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  • Writer's pictureUMESHKUMAR U



The tendency to perceive price difference between the products is not just depending on the amount of money spend or saved, but also depends on the amount of money spend or saved relative to the price of the purchase.

If you are in a shopping mall to buy a coir door mat in your home /office, and price of the item ranged from $2 to $4 you would think that $4 item cost ” A LOT MORE” than $2 item. But now imagine you were comparing two mobile phones, one that cost $996 and one that cost $999, probabaly you would think that the cost of the two mobile phones was ” ABOUT THE SAME” eventhough buying cheaper one would still save you $3

Final Verdict: Go for high value product or selling high value service.Choice is yours.

You can generate $10,000 sales revenue by

Selling $4 priced item to 2500 customers


Selling $1000 priced item to 10 customers


Selling $10,000 priced item to just single 1 customer

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