Apple News+ may be doing better than initially expected, according to new reports.
Digiday has suggested that, whilst Apple’s new premium news subscription service might not be “wowing” the world’s biggest publishers with millions of dollars in returns, some of them have reported “encouraging” results of growth after the service launched earlier in the year.
We previously reported that Apple had been struggling to encourage consumers to sign up for the new $9.99 service, which offers readers access to hundreds of premium news titles.
Recent reports suggest around 200,000 people currently subscribe in the United States.
However, magazine executives have spoken with Digiday and confirmed that they’re happy that they signed up to Apple News+ as it unlocks a new revenue stream for their businesses.
But Apple News+ hasn’t had a significant impact on their bottom line, they added.
Speaking to DigiDay, one executive said: “We’re happy to be on there because it’s another way to increase subscription revenue, but it’s not like it’s a huge boon for our business or anything like that. It’s not really relevant.”
However, despite a lukewarm reception and slow burner growth, the source added that it has seen revenue increase every month since Apple News+ launched, enough for the company to renew its contract with Apple in 2020.
He added that most publishers signed up to a one year trial with Apple and that they were all able to opt-out of the device should they wish.
Essence, a monthly magazine for African-American women between the ages of 18 and 49, is another title to feature on Apple News+.
Its Chef Content Officer MoAna Luu told DigiDay that she was “encouraged” by the early numbers she had seen from Apple News+, and added that she was happy it allowed the company to grow outside of the United States.
However, it’s not all good news for Apple. Several publishers expressed their concerns about advertising and the amount of work that goes into formatting content for the News+ platform.
Several reports have suggested Apple will bundle its Apple News+, Apple Music, Apple TV+ and Apple Arcade services into one pay-monthly package in 2020 to lock more consumers into the Apple ecosystem. A $14.99 per month price has also been touted.
Are you surprised to hear the latest Apple News+ developments? Do you subscribe to Apple News+? Join in the conversation over on Twitter and check back soon for more updates.
