Looking for in depth reading on Subscriptions in a free market. Any recommendations? #austrianeconomics
Main question:
When are time based subscriptions actually desired by consumers?
(Insurance is the only thing I can think of, and even there).
Discussion
Newspaper, isp, cable tv, netflix, gym, private schooling, email...
The austrian economics answer is when the individual perceives greatly more value than cost they might subscribe to a service.
Sometimes an individual might have a choice in purchasing one off access vs a subscription, which again comes down to the preference of the individual.
Specifically on the latter, amazon video has an option sometimes to subscribe to a “tv channel” monthly, which provides unlimited access to certain shows & movies. You can also purchase or rent a movie, a season of a TV show.
The choice is empowering to the consumer.
Newspaper 👉 you buy X newspapers per month, not time based
Cable tv, netflix, gym, private daycare 👉 Why would the consumer not prefer to buy credits for the X number of shows, accesses, days, ... they actually consume?
Top Up > Monthly Sub