The Psychology of Name Your Own Price

Although it empowers consumers, this pricing method has significant downsides.

Name Your Own Price (NYOP) was made famous by Priceline in the late 1990s and then adopted by other sellers including online fashion retailer Garmentory and eBay. In this post, we’ll look at the psychology behind the NYOP pricing method.

In some respects, NYOP is similar to Pay What You Want (PWYW) pricing that I’ve written about before. Both involve a…