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: OFFER A COUPON

No. SIC Year Notes
1 2033 1989 JM Smucker gives anyone who buys a rival product a coupon for a free Smucker product. Most coupons (as much as 80%, some estimates say) are redeemed by loyal customers who would have bought the discounted products at full price in any case.
2 2721 2004 In the heated market for celebrity and gossip news, there's seems to be no low price of magazines to grab readers. In Touch Weekly lowered its price, for one issue, to 25 cents. The magazine's usual cover price, at $1.99, is already low. Time Inc.'s People, one of its rivals is $3.29 at the newsstand. In Touch Weekly has been known to place coupons inside its publication for savings on future issues, among other gimmicks.
3 5331 1995 Price/Costco mailed 15.5 million "Passport" coupons, including 2 million sent to nonmembers. The coupons offered such savings as a 25% discount on a $750 fax machine.
4 5812 1991 Coupon for $1.00 off any Super Express lunch at La Petite Boulangerie (regular $5.00), or any purchase of more than $7.00.
5 7990 1991 Mailer offers a coupon card for no cover charge for you and a friend. Once inside, you receive a package of $1 drink coupons. Card goes out to people on the mailing list.

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