2006-12-20 07:55:43 · 3 answers · asked by Joe_D 6 in Business & Finance ➔ Other - Business & Finance
It's general practice in marketing and pricing items.
That is why items are priced at $9.99 and gas is at $2.99 9/10.
Most people look at the dollars and not the cents with they look at prices. Since we all need gas (most anyways), I bet it is mostly tradition and habit that determines those prices.
For other items:
You see a $9.99 item and think $9.00 dollars, not $10.00.
The companies realize it and use it to their advantage.
Something of interest, they actually price their items cheaper to make much more money, they could have just as easily charged $10.00, but they take the $0.01 hit and sell millions more items.
2006-12-20 08:08:04 · answer #1 · answered by Marcus S 3 · 0⤊ 0⤋
It's just a ploy to make gas look cheaper. They do the same kind of thing with cars and other high priced items.
Why pay $3.20 when you can pay $3.19 9/10? it seems stupid, but it works.
On the same note, why buy a car for $20000, when you can get it for $19999?
2006-12-20 08:01:07 · answer #2 · answered by answerman 4 · 0⤊ 0⤋
Because that is what they charge. Customers dont think about it, but add it up by the billions of gl of gas, they make alot of money from it.
2006-12-20 08:00:10 · answer #3 · answered by Anonymous · 0⤊ 0⤋