jsawgirl
|
All the answers are partly right, yes
when you see something for $10.00 you think 10 dollars
but
if it is marked $9.99 we tend to think of it as costing $9.
The majority of people will round a figure down instead of up when buying something. A car that is $23,895.00 although it is closer to 24K we will only concentrate on the 23K. |
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mttorley
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Its a psychological thing. A person would rather pay 19.99 instead of 20.00 whole dollars. it puts the brain into thinking that indeed its only in the 10 to 20 range, and not 20 to 30. Especially true if the next number adds a digit, like $999 to $1000. |
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SamSLP
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It makes it look cheaper. Even though we all know it's only one cents away from being $10, for example, it still makes us feel like we're getting a deal by seeing 9.99. It's all about the mind games!! :) |
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Alohanui
 |
Good question! We all get bugged about that one. But the
truth is $12.99 does sound cheaper than $13.00 and
$29.99 sounds cheaper than $30.00. |
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Knowledge
|
Because $399 is a nice way to say $400. |
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wkdwchofwest
|
because they can say sells for less than ten dollars |
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Joesy
 |
Actually - they say ending in 7 ... so for example 9.97 has a psychological buying factor to it.
So there ya go! |
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CFXCreative.com
|
This is actually a marketing practice called odd-number pricing or psychological pricing. As many other respondents mentioned, this is done to appeal at a psychological level to the consumer by making us feel as though the price of a product is less than it actually is.
There are actually many different styles and approaches to pricing. An interesting article on the various types of pricing can be found at: http://www.marketingteacher.com/Lessons/lesson_pricing.htm
Also, some more specific answers on odd pricing can be found on this page: http://answers.google.com/answers/threadview?id=461008
Good luck! |
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robert w
 |
it is a marketing ploy.
it allows you to lie to yourself.
you will gladly buy some thing at 9.99$ but hesitate at 10.01$ just the way it is. |
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emmettgolf
|
The subliminal message is that it's less than $10. Say 10 and say 9. 10 sounds bigger even though it's only 1 cent. |
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whoisWallyCarmichael.com
|
Yep, looks like you got your answer here. Also to find out if an item is actually on clearance the price will not end in .99. It will be 17.87 or something like that.
Go get a copy of "Get Clark Smart" by Clark Howard. He is a money saving expert and got rich before putting the book out.
Very interesting and useful stuff. |
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