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 CONVENIENCE AND PRICE TOGETHER
No. | SIC | Year | Notes |
1 | 2082 | 1993 | Yuengling kept the beer at its original, lower price in its home county. Thus, Yuengling drinkers in Pottsville can get a Yuengling brew at home for 40 cents, compared with $2.50 at other locations. |
2 | 2082 | 2002 | Interbrew is aiming to transform Stella into a premium beer with a high price that really doesn't cost more to make than any of its regular beers. Their risky strategy was inspired by their rival Heineken who pioneered the global-brand strategy and continue to benefit from its success today. Interbrew did a test run in London where it is now the top import of the UK. In 1999 the company tested the beer in 20 of the most-exclusive bars in New York city. They explained to distributors to limit the Stella supply to those 20 bars and charge $100 a keg compared to Heineken's $85. Interbrew opened up "beer academies" that taught bartenders and wholesalers the proper etiquette of Stella beer. The timing was lucky for Interbrew, they debuted in New York just as their was an explosion of interest in Belgium. |
3 | 2389 | 1989 | Contrast w/ Lee: Levi's agreed to sell its jeans in JC Penney and Sears, but drew the line there. Levi sells lower-end Brittania brand to the mass merchants. Its brand name remains untarnished. |
4 | 2389 | 2002 | The new Levi Strauss Signature line will feature men's, women's and children's jeans for less than $30. Most of Wal-Mart's jeans sell for less than $18. Some go below $10. Levi's trademark pocket stitching design and "red tab" will be missing in this new line. |
5 | 2711 | 1993 | Meanwhile personal digital assistants users are to be targeted by Dow Jones with an electronic newspaper priced comparable to hard copy equivalents. When launched worldwide in 1994, Personal Journal will offer major news stories from each morning's Wall Street Journal, as well as updates throughout the day. |
6 | 3825 | 1985 | Teradyne turned to a quality-management program to improve the company's services in order to justify its traditionally high prices. Employees rig machines for specific customers and to help integrate them into complex production lines at chip plants. |
7 | 4724 | 2009 | Not included in Orbitz no-fee promotion are multicarrier tickets, in which an itinerary combines routes from multiple airlines—tickets the airlines themselves don't sell. As the volume of people traveling has plummeted across the country in recent months, online travel agents have been aggressive with their promotions. |
8 | 5812 | 1998 | A possible competition between Kraft and Starbucks on store shelves wasn't seen because Maxwell House and Starbucks each has a distinct audience. A 13-ounce can of Maxwell House sells for about $2 to $2.50. In supermarkets on the West Coast, a 12-ounce bag of Starbucks coffee sells for $7.45. |
9 | 5945 | 2002 | FAO Schwarz offers services such as personal shoppers, free gift wrapping, a well-versed sales staff and life-size toy characters walking around its stores. To pay for all this, FAO's prices average 0-15% above those of its competitors. |
10 | 6211 | 1990 | Despite customers' haggling over ordinary business, large blocks that require DL&J to facilitate the trade are commanding higher commissions. People are willing to pay for that. Raise prices where no competition. |
11 | 7375 | 1998 | The company [Bridge] plans to launch a Net version called Bridge Channel to attract retail customers who may have previously relied on the free services. For $62.50 per month, users can access a Website with real-time data, news, and analysis. |
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