Why the prices are like $99 , $999 ?

When I worked in retaill 20 years ago, the manager used to put prices ending .99 or .98 so when customers paid with £1 coin or with a note he could give back small change which meant less hassle when counting up at the end, as the majority of the takings was in larger coins/notes.

But from a marketing/psychology point of view there are many theories and research.

A popular one I've found is people perceive a high price as having more value.
So if your trying to show your higher quality then increase your price.

onlinemarketer12 said:

Maybe in the past but now buyers are smart.

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It has nothing to do with smartness. Think about a situation, I most likely you know what clickbait is, probably you use it daily.
Suppose you see a clickbait title in your research, you know it's clickbait, you even know it's pointing you to a shitty fake news website that you've seen in the past.
Your brain is like:
"I know you, I hate you, you're just shitty clickbait"

but at the same time there's another thought coming out:

"Wtf they want to say with this title, this can't be.. Could it be that I'm wrong and that's not fake news?!"

...and you CLICK!

I know many of you had this happen, and it's all ok with your brain, you're just being manipulated.
This situation is very similar with the prices, your brain makes you click / look / read / buy / whatever , even when you know it's a lie.

Larry Igna said:

I know many of you had this happen, and it's all ok with your brain, you're just being manipulated.
This situation is very similar with the prices, your brain makes you click / look / read / buy / whatever , even when you know it's a lie.

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If I come across a site like that I automatically add that site to a blocked list so I never visit it again, the same with stupid newspaper or magazine sites that put adverts over half the screen.

SamLewis
Jr. VIP
Joined Oct 25, 2012

SamLewis said:

When I worked in retaill 20 years ago...

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After 20 years of marketing and 8 years of BHW:

SamLewis said:

... I automatically add that site to a blocked list so I never visit it again.

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I would've been worried if you didn't block the site lol

Like $1.99 seems cheaper than $2, like its to make you feel its cheaper or something, I don't remember it exactly, but we had a lesson about this at school maaany years ago

Matta28 said:

Like $1.99 seems cheaper than $2, like its to make you feel its cheaper or something, I don't remember it exactly, but we had a lesson about this at school maaany years ago

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Then your school is very good because we never learnt this business tactics.