Re:Mastercard sued for $19B in Britain's biggest damages claim
by tracker1 on Friday September 09, 2016 @02:49PM
(#12465038)
But that won't lower prices... as it stands, even if rewards programs were eliminated today, and fees were capped as in europe, the prices of goods would not go down.
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Re:Mastercard sued for $19B in Britain's biggest damages claim
by grahamburger on Friday September 09, 2016 @03:51PM
(#12465536)
I'll bet they would. Especially online.
Online retailers (esp small ones) are paying ~2.5-3% in credit card fees, and compete heavily on price. I run a small online store - if my credit card fees suddenly dropped by 2% the first thing I would do is drop all my prices accordingly.
Re:Mastercard sued for $19B in Britain's biggest damages claim
by tracker1 on Friday September 09, 2016 @04:17PM
(#12465713)
The vast majority of pricing I see online is $##.99, not $##.74, etc...
Re:Mastercard sued for $19B in Britain's biggest damages claim
by usrusr on Friday September 09, 2016 @06:36PM
(#12466528)
Rounding to stupid numbers (.99) works just like rounding to reasonable numbers: there are some inputs where a sub-granularity change would push the result over the threshold and others where it would not.
But your observation gave me an entirely unrelated idea: could a merchant, online or not, use deliberately random "##.74 instead of ##.99" prices to give the impression of really tight margins, even when they are actually wide?