Opinions are split as to whether dropping the dollar sign from in front of prices will make customers buy more.
Companies are always trying to find low-cost ways to get customers to buy more and spend more. A recent study from Cornell University suggests that following the lead of restaurants may be the way to go.
The study found that restaurants that drop the dollar sign on their menus get customers to spend an average of $5.55 more a meal. And some businesses are thinking of doing the same.
It’s suggested that simply changing the way prices are displayed could have an impact on customer perception. Customers see fewer digits — 8.99 instead of $8.99 — and therefore feel like they’re paying less.
It’s the same principle as dropping the penny off of a price to make the product appear cheaper: $9.99 instead of $10.00. Customers focus on the first figure they see — a 9 instead of a 10; or a number instead of a $.
Some think it’s a cheap marketing ploy that would never work while others see it as a low-risk way to potentially boost profits.
What do you think: Would dropping the dollar sign off of your price list make customers buy more? Leave a comment below and let us know what you think.