Reduce Price to Improve Revenues and Margins




No. SIC Year Notes
1 2000 2004 Rebates have been an ever-prominent tool of the trade in the food business. At U.S. Foodserve, vendors such as Sara Lee Corp. and ConAgra Foods Inc. paid rebates to the company for selling certain amounts of their products.
2 2834 2001 To warrant a place on Florida's list of prescription drugs that can be prescribed for Medicaid patients without a hassle, drug makers promised rebates that equaled price cuts of at least 6%. Some companies were hurt by the legislation, failing to get a large number of the drugs approved.
3 2911 1993 Pennzoil has tossed aside its 4-year-old policy against rebates. It is offering $4.20 rebates on 12-can cases of oil.
4 3011 1991 It’s pretty much always been traditional where the bigger guy who buys more tires gets a bigger discount at the end of the year after his truckload discounts and rebate program and all. Even the volume rebate program is set up where some of the smaller dealers take part in that, but their volume rebate may be 1 ½ or 2% on their annual purchases, and the big guy might get 6% on a lot more volume, so when it comes to dollars, it’s a lot more dollars. It’s a pricing program that’s set up that everybody’s entitled to the same thing theoretically. If everybody bought the same amount of tires, they would all get the same price. They are earned discounts.
5 3571 1998 Microsoft offers rebates of $20 or more per machine to PC makers that help it hit its goals.
6 3711 1990 GM's Oldsmobile division is trying to give more of its rebate money to dealers, which then can decide on a deal-by-deal basis how much of a discount to offer customers.
7 3900 2002 In the pricing system, the discount changes with the product category while the rebate changes with the size of the customer's annual purchases. Discounts go from 0 to 8% depending on the product profitability category and rebates can range up to 13% on any level products over and above the 8% discount. The rebates also vary according to the product category. The A level catetgory starts at 2% and goes to 13% in rebates. B levels start at zero and go to ll.75%. C start at zero and go to ll.25%. There are no rebates on D and E level products. In total program, an average customer's discount and rebate combined starts about 6% and goes up to about 16%. The 16% is reached at about $500,000 in annual purchases.
8 4512 2003 American Airlines and American Express are teaming up to offer a credit card that will give cash rebates on travel of as much as 10%. This is aimed at midsized companies, those with revenues of $10 million to $1 billion. American Airlines hopes to bolster business travel through this program.
9 6141 2004 The latest card offering from American Express and Costco joins a long list of cash-back cards, which have flooded the market in recent years. Some are straightforward, offering 1% back on everything that customers spend. Others hold out the promise of a bit more back to people who spend large amounts and carry a balance. The cards appeal to people who don't spend enough to earn big piles of frequent-flier miles through airline credit cards, or those who have sworn off miles after having trouble booking flights.

<< Return to Choice 3