The Strange History of Why Prices End in 99 Cents

Prices ending in 99 cents have been used for more than a century, and research shows the leftmost digit can influence how shoppers perceive cost. Rounding $19.99 to $20 can make comparisons easier. (Pexels).

Walk through almost any store and you will see the same pattern: $4.99, $19.99, $299.99. That one-cent difference looks trivial, yet 99-cent pricing has survived from cash registers to smartphones. Its staying power is not simply about shoppers being “fooled.”

The history mixes disputed origin stories, quirks in how people process numbers, and a pricing signal retailers still use.