this post was submitted on 12 Nov 2024
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[–] [email protected] 8 points 15 hours ago

Everyone here is hilarious thinking they're immune to it.

[–] [email protected] 45 points 1 day ago (4 children)

From my experience working in retail I've seen people say out loud something like "oh, it's only 4 dollars!" When the sticker says $4.99. This shit apparently works on a lot of people for some reason.

[–] [email protected] 10 points 22 hours ago

This is my neighbor all the time.

Like dude, round up!

[–] [email protected] 6 points 1 day ago

I think I've heard a couple people do this. One directly in response to me saying it was $5 lol.

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[–] [email protected] 21 points 1 day ago (2 children)

Honestly I just want tax included on the price tag.

[–] [email protected] 8 points 20 hours ago (1 children)

That is honestly insane.

In NZ the sticker price is what you pay, if the price on the sticker doesn't include tax, it is false advertising and you pay what is on the sticker.

It is entirely up to the retailer to ensure that the price is correct. The only exception to this, is if the price is obviously wrong e.g. $5.00 rather than $500.

[–] [email protected] 4 points 19 hours ago

It really is considering how easy it would be to implement.

[–] [email protected] 5 points 20 hours ago

That's an American problem too

[–] [email protected] 6 points 18 hours ago

Living in Canada, this shit never worked for me.

Our laws require that pretty much everything is taxed, some more than others, but taxed nonetheless. Despite this, our laws also allow for the tax to be excluded from the price listed for an item, so tax has always been an unpleasant surprise during checkout for me.

I'm sure many other Canadians can echo my sentiment.

The fact is, I'm always expecting to pay between 10 and 15% more on pretty much everything when I get to the checkout, so I tend to do math in my head to figure it out. Let's just say that when I see $4.99, it's easier for my brain to figure out 10 (or 13%, or 15%) of $5 than it is to figure out the tax on $4.99, so I err higher rather than lower on everything.

I see $4.99, I think $5 +tax and I figure that will set me back somewhere between $5.50 and $6 at checkout. Doing the math, the current HST tax in Ontario where I am, IIRC is 13%. 13% of $4.99 is $0.6487 (the company will round up to the nearest penny, so 65 cents), which is $5.64. going from $5 at 15% (which is what I'll do in my head for simplicity), I'd estimate it's $5.75 at checkout, and get pleasantly surprised when I save 11 cents because the tax was less than I anticipated.

All of this shit is kind of moot IMO, since I think people aren't looking at prices nearly as much as they used to. When I was young, debit cards didn't exist, credit cards were a tedious process of filing out paperwork, and so most of the time people carried cash. It was common for people to add up their costs as they went to ensure that the cash they brought would cover the items they're buying at the grocery. For smaller transactions like convenience stores, you'd just do it in your head, and for big ticket purchases, like appliances, furniture, vehicles, etc, you'd use cheques or credit cards because the hassle of doing that was outweighed by the liability of carrying thousands of dollars to the store to buy a thing.

With debit/interac/whatever, and the chip/sign, or chip/pin process (and/or "tap" to pay), you have convenient, and instant access to your entire life savings on a whim with near zero effort or inconvenience. It's never been so easy to spend money (especially money you don't have - eg overdraft or credit cards).

When I started to do my own grocery shopping, sometime after debit/interac/chip&pin was made to be commonplace, I rarely looked at prices. I assumed the price was reasonable for what I was buying, and concerning myself with the nickels and dimes of it all was more effort than I cared to put into buying something I wanted or needed.

With the prices of everything going haywire in the last 5 years or so, I find myself looking at prices a lot more and going for alternatives to my "usual" brands of products simply due to price alone, especially when grocery shopping. If I can kick my grocery bill from $300 to $250 by simply buying smarter, that's a cheap date I get to go on with my spouse that I otherwise couldn't afford. That's more valuable to me than buying name brand cereal or cans of Campbell's soup over the store brand.

IMO, I'm the problem.... or rather, my previous mentality was the problem that in part led to the crazy increase in pricing. I didn't concern myself if something was a cheaper option and just bought whatever I wanted or whatever I was used to buying. I don't have brand loyalty beyond "this was good/worked in the past, so I'll buy it again". That amount of "loyalty" doesn't extend to significant increases in the price of things. The prices went up and while my grocery bill went up, I didn't pay much attention to it. That's just what it cost me. The cost always changed because I wouldn't always buy the same things, nor the same quantity of things. So I expected it to be fairly random. That created a false loyalty to products that just kept going up in price. I kept paying that because I wasn't paying attention. So they kept going up because the company didn't see a drop in sales because of the increase in price.

Now, I'm much more conscious of what I'm buying. I'll compare not only the cost, but the quantity of a thing. If I can get 700g of something at $5 but an alternative has 1000g for $6. I'll get the $6 item, since I'm paying more, for a lot more, therefore I'm paying less per gram. I've become the kind of shopper that most companies can't keep. If prices go up, I'll jump to another brand that's cheaper. If the quantity goes down (shrinkflation) I'll go to a brand that gives me better value for my dollar.

I'm one step away from cutting coupons here. I'll do it too.

At the end of the day, it's all about economics for me. If it's going to take me more time to compare, or find coupons, or whatever than I'm saving by doing that, then I won't do it. Right now, cutting coupons falls below that value line. I put my time ahead of the proposed savings by cutting coupons. My time saved by not doing it, is simply more valuable to me right now. If/when that changes, I'll start doing it.

Fuck corporations.

[–] [email protected] 24 points 1 day ago (1 children)

The amount of times I've watched Youtubers say something like "35 dollars" while showing an image that shows the price as $35.96 happens too often for me to side with OP lol, sorry.

[–] [email protected] 1 points 19 hours ago

To be fair, in that specific case, they could have been rounding to the nearest $5. Unlike virtually all other instances of that behavior.

[–] [email protected] 28 points 1 day ago (1 children)

Its literally how we see prices which is why companies do this

[–] [email protected] 1 points 18 hours ago

Worked in pricing for a big retailer, it 100% works and retailers don't even like doing it, but it's basically a necessity to get baseline sales. It's WAY easier to have simple even number prices that calculate easily and get percent off sales and clearance prices that make sense. Really the only items you see it on are items competing with other retailers, so kraft mayo that every store has vs. A store brand soda you don't care about volume on. The Mayo you better have $5.99 instead of $6.00 or it looks like you're ripping them off. And even if they sell it got $4.99 it still keeps people thinking it's a complex price difference rather than an even number they can compare more easily.

[–] [email protected] 6 points 20 hours ago
[–] [email protected] 5 points 21 hours ago

It is how it is, Americans are the dumbest

[–] [email protected] 22 points 1 day ago* (last edited 1 day ago) (3 children)

People suck at math and this is how they confuse people into not caring what the actual price becomes when they have to add multiple items together.

What’s 19.99 + 21.75 + 4.99 + 3.99 + 1.99? Can the common person do that math in their head while grocery shopping? What about adding the tax to that total? Not a chance.

Most people probably don’t even know what the sales tax is in their own state.

[–] [email protected] 38 points 1 day ago (1 children)

your price tags show the price before tax? that's fucked up

[–] [email protected] 4 points 1 day ago (2 children)

The major reason given is that taxes vary so much in the US by location that it would be onerous for businesses with locations in different areas to print different price tags and advertise prices broadly.

It's even an issue online because, until you enter your address, the online retailer has no clue what your tax rate will be, and they have to assess tax based on the purchaser's location. Postal code isn't always enough, as they can be shared by different cities with different tax rates.

Some areas also vary tax by date (tax free holidays), though I don't think consumers would care if their total ended up being cheaper than they thought.

A national standard VAT would be the only way businesses might start including tax in price, but there's no way to do that without a constitutional amendment. States have the power to tax, and they're not going to stop now even if they receive VAT revenues.

[–] [email protected] 8 points 1 day ago (1 children)

It's bullshit because every location prints their own price tags lol.

[–] [email protected] 4 points 23 hours ago

And then calculates tax right at the register. They have everything they need to do it, it’d hurt their bottom line and be consumer friendly so they don’t.

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[–] [email protected] 12 points 1 day ago (7 children)

Weirdly, my brain went through those numbers as "20, 22, 5, 3, 2."

[–] [email protected] 7 points 1 day ago

So they did get you at 3.99 -> 3!

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[–] [email protected] 7 points 1 day ago (4 children)

Most people dont just round up after seeing the price?

[–] [email protected] 5 points 1 day ago (16 children)

Most people round down. Their brain locks on to the 1 of 19.99, and approximates it to 10.00. We need to actively counter this to see it as 20.00. It's a skill most people don't apply all the time, and a number can't even do.

Once you can do it reliably, it's mind-boggling that others can't, but it's still a learnt skill, that needs to be applied.

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[–] [email protected] 7 points 1 day ago* (last edited 20 hours ago)

Also "~~200~~ 100" is very different from "100".

[–] [email protected] 1 points 17 hours ago

I think it's just so that pennies circulate

[–] [email protected] 14 points 1 day ago (2 children)

This is one of those things that makes me feel the slightest bit more agitated and cynical towards people and society. We all know it's manipulative, and that should be enough reason not to do it. So why does everyone who runs a business do it? Like yeah it does work, but is it really worth subtly eroding your own customer's trust in you? There's an invisible cost of goodwill here.

[–] [email protected] 9 points 1 day ago (1 children)

Are you choosing to go to the store that does $20 instead of $19.99?

Does that store exist?

It's more that the customer refuses to buy the $20 item but at 19.99 it seems just a little more attainable.

[–] [email protected] 9 points 1 day ago (1 children)

That is a fair point. But then again, I don't even remember the last time I was in a store that had honest prices.

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[–] [email protected] 167 points 1 day ago (8 children)

But it IS how we see prices. If there weren't science behind it, they wouldn't be doing it.

[–] [email protected] 2 points 18 hours ago

The science is about how you initially react to the number. Your brain will see $19, and immediately you'll think it's $19. Only upon further inspection and processing through your cognition, you recognise that its $19.99, which is basically $20.

It's that initial reaction they want, to grab your attention. Anyone who is going through life without leveraging their higher thinking will fall for this shit. Anyone who thinks, at all, won't.

Unfortunately, there's a nontrivial number of people who fall into that first category. People who were never taught to think. They just do.

[–] [email protected] 86 points 1 day ago (14 children)

A lot of marketing strategies are pseudoscience. Just like a lot police investigation practices or body language assumptions.

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[–] [email protected] 136 points 1 day ago (8 children)

$20 and $10 shipping: 😡

$30 and free shipping: 😄

[–] [email protected] 2 points 18 hours ago

I'll admit, this works on me sometimes.

I hate that it does, but it do.

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[–] [email protected] 50 points 1 day ago (3 children)

My husband is awful in that regard. He sees the first digit only and then rounds it down. "It's just 30€" - it's 39,99€. "It's like 200€" - it's 289,90€, "5000€" - 5999€. I love him to pieces but I don't trust any of his numbers.

[–] [email protected] 38 points 1 day ago (2 children)

I love him to pieces

How many? About 200?

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