“For
many people outside of the US (Apple Music launched in 100 countries), you
still have to explain what it is and how it works. Beyond that, there's still
the issue of winning over millennials, who never pay for music, by showing them
you're offering something that will improve their lives. And finally, there are
people out there who I think understand its value, but we still have to go out
and get them”
Apple executive Jimmy Iovine
in an interview with USA Today on Thursday August 6th 2015 on Apple’s 11
million Trial users.
It's
only been a two months since the launch of Apple Music, the real highlight of
Apple's WWDC (World Wide Developers Conference) held earlier on Thursday June
2nd 2015 as reported in my Geezam blog
article entitled “Apple
WWDC 2015 debuts OS X 10.11, Watch OS 2.0 and Apple Music”.
Apple's Senior Vice President of Internet Software and Services Eddy Cue, made this known in an interview with USA Today as reported in the article “Apple Music hooks 11 million trial members, App Store has record July”, published August 6, 2015 by Marco della Cava, USA Today.
Apple Music – The Spotify
alternative that looks a lot like Spotify
Apple
Music was launched on Tuesday June 30th 2015, but not without a little bad
blood from Taylor Swift as reported in my blog article
entitled “@TaylorSwift13
and Vinyl – Why Female Hipsters diggin’ her New Groove as Vinyl Sales Rise”.
Those
11 million trial subscription aren't paying customers; they're just trying out
the service, as they're not sure if they want to pay or not.
Apple Music service charges aren't that different from Spotify, another Music Streaming service that Taylor Swift had a beef with back in November 2014 as reported in my blog article entitled “@TaylorSwift13 leaves Spotify – How Spotify’s continues to give 37.5 million users Globally Free Music who need to pay for Music Streaming”.
If
you decide to jump onto the Apple bandwagon, the charges are as follows:
1.
US$9.99 per month for an Individual plan
2.
US$14.99 per month for a Shared Family Plan (6 people)
3.
24/7 radio station called Beats 1
4.
Connect Social Networking that allows musicians and their
fans to meet
So
with such a sweet deal, it explains the large number of trial users? But will
they become dedicated users eventually?
Apple Music 11 Million Trial
users – Spotify has Apple in their Rear View Mirror
Apple's
Apple Music Manager Eddy Cue also was quick to point out it wasn't just
freebies; some 2 million people have already subscribed to the US$14.99 Shared
Family Plan.
Apple has some 800 million iTunes subscribers. With more iOS devices being sold and so many loyal iTunes subscribers, it's hoped they'll just upgrade to Apple Music instead of jumping on the Spotify Bandwagon.
Additionally,
by offering Apple Music streaming, they also hope to attract more persons to buy
Apple Products. This might not work out as planned, as Apple's Apple Music
Manager Eddy Cue wasn't too clear on demographics i.e. Age, gender, location
and whether they were mainly New Apple customer or iTunes converts.
Still,
these are impressive stats, when compared to Spotify, their closest rival who
have been Growing Strong as reported in “Spotify
gathers users, cash as battle with Apple Music looms”, published June 10,
2015 by Don Reisinger and Joan E. Solsman, CNET
News.
According
to the article, in May 2014 Spotify had:
1.
10 million paid subscribers
2.
40 million active users
By
December 2014, Spotify had:
1.
15 million paid subscribers
2.
60 million active users
Currently
Spotify now looms large as they have:
1.
20 million paid subscribers
2.
75 million active users
To
put that in perspective, if Apple could convert their 11 million trial users
into paid membership, they’d be 50% of the way to beating Spotify. Apple
clearly has Spotify in their sights, and they’ve got come serious Ad
campaigning ahead, with billboards, TV spots and Radio Ads.
Apple Music coming to Google
Android – 100 million Subscribers by 2016
Their
Apple Music for Google Android which they promised at Apple WWDC will be
launched very soon, expanding their reach.
I’m a bit skeptical, though, that they can beat Jay Z’s Tidal Music Service which is basically an army of Music Celebrities pushing HD Audio Streaming as explained in my blog article entitled “Jay Z's US$19.99 Tidal HiFi launched with Artiste Backing - How HD Audio Quality Music selected by Artiste will turn the Tide”.
With
that kind of marketing muscle, 100 million subscribers will be a tall order for
the Cupertino Kids who like to Think Different. Most likely, that growth spurt
will occur when Apple Music spreads to Google Android Land!!!
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