OnDemand WTP Pricing Research

Pricer’s Points: The Power of Psychological Pricing | Rodger Buyvoets

My last article was on various persuasion strategies and how to influence your shoppers. One of the most influential elements in persuading your customers is through pricing. This varies per culture, but I’ll describe one of the most used strategies to increase (online) sales from a behavioural economic perspective. There are hundreds of different pricing strategies. These examples are the most common and effective:

99-cent pricing hooks shoppers

Only $9.99? I’ll take it! But at $10, forget about it! And that, researchers say, explains why so many goods and services have prices ending in .99

Ever notice the difference in font size between the dollars and cents on the billboards promoting Burger King’s new meal deal? That “.99” is tucked up in the corner in a tiny font in order to make you forget it even exists. Even if you do notice it, your eyes will fixate on the bigger number, and you will use that as the reference when comparing its value.

Read complete blog here:

The Power of Psychological pricing.

Rodger Buyvoets

Co-founder Sagent | CEO