5 science-backed pricing tips from the U.K.’s top marketing podcast

In 2007, Coulter and Coulter showed two advertisements to two random groups of customers. Each advertised £10 discounts on flights to Turkey. One listed the tickets at £188. The other showed a higher price: £233. Customers found that the cheaper tickets felt like a worse value. Why? Researchers found that people more easily differentiate smaller numbers. The difference between 4 and 3 seems more salient than 9 and 8. So, customers were more likely to buy when the prices ended in smaller numbers £244 to £233), compared to those ending in higher digits (£199 to £188).