Little Known Trivia
For all the trivia fans and those who are not too, this is an interesting fact.
Mr. Macy of Macy’s department stores was the initiator of the .99 cent idea.
He thought the raising of something just .99 cents would be more acceptable by the customers than the full dollar would be. Since his store’s volume increased, many others followed suit. Very little is seen on price tags as $1.00 since you will see .99 cents instead. The copying of that idea served many stores well over many years.
Some stores have modified Mr. Macy’s idea by putting .89, however the initial idea of breaking down the increase to look better to the consumer was a Mr. Macy original idea.
With the closing of 11 Macy stores in the United States, too bad Mr. Macy could not come up with an idea to promote better business again, somehow. Mr. Macy is not living.
25 Comments
Strange how .99 cents truly works compared to a dollar.
nice info you share,that was a great idea but that’s business-it’s like a roller-coaster ride
Great article. My wife works for Macy’s and before it was Macy’s it was Foley’s. I also worked at Foley’s. God help Macy’s.
The 99p tag always got me to spend my money.
Thanks Roberta for this interesting write now I know why the prizes got the .99 cents idea.
I had no idea. That’s pretty cool. Now, who invented the dollar stores?
This is an interesting fact. Thanks for sharing.
The trick of advertizing by pricing at .99 cents has never swayed me. If something is marked, lets say, $1.99, I don’t even recognize it that way. I see 2 dollars. It is interesting how people look at gas prices. They read $2.51.9/gal as $2.51.
OK, I’ve to call you on that one!
Gas stations in the 1960’s use sell gas with different fractions of a dollar. It wasn’t uncommon to see 25.4/10 or 25.7/10. By the early 1970’s almost all stations converted to the 9/10ths, where it remains today. So, I wonder where Mr Macy got his idea?
Thanks,
Clay
I do believe Mr. Macy fractured the dollar long before the 1960’s. Anyway, I don’t let the .99 cent play tricks on my brain either.I look at it as a whole.
Interesting, the idea worked for most people.
I love trivia. This is a little tidbit I’d never heard before. I agree with Ruby Hawk though. I always round up. Thanks for sharing.
I can remember as a little boy, I didn’t like that trick. NOw I know who to blame. Even then, who wanted a penny back..lol I appreciate the trivia. That was interesting. Thanks!
Very interesting.
It is interesting… and yes, it is funny how that does make a difference.
Blessings.
Sincerely,
-Liane Schmidt.
This is a well known concept in every Retail Management class. And the only way to merchandise…(Yeah I worked retail before the decorating degree, and returned to study it after my auto accident and the decorating teaching jobs were few and far between).
Hmmm, little known trivia. Very interesting dear.
how about that? interesting…
Macy’s is my favorite department store. If you time things right, you can get amazing deals. Once, I got a $79 dress for $5 at Macy’s. (sigh) It was a wonderful day for me…
Interesting read!
That is interesting.
Thanks,
Inna
Interesting read!
well his idea does work.
I learn so much reading Triond articles! Didn’t realize it was Mr. Macy that originated the 99 cent idea! I’ve seen it work, though! I run a fledgling little shop on line and one of the first things we’ve sold was 99 cents!!
Wal Mart seems to favor ending everything in .97
Interesting trivia.