Incorporate pricing psychology into the marketing mix to drive sales

New Ideas in MarketingEssential news for marketers, summarised by YouGov
November 16, 2021, 1:19 PM UTC

In odd-even pricing, products ending with odd numbers sell more frequently than products with even numbers.

Pricing psychology could be used as a marketing strategy by businesses to influence customers’ buying decisions to drive sales. Different psychological pricing strategies include charm pricing and odd-even pricing, selling at the MSRP, artificial time constraints, and more.

Charm pricing is a strategy of making a product appear more affordable by deducting one cent from the rounded amount. Selling the items at the manufacturer’s suggested retail price (MSRP), creating artificial constraints like flash sales, low inventory, and more can further help brands boost sales.

Use innumeracy to project a product's value more than its worth. For example, offering 50% off for buying two items. To further drive purchases, bundle complementary products at flat rates and reduce the price by removing unnecessary zeros and decimal points.

Discover the top organisations in your market and industry that have customers buzzing using YouGov BrandRankings

Read the original article

[9 minute read]