Customers are irrational and I love it...
You owe it to yourself to get the book or audio book PREDICTABLY IRRATIONAL by Dan Ariely. He has done lots of testing to see how people behave and why.
For example: No surprise, but Free wins out over an outstanding deal that requires a small payment.
"If you recall, in one trial of one study we offered students a Lindt Truffle for 26 cents and a Hershey's Kiss for 1 cent and observed the buying behavior: 40 percent went with the truffle and 40 percent with the Kiss. When we dropped the price of both chocolates by just 1 cent, we observed that suddenly 90 percent of participants opted for the free Kiss, even though the relative price between the two was the same. We concluded that FREE! is indeed a very powerful force"
Price is just one irrational factor, he has many more. Very good reading for a marketer.
For example: No surprise, but Free wins out over an outstanding deal that requires a small payment.
"If you recall, in one trial of one study we offered students a Lindt Truffle for 26 cents and a Hershey's Kiss for 1 cent and observed the buying behavior: 40 percent went with the truffle and 40 percent with the Kiss. When we dropped the price of both chocolates by just 1 cent, we observed that suddenly 90 percent of participants opted for the free Kiss, even though the relative price between the two was the same. We concluded that FREE! is indeed a very powerful force"
Price is just one irrational factor, he has many more. Very good reading for a marketer.
Success consists of going from failure to failure without loss of enthusiasm. -Winston Churchill