Earlier quoted context omitted.
I think the take is: If 100k people watch the episode, spending $200 more for higher quality subtitling comes out to... a whopping 0.2 cents per person (per episode). Let's just say that would cost an extra $1/month per person. Are they price sensitive enough that they won't go to a competitor that's a few dollars more expensive per month if it has better subtitles? I don't know, but maybe some manager believed they…
i think you've counted it in a way that makes it sound cheap, but in reality isnt. $100k per month is extra revenue, if they do a half-assed job. A customer actually has no competitor to move to - crunchyroll has a defacto monopoly (barring piracy). The price of the subscription is already adjusted to be the maximum of what the market would bear for maximum revenue - presumably raising that price higher would lead to…
When fansubs were good, Crunchyroll was forced to compete with them on quality. It's hard to convince people to pay when the alternative is both free and much higher quality.
Now that they've driven fansubs groups "out of business", they no longer face the same degree of competitive pressure to deliver a quality product.