�99.99/�100

[Wispy68]

When are we going to see the last of this ridiculous idea that customers are more likely to buy something if it's priced at �9.99, etc., rather than �10? Oooh, It's SO annoying!

[andy hughes]

It is a recognised psychological 'sound barrier' in selling that 'Nine pounds something' sounds cheaper than '�10.00' and it does work, so there's little chance of it fading away in the near future. It's the same thinking that prompts shelf stackers to remove one or two tins or packets from a display, because some people will avodid taking one because of spoiling the symetry. yes, I know it sounds crazy, but it does work, which is why advertisers still do it,

[rekstout]

Look after the pennies....If retailer did scrap this pricing policy - the average weekly shopping basket would increase in price because Mr Sainsbury and colleagues are not going to round down when they can round up. If practically every item I bought went up by a penny - I'd certainly notice.

[Pinotage]

Never

 

Its not only that it makes the item seem cheaper, but when an item costs 9.99 the purchaser waits for their change. That means the cashier has to open the cash regiser and record the purchase.

 

If it cost 10, the purchaser passes over a 10 pound note and just walks out. The dishonest store employee slips the nore into their pocket.

 

So stores like the .99 prices for two reasons, and making an item look cheaper is the second most important to them.

[WaldoMcFroog]

I believe it's due to be phased out in the year 2099...

[Obo]

It has been proven that people are more likely to buy an item if the cost of it ends with a 5, so I'm sure you will of seen an increase of items priced at �495 or �9.95

[Dahmerqueen]

I had heard that it was something to do with TAX

A seller has to pay more tax on something they retail at a round rigure (eg �10) than on the same product retailed at a lesser price (such as �9.99)

Apparently...

R   x

[commoner]

...mmm...I remember in the old days of L.s.d (not the drug) things were like 19s 11d instead of �1. it was then said to concern purchase tax (VAT) which went up with each extra whole �1.....but not certain on that............the one that annoys me is the 89.9p per litre for fuel, as if we don't notice the .9p.