Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 SEGMENTS: INTRODUCTORY OFFER SEGMENT / DISCOUNT A NEW PRODUCT TO NEW CUSTOMERS
CHOICE 3 COMPONENT: PROVIDE A SAMPLE OF THE PRODUCT
| No. | SIC | Year | Notes |
| 1 | 2086 | 1994 | Coke, Pepsi, Gatorade to shower teenage males – the main consumers of sports drinks – with samples and cents-off coupons. |
| 2 | 3679 | 1995 | When Computer Associates International Inc. introduced its accounting program, Simply Money, in 1993, it gave away its first million copies for free, for word-of-mouth advertising and to persuade customers to buy upgrades and related programs. |
| 3 | 6141 | 2000 | Unlike other online checking programs, Billpoint, an online checking program on eBay, plans to charge various fees after letting people try its service at no cost for the first three months. |
| 4 | 7372 | 1995 | Netscape won 70% of the browser market by giving its product away on the Net. It now sells Navigator for $40. |
| 5 | 7372 | 2009 | Tideway Systems makes software that typically costs at least $20,000 a year. The company saw sales drop over the last 18 months, so it released a free version of its software. By giving away its program, Tideway figured companies would be more likely to test it and then buy it. More than 4,000 copies of the free software, which can only be used to monitor 30 machines, have been downloaded, but none have translated to a sale. |
| 6 | 7375 | 2001 | United Online plans to continue offering 40 hours of free service a month to users. Those who want more service have to pay. Similarly, Bluelight offers its users 12 hours a month of free Net access. After that it charges $9.95 a month. |
| 7 | 7375 | 2003 | United- formed in the merger of free Internet service providers NetZero Inc. and Juno Online Inc. in September 2001- is stealing subscribers from AOL Time Warner Inc., Earthlink Inc., and others. United is also converting users of the company's free service into paid subscribers. Consumers feel that they are getting good quality at great price. |
| 8 | 7383 | 2002 | New newspapers RedEye and Red Streak are trying to ensnare the 18 to 34 year old crowd. Readers awoke to the RedEye teasing on its cover stories on Oprah Winfrey, the Bachelor and Iraq. The Red Streak featured on its over the shoplifting trial of actress Winona Ryder, Sarah Jessica Parker and the latest on the sniper case. Both papers, which cost 25 cents are being offered free for a limited period. |
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