Comment by matthewdgreen
Comment by matthewdgreen 3 days ago
One of the things that’s surprising about traveling to Europe and Japan is that this revenue maximizing business strategy isn’t as prevalent. You don’t see the same upsells everywhere and tipping culture is also mostly non-existent. Many US businesses managed to behave in a manner that was vastly less extractive to their customers for most of the last century as well. It really is possible to care about the quality of your business in some cultures, it’s just harder to do so here today.
It's exactly harder but when customers prioritize price above everything it's hard to succeed if you offer better, but charge more.
The hard truth is that American consumers care only about price, and so businesses optimize for that (or go under). Which means they lean into other sources of revenue, or ways to reduce costs.
Elsewhere people care about value more than price, and are willing to spend more to get more. Restaurants post the real price (including service) because that's what it costs.
Ryanair exists to fill the need for those who want low price above all else. KLM exists for those who want a better experience and are prepared to pay more.