Thoughts on setting the price as a whole dollar rather than a few cents less

I don’t know about you, but I am not fooled when something is priced at $9.95.  That always means it costs $10 to me.  Frankly I wonder how many people are fooled by such psychological manipulation. Why did businesses first begin doing this?  I’m sure some very serious market research went into what seems a nearly universal practice.

So how do I price my product?

I’ve run this question past both friends, family and business professionals.  Based on what I heard, here’s what I’ve decided to do at least for now.  For the full-box order, don’t mess with the few cents less.   But for individual buyers the “few pennies less” price.

I guess old habits die hard.