Doesn't it have its roots in forcing clerks to give change and recording the sale (rather than pocketing the money)?
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I doubt it works on me. I have bought smaller items due to doing the per unit price in my head (don't trust what they put there and two often then apples and organges the units) or completely not bought something or bought some alternative (potatoes instead of bread or rice instead of potatoes).
It's the three strategies of pricing:
- Price the item as XX.99 to make it feel cheaper than it is
- Price the item as a whole/round number to make it feel premium
- Price the item as a seemingly random number like XX.57 to get ahead of the shopper who are weary of the first two tactics
I think it's just so that pennies circulate
It doesn't take much to convince the people in charge they're right. Usually the amount is minimum wage.
Wasn't that originally to sell newspaper?
I thought it was a trick by sign writers who charge by the letter.
But its true though, don't you think they would save on the printer ink if it wasn't the case?