The Psychology of Pricing Strategies

The price tag you see is a psychological mind game, not a math problem. Most companies ignore

what it actually costs to make a product and instead charge exactly what they know you are

desperate enough to pay. It is called value-based pricing and it is why your phone costs

a fortune. Then there is the printer trap. They practically give you the machine

for free just to bleed you dry on the ink later. That is captive pricing.

From luxury markups to discount bundles, they are not just selling goods. They are hacking

your perception of value so you thank them for taking your money.