Apple TV +: subscribers do not stay after the release of big movies
The release of large films on Apple TV + should normally attract new subscribers, but these do not remain on the streaming platform, explains the firm Antenna which shared its data with the wall street journal.
Apple TV+ struggles to retain subscribers
For example, Apple TV+ saw 60,000 new subscriptions in July 2020 when it releasedUSS Greyhound: The Battle of the Atlantic, a movie starring Tom Hanks. The 60,000 subscriptions do not include people who activated their free offer obtained with the purchase of an Apple product.
Upon arrival, less than 50% of these new users were still subscribers six months after the release ofUSS Greyhound: The Battle of the Atlantic. 30% of subscribers who signed up when the film was released abandoned the streaming platform within the first two months.
Apple TV+ isn’t the only streaming service that has struggled with big movies. For example, HBO Max aired the movie in the United States Wonder Woman 1984 at the same time as the cinema screening. There was a spike in subscriptions on release day, and then a lot of people left the platform after a few months. Same story on the Disney+ side with the musical hamilton.
Antenna explains that many people subscribe for short periods of time and then unsubscribe. But the streaming platforms manage to attract more people than they lose, which allows them to have positive data on arrival.
A catalog too light
“You constantly need new content”, said Michael Nathanson, an analyst at MoffettNathanson. Streaming services not only need to build vast libraries of old series and old movies, but they also have “need a few big theatrical movies every quarter to feel like they have real value”. For once, such a scenario in France is impossible because of the chronology of the media. This imposes a delay between the cinema release and the streaming release.
Apple TV+ relies on original content and there are not many of them. Subscribers therefore quickly made the rounds. It is sure that it does not help to keep them in the long term. An availability of films and series from other studios could help justify the subscription.
