Stickyness absolutely helps. But it won't get you anywhere close to a MAG7 operating margin. I think we are already seeing the start of price wars. I cancelled my ChatGPT subscription once i realized Gemini Pro was included in my Google Workspace and never looked back for a second.
I am arguing that “distinctly better” isn’t the most important thing in consumer products. Habits, familiarity, and individual taste at far far more important.
People just build affinity to products. The vast majority of people buy the same brand toothpaste they grew up with. “Better” isn’t even a consideration.
Would you?