10 Important Ways a Now-Private Dell Inc. Is Changing

By Michael Vizard

NEWS ANALYSIS: Since becoming a private company in October 2013, Dell Inc. has been investing heavily in the channel while, at the same time, becoming much more aggressive when it comes to pricing. The result seems to be marked gains in just about every product category in which Dell participates. Naturally, the channel is playing a big role in that strategy. Indirect sales through the channel now account for 40 percent of the company's revenue, and company officials said they see no top limit to that growth. Much of that success can be attributed to changes in the way Dell compensates its own salespeople for deals sold through the channel and the fact that, through alliances with distributors, Dell is now being asked to bid on more potential deals than ever. How sustainable that strategy may be over the long haul remains to be seen, however. For now, though, Dell is certainly a force to be reckoned with—both inside and outside the channel—not only because of pricing, but also due to the company's investments in new products and services that are expected to bear fruit in 2015.

This article was originally published on 2014-11-11