Pricing strategy is both an art and a science, a field in which companies draw complex maps that connect production cost, consumer expectations, and market dynamics. Although often considered a technical aspect of business, pricing strategies are steeped in psychology – a fact that many brands use to their advantage without the consumer being fully aware of it. The methodology a company chooses to price its products or services is not just a matter of numbers; it is a reflection of its position in the market, its long-term goals, and its understanding of consumer behavior.
One of the most intriguing concepts in this area is the anchor effect , which refers to the tendency of consumers to base their decisions on the first information they receive. For example, when a shopper sees an item initially labeled at a price of 100 euros and then encounters an offer for 70 euros, the second price seems even more attractive due to the initial reference. This phenomenon is not only used in the sale of products, but is also a powerful tool in the marketing of services, where comparisons are less obvious. Brands that know how to play on this effect can manipulate consumer perception of value, making even higher prices seem reasonable compared to a well-placed anchor.
It is estimated that the anchoring effect croatia telegram data influence purchasing decisions in up to 30-50% of cases.
The Decoy effect , on the other hand, involves the inclusion of a less attractive option, known as a "bait," which alters the perception of the other alternatives. By adding this third option, one of the two original options is perceived as more favorable in comparison. For example, if a company offers a basic plan and a premium plan, the introduction of a non-competitive intermediate plan can make the premium plan look more attractive. In essence, while the Decoy effect influences decisions by comparing several options, the Anchor effect relies on the influence of an initial reference point. Both are powerful tools in the field of marketing and sales, although they operate in different ways.
Psychological pricing is another mechanism that often goes unnoticed by the consumer.
Many companies opt for prices that end in 99 cents, creating the impression that a product is cheaper than it really is. For example, a price of 9.99 euros is perceived as significantly more affordable than one of 10 euros, even if the difference is minimal. This strategy is not simply a matter of marketing; it is a conscious manipulation of consumer psychology that influences their purchasing decision. In a world where consumers are inundated with options, even small details can make a big difference.