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Author Question: Why would you end a price in a 9 rather than a 1 or 3? What will be an ideal ... (Read 15 times)

rlane42

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on: Aug 10, 2018
Why would you end a price in a 9 rather than a 1 or 3?
 
  What will be an ideal response?

Question 2

Why is psychological pricing important in determining your selling price on menu?
 
  What will be an ideal response?


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matt95

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Reply #1 on: Aug 10, 2018
Answer to Question 1

Used primarily in fast food, ending in a 9 gives the restaurant maximum money in the selling price. With the customer being concerned with the left hand digit, .69 beings in more cash than .51 or .53.

Answer to Question 2

Through psychological pricing, the customer perceives a value. This method of pricing is prevalent in fast food but is also utilized in coffee shop pricing as well.


rlane42

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Reply #2 on: Aug 10, 2018
Thank you!


matt95

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Reply #3 on: Aug 10, 2018
Always glad to help...


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