Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 SEGMENTS: TARGETED COMPETITOR SEGMENT / STANDARD LEADER PRICE AGAINST ESTABLISHED STANDARD LEADER / AGAINST A TOP TIER STANDARD LEADER
CHOICE 3 COMPONENT: PROVIDE A FREE, OR HEAVILY DISCOUNTED, PRODUCT FROM THE COMPANY, OTHER THAN THE PRODUCT ON SALE
| No. | SIC | Year | Notes |
| 1 | 4841 | 1997 | Completing the hat trick, Cox launched its first residential cable telephony service, called Cox Digital Telephone, in mid-September in Orange County. Pricing for this service is also compelling: the first line is priced at $9.99 versus PacBell's $11.25, a second line is just $4.99 versus PacBell's roughly $11.35, advanced features are 28% lower, and, at least initially, installation is free . |
| 2 | 7372 | 1995 | Like its new competitors, Microsoft is giving away software to get a position in the Web market. It's giving away its Internet Assistant–available on Microsoft's web site. |
<< Return to Choice 3