12 replies to this topic

[D.L.]

Last night I noticed a sign outside of the Hudson building advertising price discounts of up to $189,900 on the remaining unsold units. That's a lot of money, but it made me wonder, why that number? Why not $190,000? I had always thought that retailers gave prices ending in nines, like $2.99 and $89.90, to make the price seem better because the non-decimal part of the price is a lower number, and a one or 10 cent lowering of the price makes little difference to them, especially if it leads to increased sales. (I have always felt this kind of pricing was an insult to my intelligence as a customer, but I digress.)

But when it comes to giving a discount to the customer why use the same strategy? Why use a strategy that makes the price seem less, wouldn't you want the number to seem as large as possible when offering a discount? Doesn't a $190,000 discount seem better than a $189,900 discount? Surely whoever is offering this discount can afford to offer the extra $100 as it is 1/20th of a percent of the full discount amount.

I've seen this done before with discounts on other products, but does anyone know why?

[sebberry]

Because it gets people talking, just like this thread

[Bingo]

Because it gets people talking, just like this thread

Gas is the same way, and it's because it is easier and less confusing to read a nine than a zero.

[Hotel Mike]

That's a good point Bingo about a nine being easier to read than a zero.

[Mike K.]

It must be the line of thinking. A discount should always appear larger, but a price should appear smaller. I'd chalk this up to a mistake, or rather, falling into the same mindset as applies to setting prices on goods.

If you look at auto makers they price vehicles with 9's but offer discounts with 0's. Retailers often apply percentage discounts also with 0's but tack on interest with 9's.

[VicHockeyFan]

It must be the line of thinking. A discount should always appear larger, but a price should appear smaller. I'd chalk this up to a mistake, or rather, falling into the same mindset as applies to setting prices on goods.

If you look at auto makers they price vehicles with 9's but offer discounts with 0's. Retailers often apply percentage discounts also with 0's but tack on interest with 9's.

Yup, that's what I thought when I saw the signs too.

[MarkoJ]

Funny how psychology works in purchasing behavior. I remember reading a study a few years ago done by a magazine - can't remember exactly which one, might have been Time but can't find the study on Google...it was something along the lines

One year they offered the following.

Print Version - $60
Online Version - $60
Print & Online - $80

and the large majority went with Print Version only.

The next year they offered the following:

Print Version - $60
Online Version - $80
Print & Online - $80

and the large majority went with Print & Online.

[MarkoJ]

What is the discount based off? Units there were originally perhaps listed too high and didn't sell? Bear Mountain was running similar discounts..."save $500,000 on this condo."

[Bingo]

I wonder if this man got a "discount" on one of the units?



December 9, 2011

A 24 year old Victoria man has a court date Friday after being arrested in connection to two drug raids last night.


The man was arrested in the Hudson Building on Fisgard Street where police found a cache of weapons.
Five firearms were found at the residence, two of which were fully automatic with silencers.

http://www.cfax1070....news&Itemid=155

[VicHockeyFan]

I wonder if this man got a "discount" on one of the units?



December 9, 2011

A 24 year old Victoria man has a court date Friday after being arrested in connection to two drug raids last night.


The man was arrested in the Hudson Building on Fisgard Street where police found a cache of weapons.
Five firearms were found at the residence, two of which were fully automatic with silencers.

http://www.cfax1070....news&Itemid=155

Again, I don't want to look like I know too much about drug dealers, but 98% of them do not own their home, they are renters that pay in cash.

[Mike K.]

Meanwhile the NDP is trying to tell us "the gun registry works."

[Phil McAvity]

I wonder if this man got a "discount" on one of the units?



December 9, 2011

A 24 year old Victoria man has a court date Friday after being arrested in connection to two drug raids last night.


The man was arrested in the Hudson Building on Fisgard Street where police found a cache of weapons.
Five firearms were found at the residence, two of which were fully automatic with silencers.

http://www.cfax1070....news&Itemid=155

At least this guy's considerate enough to put silencers on his guns. If there's one thing I hate, it's loud guns.

[sebberry]

A silencer would be a reasonable compromise.