Raise Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: RAISE PRICE, RAISE PERFORMANCE AND COST BY SMALLER AMOUNT
CHOICE 2 ISOLATE SEGMENTS: DUE TO A UNIQUE RELIABILITY
CHOICE 3 COMPONENT: CHANGE MAIN PRODUCT/REDUCED RESOURCES REQUIRED/TIME
No. | SIC | Year | Notes |
1 | 0 | 2004 | Whitestrips, Spinbrush, and Swiffer all have price points that are multiples higher than their competitors on the shelves, and simultaneously many times lower than the high end solutions to the problems they address. They all share the same enviable margins–three to five times higher than the market leaders they supersede. |
2 | 2000 | 1990 | By skinning and deboning chicken breasts, Holly Farms can charge $4.59 a pound for chicken, compared w/ 69 cents a pound for a whole fryer. Add price point. |
3 | 3571 | 1987 | IBM's new entry is priced 13% higher than Tandy's comparable educational product. |
4 | 3571 | 2000 | Due to the design of the computers, Apple is able to charge up to 25% more than its competitors for a machine with similar capabilities. Apple's catchy ad campaigns, feature such creative geniuses as Pablo Picasso, puts rivals' ad efforts to shame. |
5 | 4512 | 2002 | Local companies are making financial commitments to pull new air service to their communities, often paying for future air travel. Money is deposited in an account by businesses and individuals, committing themselves to covering airlines costs and using the money for flights provides a safety net when airlines are breaching new markets. Pensacola lured AirTran, Stockton gained America West to fly to its hub in Phoenix. |
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