On 2023-08-25 15:55, Jay Hennigan via mailop wrote:
Subscriptions are for recurring events
Subscriptions are for monetization. Look at the speeches to investors of
Marry Barra (GM CEO) and other in the industry that is turning cars into
cellphones on wheels for hints. Gyms have discovered it long ago that
they can oversubscribe and buyers underuse. Same for Netflix & Co. -
users either underuse, or overconsume. In both cases they are paying
more than what a market without subscription would do. Car
manufacturers think they have you captive in your seat and sell
subscriptions for seat heating (BMW), are trying again to sell
subscriptions to GPS data (after their yearly SD-card upgrades at cost
of more than a decent Garmin or Tomtom were tanked by "free"
GoogleMaps). In most cases, user is better off without subscriptions.
If cellular operators were forced to advertise a spot price per minute
or GB, rational economics predict that the cost of cellular bandwidth
would be very low most places / times, except where and when there is a
concentration of users because events. They prefer you subscribe, and
their pricing is intentionally set according to the formula: bundle 1:
$X for 10% less than the data quantity that user in the 70%-quantile
need; bundle 2: $X+10 for 2*data in bundle1; bundle 3: $X+20 for
"unlimited" data. Because financial analyst are looking at revenue per
subscriber per month. So they blind the public and the regulator with a
low $X/month offering, but end up with most users paying $X+10 or
splurging on $X+20.
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