2006-11-11 17:42:43 · 6 answers · asked by Gerald L 1 in Consumer Electronics ➔ TVs
2 reasons
1) It sounds cheaper than $10
2) The keystrokes for registering the item are less likely to be wrong.
A study showed shopp assistants made more mistakes with "round" numbers.
2006-11-11 17:47:02 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Everybody has a $10 bill to throw down, but for some reason, $9.95 seems like a higher amount. To prove this I sold portraits in the Melvin/Simon Malls of America. I had coupons that were labled $5 and others labled $4.95...Oddly enough, more people bought the $5 coupons. Silly but true. As an additional test, We gave the customers a Red Ink Pen to sign the coupon and a lot of them froze just before signing. When given a pen with Blue Ink, they immediately followed thru on signing the coupon. In their head they know that when it comes to their check book, they dont like seeing Red because it meant that they were in the hole. Crazy huh? lol Larry
2006-11-12 01:53:08 · answer #2 · answered by dumbbutt4321 4 · 0⤊ 0⤋
It is a tricky price. When you look at it looks like it is not a big deal it is not so expesive. But when you add one more cent, the reality kicks in. It is a nice and sneaky way of saying that we want you to buy this product even if it is a bit expensive. It is very psychological. Try it one day yourself. If you see a TV being sold for $499.99, your subconsciousness analyzes the numbers and it does not seem so big. But if you see a TV being sold for $502.99 then your subconsciousness is aware of the big numbers. Another example. If you are buying a home for $999,999, then it seems like not a big deal. Your brain will see only 6 numbers. But if you see that the home is 1000,000, then your brain looks at the big number of digits and realizes it that it is a quite a bit of money. However, the real difference in the price is only by a dollar.
2006-11-12 01:50:24 · answer #3 · answered by shkabaj 3 · 0⤊ 0⤋
Because 9.99 is one cent cheaper then 10.00 and therefore seems smaller. Funny how people think they're saving money huh? They do it with car ads too. 16,999.00 appears much cheaper then 17,000.00.
2006-11-12 01:50:06 · answer #4 · answered by dancerinthedark 1 · 0⤊ 0⤋
If you had to choose between 2 identical products, one costing 9.99 and one costing 10, which would you choose? ;)
2006-11-12 01:46:30 · answer #5 · answered by DarkChoco 4 · 0⤊ 0⤋
Because that is the way it is with pricing.
2006-11-12 05:05:21 · answer #6 · answered by frankmilano610 6 · 0⤊ 0⤋