do you realize that Harley Davidson makes as much profit off merchandise as they do the bikes, even though the merchandise is no where near the revenue the bikes bring in? It is the profit margin.
This is just like Xerox and many other companies... sell the machine at cost and get the big profits from the supplies or merchandise!
Ever buy shaving razors lately? pretty expensive aren't they? write the comany and I bet they would send you a dozen razor holders for free to give to all your friends!
$20 for a T-shirt that cost maybe $1 to print and you have a nice profit, and you don't need to sell that many to generate a sizeable revenue!
-------------------- A good friend will bail you out of Jail. A great friend will be sitting next to you saying... Damn that was fun! :) Posts: 3353 | Registered: Nov 2004
| IP: Logged |
UBBFriend: Email this page to someone!
Printer-friendly view of this topic
