Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: REWARD CUSTOMERS
CHOICE 2 SEGMENTS: LOW DEMAND PERIOD SEGMENT / INDUSTRY RECESSIONS
CHOICE 3 COMPONENT: CHANGE THE BENEFIT PACKAGE
| No. | SIC | Year | Notes |
| 1 | 2330 | 2009 | When Saks Fifth Avenue slashed prices by 70% on designer clothes before the holiday season even began, shoppers stampeded. By mid-November, there were already a few signs of trouble. Five days before Saks slashed its prices, Neiman Marcus had cut its own by 40%. And designers themselves were quietly turning to drum up cash by selling current fashions at fire-sale prices (to 90% off) at private "sample sales," often tucked away in industrial buildings in New York. |
| 2 | 6531 | 2009 | Prices for summer vacation homes are dropping like mad, meaning shrewd customers can take advantage of bargains. The slowdown is accelerating in Lake Tahoe, where ski home rentals were off 15%, and summer volume looks to be down 20%. This means that many renters are looking at shorter stays and increased amenities. They may even receive special perks. |
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