Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: RETAIN CUSTOMERS
CHOICE 2 ISOLATE SEGMENTS: INDIVIDUAL CUSTOMER SEGMENT
CHOICE 3 COMPONENT: PROVIDE A REBATE
| No. | SIC | Year | Notes |
| 1 | 2086 | 2002 | On average, food companies spend $60 billion a year on givebacks (paying stores for stocking their brands). Kraft sales shrank $4.6 billion, or nearly 14%, off its top line; Kellogg Co.'s (K ) 2001 sales shrank 15%, to $7.6 billion when incentives were subtracted from reported sales. Net profits weren't actually impacted, since companies deducted the rebates as costs elsewhere, usually putting them in with general expenses. |
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