Apple looks to rejigger Apple News+ as publishers carp over low revenues, 'unfinished' pro...
Apple is reportedly working to refine the structure of Apple News+ after a slower than expected launch, with some publishing executives complaining that the bundled subscription service is generating less revenue than promised.
Citing publishing sources in contact with Apple, Business Insider reports the tech giant is actively seeking input from publishers as it tweaks Apple News+ to address concerns from partners.
One pressing issue is money. Apple is said to have estimated publishers would in their first year on News+ rake in 10 times the revenue they made from Texture, the digital magazine subscription service Apple acquired in 2018 to build its premium news product.
"It's one twentieth of what they said," the publishing executive said. "It isn't coming true."
While some publishers are seeing lower subscription revenue than what was generated on Texture, others say the amount is about the same, the report said. Texture was not viewed as a major subscription driver when it was active, but publishers were hoping Apple's massive installed user base would boost uptake.
With that in mind, Apple VP Peter Stern, who is in charge of wrangling partners for both News+ and the forthcoming Apple TV+, and head of News business Liz Schimel are asking publishers for input.
In meetings, Apple acknowledged users were confused about the difference between free and paid content, the report said. For subscribers, the Apple News app incorporates both free and paid articles in the "Today" tab, while a separate "News+" tab highlights curated content from for-pay publications. Those who use the app for free have access to a limited selection of aggregated articles in Today, typically below or mixed in with advertisements for the News+ service.
Further, some publishers believe Apple News+ is "unfinished" and does not have the same level of polish typical of Apple's hardware and software offerings.
"I don't think they're putting their full effort behind it," one exec said.
Apple has provided publishers with tools and templates to turn their respective content offerings into a format digestible in News+, but some say support is lacking.
Apple News+ launched in March, presenting users the option to access about 300 magazines for $9.99 per month. According to reports at the time, the service attracted some 200,000 subscriptions in its first 48 hours of availability, more users than Texture had at its peak. It should be noted, however, that Apple offers a free one-month trial to new users.
Citing publishing sources in contact with Apple, Business Insider reports the tech giant is actively seeking input from publishers as it tweaks Apple News+ to address concerns from partners.
One pressing issue is money. Apple is said to have estimated publishers would in their first year on News+ rake in 10 times the revenue they made from Texture, the digital magazine subscription service Apple acquired in 2018 to build its premium news product.
"It's one twentieth of what they said," the publishing executive said. "It isn't coming true."
While some publishers are seeing lower subscription revenue than what was generated on Texture, others say the amount is about the same, the report said. Texture was not viewed as a major subscription driver when it was active, but publishers were hoping Apple's massive installed user base would boost uptake.
With that in mind, Apple VP Peter Stern, who is in charge of wrangling partners for both News+ and the forthcoming Apple TV+, and head of News business Liz Schimel are asking publishers for input.
In meetings, Apple acknowledged users were confused about the difference between free and paid content, the report said. For subscribers, the Apple News app incorporates both free and paid articles in the "Today" tab, while a separate "News+" tab highlights curated content from for-pay publications. Those who use the app for free have access to a limited selection of aggregated articles in Today, typically below or mixed in with advertisements for the News+ service.
Further, some publishers believe Apple News+ is "unfinished" and does not have the same level of polish typical of Apple's hardware and software offerings.
"I don't think they're putting their full effort behind it," one exec said.
Apple has provided publishers with tools and templates to turn their respective content offerings into a format digestible in News+, but some say support is lacking.
Apple News+ launched in March, presenting users the option to access about 300 magazines for $9.99 per month. According to reports at the time, the service attracted some 200,000 subscriptions in its first 48 hours of availability, more users than Texture had at its peak. It should be noted, however, that Apple offers a free one-month trial to new users.
Comments
However I am confident, from my experiences, once she gets a feel for what this service is and how it makes consuming web media so much more pleasant that we will be subscribing long after our free trial.
It’s been clear for quite a while now that it is worth, now and in the long run, to pay directly for the news services. Lest advertising, tracking and clickbaiting becomes ever so more prevalent.
Lots of women's magazines and fading stars (Time Magazine) though.
I don't think I'd like to read National Geographic on an iPhone.
But I'm sure it will appeal to some (with a lot of time).
The app on the iPad works well as a centralized place to read the news. I have over 15 sites its getting content from.
The problem is I have no interest in News+ because it’s mislabeled as “news”. The content is magazine articles...
I think people click on it and don’t see “today’s news” and move on. I do think the Texture model has value, but it’s been presented the wrong way.
That was the last straw for me.
That said, it’s disappointing China is moving in the wrong direction. If they keep getting more restrictive, revolution gets more likely not less... At the end of the day, a knowledgeable/educated population is ideal.
Put News+ in its own tab. Make a My Magazines tab front and center. Makes it so that for anyone who doesn’t subscribe to news this tab will be empty like Apple Music for non-subscribers and people will get curious and subscribe.
I do agree that the line between News and News+ is unclear, and the app is barely a 1.0 release. I expect improvement going forward.
Would have been nice if they had gotten the NY Times, but that was never going to happen. They’re proprietary now, to the point where they downplay important stories they haven’t broken themselves. Newspapers have always been like that to some extent, but it’s become exponentially so in the Information Age.
I hope eventually Apple will get the WaPo on board, though.
Well that sucks. Didn't know Apple News was just a search engine....