Sales Development

Loss Leader

What is a Loss Leader?

A loss leader is a product that is sold at a low price in order to attract customers and increase sales of other products. A loss leader is a product that is sold at a low price in order to attract customers and increase sales of other products. In other words, it’s a cheap item that entices people to buy more expensive things. Loss leaders are often found in supermarkets, where shoppers might be tempted by a cheap bottle of wine or a discounted chicken before filling their trolleys with the rest of their weekly shop. But retailers need to be careful not to lose money on the deal, so they’ll only offer loss leaders on items that they know they can sell at a higher margin later on.

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