Final Customer Purchasing from the Product Producer
Dispose Steps: Dispose steps include all activities required to eliminate the product from the customer's premises. These steps include the costs for removal and final disposition of the product.
B. Needs to avoid sources of anxiety
3. Economic limitations: Segment customers according to the limitations set by their economic interests and concerns
Savings of potential product vs. current solution
Level of savings over the current product cost system
Multiple costs – Segment saves multiple costs:
Inside the cost system of the product itself
|GRC Wireless Recycling has made its business out of recycling obsolete cell phones. The company has bought about 400,000 old phones at a cost of $1.2 million. It then recycles them, either by selling them as inexpensive alternatives for users, mainly in developing countries or by melting them down for their precious metals.
|Netflix has won mostly positive reviews for a flat-fee service that allows subscribers to keep DVD rentals for as long as they want. Netflix mails DVDs to subscribers, who return the movies in postage-paid return envelopes.
|Rubbermaid's new "litterless lunchbox" capitalized on environmental concerns by including opaque compartments for holding food.
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