A strategy where a core item is offered at a relatively low price, while complementary products or services essential for its use are priced higher, is a common approach in various industries. This practice aims to attract customers with an initial purchase and then generate profit from the ongoing requirement for related consumables or services. For example, a printer may be sold inexpensively, but the ink cartridges necessary for operation are priced considerably higher.
This tactic can maximize overall profitability and establish a recurring revenue stream. It allows businesses to recoup investments in research and development, manufacturing, and marketing. Historically, it has been employed in sectors ranging from shaving razors and blades to video game consoles and associated games, influencing consumer purchasing behavior and creating brand loyalty through dependence on specific accessories.
