this post was submitted on 20 Jan 2026
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How can eight-to-five possibly be the biggest differential when eight-to-four is $1 bigger and obviously just as valid given that $4 = $5?
It just means that $4 is the least optimal variant of $5, while $8 is the most optimal
Oh biggest differential from $5, not biggest differential altogether.
Not exactly, what he's saying is that "a $5 DLC" is more of a vibe than a specific price point, and people mentally treat DLCs with both $4 and $8 price points as being "a $5 DLC". So there's no point in lowering the price to $4 because it won't increase sales and you may as well charge $8 because it's not until you get to $9 that people re-evaluate and decide it's a different vibe, "a $10 DLC", which feels like a bigger purchase.
But there's just as little point in lowering an $8 dlc to $5 as to $4. There would be a point in raising a $4 to $8, and that's a larger differential than $5 to $8.