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March 12, 2019

Comments

Aaron Buzza

Maybe this is the "new math" in a real life setting. Mike wants to charge Bill $40 for things Bill doesn't want. Bill wants to pay Mike $6 for something he does want that Mike still sells, but packaged with the $40 stuff Bill doesn't want. Mike doesn't want Bill's $6, so instead Bill pays Mike $0. Mike still makes money hand over fist. Solve for "x."

Bill Geist

Exactly...and, I'd love to know what their "x" is. My gut tells me that they are benefiting from consumer laziness (guys who just let their subscription roll). And, yet, they've recently pivoted to promoting "every other month" plans...so, I don't think I'm all that different from what they are experiencing. You hit it on the head, though. I'm willing to pay $6 (hell, I'm willing to pay anything under retail)...and they are getting $0. How long can Unilever maintain this strategy?

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