Raise Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: RAISE PRICE WITH NO CHANGE IN PERFORMANCE AND COST

CHOICE 2 ISOLATE SEGMENTS: CUSTOMER SEGMENTS PURCHASING DURING A PERIOD OF UNBALANCED SUPPLY AND DEMAND

CHOICE 3 COMPONENT: SET LIMITS ON THE USAGE OF THE PRODUCT

No. SIC Year Notes
1 4212 2004 Trucking companies are expected to boost rates by 8% to 10% this year, including fuel surcharges. With their leverage growing, some trucking firms are concentrating their drivers and equipment on routes that best fit their networks, according to customers, while avoiding customers in more remote locations. Customers say they feel pressure to make things more efficient for the truckers.
2 4213 1998 Beyond implementing pure price increases, Roadway has been undertaking some yield-management actions designed to enhance profitability and to help address peak capacity management issues.
3 4512 2008 In another attempt to offset the rising cost of fuel, almost all major airlines—including AMR Corp's American Airlines, Continental, Delta, Northwest, and United—will start charging passengers extra for tickets that don't include a Saturday-night stay or a stay that doesn't cover a minimum number of nights. Skipping Saturday night can result in 50% more spent on airfare. However, these requirements don't apply to all flights—only when carriers don't compete with low-cost carriers like Southwest and JetBlue.

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