It's $10, not $9.99, OK?
 

http://www.bankrate.com/nsc/news/advice/19990802a.asp

funny article

So true - the sad thing is sometimes the penny-dollar difference can make a difference in whether someone buys something or not.

Yep. The only reason things are the way they are is because people are stupid enough to let it work that way. Personally I agree with the article and feel that someone charging me $9.99 for something because it'll "make me believe" I'm spending only $9.00 is an insult to my intelligence, but business doesn't care about that. They'll insult 1,000 people to get that one or two extra sales from the idiots that drag the rest of us down.

I think I remember that it was J.C.Penny or Sears that started that nonsense.

What about gas prices... $2.15 + $.009 Who came up with the 9/10 of a penny stuff anyway?

Those tenth of cents add up...see the movie Office Space.

There's actually a Congressionally-created 1/10 of one cent called a "mill" that is legal currency (it's recognized under U.S. law), although the U.S. Treasury department has never minted a coin for one.

My grandfather was an ad man and dabbled (sucessfully) in mail order. He would advertise the same product in different markets at different prices. Due to the "ring" of certain numbers, he many times sold the product at a much higher figure. He just kept testing until he found the sweet spot. He found some real dead spots as well. For instance, I think I remember that one product was put out at $33.95 and $39.95. It sold better at 39 (the figures may have been different).

Ever noticed that practically everything hawked on TV is $19.95? And you get two of them plus a "free" premium. It's a freakin' science.

Don't look for $9.99 to go away.

and what's the deal with "only 3 payments of $19.99", another insult to our intelligence.

they are counting that all the stupid people will actually think that "3 payments of 19.99" is a lot cheaper than $59.97

:rolleyes:

The $*.99 thing started in Chicago in the late 1800s, early 1900s. A newspaper man, trying to drum up sales for his new paper, (cover price 1 cent) convinced a number of shops to drop a penny from their price in order to put more pennies in people's pockets...at least according to The Rest Of The Story. And, yes, a lot of people are THAT dumb.
Les

My last vacant rental was listed at $1145. Others are $995, $1195, and some are $825 or $850. If it works, so be it. If not, so be it. If someone is going to get hung up or insulted by the psychology of pricing, then they're probably too anal or too bored to be interested in one of my properties.

Who cares?
jurgen