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Does $1 really make a difference to buyers?

by CyberAlien
3 replies
I just wanted to take a quick poll to see how many warriors think that buyers would consider a $1 difference in pricing a big deal.

For example, if something was priced for $8 instead of $7, do you think that could scare buyers away?

I've always just used the philosophy that if they are willing to pay $7 for something, then $8 shouldn't be a big deal.

I know that this is a bit open ended because it can slightly depend on the product or service being offered but wanted to hear everyone's opinion.
#buyers #difference #make
  • Profile picture of the author rich8169
    I think this is a question related to mental price barrier. Recently I've read a blog about this topic and like it share it out here:

    Internet Marketing 101: Mental Price Barriers

    Hope that it helps.

    Cheers!
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  • Profile picture of the author CDarklock
    Originally Posted by Chase Watts View Post

    For example, if something was priced for $8 instead of $7, do you think that could scare buyers away?
    Yes. People like 7s.

    They don't care about the dollar, though. You could probably sell just as many of the same thing at $17.
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    "The Golden Town is the Golden Town no longer. They have sold their pillars for brass and their temples for money, they have made coins out of their golden doors. It is become a dark town full of trouble, there is no ease in its streets, beauty has left it and the old songs are gone." - Lord Dunsany, The Messengers
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  • Profile picture of the author ronrule
    I've actually A/B tested this, not to get the exact answer you're looking for but to see if an "uncommon" number had an effect on the results.

    In my test, we actually got more sales at $18 and $22 than at $19.99, and more sales at $9 or $11 than $9.99 or $10. $50 seemed to be the limit though... huge difference metrics-wise favoring $47 over $50.

    I'm sure there's some psychological reason for this that I'm too lazy to study further, but it seems to me there is more to be said for the uniqueness of the price than the price itself. Maybe people are so used to seeing $X.99 that whole numbers throw them off somehow?
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    Ron Rule
    http://ronrule.com

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