Unable to Backup my XPS8700, v1.6.2.4?

I have an XPS 8700. I chose to upgrade to the Premium version of "Backup and Recovery". But I can't get back into the utility anymore? I keep getting : "Dell Backup and Recovery has not been able to detect the Recovery Partition on this computer." And then it says "To recover your computer to the original factory state and restore the Recovery Partition, please use your System Recovery discs". .. So it looks like I gave $50 to Dell for nothing after all? I am currently on Windows 8.1..

Does it mean that I have to reinstall Windows 7 from the System Recovery discs in order to recover the original factory state?

Earlier today, I got notification for the latest upgrade. I thought "Problem solved" but, no cigar. It says I have v1.6.2.4 now.

This does not make sense. What a waste.

/ Roger Breton, Canada