Because of loss-leader
pricing, Blockbuster's increased sell-through presence--although it may help the chain become more competitive--won't help its image on Wall Street.
Kim Motika, vice president of North American sales for publisher Interplay Productions, said loss-leader
pricing increases returns.
These holiday loss-leader
tactics may prove to be a two-edged sword for dot coms in 2000.
In which case, the scanners should be considered as loss-leaders
He pointed out the Chatham-based gang used sales techniques like two-for-the-price-of-one loss-leaders
to keep junkies hooked - and loyal.
He says: "Our biggest competitors are supermarkets, who are not only use the price as loss-leaders
to bring people in but also encourage people to drink at home.
They also challenge the motives of free ISPs linked to retailers such as Dixons Freeserve and TescoNet, claiming the services are used as loss-leaders
to direct users to their home-shopping sites.
Martin Swaine, the boss of off-licence chain Rhythm & Booze, has called on the government to ban loss-leaders
on alcohol following the collapse of Threshers into administration.
However, Maxwell insisted that the Scottish parliament had the power to ban loss-leaders
Our aim is not to offer loss-leaders
but sustainable prices.
Factors such as bulk ordering, gray-market supply, high shipping fees, clear-outs and loss-leaders
can all influence retail pricing.
1) Spats between retailers about boozy loss-leaders