Which term describes an item sold at a loss to attract customers?

The term that describes an item sold at a loss to attract customers is a "loss leader." This marketing strategy involves pricing certain products lower than their usual cost, with the intention of drawing customers into a store or onto a website. The idea is that while the retailer may incur a loss on the loss leader item, the increased foot traffic or online visits may lead to the sale of other full-priced items, ultimately contributing to overall profits.

Retailers often use loss leaders to entice price-sensitive consumers who might spend additional money on other products once they are in the store. This tactic aims to build customer loyalty and increase market share by making the retailer’s offerings more attractive. As for the other terms, while promotional items and value deals focus on perceived savings, they do not specifically indicate items sold at a loss. Clearance items often reflect an effort to sell through excess stock, rather than a strategy to draw customers by selling at a loss.