What’s decoy pricing and how is it influencing your purchases? | Credclub

What’s decoy pricing and how is it influencing your purchases?

Say, you are looking to buy a car. The lower variant costs you Rs 5 lakhs and comes with 15 special features. The high-end variant, on the other hand, will cost you 8 lakhs and comes loaded with 30 features. The higher variant has double the features but is expensive by about 60%.

Which of the two will you prefer?

What if the company is to introduce a third option in the midst; a middle-of-the-road variant priced at Rs 7 lakhs with 23 features? Will you opt for the middle variant?

If your answer is yes, then you have fallen for one of the oldest marketing tricks in the book.