The BIG Price Hurdles

Do you know the values that represent major price hurdles for those buying affordable art?
Take a look at the two charts about the price of affordable art
Note the differences in opinions between the UK and USA - despite the differences in relative value.

The importance of specific numbers
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Pricing below the hurdle price
The NUMBERS 500 and 1,000 are hugely influential in terms of people's perceptions of what are "the BIG price hurdles"
  • This is nothing to do with value and everything to do with the psychology of a number
  • Both £500/£500 and $1,000/£1,000 produced a peak and very similar values in terms of percentage responses
  • after which there was very little activity until the next price hurdle was reached.
The really important point is that THESE ARE COMPLETELY DIFFERENT PRICES due to the exchange rate!
This means that people attach importance to certain NUMBERS irrespective of what their value actually is.

This explains why people selling products often price just below the 'hurdle price' eg £999 or $999