Definition of Loss leader:
Good or service advertised and sold at below cost price. Its purpose is to bring in (lead) customers in the retail store (usually a supermarket) on the assumption that, once inside the store, the customers will be stimulated to buy full priced items as well. See also price leader.
A product sold at a loss to attract customers.
Synonyms of Loss leader
Publicity device, Stunt, Contrivance, Eye-catching novelty, Scheme, Trick, Dodge, Ploy, Stratagem
How to use Loss leader in a sentence?
- The loss leader was able to take advantage of the economy of scale that existed in the market because demand was so high.
- To attract customers, we decided to try out a loss leader technique, so people would come in and want the cheaper thing.
- You may want to get rid of any loss leader you have before it may contaminate other aspects of your company.
- Many of the compact discs sold by the store are sold as loss-leaders to attract consumers to buy other products.
Meaning of Loss leader & Loss leader Definition