Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 SEGMENTS: PRODUCT SYSTEM COMPONENT SEGMENT / COSTS OF SUPPLIES THE CUSTOMER USES WITH THE PRODUCT
CHOICE 3 COMPONENT: PROVIDE A FREE, OR HEAVILY DISCOUNTED, PRODUCT FROM THE COMPANY, OTHER THAN THE PRODUCT ON SALE
No. | SIC | Year | Notes |
1 | 2086 | 1991 | Coke and Pepsi subsidize the costs of customers' soda marketing and equipment, detrimental to small rivals. |
2 | 3571 | 1989 | Last week, DEC began bundling its database software free of charge when it sells a computer. |
3 | 3571 | 1989 | For individuals, Apple said it will offer rebates of up to half the price of peripherals like laser printers & external disk drives when purchased w/ certain computers. |
4 | 3571 | 1991 | Compaq cut computer prices by up to 34% and prices of key options, like extra memory and communications attachments, by up to 68%. |
5 | 3577 | 1989 | Fujitsu is offering a sale on its printers (gives away a free cartridge). |
6 | 7372 | 1994 | IBM plans to introduce a tailored, pay-for-use pricing system today on some of its mainframe software that could cut costs for customers by up to 30%. The pricing system is designed to encourage customers to migrate to the new technologies as quickly as possible, since price cuts are on software for new machines. New software pricing is tailored per application used on the operating system. |
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