Although findings have been inconsistent, there is some evidence from both experimental studies and field research that prices set just below the nearest round figure produce higher than expected demand at that level. Other research has demonstrated that the organization of verbal and/or pictorial elements of a print advertisement can influence the persuasive impact of that ad. The author combines these two streams of research in examining preference for brands associated with 0- versus 9-ending prices that are displayed in different advertising layouts. Results indicate that the higher than expected demand associated with 9-ending prices is more likely when prices are placed to the left of attended verbal information contained in an ad, due to the more positive evaluations of price that occur with more efficient subconscious processing.
Journal of Product & Brand Management – Emerald Publishing
Published: Sep 1, 2002
Keywords: Advertising; Consumer behaviour