Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 SEGMENTS: INTRODUCTORY OFFER SEGMENT / DISCOUNT AN EXISTING PRODUCT TO NEW CUSTOMERS
CHOICE 3 COMPONENT: OFFER A COUPON
No. | SIC | Year | Notes |
1 | 2033 | 1989 | JM Smucker gives anyone who buys a rival product a coupon for a free Smucker product. Most coupons (as much as 80%, some estimates say) are redeemed by loyal customers who would have bought the discounted products at full price in any case. |
2 | 2721 | 2004 | In the heated market for celebrity and gossip news, there's seems to be no low price of magazines to grab readers. In Touch Weekly lowered its price, for one issue, to 25 cents. The magazine's usual cover price, at $1.99, is already low. Time Inc.'s People, one of its rivals is $3.29 at the newsstand. In Touch Weekly has been known to place coupons inside its publication for savings on future issues, among other gimmicks. |
3 | 5331 | 1995 | Price/Costco mailed 15.5 million "Passport" coupons, including 2 million sent to nonmembers. The coupons offered such savings as a 25% discount on a $750 fax machine. |
4 | 5812 | 1991 | Coupon for $1.00 off any Super Express lunch at La Petite Boulangerie (regular $5.00), or any purchase of more than $7.00. |
5 | 7990 | 1991 | Mailer offers a coupon card for no cover charge for you and a friend. Once inside, you receive a package of $1 drink coupons. Card goes out to people on the mailing list. |
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