Use psychological pricing tactics (e.g., charm pricing) to influence perceptions
In-Store
Using psychological pricing tactics, like charm pricing (e.g., pricing something at $9.99 instead of $10), can make customers perceive prices as lower than they are. It’s effective for boosting sales but may make people think you’re trying to trick them.
Tools
| Name | Description | Pricing | Ease of Use |
|---|---|---|---|
| Price Intelligently | Price Intelligently is a leading pricing optimization tool designed t… |
Paid Only
|
Moderate
|
| Price2Spy | Price2Spy is a robust price monitoring and comparison tool designed f… |
Paid Only
|
Moderate
|
| Prisync | Prisync is a dynamic pricing software that aids marketing professiona… |
Paid Only
|
Moderate
|
Objectives
| Name | Description |
|---|---|
| Customer Acquisition | Customer Acquisition is the process of attracting and converting new … |
| Engagement | Engagement in marketing refers to the interactions between a brand an… |
| Sales | The marketing objective 'Sales' focuses on increasing revenue through… |
| Trust and Loyalty | Trust and loyalty are crucial marketing objectives that underpin long… |
Demographics
| Name | Description |
|---|---|
| Gen Z | Generation Z, born between 1997 and 2012, is a cohort characterized b… |
| Low-Income Earners | **Professional Description for 'Low-Income Earners'** Low-income ear… |
| Middle-Income Earners | Middle-Income Earners represent a crucial segment of the consumer mar… |
| Millennials | Millennials, or Generation Y, are individuals born between 1981 and 1… |
| Students | Students are a vibrant and evolving demographic, primarily aged 16-24… |
Promotes
| Name | Description |
|---|---|
| Service | The 'Service' is an innovative solution tailored to address current c… |
| Training Course | The Training Course is an educational program aimed at enhancing prof… |
Sectors
| Name | Description |
|---|---|
| Arts and Entertainment | The Arts and Entertainment sector is a dynamic industry encompassing … |
| Food and Beverage | The Food and Beverage sector is a vital part of the global economy, e… |
| Hospitality and Leisure | The Hospitality and Leisure sector encompasses hotels, restaurants, t… |
| Retail | The Retail sector is a dynamic industry focused on the sale of goods … |
Strategy
| Name | Description |
|---|---|
| Customer Acquisition Strategies | Attracting new customers involves various tactics like ads, social me… |
| Customer Retention Strategies | Keeping customers loyal involves personalized communication, rewards,… |
| Digital Marketing Strategies | Using online channels to reach customers can boost your visibility an… |
| Pricing Strategies | Setting the right price involves balancing profitability and customer… |
Sub-strategy
| Name | Description |
|---|---|
| Competitive Pricing Strategy | Setting prices based on what competitors charge to attract customers … |
| Discount and Promotional Pricing Strategy | Offering temporary price reductions to boost sales and attract custom… |
| Value-Based Pricing Strategy | Setting prices based on the perceived value to the customer rather th… |
Technologies
| Name | Description |
|---|---|
| Ecommerce Platforms & Marketplaces |
Channel
| Name | Description |
|---|---|
| In-Store | In-Store marketing involves promoting products or services directly w… |
Sub-channel
| Name | Description |
|---|---|
| Catalogues | Catalogs are a tangible form of advertising sent directly to consumer… |
| Flyers | Flyers are an efficient and low-cost way to reach a local audience. Y… |
| In-Store Promotions | In-store promotions are a traditional way to boost sales and brand aw… |
| Point-of-Sale (POS) Displays | Point-of-Sale (POS) Displays catch customers' attention right at the … |
| Sampling Events | Sampling events are all about giving people a chance to try your prod… |
Quick Facts
Channel
In-Store
Advertising Type
Display
Difficulty Level
Intermediate
Estimated Cost
Medium
Time to Impact
Short (Weeks)
Tags
B2C
Paid
Pros
- Effectiveness in Boosting Sales: This tactic can increase sales by making prices appear more attractive and affordable to customers.
- Customer Perception: It can create a perception of value and deal, encouraging impulse buying.
- Easy Implementation: Simple to implement with minimal adjustments needed to your pricing strategy.
- Flexibility Across Products: Can be used for both low-value and high-value items effectively.
- Psychological Impact: Takes advantage of how the human brain processes numbers, leading to a higher likelihood of purchase.
- Competitive Edge: Can give your business a competitive edge by making your prices seem lower than competitors’.
- Broad Applicability: Suitable for various industries, from retail to services, making it a versatile pricing strategy.
Cons
- Customer Distrust: Overuse may lead to customer skepticism and distrust of your pricing methods.
- Perceived Devaluation: May make some products seem lower in quality or cheap if used excessively.
- Ineffectiveness Over Time: Customers might become immune to such tactics if they become too common.
- Limited Impact on High-Involvement Purchases: Not as effective for high-value, high-involvement purchases like real estate or luxury goods.
- Potential Brand Damage: Could damage brand reputation if perceived as manipulative.
- Regulation Issues: Some jurisdictions may have regulations against deceptive pricing strategies.
- Cognitive Load: Can backfire if customers feel overwhelmed by too many ‘trick’ prices.