Ever wondered why do so many price tags end in 999?
Keywords: technothrow, price tags, 999rs, end
Hello Friends,
Prices like this are often known as charm prices, odd prices or magic prices or psychological pricing.
Have you ever noticed how many retailers or malls have price tags either proportionately close to the nearest big figure like Rs 495 or just a rupee less like Rs 499.
Have you ever wonder why these price tags end with 999 or 99 or even 9?
It may seem silly to price items one Rs short of a solid Rs.
There are Two main reasons for keeping prices ending with 9
First One
Ending a price in .99 is based on the theory that, because we read from left to right, the first digit of the price resonates with us the most. That's why shoppers are more likely to buy a product for Rs8999 than an identical one for 9000 the item that starts with an 8 just seems like a better deal than the one that starts with 9.
It also tends to attempt to reduce the amount of effort expended on making product decisions, especially with lower-cost items
Second One
It’s a scam literally I am telling you this is a scam.
Whenever we pay 9000 for 8999 or suppose 1000 for 999Rs we don’t take back the change 1Rs and here is the thing, That one (Say Rupee) goes untaxed and unaccounted.
Now Suppose in a supermarket or at retailer 100 customers buy a product and pays 1000 instead of 999 they get 100 Rupees of unaccounted and untaxed money.
Now do some calculation
For 1 day = 100Rs untaxed money
For 1 month = 30days x 100 = 3000Rs
For 1 Year = 365days x 100 = 36500Rs of untaxed money
This is only for one shop
Now think about Big malls like D-mart or similar or if a chain of 1000 supermarkets it sum-ups 3,65,00000Rs of untaxed money.
If you like this post please share this on facebook, google, linkedin whatever you prefer and bookmark our blog
