Do we deceive ourselves to cherish that which we are less likely to have? Decision-making can often be irrational and influenced by cognitive biases, but I’m not so inclined to believe the most common pricing models we’re using are the best for everyone.

Many people experience appreciation relative to price, which raises an interesting question: if we tend to value more expensive items more highly, why don’t we always choose the priciest ones? When presented with three-tier pricing, is the middle option actually the most attractive because it strikes a balance between perceived value and cost? Not all consumers will consistently gravitate toward that mid-tier choice just because it’s there. Factors such as urgency, personal values, and external recommendations can also influence our decisions.

I’ve often thought of three-tier pricing as a form of “decoy marketing.” I assumed companies use it because it seems effective, but this doesn’t mean our choices are solely dictated by price. believe people are more likely to appreciate products based on emotional resonance, perceived quality, and personal relevance rather than price alone. A shift in focus from price to overall value and experience could result in higher long-term satisfaction.

Benjamin Wallace’s talk, The Price of Happiness, made me think a little differently about product pricing, and I like it fore that!