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They definitely price below cost right now, given their financial performance. But they're raising prices literally right now; they're working on averaging up t
by 013a 9y ago
They definitely price below cost right now, given their financial performance. But they're raising prices literally right now; they're working on averaging up the amount customers pay without shocking customers to better reflect the cost of their services.
In other words; a business fundamentally cannot price all of their customers below cost indefinitely, and Netflix is working in the right direction. On the other hand, you can price customers above cost if demand is there, and demand for Tinder is there because their business model relies on exploiting biological addictions in our brains.