Buyers Hate Price Increases

Buyers hate price increases more than they love discounts (Prospect Theory). Therefore don’t raise your prices(!) A marketer with a high enough “basic” price can merely reduce the amount of the offered discount. This can be a 2-step process. 1. Raise your basic price, but increase your discount so your customers pay the same as before. 2. Later, reduce your discount. Source: The Tao of Pricing #pricing psychology #pricing strategy #entrepreneurs

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