Michael Ilich, Zvooq: «Proposal from the Apple Music not competitive"

Apple Music lose, I'm sure CEO of music service Zvooq Michael Ilich. Why? Because about 95% of the mass of consumers will never pay for access to the music itself. For the remaining 5% of music lovers is a serious struggle.

The day the Apple Music «MakRadar" got in touch with Michael Ilichev and asked him to comment on the situation with the streaming in Russia and in the world and give its forecast for the new Apple service.

The principal goal of Apple Music

The main objective of the creation of Apple Music - save and keep money at those users who pay for music on iTunes in the mode PPD (pay per download). The last few years PPD model global model gave way music consumption in streaming. The number of users in the first place, and in 2014, according to the IFPI, and the amount of money.

iTunes - it's not a service, it is a catalog of music, it shelves, from which you buy a content piece. Plus the native player in the iPhone to play later this music. That's all that by 2015, Apple was able to offer the audience. While the market already existed a huge selection strimingovyh music services - not dependent on mobile operators from device manufacturers, and so on - which to date have achieved great popularity and provides a very high quality. In fact, they include not only all the features of iTunes, but and many other things that people appreciate and which facilitates their handling of music every day.

Of course, seeing this trend, Apple decided that "it is time" to try to offer its users more modern format music product, to prevent the final outcome of iTunes in party strimingovye services.

But what has made Apple's, crossed his new strimingovy based product purchased Beats the native Music app to the iPhone - is rather like trying to retain and shift from one pocket to the other money those users who have already paid the money for the music in iTunes, rather than trying to compete with other streaming services.

The weakness of Apple Music

Strimingovoe Apple proposal is very weak and non-obvious. As a user, I do not understand why should begin using the new Apple Music, such that it attractive and interesting, which have been waiting for, and for which I suddenly give up his strimingovogo service, which I use now, where I have gathered and set up my collection, I found friends with whom we are changing music. Beats Radio 1?! But this is clearly not what the world was waiting for. ;)

Moreover, having altered the native app Music, Apple seriously broke the user experience and habits of those who listened to it the music purchased on iTunes. The Apple seem to say: "Everything PPD era has passed, begin to use streaming, our dear users." "Well - you are talking. - You broke me something that I'm used to and what I used before, for which you pay money, and now offers to try streaming. Well, ok, I'll try to streaming, but why all of a sudden your sure? I'll then see what else there is in this segment, and not the fact that after the return to strimingovy Apple Music ». Thus, not that Apple will get a lot of new audiences with their product, it is possible that it will lose more and some portion of that was sitting on iTunes.

Competition with other services strimingovymi

Apple Music not competitive with other services strimingovymi least because Apple Music no freemium offering. The vast majority of people perceive music causally: there - so well, no - well, that's okay. In their view, the music is a free thing. And it's not just pirates. There are radio, there are music channels, there is YouTube - it's quite normal, legitimate and free sources of music at the same time, by means of which the majority can easily satisfy your casual request - to include something suitable to play in the background, while the person is engaged in the core business. There will be no mass user to pay for an optional thing.

Therefore, none of the service is not able to attract the masses, trying to get them to pay for music forward.

Music in the minds of the masses - something free. People are willing to pay for music is not as such, but for the service, for the convenience of the recommendations at the worst end, but first a person must try them, evaluate, and then he would be willing to pay for this is.

Lack of freemium - this is another proof of the fact that the main goal was just to hold and shift the money from the iTunes those who have and so paying for music. Therefore, Apple Music is not particularly impact on the existing distribution of power in the streaming segment and even more unlikely to cause any radical breakthroughs or changes, as many had expected.

Who will win in the end?

The victory in the music streaming will be for those who can do something significant with it a mass audience. A mass, as we recall, is largely used Android. It is unlikely that now someone will put at least $ 100 that Apple Music app generally has at least some chance of popularity among All Android-audience.