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Latest / The Pricing Marketing Podcast with Fexingo: Price Anchoring, Bundling, and Conversion Pricing

How a $2,000 Mattress Makes a $600 Bed a Steal

Ever wonder why a luxury mattress with a sky-high price tag actually helps sell the cheaper model next to it? In this episode of The Pricing Marketing Podcast, Lucas and Luna dig into decoy pricing — the strategy where a deliberately overpriced option makes the middle choice look irresistible. Using the classic example of a $2,000 premium mattress that makes a $600 model feel like a bargain, they explore how retailers, software companies, and even subscription services use decoys to steer your decision. They break down the psychology behind it, why it works even when you know the trick, and…

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