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Re:Grover raises €37M Series A to offer latest tech products... by wongarsu on Monday July 30, 2018 @08:51AM (#17644045)
It obviously has to be more expensive than buying the stuff yourself, otherwise they wouldn't make money. What you are buying is essentially flexibility.

It's great if you

- need the equipment for the next trade fair or vacation and give them back after that

- know you will switch to the latest model that will come out in 6 months but need something until then

- are a cash-strapped startup and are fine with paying extra as long as you don't have to provide money upfront

Especially the last category might be a major market.

Re:Grover raises €37M Series A to offer latest tech products... by mmt on Monday July 30, 2018 @10:34PM (#17650105)
> It obviously has to be more expensive than buying the stuff yourself, otherwise they wouldn't make money. What you are buying is essentially flexibility.

> - are a cash-strapped startup and are fine with paying extra as long as you don't have to provide money upfront

This is where the legitimate value of VPS and cloud computing for early startups.

The price premium (i.e. a multiple, rather than merely a percentage) is comparable. That implies a high degree of waste/risk with unused/unreturned inventory is baked into the price.

What I have yet to read, when reading about this benefit, is what happen when the startup is no longer cash-strapped. In practice, I've seen many remain "fine with paying extra", with the benefit being not having to transition to the cheaper option. It's a subtle form of lock-in.

This service, however, appears to be aimed at consumers and only considering B2B in the future, so perhaps it's all academic.

Re:Grover raises €37M Series A to offer latest tech products... by i_cant_speel on Monday July 30, 2018 @10:51AM (#17644776)
Use case #2 is something I would definitely consider this option for.