Why do gas prices include 9/10 of a cent?
why do gas prices include 9/10 of a cent
Answer:
If i remember correctly, it was a marketing strategy to make the price look more appealing. The oil companies wanted to make it look like they were saving us money by adding the 9/10 to it.
Its just like when things are priced $34.99. Its a marketing thing to make you see the .99 as .00. So instead of saying you paid $35 for it, you'll say you paid $34.
Hope this helps
To drive you nuts
For the same reason that retailers end prices in $.99 or $.95. You tend to ignore the $.99 and just assume that something is $19. Same with gas. Ever notice that the 9/10 of a cent is in really small print? So if you see gas at $3.09 a gallon, remember that its really $3.10.
Because $3.07 9/10 sounds less than $3.08.
And why don't they just make postage stamps 40c or 45c instead of 42c? And why are prices $2.99 etc...and not just $3.00?
Makes no sense to me.
it's an advertising gimmick to fool the public--sounds cheaper but it's actually another penny almost
so if you buy MORE than one gallon, (which is pretty common,) then it adds up to whole cents so you pay more money and all the while you are sitting there thinking that you're getting a bargain and wondering "why don't they just round up the last decimal? oh well, more money for me!"
All marketing answers before me is correct however look at the economics affect that oil, just like illegal drugs, has had on the world as a whole from our politicians pockets to the price at the gasoline pumps. I feel instead of dear season this year we should have open Oil CEO Season.
Look at the money that EXXON has made in the first quarter this year and it's not enough . We have to continue to be raped at the pumps. Oil companies and politicians are like cockroaches sometimes we just have to exterminate.
Remember this come election time and check the background of that rich candidate and where his or her money came from.
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Answer:
If i remember correctly, it was a marketing strategy to make the price look more appealing. The oil companies wanted to make it look like they were saving us money by adding the 9/10 to it.
Its just like when things are priced $34.99. Its a marketing thing to make you see the .99 as .00. So instead of saying you paid $35 for it, you'll say you paid $34.
Hope this helps
To drive you nuts
For the same reason that retailers end prices in $.99 or $.95. You tend to ignore the $.99 and just assume that something is $19. Same with gas. Ever notice that the 9/10 of a cent is in really small print? So if you see gas at $3.09 a gallon, remember that its really $3.10.
Because $3.07 9/10 sounds less than $3.08.
And why don't they just make postage stamps 40c or 45c instead of 42c? And why are prices $2.99 etc...and not just $3.00?
Makes no sense to me.
it's an advertising gimmick to fool the public--sounds cheaper but it's actually another penny almost
so if you buy MORE than one gallon, (which is pretty common,) then it adds up to whole cents so you pay more money and all the while you are sitting there thinking that you're getting a bargain and wondering "why don't they just round up the last decimal? oh well, more money for me!"
All marketing answers before me is correct however look at the economics affect that oil, just like illegal drugs, has had on the world as a whole from our politicians pockets to the price at the gasoline pumps. I feel instead of dear season this year we should have open Oil CEO Season.
Look at the money that EXXON has made in the first quarter this year and it's not enough . We have to continue to be raped at the pumps. Oil companies and politicians are like cockroaches sometimes we just have to exterminate.
Remember this come election time and check the background of that rich candidate and where his or her money came from.
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