|
| |
Razor and blades, also known as bait and hook, is a business model that involves selling a product or service that requires regular supplies to operate. The idea is that the initial product can be sold cheaply or at a loss and the supplies can be sold at a higher price. The model works best when supplies are highly specialized requiring customers to buy from you.
|
Type | | Definition | Selling a product or service that requires specialized supplies to operate. | Value | Repeat customers who are locked into purchasing more. | Risk | A competitor begins to compete with you in providing supplies. | Related Techniques | |
Business Models
This is the complete list of articles we have written about business models.
If you enjoyed this page, please consider bookmarking Simplicable.
© 2010-2024 Simplicable. All Rights Reserved. Reproduction of materials found on this site, in any form, without explicit permission is prohibited.
View credits & copyrights or citation information for this page.
|
