The Evils of Loss Leader Marketing
The worst thing about this strategy is its mis-use by unethical people who take the loss on any reasonably priced service and exploit it for ill gotten gain. let me illustrate what I mean so you can be on the lookout for it.
1. I offer you A wood infestation report CL 100 for $25.00 when the going rate is from $75 to $150 and you fall for it.
2. I go out and do the service but then I come back with the report and there are problems!
3. I now offer to sell you a $3500 Encapsulated Crawl Space when your wood moisture is only 16-18 percent which is about normal but not High.
4. By the way you have termites and it will cost you $850 to treat the termites and $250 per year to keep the warranty.
5. Oh you also have some surface mold in the crawl space and we need to Remediate that also for $6000.
Now the sad part is that you needed none of these things at all, Just a CL 100.
The Loss they took on the CL 100 cost you $10,350 off the top of you selling your house! This is why I will not participate in this practice. I believe I will just do what is right and let people wise up to these practices.
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