Reduce Price to Improve Revenues and Margins

CHOICE 2: ISOLATE SEGMENTS RECEIVING THE LOW PRICE

B. Margin Building Segments

Customer Cost Saving Segment

No. SIC Year Notes
1 3577 1998 Lexmark Inc. is offering to sell its cartridges at a discount – if the purchaser agrees not to let the empty cartridge get into the hands of any remanufacturers.
2 4522 2006 Charter aircards offer a cheaper option for travelers wishing to use private jets. They often seek lower prices on flights that would normally be empty as a jet is either returning to its home base or going to pick up passengers in another city.
3 5999 2004 Online photography sites like Snapfish, the online arm of District Photo Inc., and closely held Shutterfly Inc. will print digital photos for 29 cents or less – under 20 cents for those who prepay – and mail them to customers in a day or two.
4 6211 2005 Ameritrade recently cut pricing for option trades to $.75 a contract from $1.50 and has introduced a bare-bones program called IZONE that offers $5 trades to customers who place orders on line or by touch-tone phone.
5 7841 2002 Blockbuster may offer a discount of a couple of dollars a month for customers who agree to have their credit cards automatically charged the monthly fee.

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