Interdependences between heuristics and price strategy: an application for fast moving consumption goods products
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Research on price heuristics is usually unrelated to the pricing strategies in which products and services are framed. This study raises the question whether the price heuristic works similarly and is equally effective for different pricing strategies. Specifically, this paper explores the role of the price anchoring heuristic in the value pricing strategy and its impact on the perceived value and price sensitivity. An experimental study was designed with a sample of 500 participants where 50% of them were exposed to a price anchor condition and the remaining 50% were not exposed to this condition. The study was carried out in the sliced bread category with two sliced bread products of the same brand and line with different pricing strategies: value pricing and control group. The results identify an inverse effect of the anchoring heuristic on perceived value and price sensitivity. This study contributes to the development of the discipline of neuropricing and price heuristics, and the results have implications for managers developing value-based pricing and interested in pricing and neuropricing in general.
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