Whats the deal with stores selling their merchandise for $0.99, $1.99, $5.99 etc. Why don't they just even it out to a dollar, I mean its only 1 cent extra.
2006-11-24 06:12:34 · 20 answers · asked by david_r 2 in Business & Finance ➔ Other - Business & Finance
My wife likes to point out that something for $1.99 costs "a dollar." So it works on some people. She is from a foreign country though, so maybe it's that?
2006-11-24 06:16:01 · answer #1 · answered by Anonymous · 0⤊ 1⤋
The reason is that people think in terms of relative value. 99 cents IS less than 100 cents (unlike some answerer's who said 'seems like less') and people tend to look at only the first digit when making buying decisions. Sad but true, some are irresponsible with money, but they "pay the price."
2006-11-24 06:22:55 · answer #2 · answered by 1,1,2,3,3,4, 5,5,6,6,6, 8,8,8,10 6 · 0⤊ 0⤋
This is a marketing approach to increasing sales. If you market an item for 99 cents it does sound less expensive than the same product at $1.00. I know this sounds wierd but it works!
2006-11-24 06:27:50 · answer #3 · answered by Diaper Delivery Services 3 · 0⤊ 0⤋
It seems cheaper to us,but it is much better for them.The difference between 1 dollar and 0.99 cent is 1 cent.the stores sell hundred of things a day.if you get what i mean.1 cent * 1000............... equals a lot of money.
2006-11-24 06:23:11 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Because they believe, people would only see the whole numbers and ignore the fractions so 99 cents it's almost a dollar more for them.
99 cents also sounds less that $1.00. More people buy that way.
$19.99 +Tax = 20.05
2006-11-24 06:19:17 · answer #5 · answered by Kevin_Mart13 3 · 0⤊ 1⤋
The 99 cent thing allows for change (as in loose change), why complain, you pay less with taxes that way.
Yes, 99 cents also sounds less that $1.00. More people buy that way.
2006-11-24 06:16:26 · answer #6 · answered by DharmaAgent 2 · 0⤊ 0⤋
the international has come to that element in time the place i any intelligence that became into interior the gene pool has now evoporated and all persons are automaticly stupid (or a minimum of maximum human beings the human beings that understand issues like that are stupid nonetheless have some innovations cells left in there head the question is for a manner long??)
2016-12-10 15:07:09 · answer #7 · answered by Anonymous · 0⤊ 0⤋
they do it only to attract people more to the stores. If it was actually a dollar store, not that many people would believe it because they would think it's a rip-off or something.
2006-11-24 06:16:08 · answer #8 · answered by serenelady 1 · 0⤊ 0⤋
Because it sounds better to advertise something, for example, for "Under $100" when the price is $99.99, than to say "Only $100", because to some people, there's nothing "only" about $100. But "under" $100, well now, that's a deal!
2006-11-24 06:15:17 · answer #9 · answered by desiderio 5 · 1⤊ 0⤋
I thought the same thing .i think it is dumb. the $0.99 store just call it a dollar store
2006-11-24 09:02:32 · answer #10 · answered by Anonymous · 0⤊ 0⤋