Dell has announced the opening of its latest direct kiosk in the northern Sydney suburb of Hornsby. It is only the fifth to be opened since the PC vendor launched its kiosk strategy in May last year.
While the strategy was yet to make it out of Sydney, the stores were proving viable, Dell's corporate communications manager, Paul McKeon, said.
"It's not about creating a shop or store, but a presence at locations where people shop," he said.
"We view them as a complement to an ad in a newspaper. One ad alone may not generate a sale but it is another way to get your brand and pricing across to consumers."
But Gartner PC analyst, Andy Woo, said the small number of stores and the lengthy amount of time between deployments told a different story. "The number of stores opened tells you the conversion rate is obviously not to Dell's expectations," he said. "Creating market awareness is there, but has that brought additional sales volume? I very much doubt it."
But McKeon insisted the addition of kiosks in Miranda [opened in October] and Hornsby was proof the physical presence worked. "We apply the same financial principles to the kiosks as we do to the rest of our business," he said. "We wouldn't add stores if they weren't doing well."