Twitter drives $3m sales for Dell

Posted on June 12, 2009 at 7:26 am (UK)
in: Business, Innovation, Marketing, Social Media, Twitter, Web

delltwitter2 While many businesses are trying to work out how to make money from Twitter, computer maker Dell shows what they have done to validate Twitter as a credible business tool.

Last December, Dell claimed $1 million in sales that the company could directly attribute to their use of Twitter.

Dell offers refurbished laptops, desktops, workstations, servers and storage, and monitors and printers from Dell Outlet in the USA, with its @DellOutlet account on Twitter a primary channel to notify followers of the latest offers.

Yesterday, Dell said that the total value of sales attributable to their presence on Twitter – both refurbished equipment as well as new systems – has now exceeded $3 million.

[…] Since we started back in 2007, we’ve earned more than $2 million in revenue at@DellOutlet, attributed directly to our Twitter activity.

We’ve surpassed $2 million in revenue in terms of Dell Outlet sales, but we’re also seeing that it’s driving interest in new product as well. We’re seeing people come from @DellOutlet on Twitter into the Dell.com/outlet site, and then ultimately decide to purchase a new system from elsewhere on Dell.com. If we factor those new system purchases that come from @DellOutlet, we’re actually eclipsed $3 million in overall sales.

That’s quite a metric, one that shows what you can achieve when your use of Twitter clearly is strategic and integrated into your overall sales, marketing and communication activities.

[…] Deal-hunters are especially attracted to Dell’s Twitter presence. Dell Outlet sells refurbished Dell products at great prices, but inventories fluctuate, making it difficult to know when products are available or on sale. Dell Outlet uses Twitter as a way to message out coupons, clearance events and new arrival information to those looking for Dell technology at a discounted price.

Dell has extended its direct-selling model on Twitter to Dell Outlet online stores in other markets, notably the UK (@DellOutletUK) and Ireland (@DellOutletIE).

[…] But @DellOutlet continues to be the most popular Dell Twitter property. We’ll try to keep it that way by offering a mix of Twitter-exclusive offers, Dell Outlet deals and Outlet-specific updates and information.

Dell currently has a global team of around 40 employees whose roles include engaging with customers and others interested in Dell via Twitter.

Earlier this month, I had a conversation with Richard Binhammer, a senior communicator at Dell’s US headquarters, and Kerry Bridge, Head of Digital Media Communications, EMEA and Global Public Sector at Dell’s UK office, about the company’s use of Twitter.

That conversation will be published as an FIR Interview podcast soon.

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{ 21 comments… read them below or add one }

1 Dalarie (Dalarie Gilstrap) June 12, 2009 at 9:24

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Twitter drives $3m sales for Dell — NevilleHobson.com: Twitter drives $3m sales for Dell. Posted on June 12, 200.. [link to post]

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2 medialive (MediaLive) June 12, 2009 at 9:42

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Twitter drives $3m sales for Dell: While many businesses are trying to work out how to make money from Twitter, .. [link to post]

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3 DanaCullum (Dana Cullum) June 12, 2009 at 9:43

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Twitter drives $3m sales for Dell — NevilleHobson.com [link to post]

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4 kevgibbo (Kevin Gibbons) June 12, 2009 at 9:45

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RT @marknunney: RT @DanaCullum: Twitter drives $3m sales for Dell — NevilleHobson.com [link to post]

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5 marknunney (Mark Nunney) June 12, 2009 at 10:03

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RT @DanaCullum: Twitter drives $3m sales for Dell — NevilleHobson.com [link to post]

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6 alcartwright (Al Cartwright) June 12, 2009 at 10:04

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RT @kevgibbo @marknunney @DanaCullum: Twitter drives $3m sales for Dell — NevilleHobson.com [link to post] – another great example ROI

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7 karenchia (Karen Chia) June 12, 2009 at 10:30

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RT @NickBlackman: Twitter drives $3m sales for Dell — NevilleHobson.com [link to post]

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8 jjdeeleythinks (James Deeley) June 12, 2009 at 11:20

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RT @Hitwise_UK: Dell’s Twitter sales (through @DellOutlet) have now reached $3m [link to post] (blog post by @jangles)

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9 ElkeBretz (Elke) June 12, 2009 at 11:34

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Dell’s Twitter sales (through @DellOutlet) have now reached $3m [link to post]

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10 clivemalcolm (Clive Malcolm) June 12, 2009 at 11:43

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Twitter drives $3m sales for Dell, [link to post] Looks like at least one company has found a way to make money using twitter

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11 Hitwise_UK (Hitwise_UK) June 12, 2009 at 12:05

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Dell’s Twitter sales (through @DellOutlet) have now reached $3m [link to post] (blog post by @jangles)

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12 EasynetConnect (Easynet Connect) June 12, 2009 at 12:06

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RT: @Hitwise_UK: Dell’s Twitter sales (through @DellOutlet) have now reached $3m [link to post] (blog post by @jangles)

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13 theraromachine (Stuart) June 12, 2009 at 12:07

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@jjdeeleythinks Dell say $2million… since 2007 (http://tinyurl.com/nh6a82 )… so that’s what between 2,000 – 3,000 laptops? Not amazing.

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14 jjdeeleythinks (James Deeley) June 12, 2009 at 13:14

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@theraromachine not sure its quite that underwhelming. Selling on a relatively new channel is still interesting + how many leads generated?

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15 karenpurves (karenpurves) June 12, 2009 at 13:16

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@Hitwise_UK Dell has used twitter extraordninarily well to bring in many many sales – its already a case study

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16 Rob Safuto June 12, 2009 at 13:50

To put the $3 million number in context, it represents half of one percent of all revenue at Dell. That said, it shouldn’t be a surprise that a company that sells tech gear can drive sales by offering discounts via a tech heavy social network like Twitter. Twitter is a channel to reach people as are other social networks and email. I’d like to know how Dell’s Twitter revenue stacks up against their email efforts (I get emails from Dell every week) and what the ROI is for both of those channels as well. Based on the info that they’ve got 40 employees working on Twitter it’s likely that their costs about equal their revenues gained from their efforts.

I’m not saying that Twitter isn’t a place where you can reach customers and sell things. I think it’s important to compare the returns with other channels. Those companies who are criticized by social media “experts” for not using Twitter and Facebook more might be spending their marketing dollars in areas that aren’t as high profile but offer a bigger return.

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17 theraromachine (Stuart) June 12, 2009 at 14:09

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@jjdeeleythinks globally though? I guess it only gets better – and probably much better return than on advertising…

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18 chrisbros (Christian Brosstad) June 21, 2009 at 22:46

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Twitter drives $3m sales for Dell. So it’s possible to make money by using Twitter. [link to post]

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19 petermoore (Peter Moore) August 4, 2009 at 10:41

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@rebeccamthomson I think out of everyone – Dell has used Twitter best: [link to post]

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20 rebeccamthomson (Rebecca Thomson) August 4, 2009 at 11:36

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@petermoore Thankooo. I think so far I like them and Greenpeace.

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21 NikoSlavnic (Niko Slavnic @ IEDC) September 5, 2009 at 16:28

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RT @jangles Twitter drives $3m sales for Dell, how can it help your sales, brands etc.? €” NevilleHobson.com [link to post]

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