SUMMARY: Consumers are watching their spending, which means marketers must find creative ways to appeal to cost-conscious buyers without hurting their own bottom lines. One marketing team found a solution in the work of a behavioral economist.
Read how they adapted a psychological experiment about the impact of arbitrary price benchmarks on a consumer’s spending habits. They created a "budget" shopping guide that included useful tips on assembling an inexpensive party, but featured a total price point higher than the typical customer’s party spending. The result: a 35% increase in average order value.