But you're still talking from the point of view of an author. This is not an author site. Goodreads is not an author site. Do you know how much their ads cost and how effective they are? There are a lot of groups and pages on Facebook that consist solely of authors spamming each other "because we have to support Indies" and it's just noise. No one listens. This site is reaching out to readers.
I think the pricing is bad from the point of view of readers, too. Why? Because the best books will be advertised on the sites that give good return. It's only authors who are desperate/new will pay those prices for that return.
So from a readers point of view, Bookbub is superior. Bookblastik is just an inferior copy. Which is fine: Booksends is a copy but they have lots of subscribers and charge a reasonable price.
Average downloads on bookbub is about 40 for a dollar. (Plus you'll get a boost with those numbers.) Average downloads on bookblastik are 20 for 10 dollars or 2 for a dollar. Not even close.
I agree their website looks good; if they can 10x their numbers and keep the prices the same then I'll have zero complaints with them.
I presume it doesn't cost much to get a website designer to copy Bookbub. Probably doesn't cost much more to pick up 500 subscriptions via advertising. If they can get authors to overpay to this degree, then it's a super profitable business model, taking advantage of the fact that authors are desperate for advertising opportunities.