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'Goldilocks pricing'
From QI with the 'utterly brilliant' Stephen Fry
You have a range of three and the most expensive one is unbelievably expensive. And the second one is really a quarter as much, it seems just as nice, really. And then there's a third one that's really very cheap. And most people will go for the second one. They think it's just right, they think, "Ooh the first one's too expensive? so that's a bargain."
A good example, supposedly, of Goldilocks pricing is the air fare, actually. The basic economy price for a transatlantic airliner is about ?500 and then there's business class for a mere ?3,500 and then first class with a full-size bed and the ability to order food whenever you want and other things for ?8,000. And according to Goldilocks pricing, business class with all it's perks looks like a bargain when compared to the ?8,000 even though it's still seven times as expensive as economy.
W.x