Every product is different. Every price point is different. But the underlying principles remain the same.

Consider these pricing psychology concepts when creating your pricing strategy

Comparison effect

People like to compare. Give them options, so no matter what they choose, they still become your customer. Options also maximize revenue, as those who are happy to pay more for more value, can. Payment plan options work too.

Lesson: offer 2 - 3 options.

Anchoring effect

The first price seen creates a bias to measure all subsequent prices against. This will also likely be the most selected option.


Lesson: Visually highlight the option you most want them to pick, or position it above or to the left of other prices.

Decoy effect. Even if you don’t plan to sell many premium items, their presence can help the anchoring effect take hold.


Lesson: The best way to sell a $200 course is to put it next to a $2,000 course.

Sunk cost effect

The higher the price, the more they value it. Premium pricing ensures customers see their purchase as an investment, and one they want a return on.


Lesson: Want customers to read your book, complete your course, or engage in your community? Charge more.

Charm and prestige pricing

Charm prices end in 9s. It anchors the price into a lower bracket. Customers feel like they're getting a deal. Prestige pricing end in 0. It evokes luxury or premium.

Lesson: Charge $199 or $197, not $200. At the high end, charge $5000, not $4999.

Value-based pricing

Are you saving them time? Making them money? Both? Quantify your outcomes value. If your product teaches how to build a $100k/year business, a $1k course is a steal.

Lesson: Charge more by showing quantifying the value of the outcome in your messaging.

These pricing psychology concepts are proven, and research backed. Incorporating them into your pricing strategy could be the difference between a mediocre and a successful launch.

Don’t leave money on the table.