> Yeah but in this case, it’s a one time fee for a recurring expense
Yeah it hides the actual cost of offering a service. Appealing to user's ideals, which in some cases is useful.
As someone who prefers one-time costs over reoccurring costs, I also understand that unless you can accurately bill me, its not a true model. While it's nice to save money when purchasing bulk, I prefer up-front costs for a sense of "freedom" and "completeness". I still think it's possible to sell accurately priced products with longer time frames.
The same distribution still occurs right, if I pay you up front, you have access to more capital, which can be more valuable compared to minimum short term payments. Therefore a tax is added to short term payment plans and/or a discount applied to initial payments/contracts.
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A one time price in this case is one layer of abstraction too far.
It is unpredictable how long a lifetime user will stay, while relay costs are easily translateable to a “average cost per user per month” with little variance.