Just Make It Free To Make More Profit

What if an airline gave away free tickets to anywhere it flys? What if your favorite artist gave away their CD for free? What if a cable company gave you a free HD TV? Sounds pretty good right? But what if I told you they would recapture their lost profit by selling complimentary goods at a higher price? Here is a look at a very interesting business model.




Do you think businesses should adopt this model? What companies would be best suited for this model? Do you as a consumer like this captive / optional pricing strategy?

Are you a green fashionista?

It seems that everyone is concerned with 'going green' these days. This is an interesting article about what to look for when choosing green, eco-friendly fashion. A few things to look for on the label: "Organic," Material (hemp, tuncel, cotton), Clothing care options (dry-clean only)

One thing the article DOESN'T touch on is the fact that no single piece of clothing can be 100% environmentally friendly. Why is this the case?

Become a label reader and you can save the environment...will this really catch on? Are average-Joe's, middle class people going to spend extra money for a green option/fabric/tshirt?

Armani has partnered with Samsung to create a luxury cell phone. The cell phone was created to match/compliment Armani suits and will cost over $1,000. Read the entire article here.

Was this an idea by Giorgio Armani himself or do you think this was a change implemented by the new, younger senior managers?

The Armani phone is equipped with a touch screen, Windows 6.5, and GPS navigation is it worth such a high price, simply to be fashionable? Isn't a phone, just a phone?

Will this make people look at and treat their electronic devices differently now? Do you think people will move toward having a phone for every outfit/day? Etc.

Good Timing...

Who could Bisquick team with to create some effective cross promotions? Is this a good time for this ad to launch? Go to http://keepyourleftoversalive.com let me know if this campaign will be effective. How hard will it be for this well known breakfast staple to become a left over staple?

I am going to run with this idea...

Bachelor star Andy Baldwin running a marathon is nothing new. Running a marathon in dress shoes...well that is sort of unique. This is not the first time some one has ran a marathon in something other than running shoes.

How will Rockport leverage this to help sell its shoes? What symbolism could they use? Is this idea pointed at the correct target market?

Don't Pass Go...But We Will Collect $200

Ticketmaster Entertainment Inc. has developed a new way to resell tickets that shuts out the brokers and scalpers it has long scorned.

The system relies on Ticketmaster's "paperless" ticketing platform, which makes customers prove their purchase by showing a credit card and ID when they arrive at an event. Without paper tickets, there's nothing for scalpers to resell.

Now with its new exchange system, Ticketmaster has come up with a way to let buyers resell a paperless ticket, while still cutting out ticket-resale leader StubHub and other brokers. That gives Ticketmaster a chance to capture more of the so-called secondary market, which generates greater fees and profits per ticket, although fans sometimes feel ripped off.

http://www.google.com/hostednews/ap/article/ALeqM5hrIY6WBxfdiWRWKCo2W1Q-35dxngD9APODO80

If scalping tickets is legal, should a team or ticket broker be able to cap the number of games a person can resell? Or better yet, should they be able to assign a price ceiling on secondary market ticket sales?

On a final note lets talk about fees Ticketmaster collects on secondary resale tickets..."For the initial sales run, fees amounted to a little more than $4 per ticket, but on resales the buyer was required to pay $1.95 and a 15 percent transaction fee — up to $10.95 a pop. In the home opener, the total resale fee averaged $7.89 and was shared between Ticketmaster and the university."

When does the FTC step in and say NO the market should dictate the price of goods?

Do you know who Grayson Ozias IV is?

Do you even care to find out? The people at Levi's think 18 - 24 year olds will in hopes to increase engagement with its fan base as well as increase its email database.

Do you see yourself going onto Levi's web page to find out? Do you see yourself considering buying a new pair of Levi's because you now know who Grayson is? http://www.adweek.com/aw/content_display/news/digital/e3i6e0d957446c196ca5a5619964f5795aa

Lets take the high road on this one...What could Levi's do in order to make this more valuable to the target market.

Hey You!!!! Park it!!!

In Boston, Gary Washburn noted the NBA in a memo has "warned teams about players standing up in the bench area during games." Players often "block the view of fans, many of whom are season ticket-holders paying premium prices for seats." To "appease these fans and reduce banter between players and premium seat-holders, the league has warned players about standing" (BOSTON GLOBE, 10/4). Boston Globe columnist Bob Ryan said, "This has gotten to be a joke. These big guys are blocking the views of people who are paying not $50 or $75, but hundreds of dollars” ("PTI," ESPN, 10/2).

Should the NBA get in the way of the game? What could teams do to increase the value of those premium tickets besides telling players when to stand?