> And maybe a few people cancel because it's too crowded
Wouldn't you consider that a per-visit cost?
Wouldn't you consider that a per-visit cost?
A customer with a gym pays a monthly rate... That rate is paid even if they use it. The running cost of the gym remains the same whether or not someone comes to the gym.
This comparison, then, doesn't make sense. MoviePass is paying directly each time a customer uses the service. While both services are better off with people simply giving their money for something they don't use, only MoviePass actually LOSES money if people are using the service. The gym, on the other hand, doesn't.