Psychological pricing case study

At CX Lab, we recently worked with a leading travel operator to explore how behavioural science could be used to optimise their online pricing strategy.

Using our proprietary behavioural science testing platform, we designed a series of experiments to test how different psychological pricing techniques influence customer behaviour. These included:

• Changing Defaults – Presenting the most profitable option as the default choice.
• Decoy Pricing – Introducing a third price point to nudge customers toward a more profitable option.
• Social Proof – Highlighting how many others had booked a certain experience to drive urgency and confidence.

The Experiment

We mocked up several versions of the company’s booking website, with each test isolating a specific behavioural pricing principle. Each version was shown to a test group of real, target customers – while a control group went through the existing booking journey.

Once we identified the best-performing features from each individual test, we combined them into a final, optimised version of the site and ran a final round of testing.

The Results

The results were impressive.

While we can’t disclose exact figures, we saw strong performance across several behavioural pricing strategies – driving measurable increases in both upsell and revenue per transaction.

Not every idea worked, and that’s exactly the point. Behavioural testing allows us to find what what works before rolling out costly changes across your channels.

The final optimised version delivered a 3.5% increase in revenue – a boost that falls straight to the bottom line and represents a meaningful uplift in profit.

Why It Matters

Psychological pricing works. But it works best when rigorously tested.

By combining behavioural science with real customer testing, we help businesses like this travel operator de-risk innovation and unlock hidden commercial opportunities.

Interested in how behavioural science could help you optimise pricing or increase revenue?
Get in touch with us at CX Lab.