Publishers, Apple remain in a stalemate over iPad subscriptions

Posted:
in iPad edited January 2014
Apple and magazine publishers have still not been able to reach a deal for selling subscriptions on the iPad, as publications reportedly want extensive subscriber data, but Apple is unwilling to give it.



Peter Kafka at MediaMemo reported Friday that Apple and publishers are "still miles apart" on the prospect of subscriptions for iPad content in the App Store. The two sides remain at odds over the same issue they've allegedly been debating since early this year: Publishers want personal data about subscribers to provide to advertisers, and Apple doesn't want to allow it.



Apple is reportedly offering publishers the option of an opt-in form, which would allow subscribers to grant publications the ability to access a "limited amount of information" about them, such as their name, physical mailing address, and e-mail address.



They've also proposed the same revenue sharing plans used to great success on the App Store, where Apple keeps a 30 percent cut of all transactions.



"The offer has been on the table for a 'couple months,' I'm told, and so far none of the big publishers have gone for it," Kafka wrote. "They don't like the 30 percent cut Apple wants to take, but their real hang-up is the lack of access to credit card data: It's valuable to them for marketing, and without it they can't offer print/digital bundles, either."



As a result, he said publishers are now looking toward Google and tablets running the Android mobile operating system, in hopes of finding some success on that platform instead.



However, the anticipated tablet-only daily publication from News Corp, called The Daily, doesn't have many the same issues, because it's a new product that's doesn't have existing customers on the print side of the business. One rumor has suggested that The Daily will be formally announced, along with Apple's subscription plans, at an event on Dec. 9 or soon after.



For months, reports have claimed that Apple is unwilling to share consumer data beyond sales volume to publishers who are interested in putting their publications on the App Store. It has been said that Apple has pitched an opt-in function that would allow consumers to willingly share some information, but according to Kafka's sources, Apple still refuses to give more detailed demographic information.



Print publishers view demographic data from readers as their most valuable asset, as they rely on that information to sell advertisements.
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Comments

  • Reply 1 of 62
    I think the solution to this is easier than anyone is making it. Publishers can offer 12 issue subscriptions to customers for $15 with no data taken OR give them the option of a 15 issue subscription for the same price if they fill out a voluntary survey. If the information is valuable, the publishers will in effect be paying for it. And Apple won't have to protect anyone. All can go in with their eyes wide open.



    Everybody wins and no one has to hassle.
  • Reply 2 of 62
    For protecting my privacy... shame on you publishers for wanting my information without letting me know about it.
  • Reply 3 of 62
    Quote:
    Originally Posted by RayInHou View Post


    For protecting my privacy... shame on you publishers for wanting my information without letting me know about it.



    Yup, longer this drags out worse it looks for the publishers.
  • Reply 4 of 62
    Quote:
    Originally Posted by RayInHou View Post


    For protecting my privacy... shame on you publishers for wanting my information without letting me know about it.



    Happy to hear someone is looking out for my privacy!
  • Reply 5 of 62
    Quote:

    Print publishers view demographic data from readers as their most valuable asset, as they rely on that information to sell advertisements.



    How much purchaser data to print publishers get when someone buys a printed newspaper? None.
  • Reply 6 of 62
    Hate to break it to you all, but about 80% or more of magazine revenues come from advertising. Digital ads are worth FAR less money than the equivalent hard copies, which means publishers need to recoup the lost money somehow.



    Funny how, just to plug my iphone into my computer to sync, etc., I had to create an iTunes account, give my full personal details including cc number and 3-digit security, etc, and then Apple tries to jam Ping down my throat to further gather customer data; most apple fans are fine with that, but if Conde Nast wants to do the same, its a big deal...



    It's not like they're asking for your criminal record and dental history, they basically just want your postal code and email address, the same shit you'd give them if you wanted to subscribe to their print editions... They don't even want your credit card number/date of expiry/3 digit security, which apple happens to collect and store, and they don't want a list of every song app and film you've ever bought either, which Apple also happens to store. What's the big deal?
  • Reply 7 of 62
    Quote:
    Originally Posted by RayInHou View Post


    For protecting my privacy... shame on you publishers for wanting my information without letting me know about it.



    My thoughts exactly. It's astounding that publishers expect to know everything about all their readers. Make this an opt in thing or else I'm not on board. When I pay for an app on the iTunes App Store it's a transaction with Apple. Apple needs my credit card info not the publisher of the app. They have no right to it. None.
  • Reply 8 of 62
    Quote:
    Originally Posted by pembroke View Post


    How much purchaser data to print publishers get when someone buys a printed newspaper? None.



    When somebody subscribes, they get the purchaser's name, address, sometimes email, and credit card number (and CC company). If someone buys single copies at a newsstand, they usually pay about double the subscription rate, which reflects the loss - although they still get sales data from the newsstand and can in turn use that to sell more ads as well.
  • Reply 9 of 62
    Quote:
    Originally Posted by Superbass View Post


    Hate to break it to you all, but about 80% or more of magazine revenues come from advertising. Digital ads are worth FAR less money than the equivalent hard copies, which means publishers need to recoup the lost money somehow.



    Funny how, just to plug my iphone into my computer to sync, etc., I had to create an iTunes account, give my full personal details including cc number and 3-digit security, etc, and then Apple tries to jam Ping down my throat to further gather customer data; most apple fans are fine with that, but if Conde Nast wants to do the same, its a big deal...



    It's not like they're asking for your criminal record and dental history, they basically just want your postal code and email address, the same shit you'd give them if you wanted to subscribe to their print editions... They don't even want your credit card number/date of expiry/3 digit security, which apple happens to collect and store, and they don't want a list of every song app and film you've ever bought either, which Apple also happens to store. What's the big deal?



    You are completely misrepresenting the facts here.



    - The difference between the publishers and Apple is that Apple is opt in, and the publishers want the same information from everyone regardless of whether the people want to opt in or not.



    - The publishers *aren't* just asking for your name and address, that's the whole point and is explained at length in the article that you apparently didn't bother to read carefully before posting.
  • Reply 10 of 62
    Quote:
    Originally Posted by AppleInsider View Post


    "They don't like the 30 percent cut Apple wants to take, but their real hang-up is the lack of access to credit card data: It's valuable to them for marketing, and without it they can't offer print/digital bundles, either."



    Quote:
    Originally Posted by Superbass View Post


    They don't even want your credit card number/date of expiry/3 digit security...



    Seriously?
  • Reply 11 of 62
    I don't know so am going to take a stab at listing what they're haggling over. I would imagine it would start with names and potentially demographic data. In addition magazines want control over subscriber lists so they could rent/sell/trade subscriber lists. Finally I would imagine they'll want control over advertisement.



    I'm willing to put up with some marketing especially and understand they also *should* honor opt out requests for sharing your address with third parties. Subscription costs have *never* paid for the magazines (all the wages for original content, branding, development, distribution, printing, etc). The roles of publisher and distributor are a bit blurred at the least. It's clearly not going to be simply I can see that there are going to be tough negotiations and a lot of gray area.
  • Reply 12 of 62
    mac_dogmac_dog Posts: 689member
    Quote:
    Originally Posted by Superbass View Post


    I had to create an iTunes account, give my full personal details including cc number and 3-digit security, etc, and then Apple tries to jam Ping down my throat...



    apple is hardly forcing ping down my throat. i merely opted not to enable it and it's forgotten.

    you must have just wanted something to complain about.
  • Reply 13 of 62
    Quote:
    Originally Posted by Superbass View Post


    It's not like they're asking for your criminal record and dental history, they basically just want your postal code and email address, the same shit you'd give them if you wanted to subscribe to their print editions.



    No, the publishers want more than basic info.



    Quote:
    Originally Posted by Superbass View Post


    They don't even want your credit card number/date of expiry/3 digit security, which apple happens to collect and store...



    Um, yes they do. Did you not read the original post?



    Quote:
    Originally Posted by AppleInsider View Post


    Apple is reportedly offering publishers the option of an opt-in form, which would allow subscribers to grant publications the ability to access a "limited amount of information" about them, such as their name, physical mailing address, and e-mail address...



    "The offer has been on the table for a 'couple months,' I'm told, and so far none of the big publishers have gone for it," Kafka wrote. "They don't like the 30 percent cut Apple wants to take, but their real hang-up is the lack of access to credit card data: It's valuable to them for marketing, and without it they can't offer print/digital bundles, either."



    And BTW, Apple requires the information they do because you are buying something from them. EVERY business you buy merchandise from with a credit card gets your credit card number, name and location. If not, the transaction would not happen.



    If publishers need my personal information from an iTunes App Store purchase they need to ASK for it because I'm not buying from them.
  • Reply 14 of 62
    blah64blah64 Posts: 928member
    Quote:
    Originally Posted by hezetation View Post


    Yup, longer this drags out worse it looks for the publishers.



    Yup. Thankfully, AI is helping by putting this story out in front of the public. We need other media outlets to start reporting this out as well. Spread the word.



    Quote:
    Originally Posted by Superbass View Post


    It's not like they're asking for your criminal record and dental history, they basically just want your postal code and email address .... What's the big deal?



    The big deal is that they want to require this against the users' preferences. Apple is offering an opt-in, which is perfectly reasonable. By definition, if the publishers are pushing to get this user data via non opt-in methods when opt-in is available, then they are explicitly pushing for rules that run counter to what users want? What good could possibly come from that?



    The question is: Why would ANYONE think this is okay?!
  • Reply 15 of 62
    These publishers become more irrelevant with every passing day. They will finally agree to Apple's terms when they can afford no longer to be part of the iTunes ecosystem.
  • Reply 16 of 62
    kerrybkerryb Posts: 270member
    "Print publishers view demographic data from readers as their most valuable asset, as they rely on that information to sell advertisements."



    I would think that a women's fashion magazine would be focused on advertisers selling products to....women. Unfortunately too many people willingly give too much personal info to consumer product corporations. I applaud Apple's stance on this one unless it is a giant bargaining chip that is.
  • Reply 17 of 62
    MacProMacPro Posts: 18,295member
    Quote:
    Originally Posted by jsmythe00 View Post


    But here?s an easier one. When you subscribe, select the option ?share my info? or something similar. You then fill in all the info about you that you want to share.



    I doubt the publishers would agree to even that sensible approach.
  • Reply 18 of 62
    For once in my life I'm cheering for Rupert. I hope his product eats their lunch and other publishers have to come groveling.
  • Reply 19 of 62
    Quote:
    Originally Posted by Blah64 View Post


    Yup. Thankfully, AI is helping by putting this story out in front of the public. We need other media outlets to start reporting this out as well. Spread the word.



    Exactly. The timing is perfect as the government is taking up the whole matter of snooping on people's browsing without their knowledge. This is just the right time for Apple to hold the line. Before much longer it may not even be legal to do what the publishers are holding out for.



    Soooo, maybe Apple should "cave" knowing that the Feds will cut off these shenanigans anyway?
  • Reply 20 of 62
    sheffsheff Posts: 1,407member
    Hopefully they can figure something out. Subscriptions are needed on the iPad, and they are needed NOw. In fact they should have been here yesterday.
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