A LeadGen.com Case History

Winning a Price War

When you have a well-funded competitor, you may find that rather than them attempting to become the price leader, they try to drive you out of the market by undercutting your prices. Once you're out, of course, they raise their prices unopposed in the market, and reap huge returns. But in the meantime, you're toast.

That's what was happening to a manufacturer of copper anode, which is used in electroplating, when they called LeadGen.com for help.

Setting aside the anti-trust laws that the competitor was breaking (with temporary impunity), their investors understood the cost structure of the industry well enough to know just how low they had to drive prices, and just how long everyone could last. What they didn't count on was the power of marketing.

LeadGen.com put together a counter-strategy that not only significantly increased the cost for the competitor to win new sales, but it reversed some of the sales they had already booked. It took six months, and close to $100,000, but the company that ended up going out of business was the one that started the price war.

And LeadGen.com's client ended up with all their customers.