacy, I am not at liberty to be any more specific.
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Nicole Price (80 comments) Reply:
September 8th, 2009 at 2:16 pm
Fair enough. Thank you for responding.
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September 2nd, 2009 at 2:19 am
Good read. Its interesting to learn how a big company like Dell utilizes social media to interact and market their products..
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September 2nd, 2009 at 2:23 pm
Wow, what an interview and what a strategy! A great post by all means. Good subject and good questions.
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September 3rd, 2009 at 12:22 am
Wow this is an interesting interview, even big companies like Dell are advertising on social medias. Its a great way for them to get more exposure.
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September 3rd, 2009 at 11:23 am
WOW, what an amazing interview, really, that was really helpful, and its amazing to see a big company like Dell even use Twitter, i thought Twitter was a waste of time, but no more. Thanks man.
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September 4th, 2009 at 2:28 am
Very nice and extensive interview! It is nice to hear from Dell. They have definitely grown in the past year or so developing social networking connections.
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September 5th, 2009 at 8:58 am
Awesome advice, so many companies need help about how to use social media!
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September 6th, 2009 at 6:04 pm
Very nice! Richard has some good info. Dell has grown into a more personal brand, which is something that big companies find it hard to do.
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September 7th, 2009 at 2:26 pm
Good job posting the interview. If an information from Dell is not helpful thn what is it? Anyway wante to thank you for sharing.
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September 10th, 2009 at 4:21 pm
Im pretty accessible
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September 10th, 2009 at 9:51 pm
There is no stopping Twitter now. I like that big corporations like Dell are using it to connect with customers. I feel that you can get a hold of anyone at any level if you have an issue with a product. Well done with the handling of “Kiley”.
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Nicole Price (80 comments) Reply:
September 12th, 2009 at 1:30 pm
Twitter is beginning to get on people’s nerves and its popularity is likely to take a dive. There is an overkill and this always results in a backlash.
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September 11th, 2009 at 6:58 pm
Hi Sanata Monica Locksmith,
Appreciate the perspective. Think we are not only stepping up the game on products and services for small/medium business, public sector and enterprise clients, as well as consumers, but have been pioneers in the social media space — listening learning and engaging since 2006 and more every day
One only need look at the breadth and depth of product offerings including special netwbooks for education, sophisticated laptops for the enterprise and some of the highest quality and thinnest notebooks in the consumer market, in addition to the only netbooks with HD video.
Significant steps up compared to virtually everyone else.
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Nicole Price (80 comments) Reply:
September 12th, 2009 at 1:31 pm
Surely, this must be spam?
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September 14th, 2009 at 8:32 am
I wouldn’t call what Dell doing “spamming”.
It’s just being engaged and conversing with customers. Plus Twitter is an “opt-in” messaging service
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September 14th, 2009 at 10:26 pm
It’s good to see companies actually make money off of social media to prove that it works. Initially, people were not able to truly measure a social media to revenue relationship directly. Sure you can measure in terms of site visits and brand loyalty studies, but this is really great information to have.
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September 21st, 2009 at 2:02 am
I love when you do interviews, would love to see more.
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September 23rd, 2009 at 11:15 am
I respect Dell as a company and love their products. Thanks for the interview!
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richardatdell (5 comments) Reply:
September 23rd, 2009 at 2:18 pm
Always nice to hear good feedback and thanks for “loving” Dell products. We really appreciate your being a customer too
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September 28th, 2009 at 12:19 am
Wow, you really have some great interview with some great people!
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September 29th, 2009 at 10:25 am
Thanks Stanley!
Big company, cool guy & helpful advice: all in one post. It’s all because you asked right questions. Great combination!
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October 3rd, 2009 at 6:44 am
I’m dell users.. Nice interview bro
like to see more
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October 9th, 2009 at 2:03 am
Great information thanks for sharing this with us.In fact in all posts of this blog their is something to learn.I wish I had found it sooner. Keep up the good work.
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October 21st, 2009 at 8:01 am
I think that these interviews are in fact very similar. So maybe it’s enough with interviews for these several months.
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January 24th, 2010 at 1:32 pm
Nothing new here
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June 18th, 2010 at 6:50 am
Social networking websites are so much attractive that they have a huge user base, not only from one country but all over the world. This provides an excellent opportunity for any social media marketing company that has the expertise and resource to exploit it. Promoting products and services via social network is relatively easy and effective as you ad is going to be viewed by thousands of people world wide. You can both target people from a select place or across the world. Some of the sites even provide you the option to place ads to be shown to your target people.
Telemarketing Outsourcing´s last blog ..Cost Effective Outsourcing Call Center Services
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August 31st, 2010 at 5:49 am
off topic un pic … multa sanatate si mai ales bani alex, alexandra, alexa …
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