Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 ISOLATE SEGMENTS: OCCASION SEGMENT
CHOICE 3 COMPONENT: PROVIDE A REBATE
| No. | SIC | Year | Notes |
| 1 | 3577 | 2005 | Trying to stoke sales of it $199 PictureMate photo printer, Epson launched a promotion featuring a $50 rebate off the product. It teamed with camera maker Nikon to offer an additional $100 off if a consumer bought a Nikon digital camera at the same time. And it joined with electronics retailer CompUSA to give another $40 rebate off the printer for CompUSA customers. After all the discounts for this limited offer, the Epson PictureMate's total price came to just $9. Over the same period, Hewlett-Packard kept prices of its comparable photo printers at $149 and above, though it offered some $50 rebates. Many of these photo printers had double-digit growth. |
| 2 | 5900 | 1991 | House of Fabrics offers a discount card with a secret spot on it. When you take the card in your spot is revealed to give you either 20%, 25%, 30% or 50% discount. The odds for the discounts are listed: 20% discount, 1:1.4. 25%, 1:4. 30%, 1:20. 50% discount. The odds for the discounts are listed: 20% discount, 1:1.4. 25%, 1:4. 30%, 1:20. 50%, 1: 10,000. So it's probably 20-30% discount. The discount is good from December 13-24. Offer good for 12 days only. |
| 3 | 6141 | 2007 | Capital One Financial Corp. is offering a card which will hand out a 1% award on card spending plus 0.25% in November. Cards with similar offers from providers like Fidelity, Emigrant Savings Bank and American Express often involve restrictions or annual fees which Capital One avoids. |
| 4 | 7375 | 2006 | To standout among the multitudes of comparison sites, Jellyfish promises to share advertising revenue with its customers. Sites are ranked according to discounts or rate for advertising. If a site chooses to pay a higher bill for advertising, Jellyfish will reimburse half the commission to the consumer. The shopper receives this rebate when he begins and completes his search within one visit. Advertisers like the idea because the site will receive commissions only when a sale is made. |
<< Return to Choice 3