The Price Ending Optimization
Different price endings (.99, .95, .00) trigger different psychological responses—match endings to your positioning strategy.
Explanation
Price endings aren't just about charm pricing—they communicate brand positioning. .99 endings signal value/discount, .95 suggests premium-but-accessible, .00 communicates luxury/quality. The effectiveness varies by product category, customer sophistication, and purchase context. Wrong endings can undermine positioning regardless of actual price level.
Real-World Example
Luxury brands use round numbers ($500, $1,200) to signal quality and sophistication. Retailers use .99 ($19.99) for discount perception. Professional services often use .95 ($295) to balance premium positioning with value appeal. Apple mostly avoids .99 to maintain premium image.
How to Apply
Audit your current price endings and intended positioning. Test different endings while keeping price levels constant. .00 for luxury/premium positioning, .95 for professional services, .99 for value/mass market. Consider cultural differences—some markets prefer round numbers. Measure both conversion and brand perception changes.