Reduce Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS

CHOICE 2 ISOLATE SEGMENTS: PRODUCT SYSTEM COMPONENT SEGMENT

CHOICE 3 COMPONENT: WAIVE, OR MAKE A ONE TIME OR PERIODIC PAYMENT, TO COVER SOME COSTS OF THE CUSTOMER

No.	SIC	Year	Notes
1	1521	2004	Some home builders, worried that rising interest rates may clip the pace of new sales, have made cheaper financing available to home buyers. While the builders aren't offering no-interest loans, in some areas they are undercutting the rates offered by more traditional lenders. In formerly hot markets like Denver and Austin, Texas, builders are sweetening financing deals, paying as much as $4,000 on a $200,000 mortgage to cover a buyer's closing costs.
2	3711	2006	As gas prices rose, especially in key markets like California and Florida, General Motors introduced a promotion which would cap gas at $1.99 a gallon for the buyers of new full-size sport-utility vehicles and midsize cars for one year. Customers will receive a monthly credit to a prepaid fuel card for the difference between $1.99 and the average price of premium gas in their state. This will be calculated on the miles they drive, as calculated by the OnStar system.
3	3711	2008	Earlier this year, Chrysler LLC, responding to rising fuel prices, took the unusual step of introducing a gasoline card that locked in costs for buyers of new vehicles at $2.99 per gallon for three years.
4	3716	1997	If you are buying 1 motor home, you get 2 coupons for $1,000. The first coupon applies to the purchase. The second applies to the disposal of the motorhome. So you sell a motor home, you send your coupon in and say, “Here, I am cashing my $1,000.”
5	4512	2008	Frequent flier programs are being changed. As Delta merged with Northwest Airlines, it has made consumer-friendly choices in rules for a combined frequent-flier program. Delta has eliminated the fuel surcharges on frequent-flier tickets.
6	4813	1993	AT&T has a new plan that is aimed at people who spend over $30 a month. Offers them 15% off standard rates and a 25% price cut on calls to a single area code. The plan carries no flat monthly fee or sign-up charge.
7	4813	2001	Eight million phones went at bargain prices in China, he says. "Motorola dumped 6 million into China. Ericsson dumped close to 2 million." China was a logical place to sell off phones, especially for Motorola, says an analyst with a research firm. "Motorola and Ericsson have lost a ton of cash on their handsets. China is Motorola's stronger market, not Europe or the U.S.," he said.
8	4841	2000	Satellite TV offers a number of advantages over cable. Its digital signal provides a vastly improved picture and clear, CD-quality sound. It also has virtually unlimited capacity, with providers currently advertising up to 500 channels. That means you can get expanded basic service, with everything from A&E to ZDTV, for about $40 a month, and as many seasonal sports packages and movie channels as you're willing to pay for. Satellite TV often is cheaper on a month-to-month basis than cable. Of course, you must buy the dish and the VCR-size black box that decodes the signals, at prices starting around $100 and going as high as $400. But the satellite companies, EchoStar and DirecTV, offset the cost by offering frequent promotions that rebate part or all of the equipment and installation charges when you agree to a year's subscription. DirecTV, for example offered $99 cash back and free installation in some markets where Time Warner blacked out ABC, and got more than 25,000 takers within the first 12 days.
9	5092	2000	Pets.com has spent $21 million over the past year on advertising and the company has gotten a visibility boost from its alliance with Amazon.com, which owns 30% of the company. However there is one problem, the financial results are dismal. To grab market share the company is offering shipping to the East Coast well below costs, this has helped boost sales to an annual rate of $20 million.
10	5511	2009	The auto industry is trying to combat the fear among some buyers that they might lose their job and be unable to make car payments. AutoNation plans to cover six months of car payments for buyers who become unemployed. Starting at 33 dealerships in Florida, AutoNation plants to roll out the policy to its 232 stores nationwide. The coverage will be free with any vehicle, new or used, leased or financed. Monthly car payments of up to $500 will be covered for six months after the buyer becomes unemployed. The program doesn't kick in until a buyer has made three months of payments, and expires after 12 months. If, after six months, the consumer still can't make the payments, the buyer would return the car to the lender. That could hurt the buyer's credit rating.
11	5551	1991	At least one yacht dealer offered to pay the luxury tax on some models of 42 to 58 feet in length from Jan. 1 to April 1.
12	5961	1995	Brookstone is testing two methods. Some customers get free shipping while others are charged a flat $5 fee, regardless of the size of the order. Lands' End is offering free delivery of additional purchases to shoppers who pay standard shipping to the first address on their gift list.
13	6021	1989	Union Planters launched a new account designed for the "thirty-something" crowd with services that include a credit card and line of credit with no annual fees, and a full percentage point off on installment loans.
14	6021	2001	In a temporary promotion, National City Corp. issued courtesy cards good for one free overdraft to customers opening its new free checking account in 2001.
15	6141	1985	Sears won't be charging Discover cardholders any fee during the card's first two years. Amoco is allowing its subscribers of its MultiCard to get Visa or Mastercards without a fee.
16	6141	2003	J.P. Morgan Chase and Morgan Stanley are both offering some customers 0% rates for life on balance transfers. Other companies are offering long-term low-rates. They hope that this will prevent customers from switching from low-rate introductory offers after the rate has been increased. These cards are ideal for diligent customers as late fees are very high and can cause the rate to jump from 0% to up to 19%. Many of the cards also require two new transactions per month and charge interest on these new balancess. Payments go towards the original balance, causing interest to accrue on these charges.
17	6211	1998	Small investors with less than $10,000 in assets can avoid the annual fee if they invest $100 a month through Schwab's automated investment plan.
18	7032	2009	Lake Powell Resorts in Page, Ariz., is offering seekers of a houseboat adventure their “Gas on Us” promotion package this summer. Standard rentals will receive a $50 gas credit per day, deluxe rentals will receive $75 per day, and luxury houseboat renters will receive $100 per day. The luxury vessels sleep from six to 12 passengers. Amenities onboard include hot tubs, upgraded kitchens and home-theater systems.
19	7273	2009	In December, Infusionsoft, a Gilbert, Ariz., maker of sales software for very small businesses, sent its sales force out with a new promotional message for its struggling market: a "double your sales guarantee." Customers can request a refund of upfront costs- which run about $4000- if Infusionsoft's software doesn't help them double sales in a one-year period. Additional monthly fees, which vary depending on the number of users, aren't refundable. Customers must agree to use the software to its full capacity, inputting customer data and setting up tools designed to capture sales leads. And even if customers don't truly double sales, a CEO adds, he hopes they'll see a marked improvement and keep the software anyway.
20	7996	2006	Rising gas prices were predicted to slow travel in the early summer of 2006 but it was expected to rebound as consumers became less price sensitive. In order to prevent a drop-off in ticket sales, Six Flags and Cedar Fair are offering discount tickets and senior specials. Six Flags is linking discounts to gas prices.

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