I must admit, I’ve seen the rise of the “subscription model” of business and I’m not a fan – and I’m not particularly referring to Spotify.
The cable company says, “Why spend all that money on a DVR? We can rent you one for a low, low monthly price.” or Netflix says, ” Why pay for just the movies you rent? We’ve got a monthly service for a low, low price?”
Economically, it’s rather like a lunch buffet, and they know. It’s a mug’s game. They know that, on average, people will get less than they pay for than under a pay for service used model. Plus, a monthly fee equates to a steady revenue stream for them, with a built in resistance to certain vagaries of market fluctuations.
It makes complete sense from the vendor’s point of view, but less so from the consumer. I’ve never understood why Apple didn’t leap on streaming services. From their perspective it should be a no-brainer.
I’ve just tried to tell myself that they’re trying to do right by their customers and provide a higher value per product ratio.
(Pollyanna though my viewpoint may seem, just remember one can’t be a cynic without once having been an optimist.)