What is price anchoring? How does it affect sales, and how does it affect what you pay for your purchases or how much you donate to charity? Price anchoring is the practice of giving a price point for a sales item or donation to influence consumer or donor decisions. Price anchoring is based on the psychological principle that, when shown an initial piece of information, you bias toward that information, even if it’s irrelevant to the decision at hand. We’ll cover how price anchoring works and how you can keep it from overinfluencing your decisions if you’re the customer.
Price Anchoring: Why You Pay More Than You Should










