How Low Can You Go?

July 21, 2016

That was the cheer that went up whenever we played limbo as children. It's also the words Chubby Checker sang in his 1962 recording of "Limbo Rock." Apparently, some are still doing it, as the world record was set in 2010 at 8.5 inches! But, what's that got to do with business and marketing? Have you seen any of these words in advertising recently?

  • As low as
  • Starting at or Base Price
  • Free introductory
  • Buy One Get One (BOGO)
  • Just ____ per day
  • Free installation
  • Best value

Another set of terms you might see are:

  • Total Cost of Ownership (TCO)
  • Real Cost of Ownership
  • Installed Cost
  • Total Project Cost
  • Total Variable Cost
  • Title and other fees extra
  • This loan will really cost you

There can be a big difference between what is advertised to get you to initially take action and what it will cost you in the end. There is the old story of a person buying a car and being quoted an extremely low price. Then the salesman asks if you want wheels with that car. Well, of course you do. It's not that different today when you find that all the options you want on your car cause the price to be significantly different (and more) than the advertised price.

For those of you in the transportation sector, think about how you buy or advertise freight services. The upcoming regulations for hours of service recorders (Electronics Logging Devices) is already following this path. For the ELD's, you will see quotes for stand alone devices and one time only costs. You will see people saying no monthly fees. But, beware. There will be additional options that you will be interested in buying. Don't get enthralled with the low prices advertised. Concentrate on the final, total, or annual cost. Investigate the different systems, figure out what you really want. Then get some quotes and focus on the total installed cost or total cost of ownership. Don't let emotions override your logic and cause you to take action too soon. It's log-emo-tion—logic, emotion, action—logemotion™

About the Author

Paul Menig | CEO

Paul Menig is the leader of Tech-I-M LLC, a consulting company focused on helping companies succeed by leveraging technology in their products and processes. After successfully introducing many high tech products in the corporate worlds of General Electric, Eaton and Daimler, he is now focused on savvy technology creating powerful results in companies of all sizes.

Paul also provides free counseling to a wide range of businesses as part of the non-profit organization SCORE that is associated with the Small Business Administration (SBA). Paul is a graduate of the Massachusetts Institute of Technology (MIT) in electrical engineering and has participated in many training programs in quality, strategic planning, finance and technical areas.

Sponsored Recommendations

Tackling the Tech Shortage: Lessons in Recruiting Talent and Reducing Turnover

Discover innovative strategies for recruiting and retaining tech talent in the trucking industry at our April 16th webinar, where experts will share insights on competitive pay...

Stop Sweating Temperature Excursions

Advanced chemical indicators give you the peace of mind that comes from reliable insights into your supply chains. Compromised shipments can be identified the moment they arrive...

Stop Sweating Temperature Excursions

Advanced chemical indicators give you the peace of mind that comes from reliable insights into your supply chains. Compromised shipments can be identified the moment they arrive...

How Electric Vehicles Help You Prolong the Life of Your Fleet

Before adopting electric vehicles for commercial/government fleets, prioritize cost inquiries. Maintenance is essential; understand the upkeep of EV fleets. Here’s what you need...

Voice your opinion!

To join the conversation, and become an exclusive member of FleetOwner, create an account today!