Dan.com

discuss Does "psychological pricing" matter for domain sales, e.g. "$99" vs. "$100?"

NameSilo

LoveCatchyDomains

Established Member
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Various marketing research studies suggest the value of using the "left digit bias." Notably, in certain instances, prices ending in "9" having better sales compared to those rounded of to the "0. " In the luxury market, there was a tendency to not use the "9," since it might be associated with being "cheap."
Has any domainer out there noticed a significant difference using "psychological pricing" techniques? For example, for lower priced domains, sticking with the $49 or $99, whereas the higher domains going for the straight $10000 rather than 9999?
Have any research marketing studies been done on this in the domaining world? Or have you, as a seasoned pro, noticed success with one strategy over the other?
 

LoveCatchyDomains

Established Member
Impact
460
There has been a ton of research done that shows there is a benefit to pricing like that across all types of products. I do it, but can't tell you whether it makes a difference in my number of sales.

Some of the big guys like huge domains and buy domains do it, so I go with it. I don't think it can hurt.
Well, if the big domain sellers do it, the inference is that market research supports the "left digit bias" for domain sales. Thanks for the perspective!
 

branding

Who's afraid of red, white and blue?
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Depends whether is a bin price or a quotation.

Bin: 1499 / 1575
Quote: 1575 but never 1499

If you quote people a number like 1499 they will think there's room to negotiate that down. 1575 shows more confidence in your pricing.

That being said, experienced salesmen will see right through the trick so it also depends on your negotiation skills :)
 
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