Comments on: The Psychology of Pricing http://www.schaefersblog.com/the-psychology-of-pricing/ A Generalist in a World of Specialists Sun, 05 Feb 2012 04:27:38 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Matthew Maier http://www.schaefersblog.com/the-psychology-of-pricing/comment-page-1/#comment-17409 Matthew Maier Thu, 15 Oct 2009 22:41:56 +0000 http://www.schaefersblog.com/?p=879#comment-17409 Yeah. . .I get a little depressed every time I am reminded that people are so bad at decision making that something as simple as the presence or absence of a "$" is statistically significant. The last example I heard for the phenomenon described used a funeral home. They would put a cardboard (seriously) coffin at one end of the room, and a blinged-out gold coffin at the other end, and the one they actually wanted you to buy in the middle. No one ever bought either of the two extremes (ever), but their mere presence greatly increased sales of the regular coffin over presenting the regular coffin on its own. Yeah. . .I get a little depressed every time I am reminded that people are so bad at decision making that something as simple as the presence or absence of a “$” is statistically significant.

The last example I heard for the phenomenon described used a funeral home. They would put a cardboard (seriously) coffin at one end of the room, and a blinged-out gold coffin at the other end, and the one they actually wanted you to buy in the middle. No one ever bought either of the two extremes (ever), but their mere presence greatly increased sales of the regular coffin over presenting the regular coffin on its own.

]]> By: Cameron Schaefer http://www.schaefersblog.com/the-psychology-of-pricing/comment-page-1/#comment-17327 Cameron Schaefer Fri, 18 Sep 2009 08:21:44 +0000 http://www.schaefersblog.com/?p=879#comment-17327 @Akshay, spoken like a true disciple of Seneca - if only we valued our time like we value our money @Akshay,

spoken like a true disciple of Seneca – if only we valued our time like we value our money

]]> By: Akshay Kapur http://www.schaefersblog.com/the-psychology-of-pricing/comment-page-1/#comment-17324 Akshay Kapur Fri, 18 Sep 2009 00:18:02 +0000 http://www.schaefersblog.com/?p=879#comment-17324 The world starts looking very different once you see the psycho-social priming going on around you. Whether restaurants, supermarkets, media or business in general, the supply/demand dynamic exists everywhere. What I always find interesting is consumers don't necessarily view themselves as being in a constant business transaction whereas that's all businesses think about. I'm not talking morality or ethics here, it's all fair. We should simply be more attentive as consumers and employees that what we choose to spend our time and effort on is as much a trade in currency as with money itself. The world starts looking very different once you see the psycho-social priming going on around you. Whether restaurants, supermarkets, media or business in general, the supply/demand dynamic exists everywhere.

What I always find interesting is consumers don’t necessarily view themselves as being in a constant business transaction whereas that’s all businesses think about. I’m not talking morality or ethics here, it’s all fair.

We should simply be more attentive as consumers and employees that what we choose to spend our time and effort on is as much a trade in currency as with money itself.

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