Sam Maule, Managing Partner – North America at 11:FS says: “Apple’s chief motivation for the Apple Card offering, in partnership with Goldman Sachs, is creating a deeper customer relationship centered around the Apple ecosystem.
“And the Apple ecosystem is centered around hardware, specifically the iPhone. The concept for Apple is straightforward. The more transactional activity it can lock into the Apple ecosystem, the more loyal the Apple consumer is to the brand. And we all know how loyal Apple fans are to the brand.”
Suresh Vaghjiani, CEO & Co-Founder of Tribe Payments, has a stronger view and claims that Google is often seen as a “poor copycat – coming to the market with me-too offerings. Google Pay shortly after Apple Pay and now Google Checking after Apple, Amazon and Facebook have made major plays.”
Adam Gibson, Executive Director, Skymind Global Ventures adds that “Apple’s business model allows it to focus on prioritizing user privacy over selling ad targeting” and “Google gives away its software and collect data from it – so banking is just another scheme to collect data from its users,” Alex Batlin, CEO, Trustology agrees and says that “Apple has made a big play to sell products and services whereas Google has made its play in monetising data.”
MacDailyNews Take: Because smart people realize that there’s no such thing a a free lunch and, if it’s “free” from Google, your personal data is really the cost.
“The more transactional activity it can lock into the Apple ecosystem, the more loyal the Apple consumer is to the brand. And we all know how loyal Apple fans are to the brand.”
So inmates are “loyal”? I don’t think he read his own BS.
Isn’t there an Android site you could infest and engage in circle jerks with your comrades?
Nah… not a fan
And answer me… why do loyal customers need to be locked in?
He said it, not me.
He did not say it like that. What he says is, that „(t)he more transactional activity it can lock into the Apple ecosystem” <– There is nobody speaking of people, but of “things” you can do… pay, play, watch porn, 😉 whatever… and as Apple fans are loyal to the brand, the “more” you offer them, the more likely they will have “no reason to change”… because say, there is one thing, one Apple fan would really like to do, and it is not possible with iOS and iPhone. They might then change to Android. But now that Apple has music streaming, credit cards… there is even less reason to change. Nobody said that “people” are incarcerated. At least that is how I interpret it.
I stand corrected.
Thank you.
You’re welcome. 🙂
A “moat” around a business is another way to be “locked in”…wouldn’t you say?
The largest holder of AAPL and one of the world’s most successful investors says he looks for companies that have a clear/strong business moat/lock, as a main factor before he buys for an investment. ‘Tis a good strategy for an investor and a good strategy for a company that wants to make money.
Sadly, many (most) people continue to believe that they have relative anonymity when using their computers and mobil devices. Whether they don’t understand or just don’t care is difficult to say. But once you connect to the internet, your privacy takes a serious hit.
Thankfully, their are companies developing new business models where privacy is a priority. For altruistic reasons, or just simple profit, Apple is part of this new model for online life. Anyone who cares about not being “stalked” by business ought to join the Apple eco-system and learn to use software such as Duck Duck Go, Brave, MeWe, a VPN, and many others that value your privacy. We live in an evil age. More than ever it is good to be wise as serpents and innocent as doves.
If you use Google, Facebook, or other like companies, know that you are their product. You are their source of money making and profit.The more people demand to control their privacy and support businesses that respect your privacy the more the market will resolve this issue.
Be smart. Take responsibility.
There are at least two billion monthly active Android devices on this planet and that count is still growing. I would say from that growing number I don’t think most of those device users are all that concerned about trusting in Google. I have never heard Wall Street say anything about lack of trust in Google hurting the company or causing any decrease in monthly active users or loss of market share percentage. Apple, on the other hand, is constantly said to be in trouble due to a shrinking iOS market percentage despite the company having a relatively secure platform. No matter how much Tim Cook claims Apple is on the forefront of keeping user data private, it doesn’t stop iOS from losing market share.
Don’t get me started about Facebook. Data breaches and federal investigations over privacy isn’t stopping the stock price from rising to all-time levels. Facebook is gaining more subscribers than losing them. Do you think most Facebook users are all that concerned about their privacy? Facebook’s rising subscriber count shows users must have great trust in Facebook and Lord Zuckerberg. Wall Street loves companies that monetize user data. It’s like turning free user data into pure gold.
So, if Apple is more trusted than Google or Facebook, it would be very hard to tell from any actual numbers. I honestly don’t think most people are concerned about such boring stuff. All most people want are free services and cheap devices. Privacy or trust simply don’t matter very much to users. There will never be a mass exodus from Google or Facebook due to a lack of trust on the user’s part.
Whenever any privacy or trust problems crop up, Apple’s name will be always thrown in as being part of the problem because it’s a large tech company. No one is going around singing praises of Apple for protecting user privacy. As far as privacy and trust are concerned, I believe Apple is considered, by the general public, no different than Google or Facebook.
Note the assumption for ‘trusting’ Apple here is privacy and possibly stability. Individuals can trust other companies for a myriad of other reasons. Even Apple has a hard time protecting its users once they access anything outside the Apple ecosystem.
“Apple’s business model allows it to focus on prioritizing user privacy over selling ad targeting”
There are millions of people posting all sorts of personal information about themselves on open forums, including nude photos & videos of them having sex. But somehow they are suppose to be concerned about “privacy.”