Minzhe Xu and researchers at Iowa State University's Ivy College of Business identified a growing retail tactic that delays price disclosure during online shopping. Rather than hiding prices entirely, retailers increasingly require customers to complete additional steps—adding items to a cart, clicking a button, or signing in—before revealing the cost.
The team published their findings in the Journal of Consumer Research after observing this pattern across multiple online retailers. The delay forces shoppers into what researchers call a "fill in the blanks" scenario. When prices remain hidden, customers form their own mental estimates about what items should cost.
This psychological gap creates a strategic advantage for retailers. Once shoppers have committed mentally to a purchase by adding an item to their cart or entering personal information, they face a decision point. A revealed price that differs from their internal expectation can trigger different responses depending on the direction of the gap.
The research examines how this practice influences consumer behavior and purchasing decisions. By understanding what shoppers imagine prices will be, retailers gain insight into willingness to pay before disclosing actual costs. The delay also increases friction in the shopping process, which can work in retailers' favor by locking in customer commitment before price shock sets in.
The tactic represents an evolution in pricing strategy. Rather than the traditional approach of displaying prices upfront, this delayed-disclosure model leverages behavioral economics and the anchoring effect. Customers who have already visualized owning the product and gone through the effort of adding it to their cart may be more likely to complete the purchase, even if the revealed price exceeds their expectations.
Xu's work provides data on a practice that has become increasingly common in e-commerce but remains largely invisible to consumers. The findings highlight how retailers design friction and psychological checkpoints into the shopping experience to influence decision-making at critical moments.