One of the problems with all of the promotions going on now is that customers feel like they never really know if they're getting the best price, he said. The new system should be much more transparent, he said.
In addition to reducing promotions, the company also plans to decrease the number of rebates it offers on its products and to move from a system of mail-in rebates to allowing customers to electronically file for them.
Dell is making changes not just to its pricing policies, but to the warranties it offers, Parra said. The company is extending the warranty coverage on its computers from 90 days to a year. What's more, the warranty will now cover any operating-system issues customers may have, he said.
The company reduced its warranty coverage from one year to 90 days and stopped covering operating-system problems in the recent past, Parra said. Both moves were a "mistake," he said.The customer-service efforts follow Dell's recently