Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 ISOLATE SEGMENTS: LOW DEMAND PERIOD SEGMENT
CHOICE 3 COMPONENT: EXTEND A PAYMENT TERM
| No. | SIC | Year | Notes |
| 1 | 100 | 1987 | St. Paul Farm Credit Bank, as an incentive to buyers of farmland, offered financing at rates as low as 4.9%. |
| 2 | 5311 | 1988 | Sears is extending as much as $5 billion of additional credit to 10 million of its retail charge-card customers in an aggressive bid to boost holiday sales and clean out inventory. |
| 3 | 5511 | 2006 | Faced with stagnant car sales due to rising fuel costs and a housing slump, luxury retailers are hoping that buyers will purchase cars as Christmas presents. They are promoting this with various deals. Saab is offering 0% financing for 60 months and $3,000 cash back on older models. |
| 4 | 5999 | 2008 | Layaway, a payment practice that nearly became extinct due to the instant gratification of credit cards, is back thanks to the credit crunch. TJX, Burlington Coat Factory Warehouse, and Sears Holdings report that demand for Layaway is stronger than it has been in years. With credit-card companies tightening limits and offering fewer specialty card promotions, layaways are making an enticing option. |
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