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Re: Playing the game with price increase...  Bruce Warren
 Mar 03, 2003 21:59 PST 
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Paul,

Notice I said "announce a price increase" at a future date. You can always give every customer a discount back to whatever price you want to. If your licensee has no experience with this game, he needs to attend a few marketing and sales seminars. The game is you pick a new price and a date in the future as a negotiating strategy, not that you will really do it. Look at the airlines, always trying out price increases that fail to stick. Detroit does it too, raise the sticker price, then offer rebates and 0% interest that neutralize it all.

It's a game you have to play. I always hated it, but the customer and your competitors play it all the time.

Bruce W.
----- Original Message -----
From: BlizB-@aol.com
To: Invent-@topica.com
Sent: Sunday, March 02, 2003 6:46 AM
Subject: (InvEd-L) Playing the game with price increase...


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=== Message Follows ===


In a message dated 3/1/2003 11:37:10 PM Eastern Standard Time, war-@valcourplantation.com writes:



    You have to play the game. Now is the time to announce a price increase, effective, say, April 15th. You have to make it all very proper, press release, new price list with schedule of quantity discounts.



     Bruce,
     I would love to announce a price increase effective at a set date....but....I am afraid that it would not look good to the many OSHA representatives who are about to step up to the plate here because they smell a rat....I don't want to give this company any ammo that would make it appear that I am taking advantage of them. There are 2 area dealers who are prepared to help with the installations and who have our current price list. My Licensee is also trying to generate sales elsewhere...raising the price will make that more difficult at this time.
--------------------------------------------------------------------------------------------------------------
....getting the customer to see he NEEDS your product is the key. And you gotta make the purchasing agent look good, give him a hero story to go to his boss with...

       We are definately trying to accomplish this....but it is slow going...everyone gives us terrific lip service about how beneficial the safety product is...but then the move onto other things I guess.   It will take some time...kinda like the backup beeper on commercial vehicles I think...I remember when I first started seeing/hearing them years ago and thinking that it was a damn good idea. They just give us alittle "heads up" so that we can avoid being backed over when working around a vehicle while being preoccupied with work duties.....I wonder how long it took for that device to get off the ground....I have worked around commercial vehicles all of my adult life (aerialifts)...they all have back-up beepers now...BUT...statistically..there are 10 times more lineman who have been bonked off the top of the head (or shoulder or back)by a silently descending aerialift basket....then have been struck by a backing up aerialift vehicle. Most of these "top safety officials" who see my video...understand...and know...that I have a point here...We are trying to get Insurance companies to step up here.

    Paul B.


     



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<DIV><FONT size=2>Paul,</FONT></DIV>
<DIV><FONT size=2></FONT> </DIV>
<DIV><FONT size=2>Notice I said "announce a price increase" at a future date.
You can always give every customer a discount back to whatever price you want
to. If your licensee has no experience with this game, he needs to attend a few
marketing and sales seminars. The game is you pick a new price and a date in the
future as a negotiating strategy, not that you will really do it. Look at the
airlines, always trying out price increases that fail to stick. Detroit does it
too, raise the sticker price, then offer rebates and 0% interest that neutralize
it all.</FONT></DIV>
<DIV><FONT size=2></FONT> </DIV>
<DIV><FONT size=2>It's a game you have to play. I always hated it, but the
customer and your competitors play it all the time.</FONT></DIV>
<DIV><FONT size=2></FONT> </DIV>
<DIV><FONT size=2>Bruce W.</FONT></DIV>
<BLOCKQUOTE dir=ltr
style="PADDING-RIGHT: 0px; PADDING-LEFT: 5px; MARGIN-LEFT: 5px; BORDER-LEFT: #000000 2px solid; MARGIN-RIGHT: 0px">
<DIV style="FONT: 10pt arial">----- Original Message ----- </DIV>
<DIV
style="BACKGROUND: #e4e4e4; FONT: 10pt arial; font-color: black"><B>From:</B>
<A title=Bl-@aol.com
href="mailto:BlizB-@aol.com">BlizB-@aol.com</A> </DIV>
<DIV style="FONT: 10pt arial"><B>To:</B> <A title=Inv-@topica.com
href="mailto:Invent-@topica.com">Invent-@topica.com</A> </DIV>
<DIV style="FONT: 10pt arial"><B>Sent:</B> Sunday, March 02, 2003 6:46
AM</DIV>
<DIV style="FONT: 10pt arial"><B>Subject:</B> (InvEd-L) Playing the game with
price increase...</DIV>
<DIV><BR></DIV><PRE>{If you have found InventorEd useful then please
support us: visit <A href="http://www.InventorEd.org/donate/}">www.InventorEd.org/donate/}

</A>=== Message Follows ===

</PRE><FONT face=arial,helvetica><FONT lang=0 face=Arial size=2
FAMILY="SANSSERIF">In a message dated 3/1/2003 11:37:10 PM Eastern Standard
Time, <A
href="mailto:war-@valcourplantation.com">war-@valcourplantation.com</A>
writes:<BR><BR>
<BLOCKQUOTE
style="PADDING-LEFT: 5px; MARGIN-LEFT: 5px; BORDER-LEFT: #0000ff 2px solid; MARGIN-RIGHT: 0px"
TYPE="CITE"><BR>You have to play the game. Now is the time to announce a
    price increase, effective, say, April 15th. You have to make it all very
    proper, press release, new price list with schedule of quantity
    discounts.</FONT><FONT lang=0 style="BACKGROUND-COLOR: #ffffff" face=Arial
    color=#000000 size=3 FAMILY="SANSSERIF"><BR></BLOCKQUOTE><BR></FONT><FONT
lang=0 style="BACKGROUND-COLOR: #ffffff" face=Arial color=#000000 size=2
FAMILY="SANSSERIF"><BR>   Bruce,<BR>   I would love to
announce a price increase effective at a set date....but....I am afraid that
it would not look good to the many OSHA representatives who are about to step
up to the plate here because they smell a rat....I don't want to give this
company any ammo that would make it appear that I am taking advantage of them.
There are 2 area dealers who are prepared to help with the installations and
who have our current price list. My Licensee is also trying to generate sales
elsewhere...raising the price will make that more difficult at this
time.<BR>--------------------------------------------------------------------------------------------------------------<BR>....getting
the customer to see he NEEDS your product is the key. And you gotta make the
purchasing agent look good, give him a hero story to go to his boss with...
<BR><BR>     We are definately trying to accomplish
this....but it is slow going...everyone gives us terrific lip service about
how beneficial the safety product is...but then the move onto other things I
guess.   It will take some time...kinda like the backup beeper on
commercial vehicles I think...I remember when I first started seeing/hearing
them years ago and thinking that it was a damn good idea.  They just give
us alittle "heads up" so that we can avoid being backed over when working
around a vehicle while being preoccupied with work duties.....I wonder how
long it took for that device to get off the ground....I have worked around
commercial vehicles all of my adult life (aerialifts)...they all have back-up
beepers now...BUT...statistically..there are 10 times more lineman who have
been bonked off the top of the head (or shoulder or back)by a silently
descending aerialift basket....then have been struck by a backing up aerialift
vehicle. Most of these "top safety officials" who see my
video...understand...and know...that I have a point here...We are trying to
get Insurance companies to step up here.<BR><BR>  Paul B.</FONT><FONT
lang=0 style="BACKGROUND-COLOR: #ffffff" face=Arial color=#000000 size=3
FAMILY="SANSSERIF"><BR></FONT><FONT lang=0 style="BACKGROUND-COLOR: #ffffff"
face=Arial color=#000000 size=2 FAMILY="SANSSERIF"><BR><BR>  
</FONT></BLOCKQUOTE></FONT>

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