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Principles from menu engineering, or the design of restaurant menus in a manner that maximises the price of an meal can also be used to price software applications and services. According to one such menu engineer:

…by simply removing “$” signs from prices, people are less intimidated by them. And he advises against listing items from least to most expensive, because that focuses the consumer on price. Instead he mixes up items, making it hard to find their price — thereby encouraging the customer to emotionally commit to something before finding out what it costs. But my favorite strategy of his is that of putting some absurdly expensive item on the menu.

GigaOM explains this favorite strategy and its software industry analogy.

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