Last week, Dell announced that it would begin reducing its number of mail-in rebates on products and services. This move comes after Office Max and Best Buy have launched initiatives to eliminate rebates altogether. For Dell, the decrease will begin in August with the elimination of rebates on Inpiron notebook computers and Dell televisions, and continue over the next 12 to 18 months, encompassing desktops by the end of the year.
This is part of a larger campaign to reduce customer complaints by simplifying their myriad special offers. Dell plans to reduce promotions per product line by 70 percent and promotions per product by 80 percent. Ro Parra, senior vice president of Dell’s Home and Small Business Group, explains, “On any given quarter, we have had 30, 40, 50 promotions on any given product, so it really became very confusing and difficult for our customers to understand and shop.”
Dell does not plan on completely eliminating rebates, but will replace some mail-in rebates with an online equivalent. These changes occur as Dell reels from lost market share and lackluster quarters.
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