I Told Ya (Price Reduction)

[Betelgeuzah]

That's not the point.

The point from the original thread is about the way in which total revenue can possibly be increased through a price reduction since more people will have crossed the threshold to wanting to pay.

I still think the equilibrium point for optimal revenue is still a little lower than $9.99, but hey.

Even 9.99 means 25% more people would have to pay for the service as opposed from 12.99 fee.

Even that sounds far-fetched, much more-so when you keep lowering the fee. I think they are going to be on the losing end here to meet the customers at half-way (I guess for PR purposes). I don't think this reduction will result in 25% more subscribers than with a full price.