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Purchasely Takeaways #7: Subscription League, Apple won its appeal, In-App spending 2021 metrics, milestones achieved by SVOD services, top priorities of news publishers

Purchasely Team
Purchasely Team
@purchaselycom
Hello everyone,
December is always crazy! Knowing how busy you must be, we wanted to be sure that you had heard about:
✨ our 1st in-person event set up in Paris that gathered 60 subscription French experts listening to 7 great speakers from Health, Music, News and Photography. Subscription League #1 was co-hosted with Addict Mobile. Videos of round tables will be available soon.
✨ our participation to App Promotion Summit Berlin (see some pictures) two weeks ago. Main takeaway: people were happy to be there and to see each other. Great energy and vibes among the App Ecosystem!
More news about Subscription League’s initiative in January 2022!
Enjoy the Rest of the Year and the Holiday Season!
The Purchasely team.

Epic Games vs Apple: Episodes 3 & 4
The legal battle looks like a Netflix series
Previously, on Epic Games vs Apple:
  • Episode 1: On September 10, the District Court of Northern California released an injunction that may enforce Apple to allow 3rd-party payment solution.
  • Episode 2: Apple filed an appeal on October 8 against the injunction.
  • Episode 3: The Californian Judge denies Apple’s request on November 9, Apple filed an appeal at the Ninth Circuit Court of Appeals.
The Episode 4 was released on December 8: Apple granted delay in complying with App Store changes required by Epic ruling.
No surprise. Legal complaints have always been a long process in the USA. As we wrote several weeks ago, nothing will change before YE 2021.
(btw did you see The Billion Dollar Code ?, amazing German television miniseries).
How could App Stores detect out-of-app purchases?
Our CPO & co-founder, Jean-François Grang, delivers his view about the capacity of Apple & Google to monitor payments made without their own In-App Purchase system.
In the legal filing submitted by Apple (read here 30 pages), there may be a signal that Apple intends to collect commission regardless of whether developers use IAP or a competing payments platform.
We know that Google will do such collection in South Korea (read our latest newsletter). As the Purchasely team is receiving a lot of questions related to that topic, Jean-François wrote a Twitter thread ⬇️
Jean-François GRANG
Many started wondering how that could even be done. The payment is performed (or canceled) outside of the app and Apple and Google have no way to know what happens when the user leaves the app.
And other events like renewals are not even tied to app sessions or activity.
Jean-François GRANG
One (tricky) way to proceed would be to send purchases events to Apple/Google using the Payment Service Provider's WebHooks.
Stripe, for example, can send purchases events through a WebHook (similar to what Apple does with S2S). This could be used to accurately track revenues.
Jean-François GRANG
But that would require Apple to handle every possible PSP and this is a long list (https://t.co/C2UY3n7Wgq) or limit to a closed list of certified PSPs.
Jean-François GRANG
There are still remaining issues for apps that mix In-App Purchases and physical payments as Apple/Google cannot take a percentage as it wouldn’t have been an In-App Purchase.
Same for distinguishing the source between Website / App Store / Play Store.
Jean-François GRANG
Once again this is not easy and even if solutions could be found (account by sources…) it will generate a lot of mess.
This pretty much shows how complicated it would be and that some blind spots remains.
Next week should bring some answers.
Consumer In-App Spending continues to climb
Time for 2021 recap: App Annie & Sensor Tower are releasing the same figures!
Key takeawayas:
  • In-App Spending Reached $135 Billion in 2021
  • +20% increase vs 2020 (same growth rate than ‘20 vs '19)
  • iOS market share:65% (-1%)
  • 145 billion downloads
App Annie lists 16 non-game apps in its Billion Dollar Club (apps surpassing $1 billion mark in global In-App Spending).
New milestones achieved by Subscription Companies
The Walt Disney Company reaches 180 million subscribers, and Bertelsmann’s goal is to hit 10 million paying subscribers by the end of 2026.
1️⃣ Key figures released by Disney among its Fiscal Full Year and Q4 2021 Earnings Results Webcast
  • Disney+ subscribers are up 60% y-o-y at 118.1 million
  • ESPN+ subscribers are up 66% y-o-y at 17.1 million
  • Hulu subscribers are up 20% y-o-y at 43.8 million
While Disney+ saw its average revenue per user (ARPU) drop from $4.52 to $4.12 year-over-year, ESPN+ watched its ARPU increase from $4.54 to $4.74 during the same period.
2️⃣ One month ago, Bertelsmann announced a very ambitious plan with a content investment to nearly $700 million annually.
Its flagship, RTL, will launch a multi-service streaming platform combining digital content from across Bertelsmann media group,
  • including television series from RTL,
  • ebooks from publishing giant Random House,
  • magazines from Gruner + Jahr and
  • streaming songs from the Deezer music service
RTL+ currently has 2.4 million subscribers in Germany.
Together with its Dutch SVOD service Videoland, Bertelsmann’s goal is to hit 10 million paying subscribers by the end of 2026, to generate 1 billion euro in streaming revenue.
3️⃣ We released this summer an article about Travel and Subscription. Since, eDreams Odigeo is accelerating with 1 million subscribers acquired in 6 months (150k new monthly subs vs 40k per month in Q1)!
How RTL+ Aims to Compete With Netflix – The Hollywood Reporter
How RTL+ Aims to Compete With Netflix – The Hollywood Reporter
Europe’s largest commercial TV network is launching a first-of-its-kind streaming service that will combine video, e-books, podcasts, digital magazines and music. “The only thing [Netflix] is afraid of are the local players.”
www-hollywoodreporter-com.cdn.ampproject.org
VOD Factory deploys 6 SVOD services
We are pleased to announce 6 new SVOD services powered by Purchasely as VOD Factory, the French leader in the creation of VOD platforms, is using our solution to accelerate In-App Subscriptions:
✔️ for its customers such as BrutX, Benshi.fr, Le Tigre Yoga Club
✔️ for services published or co-published by VOD Factory, such as The Pit Edition, QueerScreen and Shadowz
BrutX Offer powered by VOD Factory and Purchasely
BrutX Offer powered by VOD Factory and Purchasely
Customer showcase
☝️ Another amazing paywall built in few minutes by Anime Digital Network using Purchasely
  • video in HLS,
  • live computed discount percentage,
  • supporting 17 languages,
  • available on mobile, tablets and TV devices (including Apple TV & Android TV)
Top priorities and frictions of news publishers
🌐 The International News Media Association set up an interesting webinar about Media Subscriptions on December 7.
➡️ You can watch the 3-hour record and access presentations here.
Two polls were made during the session. The result speak for itself:
✨ Apps, Recommendations and Check-out Flows are the 2022 top priorities
✨ 50 % of news publishers do not have the full capacity to test an idea before scaling it!
Facts and figures: Purchasely is already the leader of In-App Subscription for French news publishers. According to Mind Media / 42 Matters study, 20% of French news apps are powered by Purchasely.
Our clients, such as Groupe Le Monde, CMI France, Groupe La Dépêche, Bayard, Groupe Centre France, may test and iterate the end of In-App Subscription funnels, avoiding the difficulty raised by the second poll of INMA.
Please see below the Black Friday Offer displayed by La Dépêche, a local newspaper based in the charming city of Toulouse, South of France, and built in few minutes by using Purchasely’s no-code paywall builder.
Black Friday Offer by La Dépêche
Black Friday Offer by La Dépêche
One more thing
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Purchasely Team
Purchasely Team @purchaselycom

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