Apple’s streaming service started with a dearth of content and programming, even though the Apple TV+ library has more than doubled since the service’s launch last fall. When trial subscribers’ free year ends, how will Apple retain them, i.e., get them to sign up as paying subscribers?
Bundling.
The Entertainment Oracle for Seeking Alpha:
The problem is that Apple needs something to make up for those “samplers” shuffling off, and it needs something that will be a long-term fix versus a one-year patch. We started seeing that in recent weeks, as Apple has reportedly entered into talks to buy catalog content from other networks/studios, while also teaming with studios on producing new films and acquiring others – including the newly dated Greyhound, which was originally set up at Sony (SNE) (pre-COVID-19) and now will stream on the platform exclusively starting July 10th.
In general, it’s a smart strategy because it firmly shifts the focus of a larger overall part of the company versus just one element of it. On top of that, it shows Apple finally putting its weight into what was likely a pricey venture for investors overall.
It also stood to reason it was only half the story and more would be coming.
As it turns out, more is coming…
Apple has four key subscription services” Music, TV+, News and Arcade. Music and News cost $9.99 a month, while TV+ and Arcade are $4.99 a month, so basically, all four will run you $30 a month… Now though, say you bundle it and let’s pick $20 as an potential price point, so each service essentially costs $5, and for someone who (also like me) has two of the four already, there’s now an incentive to add to my bundle because I’m receiving more bang for my buck.
And for the record, if Apple offered a $20 bundle with the four services, it’s something I’d likely do – and I don’t think I’m alone.
MacDailyNews Take: Don’t forget about iCloud storage which we believe Apple will use to sweeten their “Apple Prime” deal to the point where it becomes a no-brainer for millions of Apple device users to happily sign up!