The premium lure: big brands join the specialty advertising crowd

Article Abstract:

Major brand-name marketers are beginning to recognize the importance of the premium-incentive market as sales decline at retail. At $17 billion, this market can be quite lucrative. Recent Co-branding promotions have seen Hasbro Play-Doh paired with General Mills Lucky Charm cereal; Rubbermaid spatulas with Aunt Jemima syrup; and Binney-Smith Crayola crayons with Kelloggs Froot Loops. Premiums are big business for Hanes Corp, which sells 50% of its tee shirts and sweatshirts in this manner.

WHOLESALE TRADE--DURABLE GOODS, WHOLESALE TRADE--NONDURABLE GOODS, Management, Economic aspects, Marketing, Brand name products, Brand names, Sales promotions, Premiums (Retail)

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Price wars

Article Abstract:

Companies as diverse as airlines and potato chip manufacturers cut their prices due to factors such as the economy, old technologies and maturing markets, but if the price wars do not end soon, many companies will be forced out of business. Many executives are beginning to question the value of continuing the price wars, and others are trying to raise prices to former levels.

Analysis, Prices and rates, Consumer goods, Price cutting

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