Who would have ever imagined that a Dell (DELL) computer could be cool? That's what Dell has achieved with the launch of its new range of low priced, yet rabidly hip Inspiron laptops. Just in time for the back-to-school season! The breakout of the new line was backed by a very strong advertising campaign. The whimsical TV spot cleverly emphasized on the vibrant array of colors available to match your individual mood and lifestyle. It was quite refreshing to see Dell selling image and emotion, instead of just deals, technical features and the ever lower price that shaved their margins to microscopic levels. (which ultimately led them to trouble a couple of years ago and forced the return of Michael Dell at the helm of the cybernetic behemoth). Coolness and value are a magical formula for the Millennial generation, whose scrimp-and-splurge philosophy in life is what makes them feeling completely in fashion with a Prada skirt and a Target t-shirt. It seems that Dell finally cracked the right value equation for today's consumer.
I am convinced that Dell is back on track and that we'll see more of this powerful combination of signature Dell value and the up-to-date, contemporary image that was so badly needed to put the brand back into the minds of the mobile generation. Next stop: smart-phones?... what do you think? Dell share price has been on the rise since July 2007. Right now, at $28, the stock is close to its 52-week high of $29.61, but it is still well below the $40 it commanded before the start of operational and pricing woes that hit the stock in the second part of 2005. With the strong demand for computers and particularly notebooks projected for the coming years, Dell seems well on its way to revisit that price level.
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