Adam Kos Although Apple's services are rather small in terms of their total number of users, the big players like Spotify and Netflix are visibly afraid of them. The two companies are establishing a new partnership, thanks to which Spotify will recommend music content based on Netflix shows. And since Apple already does this to some extent, it's clear where they got their inspiration from.
The Netflix Hub within Spotify will recommend official soundtracks and other content, including playlists and podcasts, from Netflix shows to its premium and non-paying users. So it all looks like what Apple already does with its own services — Apple TV+, Apple Music, and Apple Podcasts, whether you're watching Dickinson, The Morning Show, or For All Mankind. You can now also find them within Apple Music and podcasts.
It can be seen that such support of creation really makes sense, because if the viewer or listener is simply hooked, they try to look for additional accompanying material. And Apple will gladly serve it to him as part of its own services. But neither Netflix nor Spotify can, because one focuses exclusively on video and the other, on the contrary, on audio content. A mutual partnership thus makes more than sense.
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Compared to Apple TV+, which still only has a minority share of the video streaming market, Apple Music is already a relatively large player, and Spotify has been afraid of it for a long time, even though it is still the largest music streaming service. Netflix is also among them in the field of video, and this partnership will help both. Netflix is in danger of losing users in connection with the growing popularity and expanding scope of the Amazon Prime Video and Disney+ platforms.
Classic advertising is one thing, but providing accompanying content to the kind of user base Spotify has seems like an ideal move to maintain its position. Although it probably won't be about acquiring new users for Netflix just because listeners like the show's music, it could easily happen in the opposite direction. Anyone who subscribes to Netflix will easily go to Spotify for accompanying content, even if only for free, every soul counts.
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In addition, another door opens to a lot of exclusive content, and not only with regard to podcasts. However, Apple should draw consequences from this and try to step into it a little more. The potential for acquiring new subscribers is actually the greatest here, thanks to its hardware portfolio.
