What´s Odd-End Pricing?

Strange pricing is another pricing strategy that is being used by many retailers. Strange pricing is "lower than an integer because it is a universal practice to express prices" (Harris and Bray). In other words, it is a technique for project pricing that ends in 9 instead of using solid integer. Consumers are acknowledged as being susceptible to the illusion of price "(Huston and Kamdar, 1996) The fantasy of this price is that the price ends at .99 and the price is expected to drop, so many experts It is the illusion that consumers consider transactions.

For example, pricing ends at 99 instead of 00. According to Dibb and Simkin (2004), if the product is an exclusive product, it should not be odd and priced. For example, what do customers think if LV suddenly lowered prices to odd? They may think that the quality has declined. Brand pricing policy and its image are closely related. Therefore, LV does not use odd pricing. In addition, most other luxury brands follow the same approach.

According to the survey, shoppers are getting better at $ 4.00 at $ 3.95. Indeed, in these studies, odd-ending prices such as 5 and 9 are always above the price ending with even numbers. With pricing below 1 - 5 cents per dollar, it seems strange to think that customers' willingness to buy can be enhanced. Stores that use a discounted price strategy regularly sell goods at competitive keystone prices or MSRP prices. The discount price affects the entire business including dollar stores, big lots, home goods. Discount pricing is best for mass-produced companies, as mass purchases can get lower prices from suppliers

The low price of that day keeps the price of the product cheap. Strange pricing ends at a certain number of prices in order to influence the purchaser's price or perception of the product. If you are pricing based on tradition, you are customary pricing. Prestige pricing artificially sets the price at a high level to convey reputation and high quality images. Professional pricing refers to the cost set by a person with a high level of skill or experience in a particular field. The price leader's product price is lower than the normal price increase, close to the cost, or it is lower than the cost. Special event price is sales or reduction of advertisement related to holiday, season, or event. The discount is to set the price to a specific level and compare it to a higher price.