The Science Of Pricing [Pic]

Submitted by: kitteh9lives 3 years ago

Going to buy something expensive? Think about these points first.
There are 17 comments:
Male 710
Why have I always seemed like the only person to see through these kinds of marketing scams? Hell, I always round prices up, anyway. $49.95 is $50. Why don`t they just price it at $50 to begin with? Is anyone really stupid enough to think that there`s enough difference between the two to buy a product at $49.95, but not buy it at $50?
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Male 315
If you go from 100 % (original) to 800 %, it`s a 700 % increase.
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Male 2,711
@Nomud
The flaw in your logic is that by using only the free service, Yahoo didn`t lose anything when you left. This graphic is showing that even though most of their free "customers" won`t pay to upgrade, enough of them will to make it the more profitable move.
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Male 102
>Get rid of the free plan

My favorite example of why this is bullsh*t: Yahoo used to offer POP3 support for their email. Suddenly they no longer offered such support and wanted to charge a subscription for it! This was around when Gmail first came out, so guess where I went after Yahoo pulled that!

If you already have a free service, at the very least don`t screw over your existing customers. While sure, you have every right to revoke a complimentary service, it`s a major d*ck move and it`s only going to piss off any loyal customers you might have had otherwise.
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Male 1,745
I hate these friggin people that study this poo and try to manipulate a couple extra dollars or cents out of me. Just price the thing at what it costs plus a reasonable profit. This is why my impulse buying is zero, and I avoid everything where the margin is absurd, starbucks coffee - a cup of coffee is not drating 5 dollars, ever.
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Female 1,516
As someone who works in marketing, I found this very helpful. Thanks!
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Male 36,400
@AvatarJohn: That`s 100% accurate!

White House Pricing:
Plan to spend 1 billion on some useless program.
"Cut" the program by 20%
Claim to have SAVED $200,000,000!!
Get re-elected
Re-fund the useless program when no one is looking...

Obama`s entire administration has worked this way since Day 1, but the Repubs do it too... "let me be clear about that" as BHO is fond of saying...
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Male 683
Where them bar prices at?
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Male 2,027
@AvatarJohn, I think you have amused me. Good one. I am starting my business to sell to the govt.
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Male 1,059
Tip for selling to the government: Set up a yearly subscription or service that increases by 12% every year. Whenever "cuts" happen, only increase your price by 6% that year and complain loudly that they are forcing you to cut your price by 6%. Then substitute a lower-quality product or service or cut features and blame it on Republicans for forcing "sequester cuts". It helps if you can somehow kill children, old people or people with cancer and also blame the "cuts" for those deaths.
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Male 2,096
I just buy the cheap beer. The toilet doesn`t know the difference.
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Male 36,400
It`s true: there`s 100s of ways to "trick" the public into thinking they`re getting a good deal!

This subject has been studied extensively! I cannot quibble with any of the data presented here.

Cool!
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Male 255
What about gas prices with their 9/10th of a penny?
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Male 14,330
God I hate that $4.99 crap just round the friggen price up FFS!!
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Female 676
My conclusion from this? People are drating gullible.
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Male 37,888

I beleive most people don`t look into pricing that much. They just get what they get.

Me, I`m the tight fisted cheepo who can make a nickel last a week. It`s kind of a game, a puzzle to get the most from the least. Research pricing via web, circular ads, coupons, double-coupon days... but ONLY buy it if A: you actually eat/use that thing and B: if it`s on sale.

Never pay retail!
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Female 8,044
Link: The Science Of Pricing [Pic] [Rate Link] - Going to buy something expensive? Think about these points first.
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