Reply to post: Re: Did you ask Dave what he thought about that?

Nest reveals the first truly connected home

Stoneshop
Big Brother

Re: Did you ask Dave what he thought about that?

Now the default is not to sell "something" but sell a "service" that you first pay and arm and a leg for and then continue paying forever and a day to keep it running at full spec.

You can easily see this just about everywhere: subscription services instead of buy once use forever. Software. Cars (private lease). Even home appliances like central heating systems. Just about the only area where I more or less prefer such a subscription is Renault leasing you the batteries for their electric vehicles (and only the batteries). Of course you can put aside that amount of money per month, saving it up for the moment you need to replace them, but if those batteries have degraded sooner than you budgeted for you still have to come up with the moolah one way or another. And as a getaway vehicle for a bank robbery one with degraded batteries is probably not ideal.

Companies want a steady income stream instead of relying on just item sales. Which tends to become a bit of a problem when you're selling durable consumer goods; you can try to increase repeat sales by selling non-that-durable goods instead but then there's the risk that consumers turn to other brands, exacerbating your problem. So much better if you manage to turn whatever it is you're selling into some kind of subscription, especially if that locks the consumer into a controlled ecosystem.

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