Pricing Psychology & Revenue Models

Pricing Ethics: Transparency vs. Obfuscation

Regulators in 2025 tightened rules on hidden fees and disclosure across sectors. Test your grasp of transparent pricing, eligibility fences, and compliant renewal flows.

Total‑price disclosure rules in 2025 primarily aim to ______.

show the full price upfront including mandatory fees

let firms add fees at checkout

allow teaser prices only

hide reinstatement costs

Upfront, all‑in prices reduce deception and surprise charges.

A compliant practice when offers vary by user is to publish ______.

the types of offers and the conditions that qualify

undisclosed minute‑by‑minute changes

surname‑based pricing

no logic at all

Disclosure reduces perceived discrimination and supports audits.

Under new UK rules in 2025, agencies gained power to ______.

ban subscriptions entirely

approve every price change

directly fine firms for consumer‑law breaches

set retail prices centrally

The CMA can directly enforce and fine, shifting incentives toward compliance.

Transparent subscriptions should include ______ before renewal.

no notice period

maze‑like flows

hidden exit fees

clear reminders and easy cancellation steps

Reminders and simple cancel paths respect user autonomy and reduce complaints.

For fairness, eligibility‑based discounts should be ______.

tied to surname

based on device brand

objective and verifiable (e.g., student, nonprofit)

opaque and discretionary

Objective fences segment legally while preserving trust.

Dynamic pricing engines stay ethical when they ______.

stack hidden fees onto discounts

never log decisions

record audit logs and enforce cadence/price‑swing guardrails

change prices per user with no rules

Traceability and guardrails prevent abuse and support investigations.

A red‑flag signal of obfuscation is rising ______.

RSS reads

billing disputes and chargebacks

site font downloads

favicon impressions

Disputes and chargebacks reveal perceived deception in pricing or renewals.

Ethical win‑back messaging after lapse should ______ fees.

auto‑bill without consent

hide fees until checkout

disclose any reinstatement costs up front

use threats of data loss without options

Clear disclosure preserves trust and reduces post‑purchase complaints.

When inventory is scarce, transparency suggests ______.

running bait‑and‑switch bundles

widening discounts secretly

adding surprise service fees

limiting deep discounts and explaining scarcity impacts

Short supply raises opportunity cost; honesty avoids backlash.

A pricing page pattern that supports trust is ______.

teaser prices with hidden mandatory fees

dynamic totals that change at payment

missing downgrade information

side‑by‑side tiers with full inclusions and predictable add‑ons

Clarity on inclusions and add‑ons sets accurate expectations and reduces complaints.

Starter

You understand the 2025 transparency push—apply clear totals and eligibility rules.

Solid

Nice—enforce audit trails, renewal notices, and fair fences.

Expert!

Excellent—you’re pairing compliance with clear value to customers and regulators.

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