"Psychological pricing" involves setting prices which end in certain numbers, while "odd-even pricing" is setting prices which have special appeal to target customers.

Question

Quizplus · Accepted Answer

Psychological pricing often involves odd-even pricing, where prices are set to end in an odd number, such as .99 or .95, to make them seem lower than they actually are, appealing to customers' perceptions rather than setting prices based on special appeal to target customers.

"Psychological Pricing" Involves Setting Prices Which End in Certain Numbers