By now, you are surely aware of the gas promotions being run by auto companies such as Chrysler and Suzuki. While these programs have proved unsuccessful overall, this has not stopped other industries from jumping on the bandwagon. For instance, such diverse companies as Callaway Golf, Hasbro games, Hertz Rental Cars, Choice Hotels and Hotels.com are running promotions which include free gas. Additionally, the Northern Ohio Blood Services Region of the American Red Cross is offering such prizes as one $3,000 gas card and five $500 cards.
According to marketing professor at the Tepper School of Business at Carnegie Mellon University Baohong Sun, "A lot of companies, when they make decisions they don't think independently. They'll jump into whatever their competitors are doing, so more companies are likely to mimic this strategy." Suzanne Shu, a marketing professor at the UCLA Anderson School of Management adds a warning, saying, "I would say this type of promotion will only be effective in the short run. People will pay attention until they re-adapt to prices and then it won't be such a big deal anymore." Sounds like if a company wants to get in on the free gas bonanza, now is the time to get it in gear.
[Source: AOL Money]
According to marketing professor at the Tepper School of Business at Carnegie Mellon University Baohong Sun, "A lot of companies, when they make decisions they don't think independently. They'll jump into whatever their competitors are doing, so more companies are likely to mimic this strategy." Suzanne Shu, a marketing professor at the UCLA Anderson School of Management adds a warning, saying, "I would say this type of promotion will only be effective in the short run. People will pay attention until they re-adapt to prices and then it won't be such a big deal anymore." Sounds like if a company wants to get in on the free gas bonanza, now is the time to get it in gear.
[Source: AOL Money]
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