What do psychological pricing tactics aim to achieve?

Psychological pricing tactics are designed to influence consumer emotions and perceptions regarding the price of a product. This approach leverages consumer psychology to create a perception of value, which can lead to higher sales and customer satisfaction. By pricing products in a way that caters to emotions—for example, using prices ending in .99 or setting a price just below a round number—marketers can shape how consumers feel about the price point, making a purchase feel like a better deal. This strategy helps businesses appeal to the psychological aspects of decision-making, thereby encouraging consumers to buy based on perceived value rather than strictly the financial implications.

The other options focus on different aspects of marketing and supply chain management that do not relate to consumer perception. For instance, determining optimal supply chain costs is more about logistics and operational efficiency, while reducing product features to lower costs pertains to product management and cost strategies. Regulating market demand would involve broader economic principles and market forces rather than psychological influences. Thus, the emphasis on consumer emotions and perceptions is what distinctly characterizes psychological pricing tactics.