Price Anchoring
DEFINITION
The practice of placing a higher-priced option next to your target tier to make the target look reasonable by comparison.
In depth
Classic example: Apple pricing the 256GB iPhone near the 512GB — suddenly the 256GB feels like the smart buy. On SaaS pricing pages, the Enterprise tier exists partly to anchor — few customers buy it, but its presence makes Pro look like the sensible middle.
Anchoring is not a trick. If the anchor is fake (nobody can actually buy Enterprise), it undermines trust.
Related terms
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Last reviewed 14 April 2026 by Abhi Verma.