GM Thinks: ‘Apple Special Event 2019′
Hosted at the Steve Jobs theatre in Cupertino, CEO Tim Cook spoke about Apple’s new offerings including the Apple Card, Apple TV, Apple TV+, Apple Arcade and Apple News+.
Following the success of subscription-based platforms such as Netflix and Amazon Prime, it would only make sense that one of the largest tech powerhouses would want to increase their market share and compete in this space. Apple TV+ is set to be an on-demand, subscription-based service that will be available on Apple TV (the app) in 100 countries from this Autumn/Winter period. With the roll out extending to selected TVs including Samsung, Sony, LG and Vizio.
Apple TV+ looks to cater for several audiences including celebrity focused chat shows geared towards women featuring Jennifer Anniston and Reese Witherspoon to more specifically children’s content the Helpsters teaching children about coding (interestingly produced by the Sesame Street team).It has also been reported by some that the service will be non-commercial at this point. However, knowing that Apple is a largely commercial entity we expect it won’t be too long before advertising opportunities appear across the service, even if in a limited format during the early years.
Will it therefore capture viewing away from linear TV channels alongside other SVOD offerings including Netflix and Amazon? At this point in time we would not estimate it to have a significant impact on the children’s market as there are not a high level of children’s focused content being discussed at this stage. However, the adult market may suffer particularly if Apple continue to invest in new high-quality, exclusive content.
As these subscription-based platforms gain increasing traction it does put current and additional fees such as Sky subscriptions and TV license fees under some scrutiny.
Apple also announced their introduction of Apple Arcade which will include 100 exclusive titles at launch and will allow users to play video games on their phones becoming ‘the Xbox and PlayStation of mobile gaming’. It is interesting that the announcement came a week after Google released news on Stadia, their new gaming platform which doesn’t require a console. The potential capabilities meaning that multiple versions at different price points will allow consumers to download versions without the cost of the disc reading tech.
The negative impact that Apple’s new services may have on the media industry and for advertisers specifically is that they represent further erosion of commercial impacts. The platforms which are widely being discussed as non-commercial will limit audience availability. Therefore, a key concern is how media channels will provide mass awareness with a proven return for future campaigns.
For any more information or to discuss what the introduction of new technology could mean for your campaign please do not hesitate to get in contact through our website.