Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 SEGMENTS: PRODUCT COST SAVINGS SEGMENT / MANUFACTURING BUSINESS FUNCTIONAL COSTS / MULTIPLE FUNCTIONS
CHOICE 3 COMPONENT: CHANGE THE LIST PRICE
No. | SIC | Year | Notes |
1 | 7929 | 2007 | Radiohead promoted its new album by allowing its listeners to name their own price for the download. The average fan was willing to pay $10 for a digital copy, the going rate on Apple's iTunes. However, Radiohead, with its unique affiliations, can distribute an album for as little as $3.40, producing a significant profit. |
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