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: CHANGE THE LIST PRICE
| No. | SIC | Year | Notes |
| 1 | 2082 | 1989 | Coors generally followed the price leadership of AB. When it was rolling out its products to new states in the 80's, it did price very aggressively to gain market acceptance. Coors was one of the two brewers that initiated the acceleration of price wars in 1988. Coors and Miller were able to maintain these discounts without AB joining in for a year and a half. During the first nine months of 1989, however, Coors shipments were up by less than a percent. |
| 2 | 3400 | 2002 | The company helps retailers manage the issue of sticker shock with "kickers," single items sold at sharp discounts meant to get shoppers to try the All-Clad line. A 7.5 inch frying pan and a 1 quart saucepan, which would retail for about $60 each, would be offered for about $20 each. |
| 3 | 3731 | 1994 | US ship manufacturers are gaining contracts with aggressive low balling of bids. McDermott views one large contract as a loss leader to eventually gain more customers. Industry leader effect. Low ball bid tactics abound. |
| 4 | 6141 | 1998 | 60% of all Visa and MC offers these days include a low introductory interest rate. |
| 5 | 6141 | 2008 | In November, Chase rolled out a new Freedom card that may offer fewer cash-back bonus opportunities. Now, new customers will earn up to 3% cash back on gas, grocery and fast-food purchases for six months; after that, the rate will be 1% on all purchases. Card holders will still be eligible to earn up to 3% cash back each quarter — as long as they're not late with any payments. |
| 6 | 6300 | 2005 | Insureds who go out on the market usually get lower prices. This is because carriers give more price deviation authority to their underwriters on new business than they do on renewals. |
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