Apple Arcade: Apple Making Big Investments to the Game Subscription Service – The Buyer’s Journey 40

Apple is reportedly investing $500 million in it’s game subscription service Apple Arcade. But is that enough to get it off the ground?

The Retention Stage: A Refresher

The Retention stage of The Buyer’s Journey focuses on maintaining relationships with your current customers and clients. Ideally, your clients will be so happy with their experience that they’ll make another purchase from you. But clients and customers don’t always do this without a little push. There are specific tactics that are particularly effective during the Retention stage. One of the biggest tools is email marketing campaigns.

A Game Subscription

In March, Apple revealed their new game subscription service Apple Arcade coming sometime in the future. The service will reportedly allow users to access over 100 new and exclusive games for a subscription fee. What that fee is unknown at this time. In addition, Apple says Apple Arcade games will be available on iPhone, iPad, Mac and Apple TV devices.

CNET reports that as part of the Apple Arcade push, Apple is investing $500 million in the service. Videogames are expensive to make, of course, but many of the games that will appear on this service will cost much less than most AAA videogames. Apple says that they have game companies such as Annapurna Interactive, Bossa Studios, Cartoon Network, Finji, Giant Squid, Klei Entertainment, Konami, Lego, Mistwalker, Sega, Snowman and Ustwo working on games for the service already.

The reason we discuss this service on the show is because of subscriptions tying directly into the retention phase. Subscriptions are always about keeping customers coming back, or at minimum, maintaining their subscription fee. A great way to do this is through exclusive content, as we’ve seen with Hulu, Netflix, and other streaming services.

While we are seeing Google and Microsoft coming into the videogame subscriptions service, Apple has a big advantage. First, there are tons people with Apple phones, tapping into the lucrative mobile gaming market. Second, Google’s Stadia focuses on gaming streaming, while Apple isn’t. This is beneficial to Apple because streaming certain AAA games can be massive burdens on internet bandwith. That can result in slow gameplay or input lag, something that kills enjoyment of games. Apple allowing users to download the games skips this problem.

Check out our next episode where we’ll discuss a news article covering the Advocacy stage of The Buyer’s Journey.

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