Anyone got any ideas?
Have you noticed how so many prices in offline shops end in ninety-nine? |
In the UK you might see a product for so many pounds... and ninety-nine pence.
In the US, likewise, you might see so many dollars... and ninety-nine cents.
I wouldn't be surprised if it's the same all over the world.
Why do you suppose that is?
Apparently, according to research (don't ask me whose), people have a natural tendency to round down the price of an item... especially if it's an item they want.
I know this to be true as I've seen many friends and family members do this.
They'd see a product priced at £29.99 and immediately say something like, "Oh, look, it's only £29″.
Being the logical (boring - when it comes to prices, anyway) thinker, I always correct them saying something like, "No it's not, it's one pence short of £30, which make it £30″.
They think by rounding the price down they're getting the item at a knock-down price.
Psychologists seem to think people also like the fact they get change when they buy something with such a price tag... personally I think that's a load of rubbish, the type psychologists commonly spout.
Another reason is, one that may make some sense, is that the price ending in the number nine makes it more attractive somehow.
(Don't ask me how that makes sense - it just does to me).
Possibly the best reason for ending the price like this is that it makes it possible to give the impression the item is cheap by saying things like...
Of course, the fact the car is $9,999 doesn't matter as the seller isn't lying.
And, just by saying the car is 'Under $10,000′, they lure the customers in.
Of course, that doesn't always work... I know personally... as the customer can get a bit ticked off at the feeling of being 'duped'.
The question now is, if the use of ninety-nine works in offline businesses, why are online products always ending in seven?
Check out almost any product and you can be almost certain it will cost anything from $7 to $97... to $2997.
Why is that?
And why does it work?