The PC industry as a whole is in bad shape, but even within the field there will be winners and losers. And if Black Friday is any guide, Dell (DELL) is shaping up to be a loser, and by a mile.
Bloomberg: Dell Inc., the world’s second-largest personal-computer maker, lost the Black Friday retail battle against Hewlett-Packard Co. in Best Buy Co. stores, Thomas Weisel Partners said in a report.
Customers preferred Hewlett-Packard (HPQ) PCs 5-to-1 over Dell’s during the three-day weekend, according to a survey of 35 stores conducted by Doug Reid, an analyst at Thomas Weisel. Best Buy is the largest U.S. electronics retailer.
Chief Executive Officer Michael Dell ditched the company’s direct-sales-only model in an attempt to win back the PC sales lead held by Hewlett-Packard for more than two years. He put Dell products in 20,000 stores worldwide, starting with Wal-Mart Stores Inc. and Best Buy in the U.S.
“Dell has significant work to do,” New York-based Reid wrote today in the report. “The only negative comments in our survey with respect to brand were aimed at Dell, with survey respondents noting potential quality issues.”
The survey focused on the U.S. consumer market, which Reid estimated accounts for 13 per cent of Dell’s revenue. Consumer sales represent about 20 per cent of total revenue worldwide.
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