Effects of $9 Price Endings on Retail Sales: Evidence from Field Experiments

  title={Effects of \$9 Price Endings on Retail Sales: Evidence from Field Experiments},
  author={E. Anderson and D. Simester},
  journal={Quantitative Marketing and Economics},
  • E. Anderson, D. Simester
  • Published 2003
  • Economics
  • Quantitative Marketing and Economics
  • Although the use of $9 price endings is widespread amongst US retailers there is little evidence of their effectiveness. In this paper, we present a series of three field-studies in which price endings were experimentally manipulated. The data yield two conclusions. First, use of a $9 price ending increased demand in all three experiments. Second, the increase in demand was stronger for new items than for items that the retailer had sold in previous years. There is also some evidence that $9… CONTINUE READING

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