 OUR TAKE -
Bad Profits
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| Lasting Impressions:
Like mothers, taxes are often misunderstood, but seldom forgotten.
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Lord Bramwell, English judge
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As we explore the phenomenon of unbundling as it relates to the airline and hotel industries, a few key concepts have definitely emerged. One such concept is the idea of bad profits.
One CRMAdvocate reader wrote, "While companies may think they can do things that are customer DISsatisfiers, I hope their pricing models account for a lost sales as a result of what they do 'because they can.' Last time I checked, there were other hotel options, other store options, other telephone carriers, every other option that we need. I have told high end hotels that I will not be back because they price gauge me on things that they should (internet is a good example)."
I have heard others use the term "bad profits," but I can't recall a company that has systematically bundled and priced product accordingly. If you went through your price sheet of products and services, could you separate the good profits from the bad profits?
That's my take. What's your take?
Gary Lemke, Publisher
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| Stock Ticker |
| ICT | 4.38 |  | 0.8 |
| RightNow | 8.31 | | 1.15 |
| SupportSoft | 2.07 | | 0.25 |
| Unica | 4.15 | | 0.5 |
| Interactive | 7.02 | | 0.72 |
| Epicor | 4 | | 0.33 |
| Salesforce | 31.16 | | 2.49 |
| Chordiant | 2.46 | | 0.19 |
| Nortel | 0.55 | | 0.04 |
| APAC | 1.24 | | 0.09 |
| ATG | 1.75 | | 0.12 |
| Sykes | 17.27 | | 0.96 |
| Amdocs | 16.91 | | 0.93 |
| Oracle | 16.32 | | 0.88 |
| Astea | 2.3 | | 0.11 |
| Teletech | 8.19 | | 0.32 |
| eLoyalty | 2.35 | | 0.09 |
| Vignette | 8.16 | | 0.3 |
| NetSuite | 8.4 | | 0.3 |
| NICE | 21.3 | | 0.75 |
| Selectica | 0.9 | | 0.03 |
| Pegasystems | 11.66 | | 0.37 |
| SPSS | 23.45 | | 0.66 |
| SAP | 33.91 | | 0.95 |
| Rainmaker | 0.72 | | 0.02 |
| Convergys | 5.97 | | 0.13 |
| Tekelc | 11.66 | | 0.09 |
| HP | 33.53 | | 0.14 |
| Intervoice | 8.24 | | 0.02 |
| NCR | 13.25 | | 0 |
| CDC | 0.83 | | 0 |
| ClickSoftware | 2.29 |  | -0.01 |
| LivePerson | 1.4 | | -0.04 |
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As of 3:58 p.m. on 12/5/08 |
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