Re: Why is retail gasoline priced in tenths of a cent?

Date: Fri Jul 28 17:05:28 2000
Posted By: Tom Cull, Staff, Clinical Sciences MR Division, Marconi Medical Systems
Area of science: other
ID: 964739826.Ot

Message:


Hi Robert,

My opinion is that it follows the same trend as many sales items.  A lot of
products are competitively priced ending in $0.99 such as $29.99 or $99.99. 
This is a sales and marketing gimmick simply related to saying "our price is
under $30" in the case of $29.99 or "for under a $100" for the case of $99.99.

There is no good reason for a gas provider to not raise the price to $1.36
except his competition will advertise $1.359.  

Sincerely,

Tom "One Mill" Cull

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