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Old 05-06-2015, 05:01 AM  
aka123
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Originally Posted by kane View Post
There also seems to be a magic number for what people will pay for certain books. I was reading an article a little while back where someone selling short stories on Amazon said that if they priced them at .99 cents they got good sales. If they raised the price to $1.49 the sales went down a tiny amount, but the extra money more than made up for it. However, when he put the price at $1.99 the sales dropped dramatically so he went back to the slightly lower price.
Don't ask about those formulas. But if you know the price elasticity, you can calculate the optimum price what brings the most profit.

Price elasticity of demand - Wikipedia, the free encyclopedia
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