Comments on: What’s a Loss Leader (or Cost Leader) http://www.mysteryceo.com/marketing/whats-a-loss-leader-or-cost-leader/ Learn from a young CEO as he builds his company - What it takes to build a $100 Million Business... Wed, 07 Jan 2009 03:12:33 +0000 http://wordpress.org/?v=2.3.3 By: Jon http://www.mysteryceo.com/marketing/whats-a-loss-leader-or-cost-leader/#comment-163 Jon Thu, 10 Apr 2008 12:02:51 +0000 http://www.mysteryceo.com/marketing/whats-a-loss-leader-or-cost-leader/#comment-163 I think building "free services - loss leaders" have their place in a diversified company, I have created several of them and continue to do so... as long as costs don't get out of control (ei: build smartly) then they can be a great way to generate revenue for the divisions that WILL monetize the site. Take a look at Sony, they created PS3 which is a LOSS (billions) but they won the format war as a result. If you only have ONE company whose sole focus is to become a loss leader... then you have trouble. We live in an incredible time where a company can spread around the world and new streams of revenue are only limited by imagination! Jon http://woodmarvels.com - Create Unique Memories! I think building “free services - loss leaders” have their place in a diversified company, I have created several of them and continue to do so… as long as costs don’t get out of control (ei: build smartly) then they can be a great way to generate revenue for the divisions that WILL monetize the site. Take a look at Sony, they created PS3 which is a LOSS (billions) but they won the format war as a result. If you only have ONE company whose sole focus is to become a loss leader… then you have trouble.

We live in an incredible time where a company can spread around the world and new streams of revenue are only limited by imagination!

Jon
http://woodmarvels.com - Create Unique Memories!

]]> By: Mystery CEO http://www.mysteryceo.com/marketing/whats-a-loss-leader-or-cost-leader/#comment-157 Mystery CEO Wed, 09 Apr 2008 19:02:52 +0000 http://www.mysteryceo.com/marketing/whats-a-loss-leader-or-cost-leader/#comment-157 Hey Zach, Many times I've got a VERY good idea why I'm doing it. A loss leader is a BAD idea in case you don't have a plan for it... Mystery CEO Hey Zach,

Many times I’ve got a VERY good idea why I’m doing it.

A loss leader is a BAD idea in case you don’t have a plan for it…

Mystery CEO

]]> By: Zach Katkin http://www.mysteryceo.com/marketing/whats-a-loss-leader-or-cost-leader/#comment-156 Zach Katkin Wed, 09 Apr 2008 16:48:47 +0000 http://www.mysteryceo.com/marketing/whats-a-loss-leader-or-cost-leader/#comment-156 A dangerous, but exciting game: you don't even know WHAT or HOW you will upsell. A dangerous, but exciting game: you don’t even know WHAT or HOW you will upsell.

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