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Price endings of luxury handbags : managerial practices customers' perceptions and preferences

Abstract : Drawing from existing literature on price endings and luxury pricing, this thesis highlights the paradox of adopting odd prices (i.e., prices just below a round number) in a luxury context, where, intuitively, prices should mostly be round numbers. Price endings practices are investigated in the product category of luxury women handbags. In a first empirical analysis, different types of price endings and the determinants of their use by pricing managers are identified. In a second part, the results of two experiments measure customers’ perceptions of different facets of luxury and overall perceived luxury itself. In the last part, a conjoint analysis reveals customers’ preferences for odd price endings. The findings of this thesis challenge previous research on price endings practices, in that they show that well-know low-price, low-quality, low-prestige connotations typical of odd prices in a non-luxury context, might not subsist in a luxury environment, at least for the handbag product category and for an intermediate level of luxury.
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Annalisa Fraccaro. Price endings of luxury handbags : managerial practices customers' perceptions and preferences. Business administration. Université Panthéon-Sorbonne - Paris I, 2017. English. ⟨NNT : 2017PA01E071⟩. ⟨tel-02612808⟩

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