Economics at your fingertips  

Are 1-endings the new 9-endings? An alternative for generating price discount perceptions

Kivilcim Dogerlioglu-Demir, Ezgi Akpinar, Zeynep Gurhan-Canli and Koçaş, Cenk

Journal of Retailing and Consumer Services, 2022, vol. 66, issue C

Abstract: Although extant literature confirms the efficacy of 9-endings, how consumers perceive multi-digit prices with repeating identical ending digits such as $1999 is less clear. Research indicates that consumers tend to truncate 9-ending prices and associate them with discounts. Five experiments demonstrate, however, that consumers are likely to perceive multi-digit prices with 1-endings (e.g., $2111) as being more on a discount than prices with 9-endings (e.g., $1999). Moreover, a year-long field study shows that 1-ending (vs. 9-ending) prices receive more click-through rates when presented in online ads. These novel findings inform retailers on how they can generate higher discount perceptions by using 1-endings rather than 9-endings in multi-digit prices.

Keywords: 9-Ending prices; Discounts; Multi-digit prices; Digit-chunking; Left-digit bias (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

DOI: 10.1016/j.jretconser.2022.102912

Access Statistics for this article

Journal of Retailing and Consumer Services is currently edited by Harry Timmermans

More articles in Journal of Retailing and Consumer Services from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

Page updated 2022-07-02
Handle: RePEc:eee:joreco:v:66:y:2022:i:c:s0969698922000054