Apple App Store bundling

16

October

2019

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With the arrival of IOS 13, Apple introduced its new application store subscription plan. A lot like Netflix and other streaming services, Apple Arcade lets you play unlimited games for a monthly fee. The subscription includes more than 100 games for just 5 euro per month, with new games coming up in the next few months. The service appears to be just like Netflix, with games sorted in premade categories, for example, adventure or family games. Additionally, Apple provides a recommendation system to provide you with new games which you might like.

 

With this new service, Apple applies bundling to their App store. This is where companies bundle all their loose components and create a package. In this way, companies can skim of consumer rent. This works because not every consumer value is the same for each game. But when combined the average value averages out. This will then become the monthly flat fee.

In my opinion, this is a great step from Apple. And could potentially be that second time Apple will change the app industry completely. If this new subscription model is a success, almost nobody will think about buying single games anymore.

I do not play a lot of games on my mobile device, and if I want to play a game, I do not want to pay 5 euro just to download a game I might not even like. With this new subscription model, some consumers might be willing to pay five euro per month to play all of the games from the created bundle. On top of this, there is a huge amount of new games to play each month will be a big advantage.

There are already some rumours that Apple is aiming to combine all of her services into one big bundle, which would include apple music, apple tv and games.

 

Bright (2019) Review: Apple Arcade kan de App Store compleet veranderen

Available at: https://www.bright.nl/tests/artikel/4851621/eerste-indruk-apple-arcade-kan-de-app-store-voor-altijd-veranderen

 

Levy, Adam (2019) Apple services bundle powerful as amazon prime

available at: https://www.fool.com/investing/2019/10/11/apple-services-bundle-powerful-as-amazon-prime.aspx

 

Metha, Ivan (2019) Apple is reportedly considering bundling Apple TV+ and Apple Music Availabe at: https://thenextweb.com/apple/2019/10/08/apple-is-reportedly-considering-bundling-apple-tv-and-apple-music/

 

 

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