The Value of Word of Mouse….. Lionel Menchaca Microsoft Global High Tech Summit October 25, 2007—San Jose

GROWTH EVERY SECOND 7 PCs Sold 2 Million s Sent 7 People Logon For the First Time 11,000 Songs Shared 1,157 Videos Viewed on YouTube 2 New Blogs Created

DIGITAL MEDIA VISION: ENGAGE IN RELEVANT CONVERSATIONS WITH OUR GLOBAL CUSTOMERS 24/7 IN ALL MAJOR LANGUAGES Share Content & Collect Ideas StudioDell: Started sharing content across Dell.com, next step is to make embedding easy IdeaStorm (7,200 ideas & 30 business improvements) Dell Community Forum now evolving to include Support and topic-based conversation pages Share Content & Collect Ideas StudioDell: Started sharing content across Dell.com, next step is to make embedding easy IdeaStorm (7,200 ideas & 30 business improvements) Dell Community Forum now evolving to include Support and topic-based conversation pages Join Conversations Where They Occur Enter conversations via blog posts (up to 200 per day) Size does not matter: one blog can create a media frenzy Commenting on external message boards and blogs helps connect the dots to Direct2Dell and Dell Community Forum Join Conversations Where They Occur Enter conversations via blog posts (up to 200 per day) Size does not matter: one blog can create a media frenzy Commenting on external message boards and blogs helps connect the dots to Direct2Dell and Dell Community Forum Tell Our Story Direct2Dell has made progress over the last year. We try to use it as as “Dell wire service” Top 1000 of 92 million blogs Over 4MM page views per month Averaging over 300K unique visitors per month Tell Our Story Direct2Dell has made progress over the last year. We try to use it as as “Dell wire service” Top 1000 of 92 million blogs Over 4MM page views per month Averaging over 300K unique visitors per month Resolve Dissatisfaction Identify online & resolve Customer Service issues Very manual process early on Became the basis for Direct2Dell New monitoring system helps to automate the monitoring process Resolve Dissatisfaction Identify online & resolve Customer Service issues Very manual process early on Became the basis for Direct2Dell New monitoring system helps to automate the monitoring process

A Global Conversation Top 3languages reach 81%, 10 languages reach 95% Source: Technorati – Top blog posts by language Direct2Dell is now in English, Chinese, Spanish and Norwegian

The Opportunity of a Blog –Allow real-time information sharing worldwide –Enable real-time conversations –Provide a platform of robust communication—text, audio and video –Empower employees to be the voice of the company –Provides visibility to the issues that matter to your customers

DELL CONFIDENTIAL Participate –Over 4 million page views per month in last few months –Available in English, Spanish, Chinese, Norwegian... –In Top 1,000 out of 92 million blogs according to Technorati OBJECTIVE: Transparent, candid and timely communication RESULTS:

DELL CONFIDENTIAL Listen –Over 10,000 ideas and 60,000 comments (internal and external) –New products, business improvements introduced rapidly as a result OBJECTIVE: Encourage ideas, feedback, input and dialogue RESULTS:

DELL CONFIDENTIAL Educate –An active small business community –Thousands of videos served and reviewed; embedding coming soon OBJECTIVE: Use new media to impart knowledge & create interactivity RESULTS:

DELL CONFIDENTIAL Interact –Generate topics of interest to communities –Encourage creativity through mash-ups –Develop contests and events that drive enthusiasm for products OBJECTIVE: Create a sense of community RESULTS:

DELL CONFIDENTIAL Engage –Dell Community Forum is longest-tenured property –Averages about 10 million page views per month –Transition to expand beyond support origins into topics of conversation OBJECTIVE: Extending community at Dell and beyond RESULTS:

Digital Media—Rules of the Road 1)Customers are in control—work with them and learn from them 2)Remember that real conversations are two-way 3)Think before you talk, but always be yourself 4)Address any form of dissatisfaction head-on 5)Be aware that any conversation can become global at any time 6)Remember that size doesn’t matter, but relevance does—just as one journalist can trigger a news cycle, one blogger can do the same 7)Don’t be afraid to apologize

One Customer—Many Communities Dell Customer World of Warcraft Gamer Twitter Personal Blog IT Manager Jim Smith Facebook

Employee Participation Options Community Outreach Basic Advocacy 13 Solving problems Answering questions Providing Dell perspective Sharing knowledge Providing Dell perspective Sharing experiences Similar to how we handle media relations. Able to speak for Dell via posts & comments. Outreach to Dell properties and beyond via blog posts or comments. Advocacy on Ratings & Reviews, social media sites. Spokespeople

People Make it Work  Tools are important, but people drive the processes –Feedback digital media tools inside and outside of Dell are becoming as vital as call data and traditional online support ( and chat sessions) –Defining solutions across geographies creates difficulties will always require coordination with regional team members –IdeaStorm is a direct link to a community that tells us how we can improve, but implementing business change requires much effort across departments –Teamwork, transparency and frequent + consistent communication is key in this new world