[NikolaNovak]

>> I would much rather have 20 apps that I pay $10/mo/ea for than to buy one new $600

Right, and that's a fair preference, as long as we understand that some people have different preferences. I'm in completely opposite camp - I'm paying ridiculous amount of money a month for apps that I use once or twice a year. I am also paying money for apps I use all the time but that I'll lose the moment I stop paying.

I have frequently rejected a $5/month app that I would've happily bought for $30, even if I know I only need it once and can cancel after a month (utility type software usually).

[codetrotter]

> I have frequently rejected a $5/month app that I would've happily both for $30, even if I know I only need it once and can cancel after a month (utility type software usually).

I agree but I also want to point out that it is possible to cancel the subscription right after you start it, and that way you are only charged once and you get to use it for the month that you paid for, without having to remember to cancel the subscription later. This is very helpful to me at least.

[NikolaNovak]

Logistically that is 100 % true.

Practically I don't do it, cognizant it may not be a rational choice but rather an emotional one (or possibly it is long term rational - I don't want to support that model for apps that don't need updates, further development, or online / server support. E.g. Why is a file duplicate detection app, or file sync app, or data recovery app a monthly fee? If you made it well once I don't need to update it virtually ever - or if I do, than the features must be massive and it's ok to have ver 2 for money. I feel subscription is often a money grab, life fitness hope that people will forget to cancel, rather than some mutual value proposition.)

[quickthrower2]

It is almost game theory:

The SaaS wants to extract as much value as possible. They don't know YOUR individual use case or threshold, but they need to price in a general way so that based on the model of reality, the most revenue will come in (+ whatever other goals).

You want to get as much value as possible.

If they know that you use it twice a year, they could offer you a special price. But doing that for just you might be not worth the extra code in their licensing and usage tracking system. So there needs to be lots of you.

In addition there could be high paying whale users happy to pay a lot and only use it twice a year.

So they need to know how tight/loose each customer is, in addition to what they want, to come up with appropriate pricing.

It would be like a bazaar where the price for a vase is 1000 but locals will haggle it down to 100, expats will get it for 150, tourists that haggle get it down to 250, and naive tourists pay 1000, the full price. And the seller can look at them, their body language, the look in their eyes, and judge the price accordingly.

AI might get us there!

[jsmith99]

I'm sure differential pricing would be more efficient but there aren't any easy ways to do it. Maybe developers can advertise discount codes on sites where cheapskates hang out. Can you imagine the backlash on HN if it turned out apple track how much you use apps and increased the price if they thought you were likely to find the app useful?