Reduce Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS

CHOICE 2 ISOLATE SEGMENTS: INTRODUCTORY OFFER SEGMENT

CHOICE 3 COMPONENT: PROVIDE A SAMPLE OF THE PRODUCT

No.	SIC	Year	Notes
1	2023	1996	The three main US manufacturers have relied for years on the advice of physicians, along with free packs of formula given to new mothers at hospitals.
2	2086	1994	Coke, Pepsi, Gatorade to shower teenage males – the main consumers of sports drinks – with samples and cents-off coupons.
3	3679	1995	When Computer Associates International Inc. introduced its accounting program, Simply Money, in 1993, it gave away its first million copies for free, for word-of-mouth advertising and to persuade customers to buy upgrades and related programs.
4	3711	2004	Nissan is offering Infiniti luxury vehicles to the Little Nell in Aspen, where rooms start at $625 a night in high season. Nissan brand vehicles will be offered at a resort in nearby Snowmass Village, which tends to attract a younger crowd. At the Lake Placid Lodge in upstate New York, where room rates begin at $400 a night, a Lexus is available for use by guests gratis on a first-come-first-served basis for half-day outings.
5	4813	1996	AT&T yesterday began offering local telephone dial-up access to the Internet w/ a free one-year trial for residential customers (5 hours/mo.). Unlimited access is available to all AT&T customers for a flat monthly rate of $19.95.
6	4899	1996	AT&T launched its Internet-access service by giving its long-distance customers entry to the network for free. Customers get 5 free hours a month plus $2.50 for each additional hour. They'll be charged $19.95/mo. after first year.
7	6021	1991	Cal Fed offers 1 year of free interest bearing checking with no minimum balance or monthly service charge. 1st 200 checks are free. Offer expires 12-31-91.
8	6141	2000	Unlike other online checking programs, Billpoint, an online checking program on eBay, plans to charge various fees after letting people try its service at no cost for the first three months.
9	6211	2006	Bank of America began offering 30 free online stock trades per month to anyone maintaining a minimum balance of $25000 in a deposit account. However, the deal is restricted to online trades without the aid of a broker and stocks and bonds do not count towards the minimum balance. Trades made in mutual funds may not be eligible for the offer. Competitors like Charles Schwab and E*TRADE will likely have to match these prices.
10	6211	2007	Wells Fargo began offering 100 no-cost online stock and no-load mutual fund trades to customers who have at least $25,000 in combined asset and loan balances at the bank. Customers can count 10% of their home mortgage to qualify. These qualifications are much lower than rival Bank of America which does not count loans, stocks, bonds or mutual funds towards their $25,000 requirement. Wells Fargo customers must link their brokerage account to a Portfolio Management Account which includes checking, free if minimum balances are maintained. After the 100 free trades are used, they will pay $5.95 for each trade for the rest of the year. Customers can open another account and will receive 100 free trades
11	7011	1987	New National Learn to Ski Day has resorts across the US offering new skiers free lift tickets, equipment rental and skiing lessons. Other resort promotions include family discounts, mid-week bargains, & special group discounts.
12	7372	1995	Netscape won 70% of the browser market by giving its product away on the Net. It now sells Navigator for $40.
13	7372	1996	id Software distributes abbreviated but fully functioning versions of their games free of charge over the Internet. If consumers want the whole game, they have to pay for it. Successful.
14	7372	2005	As the price of videogames continues to rise, several online services have developed a subscription plan allowing gamers to rent new titles and mail them back when they are done. The services, modeled after Netflix, offer a free trial, instruction manuals, reviews, video clips and often parental controls.
15	7372	2009	Tideway Systems makes software that typically costs at least $20,000 a year. The company saw sales drop over the last 18 months, so it released a free version of its software. By giving away its program, Tideway figured companies would be more likely to test it and then buy it. More than 4,000 copies of the free software, which can only be used to monitor 30 machines, have been downloaded, but none have translated to a sale.
16	7375	2001	United Online plans to continue offering 40 hours of free service a month to users. Those who want more service have to pay. Similarly, Bluelight offers its users 12 hours a month of free Net access. After that it charges $9.95 a month.
17	7375	2003	United- formed in the merger of free Internet service providers NetZero Inc. and Juno Online Inc. in September 2001- is stealing subscribers from AOL Time Warner Inc., Earthlink Inc., and others. United is also converting users of the company's free service into paid subscribers. Consumers feel that they are getting good quality at great price.
18	7383	2002	New newspapers RedEye and Red Streak are trying to ensnare the 18 to 34 year old crowd. Readers awoke to the RedEye teasing on its cover stories on Oprah Winfrey, the Bachelor and Iraq. The Red Streak featured on its over the shoplifting trial of actress Winona Ryder, Sarah Jessica Parker and the latest on the sniper case. Both papers, which cost 25 cents are being offered free for a limited period.
19	7900	1988	Squaw Valley offers free skiing to first-time skiers all season long.
20	8742	2009	Powerfeedback is providing free research reports, and giving away three hours of consulting services to both prospective and current customers in order to boost revenue, which has surged 26% in the past 3 months.

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