Are You Using These Pricing Tactics?

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There are all these pricing tactics that people use all the time, and they really do impact our willingness to buy. If a product costs less than 100 dollars, if you want to offer a discount, you should frame the discount in percentage terms instead of absolute terms. People would prefer buy one, get hen free, then 50 % off two items, even though they literally mean the same thing mathematically.

In this episode, Cal and Steph discuss the subjective nature of pricing. They explore how a value extends beyond utility or the physical nature of an asset (think luxury items, NFTs, etc) and use these ideas to explore new pricing models, including tiered, retention-based, and completion-based pricing.

They also explore how our own psychology can inhibit use as consumers to spend on what's most meaningful and the importance of unlearning certain spending habits.

If you find the psychology of money as fascinating as we do, give this episode a listen.

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