Lately, we’ve been talking a lot about the new subscription services set to launch this year and in 2020. Those discussions usually revolve around the content and features that will set each new streaming service apart from the competition. With Apple investing $6 billion in original content, it’s clear that they’re hoping the quality of content will draw in subscribers.
That said, Apple might have another advantage that isn’t being talked about as much – its loyal customer base. An article in Forbes broke down the numbers to show how this could work out for Apple.
In the Apple event on September 10, the company announced that everyone purchasing a new iPhone, iPad, and Mac will get a free year of the streaming service. As the Forbes article points out, Last year, worldwide, Apple sold 217.8 million iPhones, more than 44 million iPads, and 18 million Mac desktop and laptop computers, totally about 280 million products. If this year’s numbers are a reasonable 225 customers, that means a huge number of people receiving a free year of Apple TV+.
If just half of those customers choose to use the service, and if those are joined by just 1% of the customers who currently own 1.4 billion existing Apple products, that would give Apple TV+ 125 million subscribers.
Apple will obviously benefit from those trying out the service for free and opting to continue with a paid subscription when that free year is up. It’s also worth mentioning that many customers will keep the service just because the low price point of $4.99 per month won’t make a large dent in their monthly budget. As Forbes points out, some customers likely won’t even notice the monthly charge.
Will you be subscribing to Apple TV+ when it launches on November 1st? Will you be taking advantage of the deal for a free year when buying a new Apple product? Let us know in the comments. We’d love to hear what you think.
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