Well, we as human beings usually have a tendency to emphasize the first piece of knowledge received
Let’s consider a small example to clarify this concept. If somebody tells you that the price of a notebook, for instance, is usually set at $1.50, then the next time you accidentally find the same notebook in
So, firms can affect customer psychology to attract more customers.
Because of this phenomenon when we see discounted prices, we start to compare it with the initial price, which is the price anchored in our minds.
Bundle pricing is another tactic for activating customer
As people strive to spend their money rationally anchoring bias can be effectively used by marketers and serve the businesses in a challenge to make more sales.