I read an interesting interview with the wine buyer of a major UK supermarket, where he said that the best way to sell a product was to apparently reduce it in price.
He tested his contention by selling a wine at £9.95. They then sold it at £4.95, labelling it in some stores as ‘reduced from £9.95’, and in others as just ‘£4.95’. The ones with the reduced ticket sold 70% more than the other one.
No surprise, perhaps. It proves we all love a bargain - but only when we’re told it’s a bargain.
How important are reduced prices to you?