How Dell used social media

Nice post Mei.I would like to add to the same by pointing out some interesting ways Dell used social media as part of it's larger business strategy to bounce back.
Direct2Dell, Dellcommunity, IdeaStorm, and StudioDell are cases in point of Dell's effective usage of social media to leverage the community.

When the Jeff Jarvis controversy erupted, Dell woke up to 2 issues Jarvis highlighted-
1.The need to find out what Dell's customers thought.
2.The need to participate in the conversations which thousands of Dell consumers were having without Dell.

As Dell evolved strategies to become a more customer centric company, it also decided to use Social Media as a part of it's bigger endeavours to bond with the consumers.
The company immediately started analysing the content generated by hosts of it's consumers online and responding to consumer complaints.It even started interacting with consumers on Jarvis's blog. As several bloggers found solutions to their problems, they responded by generating positive content.
Dell started the Direct2Dellcorporate blog for one-to-one communications with Dell where it shares information and also responds to information floating in the environment about Dell.It is also a channel used to inform consumers of any product related aberrations and Dell's endeavours to resolve those issues.

Following this came the Dell community- a forum to learn, share and explore, which is a forum to discuss technical issues, share best practices, etc....primarily a medium to engage the consumers through an online community.
and Dell started the Idea storm where consumers can post their ideas for a new Dell product or service. Users can 'post', 'promote', 'discuss' and 'see' what Dell plans to do about them-the solution to 'find out what their customers wanted.'

Social media as a tool for customer engagement, as a tool for listening to the customer and as a tool for engaging in conversation with the customer is an obvious conclusion. Studies have indicated that a large no. of consumers defect from a company/product because of the perceived indifference of the company...Social media is a not-so-expensive medium to reduce this perceived indifference.Companies just need to give it a try.

Corporate Social Responsibility and social media

Social media is fast emerging as a tool with tremendous potential..I can site one or two examples you may be interested in.

You may like to take a look at Corporate Blogs being used for
showcasing 'Corporate Social Responsibility' endeavours of companies.
Mc Donald's 'Open for Discussion'Corporate Responsibility Blog and Hewlett Packard's Blog, showcasing CSR in Asia Pacific and Japan are being used by these organisations to throw light on their efforts with respect to their global philanthropy, social enterprise, and community investment projects.

Blogs as symbols of Corporate " Cultures of Transparency" are another case in point. You may like to take a look at the Sun employee Blogs which provide insights into Sun from numerous sources - CEO, executives, engineers,marketers, and many more.

CSR is Not Enough Anymore

Vandan

A series of articles about responding to global environmental issues in a recent edition of the Harvard Business Review points out that much of the window-dressing that passes for CSR is no longer enough. It's not that CSR isn't a good thing, just that environmental issues, whether raw-materials shortages, impending pollutants legislation, or carbon-trading opportunities, are fast becoming a part of business survival. Financial markets expect much more action than just carbon audits, triple bottom-line accounting or a flashy blog site.

In this new environment, one has to ask if the examples set by McDonalds and Hewlett Packard are a bit like Don Quixote, tilting at environmental windmills.

Graham Hill
Independent CRM Consultant
Interim CRM Manager

The long tail of a bad experience

Trust is hard to earn, easy to lose, and even harder to get back.

A few years ago we (CRMGuru.com) gave Dell an award for CRM excellence. Dell got very high rating in our member survey on customer-centric businesses (Amazon.com was another winner). That was back in the day when Michael Dell graced the cover of major magazines.

But then, something happened. Consultants (to Dell) I've spoken with over the years have told me the story of a hard-driving sales culture that had a difficult time changing. It's one thing to post up a sign: "Customer Experience: Own It" -- as I've heard Dell did a few years ago, but it's another to make sure all the piece parts of an organization (including outsourced parts) work together to deliver the experience that customers want. Especially when a competitor like HP has spent a few years building up some experience in that regard.

Getting to my point, I think that "Dell Hell" and losing market share has spurred founder Dell to make real changes. And, I fearlessly predict that Dell will makes its way back to a position of respect.

But it's amazing what a "long tail" a bad reputation has. A recent post in InformationWeek, How Dell Is (Far Too Much) Like Starbucks stirred up another flurry of mostly negative Dell comments. (And, gee, do ya think Shultz appreciates the association with Dell?)

It's great that Dell is finally listening, and nice to see examples like Dell adding an XP option because customers wanted to buy it instead of Vista. That fits with the selling culture. But is Dell really serious about improving the quality of its products and service? Plenty of bloggers are willing to say "no," and that may be all that it takes to keep Dell in Hell.

Bob Thompson, CustomerThink Corp.
Blog: Unconventional Wisdom

Its hard to recover after being in Hell - its a long road back

Bob - right on!

It's not going to be easy. Now we get to see if Michael Dell is a marathorn runner or a sprinter.

Steep Hills ahead.

Mei Lin Fung
Blog: Professionals Earn Customer Trust