Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: REWARD CUSTOMERS
CHOICE 2 SEGMENTS: CUSTOMER COST SAVING SEGMENT / CUSTOMERS WHO DO SOME OF COMPANY'S WORK
CHOICE 3 COMPONENT: CHANGE THE LIST PRICE
| No. | SIC | Year | Notes |
| 1 | 4213 | 1990 | Yellow after experiencing a 10% decline in tonnage in the first quarter of 1981, implemented a pricing program which encouraged shippers to tender multiple LTL shipments at a single pick-up. The discounts it offered in the Yellow Effects Savings (YES) program, were from 3 to 20%. In the second quarter of 1981 its tonnage jumped 27% from the year earlier period. |
| 2 | 4213 | 1992 | Yes, well an example is they could have a product that isn’t properly packaged. So our cost on that is quite high. So we have packaging experts that will come in, teach them how to change it. And so if they undergo some cost changes, we will cut our price by something greater. |
| 3 | 4213 | 1998 | TNT Pilot offered 38% discounts on freight transported to its terminal by the shipper. |
| 4 | 4213 | 1998 | Yellow's YES program gave customers 3 to 20% discounts for consolidating their own shipments. |
| 5 | 4300 | 1992 | The post office discounts 7 cents per piece of business-reply mail sent out if you design it so that it includes the company's nine-digit ZIP+4 code. Also include on the reply envelope or card the bar code that enables the post office to sort it automatically. You get the discount if you eliminate the need for the Post Office's option of extra sorting attention. (Get the discount by saving the supplier some work.) |
| 6 | 4300 | 1992 | The post office offers third-class mail (bulk rate) discounts for minimum mailings of 200 pieces. The size of the pieces must not exceed 6 1/8 by 11 1/2 inches. The bulk rate is 19.8 cents per piece, instead of 29 cents for first-class mail. You get the discount if you eliminate the need for the Post Office's option of extra sorting attention. (Get the discount by saving the supplier some work.) |
| 7 | 4300 | 1992 | The post office offers presort discounts to businesses. They must have bundles of at least 10 pieces going to a five-digit zip code and at least 125 pieces in total to make up a bag. Or, you can qualify for 3-digit presort discounts with bundles of 10 to each post office. You get the discount if you eliminate the need for the Post Office's option of extra sorting attention. (Get the discount by saving the supplier some work.) |
| 8 | 4300 | 1992 | The post office discounts postcards 10 cents per piece (19 cents instead of 29 cents) if they are no larger than 4 1/4 inches by 6 inches. The minimum mailing for discounts is 500 pieces. You get the discount if you eliminate the need for the Post Office's option of extra sorting attention. (Get the discount by saving the supplier some work.) |
| 9 | 4311 | 1992 | The post office discounts 1.4 cents per piece of first-class mail (27.6 cents per piece instead of 29 cents) if you automate your first-class mail. Your mailing must have pieces no larger than letter size, pieces can't be more than 1/4 of an inch thick and they can't weigh more than 2 1/2 oz. The mailing must include at least 500 pieces and they must have ZIP+4 in the addresses. You must have a volume of at least 500 pieces. You get the discount if you eliminate the need for the Post Office's option of extra sorting attention. (Get the discount by saving the supplier some work.) |
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