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What is Razor And Blades?

 , updated on December 06, 2016
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.
Overview: Razor And Blades
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.
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Razor And Blades
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A list of common business models.

Bricks And Clicks

A retailing strategy that combines physical locations with a strong ecommerce presence.

Complementary Goods

A definition of complementary goods with several examples.

Collective Business System

An organization that represents businesses or professionals that have something in common.

Product vs Service

The business difference between products and services.

Business Model Examples

A few examples of common business models.

Business Model Definition

The definition of business model.

Scalable Business Model

A definition of scalable business model with several examples.

Two-sided Market

A definition of two-sided market with examples.

Product Strategy

A checklist for developing a product strategy.

Pricing Strategy

An overview of common pricing strategies.

Product Value

A definition of product value with examples.

Premiumisation

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Product Demand

The basic types of product demand.

Marketing Myopia

A definition of marketing myopia with examples.

Product Extension

The definition of product extension with examples.

Product Market

An overview of product markets with examples.

Product Culture

An overview of product culture with examples.

Product Marketing

A guide to product marketing.

Product Features Examples

A list of common product features.

Product Planning

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Go-To-Market Strategy

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Product Metrics

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