How can you use psychology to price your products?

It seems cheaper due to numbers being read from left to right. Seeing a '1' at the beginning instead of a '2' is where the psychology (charm) comes in to play.

Here's my POV on using psychology to price your products: * Understand the perceived value your customers place on your product. ?? * Leverage the anchoring effect by displaying a higher-priced option first. ??? * Consider using charm pricing, such as pricing at $9.99 instead of $10.00. ?? * Implement tiered pricing ??? * Use scarcity and urgency to increase perceived value and demand for your product. ? * Offer a free or low-cost trial period . ?? * Use social proof, such as customer reviews or testimonials, to reinforce the value of your product. ?? * Highlight the benefits and features of your product to justify the price. ?? * Be transparent and don't hide additional costs, such as taxes or shipping fees. ??♂?

If possible, offer a choice between 2 good offers each of which has a distinct advantage. Feel free to contrast it to the bland basic price. If not possible, try if you cannot fake a second alternative that just sounds plausible enough.

The customer likes to compare the prices, it's not only among competitors, but also among the offer options which are provided by one business, what I like to do is to put a second line or third line for them to compare, people like to have more choices, do they? And so do we, if we compare our own, we can foresee what the customer's expectation is. Furthermore different customers have different needs, from the psychology of thinking and feeling, more options means the customers have to think hard and take longer time within your business instead of focusing on others, this kind of effort spent makes the customers more likely to stay where they're already spent on, rather than abandon their effort and turn to others.

I like to use the 7 especially instead of the 9, to avoid the impression of being a vendor of cheap mass products. I agree that a 7 seems more realistic too, like you actually calculated it. Also, I like the 2 - I would sometimes rather price something at 102 than 99 to give the impression that I did not care at all for the numbers but priced it just at its value, or to maintain that my product is of a quality "just not to be had under 100$". And the extra 3$ are always welcome.

People HATE making bad decisions. So anything you can do to build their confidence will help you with the sale. Testimonials, reviews, case studies, guarantees, etc., can all help build trust for your buyers. Text is great, but images and video content are even better.

The price is a "promise" already. A price similar to a comparable product/service with big market share and/or high ratings will convey a message all by itself. A price considerably lower than all competitors' will do so too, unless you explain clearly and instantly why you price it so low - especially if you have good reviews and all sorts of guarantees.

Apple is the king of price strategy. They use anchoring in their pricing strategy by offering a range of products at various price points, creating an anchor at the high end to make other prices seem reasonable. They employ tiered pricing, psychological pricing (.99 or .95), and promote trade-in programs to influence consumers' perception of affordability. Their premium brand image also reinforces the anchoring effect, justifying higher prices for their products.