Price Points on eBooks

Do you ever judge a book by its cover? How about by its price?

Between podcasts, conferences, and online articles I’ve been hearing more and more division amongst readers regarding the appropriate price tag of ebooks. Some readers believe price is loosely associated with quality, while others adhere to a strictly cheaper-is-better outlook. NPR had a great broadcast about readers who only buy ebooks listed under 99 cents, whereas other readers refused to buy books under 99 cents altogether. At one conference I attended, an ebook publisher suggested that $1.99-2.99 is the sweet spot. And of course, the bestselling price tag continues to be the one that is listed as FREE.

So what do you think is an appropriate price tag for ebooks? Do you prefer stories listed under a certain price point or above? Do you make exceptions for certain types of ebooks that don’t fit into your customary price range?