I don't find it confusing at all. She was willing to pay twice the amount for an unrestricted FP, with no limits, no tiering, and the ability to FP the same attraction more than once a day. The value has diminished greatly.
I think a lot of people aren't getting this, those of us who have children who are in love with specific rides HATE this system, because we can't FP the same ride more than once, and are limited to 3 total, in one park. I don't give a rats patootie about any other ride in EPCOT than Test Track, because my child doesn't give a rats patootie about any other ride in in EPCOT than Test Track. I want 3 Test Track FP+ spots, I don't want a FP for Living with the Land or Turtle Talk w/Crush, and wouldn't need one for those rides anyway. We don't really care that much for TSMM, I want 2 FP+ reservations for the ToT, and one for the RNRR.
If the only advantage to staying on site is that you can book reservations in advance, but everyone on or offsite can book via kiosk when you enter the park, there is no reason to spend 2x the amount to stay on site when everyone really IS equal in terms of FP+.