Article: Stores fill the dish with add-on sales. (retailers of satellite television systems seek profits by selling related equipment)(includes related article on discount stores' marketing of satellite TV systems)

NEW YORK -- Retailers of satellite TV systems are combatting margin erosion by emphasizing sales of the total package: programming, large screen TVs, hi-fi VCRs and furniture.

Satellite TV systems -- the pizza-sized dishes that can deliver up to 200 channels of digital picture and sound -- had retail sales of $1 billion in 1995. Last year however, retail sales volume dropped to $750 million even as unit sales to dealers continued to grow reaching 3.31 million units in 1996 compared to 2.35 million in 1995. Fierce competition in the category has caused margin erosion, as average retail prices have dropped from about $700 a year ago to as low as $149 today.

...

Related newspaper, magazine, and journal articles:

Newsweek Harper's Magazine The Washington Post Chicago Tribune Crain's Chicago Business PRNewswire Pediatric News The Nation Advertising Age The Economist (US) A FREE trial gives you access to over 80 million articles! Access over 6,500 publications with a FREE trial!