If a marketer decides to price goods at odd-numbered dollar amounts to denote bargains,and at even-numbered amounts to denote quality,what is he or she using?
A) decoy pricing
B) price lining
C) two-part pricing
D) psychological pricing

Question

Quizplus · Accepted Answer

The marketer is using psychological pricing, which refers to the use of pricing techniques to influence consumers' perceptions about a product's price or value. In this case, odd-numbered dollar amounts denote bargains because they look more affordable or discounted, while even-numbered amounts suggest higher quality because they look more precise and established. This pricing strategy capitalizes on consumers' psychological tendencies to associate certain numbers with certain meanings or values, and can be effective in attracting or retaining customers.

If a Marketer Decides to Price Goods at Odd-Numbered Dollar