Examining the Factors Influencing Consumer Perception and Attitude Towards Psychological Pricing
Ms Payal Tangri
Research Scholar, Department of Management and Commerce, DBU, Mandi Gobindgarh
Dr.Manoj Kumar
Assistant Professor, Department of Management and Commerce, DBU, Mandi Gobindgarh
Abstract
This study examines the factors influencing consumer perception and attitude towards psychological pricing, with the primary objective of identifying how price sensitivity, perceived value, emotional appeal, and brand trust affect consumer decisions. Using a sample of 99 respondents, data were collected through a random sampling technique, and regression analysis was conducted using SPSS to analyze the relationships between the variables. The results reveal that price sensitivity has a significant positive effect on consumer perception (β = 0.663, p = 0.000), indicating that consumers perceive products as more affordable when priced just below rounded figures, such as ₹999 instead of ₹1,000. In contrast, perceived value, emotional appeal, and brand trust did not show significant effects on consumer perception, suggesting that these factors are less influential in the context of psychological pricing. The model explained 49.6% of the variance in consumer attitudes, highlighting the importance of price sensitivity as the main driver. The statistical significance of the regression model (F = 23.116, p = 0.000) further supports the relevance of price sensitivity in shaping consumer behavior. To finish, it concludes that psychological pricing strategies, more so the ones dealing with price sensitivity, can influence consumers' perception of affordability and value. However, other factors have limited effect, which requires further research to determine additional variables that may affect consumer attitudes towards pricing. It is relevant for marketers and businesses since it gives insights about pricing policies and consumer behavior with regards to different contexts in pricing policies.
Keywords: Psychological pricing, consumer perception, price sensitivity, and emotional appeal
