Barter is a method of exchange in which goods are given away to customers without the transaction of actual money. In return, they provide something of value to the sponsoring organisation. The exchange does not have to show any direct connection and is valued differently by each party.
How they do it: In the 1990s, Lufthansa owned a costly retail space in New York which was unused. As they wouldn’t have been able to recover the costs with subleasing it, the company bartered and swapped the vacant real estate for airtime and paraffin.
How they do it: Procter and Gamble partnered up with TV networks and radio outlets in order to exchange sponsoring or funding for the production of the entertainment content, for visibility and advertisement opportunities for its products. Until today, P&G is engaged in this sector, via its subsidiary P&G Entertainment.
How they do it: The first foreign product to be sold in the USSR in 1972 was Pepsi. Under a Barter agreement, PepsiCo offered its Pepsi-Cola drink to the Soviet Union in return for exportation rights of Stolichnaya vodka to America, for which they were granted exclusive sales rights on the American market. This strategy also increased exposure of the Pepsi-Cola brand and availability of the product, especially in the USSR.
Top Industries
Below, the top industries for the pattern "Barter" are displayed, in order to get insights into how this pattern is applied across different industries. We've collected data from 3 firms using this pattern.
Below, the pattern "Barter" is analyzed based on co-occurrence, in order to get insights into how this business model pattern is applied in combination with other patterns within the firms we studied.
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