Lesson
MODULE 2
Completion requirements
🎯 Learning Outcomes:
By the end of this module, learners will be able to:
✅ Understand Charm Pricing and Odd-Even Pricing strategies.
✅ Explain why prices ending in .99 or .95 influence consumer behavior.
✅ Analyze real-world examples of businesses using these strategies.
✅ Apply charm and odd-even pricing techniques in pricing decisions.
IN THIS MODULE, YOU WILL LEARN ABOUT:
Lesson 2.1: What is Charm Pricing?
Lesson 2.2: What is Odd-Even Pricing?
Lesson 2.3: Case Studies – Charm & Odd-Even Pricing in Action
Lesson 2.4: Applying Charm & Odd-Even Pricing to Your Business
Lesson 2.1: What is Charm Pricing?
📌 Definition: Charm pricing is when prices end in .99, .95, or .97 to make them look cheaper and more attractive.
🔹 Why It Works:
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Left-digit effect: Customers read from left to right, so RM9.99 seems closer to RM9 than RM10.
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Perceived savings: RM4.99 looks significantly cheaper than RM5.00, even though it’s just 1 cent lower.
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Common in retail & e-commerce: Supermarkets, Shopee, and Lazada frequently use charm pricing.
📝 Real-Life Examples:
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McDonald’s RM4.99 value meals
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Shopee’s RM19.99 deals
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Supermarket pricing tags (RM8.99 instead of RM9.00)