Reduce Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS

CHOICE 2 SEGMENTS: VOLUME PURCHASED SEGMENT / PACKAGE OF RELATED PRODUCTS

CHOICE 3 COMPONENT: PACKAGE – CREATE A PACKAGE OF AN ITEM AND SELL BY THE PACKAGE

No. SIC Year Notes
1 4800 2009 Savvy customers realize that while times are tough for consumers, they are also tough for cable and phone companies. Under intense pressure from Wall Street to keep subscribers as the economy sags and competition intensifies, many carriers are bent on retaining customers even if it means offering big price breaks. Many of the steepest breaks tend to be for so-called triple-play bundles of TV, Internet and voice service, since customers pay the most for subscribing to all three. Comcast now offers economy bundles that include scaled-down versions of all the services for lower prices. Phone companies like Verizon and AT&T, meanwhile, are allowing customers to substitute cellphones for land lines in these bundles and still receive discounts.
2 4841 2003 Cable giant Time Warner announced that it will team up with long-distance providers MCI and Sprint to roll out Internet-based phone service for its 11 million cable-TV customers. AT&T, SBC, and Qwest also plan to deploy the new technology, called "VOIP."
3 3571 1997 Hewlett-Packard offers $125 off when you purchase an HP PC and monitor combination.
4 4841 2005 Cablevision is one of the few cable firms who have managed to stem subscriber losses to satellite TV rivals. It sells pay TV, Internet access and phone services as a discounted bundle, $90 a month for new subscribers in some regions, a $40 discount. The company knows that customers who buy packages are less likely to defect.

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