In this model, a single fixed fee for a product or service is charged, regardless of actual usage or time restrictions on it. The user benefits from a simple cost structure while the company benefits from a constant revenue stream.
How they do it: On Spotify, users are unable to purchase individual songs or albums. Rather, they gain access to all songs on their platform for a flatrate, monthly fee.
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How they do it: With Porsche Passport, announced in 2018, customers do not purchase a car, but obtain access to a vehicle via the monthly subscription. It consists of an all-access subscription for $2,000 to $3,000 per month and includes a variety of car models (e.g. two-door and four-door models), from which the customers may flexibly choose a model of their liking.
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How they do it: Membership to access McFit’s fitness club facilities costs €19.90 per month. It includes access to every area, as well as the shower fee. Most clubs in Germany, Austria, Spain and Poland are open 24 hours a day, 365 days a week. The customer does not pay for the individual visits, but a flat rate fee is collected in form of the membership fee.
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How they do it: Already in 2000, Verizon introduced nationwide, flat-rate pricing options for consumers and businesses. Today, Verizon customers can subscribe to an unlimited plan (voice, data and text) for as little as $40 per month.
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How they do it: The Swiss Federal Railways (SBB) offer a membership service called ”General-Abonnement”. With the GA, customers can travel in Switzerland on all means of transportation in the Swiss public transport network.
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