Lucy buys a new dress at T.J. Maxx that has a price tag with "Compare at $150.00, our Price $89.99." This is an example of the use of:
A) bundle pricing.
B) cumulative discounts.
C) seasonal discounts.
D) base-point pricing.
E) reference pricing.

Question

Quizplus · Accepted Answer

Reference pricing is a strategy where a retailer shows a higher "compare at" price alongside their lower price to suggest a bargain or value to the consumer.

Lucy Buys a New Dress at T