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Consider this -- if they're offering it and they've been in business more than 15 minutes, it must be to their advantage and not yours. It's like electronic ext
by lutusp 14y ago
Consider this -- if they're offering it and they've been in business more than 15 minutes, it must be to their advantage and not yours. It's like electronic extended warranties and service plans -- retailers offer them because they're money machines.
- niggler 14y agoS/minutes/months/. Early on the prices might be at-current-cost or even a slight loss (to gain traction) and then creep later on.
- manuelflara 14y agoNot necessarily. Sometimes they just need the cash now. Think about the famous American Airlines lifetime tickets: http://articles.latimes.com/2012/may/05/business/la-fi-0506-golden-ticket-20120506 http://articles.latimes.com/2012/may/05/business/la-fi-0506-...
- corry 14y agoThis is true, but for most startups the 'advantage' is that cash now is much more valuable than cash later (since it can be plowed back into growth). It's not that it's more profitable for us to strike sweetheart lifetime deals (it's actually less profitable overall), but by having the money up-front we can grow more quickly. My $0.02