loss leader


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loss leader

A business term for an item sold to the public at or below the original cost, to entice a customer to purchase other, more expensive items.

In healthcare, a loss leader is a service provided below cost in order to attract well-insured patients in the hopes of their referring other patients in need of services, thereby generating income above the cost of the loss leader.
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According to Steven Brill, in his new book After, Hart is Tom DeLay's personal lawyer and "liked to tell clients (and was not embarrassed to tell a reporter) that he did DeLay's personal legal work (as well as that of several other congressmen) for free, as a 'loss leader."'
4-75-201 through 4-75-211, Wal-Mart was found to be illegally selling at loss leader predatory prices.
Racehorse ownership is a business only for a very few and racing is most likely a loss leader for a stud business.
VFI chief Padraig Cribben said: "Taxation as a measure is impotent when some supermarkets sell below the combined VAT and excise levels on alcohol as they currently do as a loss leader."
In many businesses--and optics is no different, especially when you consider the loss leader status of the eye exam and the average practices 'no-glasses' rate--that return is unlikely to come from the first visit, but from the patient coming back again for many years--the so-called 'lifetime value.' I will present initiatives to start generating referrals on purpose and moving patients from simply being loyal to becoming 'card carrying' ambassadors for your business.
It might almost put drinking back to where it belongs - in our pubs, which have been clobbered unfairly by the supermarkets who shamelessly use alcohol as a loss leader.
BETWEEN 2000 and 2010, the behaviour of supermarkets, which use milk as a loss leader product, resulted in the closure of 12,706 dairy farms.
"We consider that using special offers on confectionery to make 'impulse' sales is as detrimental to society as supermarkets selling alcohol as a loss leader."
So-called "loss leader" sales of booze in supermarkets would also be outlawed.
Pubs have been hit by the drop in consumer demand, combined with strong competition from supermarkets who use alcohol as a loss leader and the effects of the smoking ban.
Punitive tax measures might have swollen the Treasury coffers, but it has done little to force up the price of alcohol in supermarkets - many of whom continue to run promotions and sell as a loss leader.
Health Secretary Alan Johnson is also considering putting "cigarette-style" warnings on bottles and cans, plus a minimum price per unit may be slapped on booze to stop supermarkets selling it as a "loss leader".