We cannot say that Apple TV+ is a cheap platform, although it is not expensive either. It all depends on the situation and each person’s point of view. Yes, it’s a reality the subscription price increased by 100.2% in just two years. It was born at the end of 2019 for 4.99 dollars per month and remained that way until 2022 when it then increased to 6.99 dollars and since the end of last year it already costs 9.99 dollars per month ( or 99.99 dollars per year). Apart from subscriptions like Apple One, of course.
The fact is that Apple TV+ competitors follow a different strategy. With clear or relative price increases, but with a very different paradigm from that of the Apple platform, which favors the exclusive catalog (although shorter) and does not add advertising in any plan.
Advertising is already taking over many streaming services. Not Apple’s
True to the term “advertising”, it has actually always existed in virtually all content on streaming platforms. There is what we call product placement, which are those scenes in which, subtly or not, the characters interact with a product. However, The ads themselves were more typical of linear TV than VOD (video on demand).
Netflix was one of the first to add a package with ads. At a lower price, yes, but also removing other features such as image resolution or video quality. It was recently followed by Disney+ and, starting this year, also by Amazon Prime Video, which is already adding series advertisements to all subscribers in some countries (in USA they will arrive during this quarter). In the latter case, they will allow you to remove these advertisements, but by paying 3 dollars more per month.
And the worst is that It seems to be a common trend on virtually every platform. At least the older ones. HBO Max in USA is free, but Max will be its successor in the coming months and the conditions will change. It is not yet official that in USA they are going to bring a plan with advertisements, but given that in the United States they have done it and that the competition is already adding them, it is an open secret that they jump on this bandwagon.
Can Apple TV+ add ads? By proxy, they can even put them in place tomorrow. However, there is no indication that they wish to take this route. The platform still does not distinguish the functionalities of the different packages, always offering the best quality in a single package (monthly or annual). Of course, this idea may change, but we have already warned that this is not something that experts consider likely in the short to medium term.
And platforms like Netflix have done well with the advertising plan because, according to some studies, a good portion of new registrations are associated with this economic plan with advertisements. Regardless, the premise of these plans is clear: will Those who do not want advertising and also want the best quality pay more. Examples here are both Netflix and Disney+, as well as Amazon Prime Video, which, while not creating a new plan, ultimately requires paying more to eliminate advertising.
Exclusive content is already a hallmark of Apple TV+, for better and for worse
Apple TV+’s debut wasn’t good. Although they only cost 4.99 dollars, their catalog was very rare. If we compare the current one with that of other platforms, we could also describe it as concise. However, its growth is too great to be profitable each month.
“TV” application on Mac
And this is another feature that Apple TV+ was born with and which also shows no signs of changing. At Apple, they are aware of the obvious weak points of this plan. For example, don’t opt for classic third-party content that is still successful on other platforms. Or that those looking for more casual content don’t have what they’re looking for on Apple TV+.
Because if it is true that in the end taste is very subjective and that we cannot qualify all the films and series on the platform as works of art, it is true that all carry significant economic investment behind them. Something which, incidentally, could also be a weak point. However, it is intuitive that the platform will find more profit there than paying rights to third parties.
A different strategy, but one that hasn’t worked yet
This strategy is neither good nor bad. This is simply their strategy. For objective purposes, Apple TV+ is still below its competitors, but not as much as it was a few years ago. This is not known with complete precision because there is no public data on streaming audiences, but this is reflected in some studies which claim that it is the third platform in the world.
“TV” app for smart TVs
However, also brings disadvantages. Subjective, of course, because ultimately it all depends on the expectations of each user. In general, the format of series premieres with airing one or more chapters of a new season, but letting the rest be released individually each week, is often highly criticized. But it’s also a strategy: keeping viewers hooked longer.
It is also worth highlighting another element of differentiation compared to the rest of the platforms: although many of them partner with operators in countries like USA to include subscriptions in addition to fiber and mobile packs, Apple is committed to gaining viewers through its ecosystem. And no, we’re not talking so much about its availability on all of the brand’s devices, but rather about how it tries to link the platform to other services.
Apple One is the best example. All of their plans include Apple TV+, Apple Music, Apple Arcade, and iCloud storage (also Apple Fitness+ on the most advanced plan). Simply by wanting to benefit from at least two services, it makes sense to subscribe to one of these packages. Even more so if they are shared and paid for as a family.
Therefore, this adds to the iI hope that Apple will continue with this differential strategy compared to the competition. There have always been rumors about how difficult it is for Apple to reach subscribers to its platform, but if one thing is clear it is that if it was not profitable or if there was a forecast it would not wouldn’t continue or they would have. took a sharp turn. That of advertising or opening to third parties is not visible.
Cover image | James Yarema on Unsplash
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