Netflix Subscribe on iPhone

Netflix has long been available as an app for the iPhone, but up until today, setting up a subscription could only be accomplished via the Netflix website, which created a disjointed experience for new subscribers. Today, Netflix is allowing users to subscribe directly via the app itself.

What does this mean for Netflix? It means that any subscriptions initiated through the app will be subjected to the same 70/30 split that other apps experience, with Apple taking 30% of the subscription proceeds. Instead of raising its prices in the app to accommodate for the loss of revenue, Netflix is staying the course.

Netflix In App Purchase Price

For us users, this is a very good thing. It means that we can subscribe using the credit card and credentials that are already on file with iTunes. It provides a very seamless subscription experience overall.

A June report by the Financial Times stated that Apple may be willing to change its revenue split to improve relationships  with media companies, and convince more of them to get on board with its in-app subscription service. Although such a change has yet to take place, streaming services do currently enjoy more favorable terms on the Apple TV.

What do you think about Netflix finally allowing in-app subscriptions?

  • Jose Rivera

    I was just thinking about this earlier… And I came on the website and read this… Well then… LOL

  • GMUSIK805 .

    Were is flex 2 when i need it maybe it can be hacked 🙂 like rhapsody
    And spotify

  • Taurean

    That cut doesn’t necessarily apply. Plenty of companies negotiate different rates, especially when they’re at the size of a company like Netflix.

  • PghMike4

    I agree with Taurean — I’d be shocked if Netflix parted with 30% of its revenue stream for a “smoother” experience, especially when they have a pretty decent web site.

    Just because neither Apple nor Netflix announced the terms of the revenue split doesn’t mean that it’s the standard 70/30 that us peons get.

  • bsquarewi

    This is great… 20% off Netflix from now on! I assume this subscription will come off any balance on your account like others do (NFL, iCloud, etc) which means I can continue to load up my iTunes account with 20% off iTunes gift cards when they come up and pay Netflix that way.