Subscription services thrive on a simple principle: once customers sign up, inertia makes it hard to cancel. Providers can then do the bare minimum while customers stay put. That dynamic has long defined gyms, banks, and cable companies.
Streaming services, including Netflix, initially presented themselves as a better alternative, but the same pattern quickly emerged. Apple, however, has taken a different approach in the streaming wars, one that mirrors its historic hardware strategy: make good products and let the quality speak for itself.
The Inertia Strategy in Streaming
Netflix and its rivals built their early reputations by removing ads, allowing binge-watching, and ignoring password sharing. They spent heavily on prestige projects to attract subscribers.
Once they had a large enough audience, the old habits returned. Ads came back, password sharing was cracked down on, and the focus shifted to getting new customers rather than retaining existing ones with quality content.
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That approach generates resentment, not loyalty. Subscribers become fickle, and a small push — a price hike or a mediocre show — can send them to competitors or even back to piracy.
A recent analysis pointed out that Netflix shows suffer from drastic viewership declines between seasons, often due to multi-year gaps and forgettable programming. The analysis argued that the competitor is more interested in marketing than in making memorable content.
This is not just a microcosm of a bigger problem — it’s a structural flaw. Most streamers care disproportionately about acquisition and far less about delivering a quality product to the customers they already have.
Apple’s Award-Winning Bet
Apple has a long history of both strong customer loyalty and controversial lock-in tactics. The walled garden of the App Store, proprietary connectors, and restricted repairs all create a captive audience. When Apple launched its streaming service, it could have gone either way: exploit its captive iPhone base or showcase its commitment to quality.
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So far, it has done some of both.
Apple gives its streaming service a built-in advantage by offering three-month subscriptions with new Apple products. It uses product placement in its shows to market other devices. But above all, the service tries to win viewers by making the best shows and movies it can.
This is not a simple story of awards vs. quality.
In the streaming world, the difference between Apple and its rivals often comes down to commitment. Apple backs odd, niche projects and funds them heavily and promotes them widely. Apple may follow the Netflix route at some point, but for now, Apple is sticking to its old hardware playbook: make good products, and everything else follows.
