Pricing is the most important element of the 4 Ps of marketing. If you don’t understand how pricing influences customer behavior, you'll struggle to convert interest into sales. Even with the right strategy, price-conscious customers will still do their own research before deciding. To help them make quicker decisions, you need one of the most powerful tools in pricing strategy—anchoring.

In this short book, I clearly explain how to use price anchoring effectively to attract customers quickly and confidently.

“Which would you buy? A dress shirt priced at $60 or the very same dress shirt, priced at $100, but ‘On Sale! 40% off! Only $60!’?” — Dan Ariely and Jeff Kreisler 

Introduction

• What is Anchoring?
• Roll Royce Example
• Why is Anchoring Bias Not Always a Bias?

How to Use Anchoring as a Pricing Strategy

• Present a High Initial Price

• Tiered Pricing Models (Good, Better, Best)
• Discount Anchoring 
• Price Bundling as a Anchoring
• Decoy Pricing
• Anchoring With the Competitor Products

Conclusion

“The first number thrown into a negotiation becomes the anchor, and everything else revolves around it.” — Chris Voss, Never Split the Difference