Related Experiment Videos
Marketing and psychophysics: cornflakes and Stevens' power function
Perceptual and Motor Skills
|April 1, 1994
Abstract:
Although major firms do not publish their pricing and packaging strategies, an analysis of 83 pairs of boxes of breakfast cereals using Stevens' Law showed that firms price their products on the perception of size rather than by actual size. By contrast, laundry detergents are priced by actual weight and volume.