OT: neural networks and filePro

[GCC Consulting]

> > Do not think for an instant that any retail store has your best 
> > interest at heart.  They do want you to come back, but they want to 
> > make as much money from you each time you are there.
> 
> Well that only makes sense.
> 
> > With your KK store - they have a captive customer.  So you 
> don't need 
> > to give away anything free to keep you.
> 
> True enough.  :)
> 
> > Since they have HER in the database she doesn't get as big 
> a discount, 
> > but I'm not in the database so they entice me with bigger bargains.
> > 
> > Basic Marketing 101.
> 
> Just wait until some special interest group gets a hold of all 
> this inequality!
> Then see what a mess we end up with...  :)
> 
In another life, yea my ladies hosiery business, I did business with a mail
order house in California called StarCrest of California.  Whenever the season's
changed and they purchased new products, they would sent out 2 or 3 catalogues
with different pricing.  Based on the sales response they were able to set their
pricing on the item more realistically.   By the way, this was a great customer.
I got a 10 pound bag of Zenobia pistachio nuts each Christmas.  That's a change,
the customer sending the gift.

They were sited by the FTC for this practice, but were able to substantiate
their business reasons and also proved that once the price was set, it stayed at
the level. Did the consumer paying the most for the item get burned?  I don't
know but one item we made for them sold better at the higher price then at the
low price.  I think people thought it was cheaply made if the price was at that
level.

My father used to say we "sold the sizzle not steak".  I manufactured a
pantyhose item that was sold in the Round the Clock brand at $6.00 a pair, by
Electric Sock for $5.00 both in Macy's hosiery Dept. If the customer went across
the street to Woolworth she could by the same item, unbranded for $3.97.  Same
item, different package and different retailer. 

When I took marketing in college, my instructor had worked for one of the major
liquor manufacturers in the private label division.  He had a major customer
coming in to sample the line.  He was new and had requested samples of the 3
price levels of the liquor.  He received 1 flask.  Being new, he called to find
out where the other 2 samples were as the customer was due in shortly.  He was
told that he had all of the samples in the 1 flask, just pour before the
customer got there.

Richard