this post was submitted on 31 Aug 2025
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I don't think so. They're still making the exact same revenue per sale on average. The cost isn't relevant here, another way of looking at it is in the case the customer pays nothing they've lost the cost of the goods and the profit they would have otherwise made, so it evens out.
It works out well for the seller if, by providing the option to gamble on the product, they increase sales, which I would guess it would (at the expense of being morally grey).
It entices people to buy/play when they may be on the fence or not that interested, so it is probably a net positive.
And say it is 50/50 odds then and the product is 50 bucks to make and $100 to sell. If they do double or nothing they lose $50 cost(and no profit) and next one (doublel they make $200 ($50+ $150 profit) So 2 items with total product cost of 100 brings in $200 so $50 profit over both sets.
So it seems company does same business, but a chance of luring in potiental extra sales on the gamble
You're right actually, come to think of it. Their revenue would be the same overall.
Assuming the odds are 1:1. It's implied but not explicitly stated, which suggests it's probably not 1:1.
Edit: yes, I know this is a meme.
You’re forgetting that the house always wins
The truth is, the game was rigged from the start.