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> offer a service at a loss, and then after capturing the market, raise prices or penalize for inactivity I mean, as much as I dislike it, it makes sense busi
by amf12 4y ago
> offer a service at a loss, and then after capturing the market, raise prices or penalize for inactivity
I mean, as much as I dislike it, it makes sense business wise. Let users try it, find it useful and then make money out of it. People who love the product will continue, who don't use it much will move to competitors who might be making a loss any way, or stop altogether.
Do you expect them to make a loss forever or try to be profitable in the first month when users wouldn't even know if it makes sense lifestyle wise?
FWIW, I don't see the benefit of Amazon Prime anymore and might discontinue it when my membership comes for renewal.