What is the rationale for most retail prices ending in 99(cents or dollars)?

Amazingly, many people perceive $1.99 as 'only a dollar'. Doubt it? Look at the average intellect on this site.

"Reality" is all about 'perception'. Many people have distorted perceptions about reality. The marketing world knows how to use this to their advantage (as they should).

Another example of this 'game' is the process of 'marking up' an item (common in the field of retail electronics) so that you can 'give a big discount' to get the customer to buy. Many, many people do not understand that a 'good buy' is NOT determined by "how much I saved", but by "how much I actually paid"!

AH! i completely LOVE super lots/greenback widely used! no longer purely is it decrease priced even if it could provide the prospect to attempt different forms of ingredients you're able to in no way in a million years try. i like remote places goodies and snacks. if i cant study the packaging yet can understand the expiration date, that's MINE! super lots here in my city has each and every thing you ought to ever think of. i've got considered some particularly costly issues in that keep that are marked down so low your head could explode. they have Calvin Klein bras there! that's insane. i flow to those kinds of retailers to easily get cookies and snacks and chips from who's familiar with what u . s . they are showcasing that week. lol. the nutrients is risk-free and there is no longer something incorrect with employing it rather. that's a cloth international and that i'm no longer a cloth woman. :grin:

it is physiological, you see 4.99 and you think the four not the five it really is. you don't feel as if you are spending as much as you are, say you are buying 5 items at 4.99 your mind thinks $20.00 not $25.00. As for cars you see the ticket price is 19,999.99 and you think its less than 20,000.00 what a deal. That's how it all started, most people round up now anyway so they should just make everything a nice even number.

It's like the Price is Right. $1.99 is, technically, "under $2.00.