The companion site for the book Life's Little Mysteries: Answers to Fascinating Questions About the World Around You
has a short post summarizing why most prices end with .99. Of course, there's the obvious "psychological pricing" reason that when a shopper sees something that costs $5.99, the .99 is subconsciously ignored, making the item much more attractively priced than if it was $6. But more intriguing is this bit summarized from a 2003 Harvard Business Review article titled "Mind Your Pricing Cues
" (PDF). From Life's Little Mysteries:
"Some retailers do reserve prices that end in 9 for their discounted items. Comparisons of prices at major department stores reveal that this is common, particularly for apparel," wrote Eric Anderson, professor of marketing at Northwestern University's Kellogg School of Management, and Duncan Simester, professor of management science at M.I.T.'s Sloan School of Management, in their article.
For instance, the clothing stores J. Crew and Ralph Lauren typically price regular merchandise in whole dollar amounts and stick 99-cent endings on discounted items. These retailers purposely avoid ending their regular prices in .99 so that consumers won't associate the items with cheap deals. By contrast, stores attempting to project an image of selling underpriced goods will make it a point to end all their items' tags – regularly priced and discounted alike – in .99.
"Why Do Most Prices End in .99?
" (Life's Little Mysteries)
I asked Amy Parness, the co-founder of Sparkle Labs, maker of fantastic educational electronics kits, to write a Medium post about gender and the business of being a maker business person. Her terrific essay calls out the problems with “pink girly engineering kits.” From Medium:
Zero UI is the new term for “invisible interfaces”—what happens in the future when all the clicking and tapping and typing is history: “If you look at the history of computing, starting with the jacquard loom in 1801, humans have always had to interact with machines in a really abstract, complex way.” [Fast Company]
CEO Dick Costolo will resign, to be replaced in the interim by Jack Dorsey
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Watching Netflix, Hulu or other streaming services can unfortunately be difficult while traveling outside the US. Rather than bypass these restrictions with the help of a complex and slow VPN, choose a faster and simpler solution with Getflix. Instead of rerouting all your Internet traffic through a different server, this handy service only routes the […]
Shake, stir, and muddle your way to delicious homemade cocktails with this must-have bar set. Expect only the finest quality tools from MakersKit — enabling you to unleash your inner mixologist.Top 12 Favorite Things of 2014, Sunset MagazineQuart-size vintage-style Mason jar shakerRetro double jigger for accurate measurementsStrainer & spouts for a mixologist-style smooth pourHardwood muddler […]