Know-How Exchange : Strategy

You nailed it by mentioning BRAND LOYALTY. Price is not a factor here.

I wouldn't "starve out" any newcomers, just keep your price as it is. Why? If your content and loyalty is what you say it is, there is nothing to worry about.

Think of it this way; you are the premium paper. PERIOD. If people want junk, let them buy the other paper for less...FOR AWHILE!!! Eventually, people will come back to you. And by keping your price and quality the same, the only thing these competitors are doing for you is making you look BETTER!!! Revenue may dip for a few month's but so what? It's achance for you to shine, to show your stuff, to show people why your charge more. Work harder and out do them with class, not a price war.

Lowering your price to match their's only tells people you are no better than them, you will do anything to choke out newcomers, etc. Not good.

I hope this helps!

Hi toiajit

great advice from experts. well my ideas are

Whatever you have said regarding Brand Loyalty, Market Share, content and pagination is true then why are you thinking of reducing the price??? Is your market share going down??

even when a leader is losing its market share the last thing to do is to reduce price. Find out why the paper is losing its share (if it is). echoing Jett and Solut, price is not the way to restrict growth of new competition. Leader brand staves of competitions by its leadership. you have formidable leader/readership. face the competition with that.

analyse the consumers and as well their requirements. Do a thorough research (just like Zahid said when was the last time your did those? if you have done, are those still relevant?) and find out your current situation in terms of readership, consumer preferrence in terms of content and design, find out any untapped requirement and fulfill those etc. Based on the findings do needed redesigning or make-overs and hopefully consumers will stick to your paper increasing the brand loyalty.

regarding lowering price will allow people to buy another newspaper, well, in countries where native language is not English lot of people buy 1 English and local language daily. More than allowing people to buy another paper if you reduce your price But this action actually will eat your brand identity and permium perception that has been built by content, design and reputation.

hope this helps.

cheers!!