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class="vector-appearance vector-pinnable-element"> <div class="vector-pinnable-header vector-appearance-pinnable-header vector-pinnable-header-pinned" data-feature-name="appearance-pinned" data-pinnable-element-id="vector-appearance" data-pinned-container-id="vector-appearance-pinned-container" data-unpinned-container-id="vector-appearance-unpinned-container" > <div class="vector-pinnable-header-label">Appearance</div> <button class="vector-pinnable-header-toggle-button vector-pinnable-header-pin-button" data-event-name="pinnable-header.vector-appearance.pin">move to sidebar</button> <button class="vector-pinnable-header-toggle-button vector-pinnable-header-unpin-button" data-event-name="pinnable-header.vector-appearance.unpin">hide</button> </div> </div> </div> </nav> </div> </div> <div id="bodyContent" class="vector-body" aria-labelledby="firstHeading" data-mw-ve-target-container> <div class="vector-body-before-content"> <div class="mw-indicators"> </div> <div id="siteSub" class="noprint">From Wikipedia, the free encyclopedia</div> </div> <div id="contentSub"><div id="mw-content-subtitle"></div></div> <div id="mw-content-text" class="mw-body-content"><div class="mw-content-ltr mw-parser-output" lang="en" dir="ltr"><div class="shortdescription nomobile noexcerpt noprint searchaux" style="display:none">Product sold below cost to stimulate other, more profitable sales</div> <p>A <b>loss leader</b> (also <b>leader</b>)<sup id="cite_ref-1" class="reference"><a href="#cite_note-1"><span class="cite-bracket">[</span>1<span class="cite-bracket">]</span></a></sup> is a <a href="/wiki/Pricing_strategies" title="Pricing strategies">pricing strategy</a> where a product is sold at a price below its market cost<sup id="cite_ref-2" class="reference"><a href="#cite_note-2"><span class="cite-bracket">[</span>2<span class="cite-bracket">]</span></a></sup> to stimulate other sales of more profitable goods or services. With this <a href="/wiki/Sales_promotion" title="Sales promotion">sales promotion</a>/<a href="/wiki/Marketing" title="Marketing">marketing</a> strategy, a "leader" is any popular article, i.e., sold at a low price to attract customers.<sup id="cite_ref-3" class="reference"><a href="#cite_note-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> </p> <style data-mw-deduplicate="TemplateStyles:r1235681985">.mw-parser-output .side-box{margin:4px 0;box-sizing:border-box;border:1px solid #aaa;font-size:88%;line-height:1.25em;background-color:var(--background-color-interactive-subtle,#f8f9fa);display:flow-root}.mw-parser-output .side-box-abovebelow,.mw-parser-output .side-box-text{padding:0.25em 0.9em}.mw-parser-output .side-box-image{padding:2px 0 2px 0.9em;text-align:center}.mw-parser-output .side-box-imageright{padding:2px 0.9em 2px 0;text-align:center}@media(min-width:500px){.mw-parser-output .side-box-flex{display:flex;align-items:center}.mw-parser-output .side-box-text{flex:1;min-width:0}}@media(min-width:720px){.mw-parser-output .side-box{width:238px}.mw-parser-output .side-box-right{clear:right;float:right;margin-left:1em}.mw-parser-output .side-box-left{margin-right:1em}}</style><style data-mw-deduplicate="TemplateStyles:r1237033735">@media print{body.ns-0 .mw-parser-output .sistersitebox{display:none!important}}@media screen{html.skin-theme-clientpref-night .mw-parser-output .sistersitebox img[src*="Wiktionary-logo-en-v2.svg"]{background-color:white}}@media screen and (prefers-color-scheme:dark){html.skin-theme-clientpref-os .mw-parser-output .sistersitebox img[src*="Wiktionary-logo-en-v2.svg"]{background-color:white}}</style><div class="side-box side-box-right plainlinks sistersitebox"><style data-mw-deduplicate="TemplateStyles:r1126788409">.mw-parser-output .plainlist ol,.mw-parser-output .plainlist ul{line-height:inherit;list-style:none;margin:0;padding:0}.mw-parser-output .plainlist ol li,.mw-parser-output .plainlist ul li{margin-bottom:0}</style> <div class="side-box-flex"> <div class="side-box-image"><span class="noviewer" typeof="mw:File"><span><img alt="" src="//upload.wikimedia.org/wikipedia/commons/thumb/9/99/Wiktionary-logo-en-v2.svg/40px-Wiktionary-logo-en-v2.svg.png" decoding="async" width="40" height="40" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/9/99/Wiktionary-logo-en-v2.svg/60px-Wiktionary-logo-en-v2.svg.png 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/9/99/Wiktionary-logo-en-v2.svg/80px-Wiktionary-logo-en-v2.svg.png 2x" data-file-width="512" data-file-height="512" /></span></span></div> <div class="side-box-text plainlist">Look up <i><b><a href="https://en.wiktionary.org/wiki/Special:Search/loss_leader" class="extiw" title="wiktionary:Special:Search/loss leader">loss leader</a></b></i> in Wiktionary, the free dictionary.</div></div> </div> <p>One use of a loss leader is to draw <a href="/wiki/Customer" title="Customer">customers</a> into a store where they are likely to buy other goods. The vendor expects that the typical customer will purchase other items at the same time as the loss leader and that the profit made on these items will be such that an overall profit is generated for the vendor. </p><p>"Loss lead" is an item offered for sale at a reduced price that is intended to "lead" to the subsequent sale of other services or items. The loss leader is offered at a price below its minimum profit margin—not necessarily below cost. The firm tries to maintain a current analysis of its accounts for both the loss lead and the associated items, so it can monitor how well the scheme is doing to avoid an overall net loss. </p> <meta property="mw:PageProp/toc" /> <div class="mw-heading mw-heading2"><h2 id="Strategy">Strategy</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=1" title="Edit section: Strategy"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Marketing academics have shown that retailers should think of both the direct and indirect effect of substantial price promotions when evaluating their impact on profit.<sup id="cite_ref-4" class="reference"><a href="#cite_note-4"><span class="cite-bracket">[</span>4<span class="cite-bracket">]</span></a></sup> To make a very precise analysis one should also include effects over time. Deep price promotions may cause people to bulk-buy (stockpile), which may invalidate the long-term effect of the strategy. This is the <a href="/wiki/Association_rule_learning" title="Association rule learning">association rule</a> analysis.<sup id="cite_ref-5" class="reference"><a href="#cite_note-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup> </p> <style data-mw-deduplicate="TemplateStyles:r1251242444">.mw-parser-output .ambox{border:1px solid #a2a9b1;border-left:10px solid #36c;background-color:#fbfbfb;box-sizing:border-box}.mw-parser-output .ambox+link+.ambox,.mw-parser-output .ambox+link+style+.ambox,.mw-parser-output .ambox+link+link+.ambox,.mw-parser-output .ambox+.mw-empty-elt+link+.ambox,.mw-parser-output .ambox+.mw-empty-elt+link+style+.ambox,.mw-parser-output .ambox+.mw-empty-elt+link+link+.ambox{margin-top:-1px}html body.mediawiki .mw-parser-output .ambox.mbox-small-left{margin:4px 1em 4px 0;overflow:hidden;width:238px;border-collapse:collapse;font-size:88%;line-height:1.25em}.mw-parser-output .ambox-speedy{border-left:10px solid #b32424;background-color:#fee7e6}.mw-parser-output .ambox-delete{border-left:10px solid #b32424}.mw-parser-output .ambox-content{border-left:10px solid #f28500}.mw-parser-output .ambox-style{border-left:10px solid #fc3}.mw-parser-output .ambox-move{border-left:10px solid #9932cc}.mw-parser-output .ambox-protection{border-left:10px solid #a2a9b1}.mw-parser-output .ambox .mbox-text{border:none;padding:0.25em 0.5em;width:100%}.mw-parser-output .ambox .mbox-image{border:none;padding:2px 0 2px 0.5em;text-align:center}.mw-parser-output .ambox .mbox-imageright{border:none;padding:2px 0.5em 2px 0;text-align:center}.mw-parser-output .ambox .mbox-empty-cell{border:none;padding:0;width:1px}.mw-parser-output .ambox .mbox-image-div{width:52px}@media(min-width:720px){.mw-parser-output .ambox{margin:0 10%}}@media print{body.ns-0 .mw-parser-output .ambox{display:none!important}}</style><table class="box-Globalize plainlinks metadata ambox ambox-content ambox-globalize" role="presentation"><tbody><tr><td class="mbox-image"><div class="mbox-image-div"><span typeof="mw:File"><span><img alt="Globe icon." src="//upload.wikimedia.org/wikipedia/commons/thumb/b/bd/Ambox_globe_content.svg/48px-Ambox_globe_content.svg.png" decoding="async" width="48" height="40" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/b/bd/Ambox_globe_content.svg/73px-Ambox_globe_content.svg.png 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/b/bd/Ambox_globe_content.svg/97px-Ambox_globe_content.svg.png 2x" data-file-width="350" data-file-height="290" /></span></span></div></td><td class="mbox-text"><div class="mbox-text-span">The examples and perspective in this paragraph on automobile dealerships <b>deal primarily with the United States and do not represent a <a href="/wiki/Wikipedia:WikiProject_Countering_systemic_bias" title="Wikipedia:WikiProject Countering systemic bias">worldwide view</a> of the subject</b>.<span class="hide-when-compact"> You may <a class="external text" href="https://en.wikipedia.org/w/index.php?title=Loss_leader&action=edit">improve this paragraph on automobile dealerships</a>, discuss the issue on the <a href="/wiki/Talk:Loss_leader" title="Talk:Loss leader">talk page</a>, or create a new paragraph on automobile dealerships, as appropriate.</span> <span class="date-container"><i>(<span class="date">December 2013</span>)</i></span><span class="hide-when-compact"><i> (<small><a href="/wiki/Help:Maintenance_template_removal" title="Help:Maintenance template removal">Learn how and when to remove this message</a></small>)</i></span></div></td></tr></tbody></table> <p>When automobile dealerships use this practice, they offer at least one vehicle below cost and must disclose all of the features of the vehicle (including the <a href="/wiki/VIN" class="mw-redirect" title="VIN">VIN</a>). If the loss-leader vehicle has been sold, the salesperson tries to sell a more upscale trim of that vehicle at a slightly discounted price, as a customer who has missed the loss-leading vehicle is unlikely to find a better deal elsewhere. </p><p>Loss leaders can be an important part of companies' marketing and sales strategies, especially during <a href="/wiki/Dumping_(pricing_policy)" title="Dumping (pricing policy)">"dumping"</a> campaigns. </p> <div class="mw-heading mw-heading3"><h3 id="Characteristics">Characteristics</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=2" title="Edit section: Characteristics"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <ul><li>A loss leader may be placed in an inconvenient part of the store, such as at the rear of the store, so that purchasers must walk past other goods that have higher <a href="/wiki/Profit_margin" title="Profit margin">profit margins</a>.</li> <li>A loss leader is usually a product that customers purchase frequently—thus they are aware that its unusually low price is a bargain.</li> <li>Loss leaders are often scarce or provided with limits (e.g., maximum 10 bottles) to discourage <a href="/wiki/Stockpiling" class="mw-redirect" title="Stockpiling">stockpiling</a> and to limit purchases by <a href="/wiki/Small_business" title="Small business">small businesses</a>. The seller must use loss leaders regularly if they expect their customers to come back.</li> <li>Some loss leader items, such as fruits, vegetables and pastries, are perishable and cannot be easily stockpiled by customers.</li> <li>Some loss leaders, rather than being advertised as bargains, are high-end, costly products offered below profit margin to enhance the company's prestige and/or to attract "lookers" or "window shoppers" who may buy other less expensive but more profitable merchandise. For example, if a <a href="/wiki/Pawnshop" class="mw-redirect" title="Pawnshop">pawnshop</a> offers a <a href="/wiki/Harley-Davidson" title="Harley-Davidson">Harley-Davidson</a> motorcycle in its display window at below the normal profit-making cost, this motorcycle will generate a lot of walk-in traffic during the period before it is sold. Another example would be a restaurant that has a <a href="/wiki/Surf_and_turf" title="Surf and turf">surf and turf</a> special at the top of the menu of the day, which entices customers. These shoppers may end up using the store's other services or making other purchases.</li></ul> <p>Some examples of typical loss leaders include milk, eggs, <a href="/wiki/Rice" title="Rice">rice</a>, and other inexpensive items that grocers would not want to sell without the customer making other purchases. While some customers may have the discipline to only buy the loss leaders, the loss leader strategy works because a customer who goes into a grocery store to buy an inexpensive bread or milk item may decide to buy other grocery items. </p> <div class="mw-heading mw-heading2"><h2 id="Examples">Examples</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=3" title="Edit section: Examples"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <div class="mw-heading mw-heading3"><h3 id="Record_albums">Record albums</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=4" title="Edit section: Record albums"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>The <i>Warner/Reprise Loss Leaders</i> were a series of promotional <a href="/wiki/Sampler_(record)" class="mw-redirect" title="Sampler (record)">sampler</a> <a href="/wiki/Compilation_albums" class="mw-redirect" title="Compilation albums">compilation albums</a> released by <a href="/wiki/Warner_Bros._Records" class="mw-redirect" title="Warner Bros. Records">Warner Bros. Records</a> throughout the 1970s. Each album (usually a 2-record set) contained a wide variety of tracks by artists under contract to Warner Bros. and its subsidiary labels (primarily <a href="/wiki/Reprise_Records" title="Reprise Records">Reprise Records</a>); often these were singles, B-sides, non-hit album tracks, or otherwise obscure material, all designed to arouse interest in the artists' regular albums. Warner advertised the Loss Leaders albums by inserting special illustrated inner sleeves in all of its regular album releases, listing all of the currently available Loss Leaders and including an order form. Each loss leader double album was priced at US$2, significantly less than a comparable regular-release double album of the time. </p><p>The first Loss Leaders compilation was <i>The 1969 Warner/Reprise Songbook</i>, featuring a wide range of artists from <a href="/wiki/Miriam_Makeba" title="Miriam Makeba">Miriam Makeba</a> to <a href="/wiki/The_Mothers_of_Invention" title="The Mothers of Invention">The Mothers of Invention</a>; the last of the original series was the <a href="/wiki/Punk_rock" title="Punk rock">punk</a> and <a href="/wiki/New_wave_music" title="New wave music">new wave</a>-themed <i>Troublemakers</i> in 1980.<sup id="cite_ref-6" class="reference"><a href="#cite_note-6"><span class="cite-bracket">[</span>6<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-7" class="reference"><a href="#cite_note-7"><span class="cite-bracket">[</span>7<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading3"><h3 id="Video_cassettes">Video cassettes</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=5" title="Edit section: Video cassettes"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>In 1979, American businessman <a href="/wiki/Madman_Muntz" title="Madman Muntz">Earl Muntz</a> decided to sell blank tapes and <a href="/wiki/Videocassette_recorder" title="Videocassette recorder">VCRs</a> as loss leaders to attract customers to his showroom, where he would then try to sell them highly profitable widescreen projection TV systems of his own design. His success continued through the early 1980s.<sup id="cite_ref-jhup_8-0" class="reference"><a href="#cite_note-jhup-8"><span class="cite-bracket">[</span>8<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading3"><h3 id="Automobiles">Automobiles</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=6" title="Edit section: Automobiles"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p><a href="/wiki/Chevrolet" title="Chevrolet">Chevrolet</a>'s <a href="/wiki/Chevrolet_Corvette" title="Chevrolet Corvette">Corvette</a> was originally intended in the 1950s to be an "image builder" and loss leader for <a href="/wiki/General_Motors" title="General Motors">General Motors</a>, the idea being that men would go to showrooms to look at this "automotive Playboy Bunny"—which they knew they could not afford—and end up purchasing a lower-cost model. However, it enjoyed significant sales successes in the 1960s and produced a substantial annual profit.<sup id="cite_ref-9" class="reference"><a href="#cite_note-9"><span class="cite-bracket">[</span>9<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-10" class="reference"><a href="#cite_note-10"><span class="cite-bracket">[</span>10<span class="cite-bracket">]</span></a></sup> </p><p>On its launch in 1959 the <a href="/wiki/British_Motor_Corporation" title="British Motor Corporation">British Motor Corporation</a>'s <a href="/wiki/Mini" title="Mini">Mini</a> car was sold at a starting price (including taxes) of £496 for its most basic model, and it was estimated that BMC lost £30 per car sold at this price.<sup class="noprint Inline-Template Template-Fact" style="white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Citation_needed" title="Wikipedia:Citation needed"><span title="This claim needs references to reliable sources. (February 2023)">citation needed</span></a></i>]</sup> However, the headline-grabbing price was significantly lower than that of the car's contemporary rival, the <a href="/wiki/Ford_Anglia#Anglia_105E_(1959–1968)" title="Ford Anglia">Ford Anglia</a>—indeed the only cheaper four-wheeled, four-seater car on the British car market at the time was very basic and old-fashioned <a href="/wiki/Ford_Popular#Ford_Popular_100E" title="Ford Popular">Ford Popular</a>, which sold for only £2 less than the basic Mini. While BMC lost money on every basic Mini sold, such cars were unattractive to many buyers since they lacked features such as heaters, floor carpets and opening rear windows and BMC priced the better-equipped models (which cost from £537) to make a small profit, using the basic car as a loss-leader to allow the promotion of a starting price below the significant £500 mark and to make the Mini at least appear to undercut its main rival on price. The ploy did not work entirely as BMC intended—even in its most basic form, the Mini was far superior in many areas to its rivals while also being lower in price. BMC sold far more basic Minis than it had anticipated, meaning that it sold many Minis at a significant loss. Despite the car being a bestseller in Britain (and several other markets) it made little to no profit for many years. </p> <div class="mw-heading mw-heading3"><h3 id="Perishable_food">Perishable food</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=7" title="Edit section: Perishable food"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p><a href="/wiki/Supermarket" title="Supermarket">Supermarkets</a> sell food staples such as <a href="/wiki/Banana" title="Banana">bananas</a> or <a href="/wiki/Milk" title="Milk">milk</a> at less than the cost at which they were purchased in order to draw customers to their business. These items are typically strategically placed far from the entrances of the store to enhance this effect. In the case of milk, supermarket chains often refuse to pay market rates to avoid making a loss. <sup class="noprint Inline-Template Template-Fact" style="white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Citation_needed" title="Wikipedia:Citation needed"><span title="This claim needs references to reliable sources. (February 2024)">citation needed</span></a></i>]</sup> </p><p><a href="/wiki/Costco" title="Costco">Costco</a> sells its very popular quarter-pound <a href="/wiki/Costco_hot_dog" title="Costco hot dog">hotdog and soda combo</a> for $1.50 <a href="/wiki/USD" class="mw-redirect" title="USD">USD</a>, a price point that has not changed since 1985 and is believed to be well below cost,<sup id="cite_ref-11" class="reference"><a href="#cite_note-11"><span class="cite-bracket">[</span>11<span class="cite-bracket">]</span></a></sup> to bring customers into the store. It also sells its rotisserie chicken well below cost, at $4.99. </p> <div class="mw-heading mw-heading3"><h3 id="Diapers/nappies"><span id="Diapers.2Fnappies"></span>Diapers/nappies</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=8" title="Edit section: Diapers/nappies"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Many toy store chains and online retailers sell diapers or nappies as a loss leader in order to entice parents into the store in the hopes that the children will spot toys, bottles or other items that the family desires.<sup id="cite_ref-12" class="reference"><a href="#cite_note-12"><span class="cite-bracket">[</span>12<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading3"><h3 id="Hardware/tool_stores"><span id="Hardware.2Ftool_stores"></span>Hardware/tool stores</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=9" title="Edit section: Hardware/tool stores"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Large hardware stores often sell larger tools, such as drills or electric saws at cost or below. They do this expecting customers to buy accessories such as blades, drill bits, stands, or cases, along with the new tool. These items tend to have a much higher profit margin, and are often impulse buys. </p> <div class="mw-heading mw-heading3"><h3 id="Smartphones_and_mobile_electronics">Smartphones and mobile electronics</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=10" title="Edit section: Smartphones and mobile electronics"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Some consumer electronics stores use smartphones and other mobile electronics as loss leaders. The company makes less profit on smartphone or mobile devices, but it makes up for this through the sales of higher-profit accessories such as cases, headphones and power adapters. </p> <div class="mw-heading mw-heading3"><h3 id="Home_video_game_consoles">Home video game consoles</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=11" title="Edit section: Home video game consoles"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p><a href="/wiki/Home_video_game_console" title="Home video game console">Gaming consoles</a>, such as the <a href="/wiki/Xbox_360" title="Xbox 360">Xbox 360</a>/<a href="/wiki/PlayStation_3" title="PlayStation 3">PlayStation 3</a>, <a href="/wiki/Xbox_One" title="Xbox One">Xbox One</a>/<a href="/wiki/PlayStation_4" title="PlayStation 4">PlayStation 4</a>, or <a href="/wiki/Xbox_Series_X_and_Series_S" title="Xbox Series X and Series S">Xbox Series X/S</a>/<a href="/wiki/PlayStation_5" title="PlayStation 5">PlayStation 5</a>, are often initially sold as loss leaders. This helps assert market share for the console, which enables the creation of a development ecosystem for games. The profit is then made on the sale of games and accessories over the system's lifetime.<sup id="cite_ref-13" class="reference"><a href="#cite_note-13"><span class="cite-bracket">[</span>13<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-14" class="reference"><a href="#cite_note-14"><span class="cite-bracket">[</span>14<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-15" class="reference"><a href="#cite_note-15"><span class="cite-bracket">[</span>15<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading3"><h3 id="Printers">Printers</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=12" title="Edit section: Printers"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Often, printers sell at or below cost, drawing a consumer in with tantalizing low prices. These manufacturers know the overwhelming majority of consumers will stick with genuine OEM ink cartridges rather than opting for less reliable remanufactured and compatible third-party products.<sup id="cite_ref-16" class="reference"><a href="#cite_note-16"><span class="cite-bracket">[</span>16<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading2"><h2 id="See_also">See also</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=13" title="Edit section: See also"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <ul><li><a href="/wiki/Bait-and-switch" title="Bait-and-switch">Bait-and-switch</a></li> <li><a href="/wiki/Competition_law" title="Competition law">Competition law</a></li> <li><a href="/wiki/Dumping_(pricing_policy)" title="Dumping (pricing policy)">Dumping (pricing policy)</a></li> <li><a href="/wiki/Freebie_marketing" class="mw-redirect" title="Freebie marketing">Freebie marketing</a></li> <li><a href="/wiki/Parallel_importing" class="mw-redirect" title="Parallel importing">Parallel importing</a></li> <li><a href="/wiki/Predatory_pricing" title="Predatory pricing">Predatory pricing</a></li> <li><a href="/wiki/Pricing_strategies" title="Pricing strategies">Pricing strategies</a></li> <li><a href="/wiki/Product_bundling" title="Product bundling">Product bundling</a></li> <li><a href="/wiki/Razor_and_blades_model" title="Razor and blades model">Razor and blades model</a></li> <li><a href="/wiki/Suicide_bidding" title="Suicide bidding">Suicide bidding</a></li> <li><a href="/wiki/Tying_(commerce)" title="Tying (commerce)">Tying (commerce)</a></li></ul> <div class="mw-heading mw-heading2"><h2 id="References">References</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Loss_leader&action=edit&section=14" title="Edit section: References"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <style data-mw-deduplicate="TemplateStyles:r1239543626">.mw-parser-output .reflist{margin-bottom:0.5em;list-style-type:decimal}@media screen{.mw-parser-output .reflist{font-size:90%}}.mw-parser-output .reflist .references{font-size:100%;margin-bottom:0;list-style-type:inherit}.mw-parser-output .reflist-columns-2{column-width:30em}.mw-parser-output .reflist-columns-3{column-width:25em}.mw-parser-output .reflist-columns{margin-top:0.3em}.mw-parser-output .reflist-columns ol{margin-top:0}.mw-parser-output .reflist-columns li{page-break-inside:avoid;break-inside:avoid-column}.mw-parser-output .reflist-upper-alpha{list-style-type:upper-alpha}.mw-parser-output .reflist-upper-roman{list-style-type:upper-roman}.mw-parser-output .reflist-lower-alpha{list-style-type:lower-alpha}.mw-parser-output .reflist-lower-greek{list-style-type:lower-greek}.mw-parser-output .reflist-lower-roman{list-style-type:lower-roman}</style><div class="reflist"> <div class="mw-references-wrap mw-references-columns"><ol class="references"> <li id="cite_note-1"><span class="mw-cite-backlink"><b><a href="#cite_ref-1">^</a></b></span> <span class="reference-text"><a rel="nofollow" class="external text" href="http://www.bartleby.com/61/46/L0084600.html">Leader</a> <a rel="nofollow" class="external text" href="https://web.archive.org/web/20090125161151/http://www.bartleby.com/61/46/L0084600.html">Archived</a> 2009-01-25 at the <a href="/wiki/Wayback_Machine" title="Wayback Machine">Wayback Machine</a>, <i>The American Heritage Dictionary of the English Language: Fourth Edition</i>, Houghton Mifflin Company, 2000.</span> </li> <li id="cite_note-2"><span class="mw-cite-backlink"><b><a href="#cite_ref-2">^</a></b></span> <span class="reference-text"><a rel="nofollow" class="external text" href="http://www.bartleby.com/61/53/L0255300.html">Loss Leader</a> <a rel="nofollow" class="external text" href="https://web.archive.org/web/20080726081908/http://www.bartleby.com/61/53/L0255300.html">Archived</a> 2008-07-26 at the <a href="/wiki/Wayback_Machine" title="Wayback Machine">Wayback Machine</a>, <i>The American Heritage Dictionary of the English Language: Fourth Edition</i>, Houghton Mifflin Company, 2000.</span> </li> <li id="cite_note-3"><span class="mw-cite-backlink"><b><a href="#cite_ref-3">^</a></b></span> <span class="reference-text"><a rel="nofollow" class="external text" href="http://www.infoplease.com/ipd/A0512912.html">Leader</a>, <i>Random House Unabridged Dictionary</i>, Random House, Inc., 1997.</span> </li> <li id="cite_note-4"><span class="mw-cite-backlink"><b><a href="#cite_ref-4">^</a></b></span> <span class="reference-text">Van den Poel Dirk, Jan De Schamphelaere, Geert Wets (2004), <a rel="nofollow" class="external text" href="http://econpapers.repec.org/paper/rugrugwps/03_2F202.htm">"Direct and Indirect Effects of Retail Promotions,"</a> <i>Expert Systems with Applications</i>, 27 (1): 53–62.</span> </li> <li id="cite_note-5"><span class="mw-cite-backlink"><b><a href="#cite_ref-5">^</a></b></span> <span class="reference-text">Vindevogel B., Dirk Van den Poel, and Geert Wets (2005), <a rel="nofollow" class="external text" href="http://econpapers.repec.org/paper/rugrugwps/04_2F262.htm">"Why promotion strategies based on market basket analysis do not work?"</a>. 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Retrieved <span class="nowrap">12 June</span> 2021</span>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Ajournal&rft.genre=unknown&rft.jtitle=Engadget&rft.atitle=PlayStation+3+still+a+loss+leader%2C+%27six+cents+for+every+dollar%27+of+hardware+sold&rft.date=2010-02-06&rft_id=https%3A%2F%2Fwww.engadget.com%2F2010-02-05-playstation-3-still-a-loss-leader-six-cents-for-every-dollar.html&rfr_id=info%3Asid%2Fen.wikipedia.org%3ALoss+leader" class="Z3988"></span></span> </li> <li id="cite_note-15"><span class="mw-cite-backlink"><b><a href="#cite_ref-15">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite class="citation web cs1"><a rel="nofollow" class="external text" href="https://www.engadget.com/2005-12-28-xbox-360-costs-715-to-make.html">"Xbox 360 costs $715 to make"</a>. <i>Engadget</i>. 28 December 2005. <a rel="nofollow" class="external text" href="https://web.archive.org/web/20200902000329/https://www.engadget.com/2005-12-28-xbox-360-costs-715-to-make.html">Archived</a> from the original on 2 September 2020<span class="reference-accessdate">. Retrieved <span class="nowrap">12 June</span> 2021</span>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Ajournal&rft.genre=unknown&rft.jtitle=Engadget&rft.atitle=Xbox+360+costs+%24715+to+make&rft.date=2005-12-28&rft_id=https%3A%2F%2Fwww.engadget.com%2F2005-12-28-xbox-360-costs-715-to-make.html&rfr_id=info%3Asid%2Fen.wikipedia.org%3ALoss+leader" class="Z3988"></span></span> </li> <li id="cite_note-16"><span class="mw-cite-backlink"><b><a href="#cite_ref-16">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite class="citation web cs1"><a rel="nofollow" class="external text" href="https://www.tonerbuzz.com/blog/why-is-printer-ink-so-expensive/">"Why Is Printer Ink So Expensive?"</a>. 2 July 2024.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Abook&rft.genre=unknown&rft.btitle=Why+Is+Printer+Ink+So+Expensive%3F&rft.date=2024-07-02&rft_id=https%3A%2F%2Fwww.tonerbuzz.com%2Fblog%2Fwhy-is-printer-ink-so-expensive%2F&rfr_id=info%3Asid%2Fen.wikipedia.org%3ALoss+leader" class="Z3988"></span></span> </li> </ol></div></div>    </div><noscript><img src="https://login.wikimedia.org/wiki/Special:CentralAutoLogin/start?type=1x1" alt="" width="1" height="1" style="border: none; position: absolute;"></noscript> <div class="printfooter" data-nosnippet="">Retrieved from "<a dir="ltr" href="https://en.wikipedia.org/w/index.php?title=Loss_leader&oldid=1259040653">https://en.wikipedia.org/w/index.php?title=Loss_leader&oldid=1259040653</a>"</div></div> <div id="catlinks" class="catlinks" data-mw="interface"><div id="mw-normal-catlinks" class="mw-normal-catlinks"><a href="/wiki/Help:Category" title="Help:Category">Categories</a>: <ul><li><a href="/wiki/Category:Pricing" title="Category:Pricing">Pricing</a></li><li><a href="/wiki/Category:Advertising_techniques" title="Category:Advertising techniques">Advertising techniques</a></li><li><a href="/wiki/Category:Marketing_techniques" title="Category:Marketing techniques">Marketing techniques</a></li><li><a href="/wiki/Category:Selling_techniques" title="Category:Selling techniques">Selling techniques</a></li></ul></div><div id="mw-hidden-catlinks" class="mw-hidden-catlinks mw-hidden-cats-hidden">Hidden categories: <ul><li><a href="/wiki/Category:Webarchive_template_wayback_links" title="Category:Webarchive template wayback links">Webarchive template wayback links</a></li><li><a href="/wiki/Category:Articles_with_short_description" title="Category:Articles with short description">Articles with short description</a></li><li><a href="/wiki/Category:Short_description_matches_Wikidata" title="Category:Short description matches Wikidata">Short description matches Wikidata</a></li><li><a href="/wiki/Category:Articles_with_limited_geographic_scope_from_December_2013" title="Category:Articles with limited geographic scope from December 2013">Articles with limited geographic scope from December 2013</a></li><li><a href="/wiki/Category:United_States-centric" title="Category:United States-centric">United States-centric</a></li><li><a href="/wiki/Category:All_articles_with_unsourced_statements" title="Category:All articles with unsourced statements">All articles with unsourced statements</a></li><li><a href="/wiki/Category:Articles_with_unsourced_statements_from_February_2023" title="Category:Articles with unsourced statements from February 2023">Articles with unsourced statements from February 2023</a></li><li><a href="/wiki/Category:Articles_with_unsourced_statements_from_February_2024" title="Category:Articles with unsourced statements from February 2024">Articles with unsourced statements from February 2024</a></li></ul></div></div> </div> </main> </div> <div class="mw-footer-container"> <footer id="footer" class="mw-footer" > <ul id="footer-info"> <li id="footer-info-lastmod"> This page was last edited on 23 November 2024, at 01:27<span class="anonymous-show"> (UTC)</span>.</li> <li id="footer-info-copyright">Text is available under the <a href="/wiki/Wikipedia:Text_of_the_Creative_Commons_Attribution-ShareAlike_4.0_International_License" title="Wikipedia:Text of the Creative Commons Attribution-ShareAlike 4.0 International License">Creative Commons Attribution-ShareAlike 4.0 License</a>; additional terms may apply. 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