Apple TV Content Marketing Theory

The day you realize why Apple spends billions of dollars on content without making a profit is the day that you're going to start getting serious about creating content online and you're going to change the reasons why you create content online. Apple started Apple TV Plus in 2019 and they have not been profitable until this day based on everything that we can tell from the outside because they do not report the profit and loss individually. They bundle it with several other services that they have. But why is it that they do this? And I believe that there are several reasons why this is, but I'm going to share with you a couple that are at the top of my mind. Number one, Apple is not depending on subscribers to actually make them profitable. I think they really just look for their subscribers to help them break even with the content so they can continue to put out more content every single year. Number two, I believe that every who's who from Hollywood will eventually star or play in a series or movie on Apple TV. And the reason for this is brand association and also brand equity. When you have the biggest stars in Hollywood not only starring and leading in different movies and series, you also bring in the equity that they have from the goodwill that they have built with various audiences and now that goodwill is attached to your brand and that leads directly to the number one reason why I believe Apple is so committed to creating content. There's something that happens when you become immersed in a good story. It's called narrative transportation and you place yourself in the world of the content that you're consuming. Now, this is important for this very critical reason. If you start to pay attention to all of Apple's content, if you've never done this before, you're going to notice that the only products that live in those worlds when they do their world building is Apple products. All you see are iPhones, AirPods, Mac Studios, and the list goes on. you will never see a product from another brand within their content. And that is by design. So, not only are they giving us high quality premium content, but they're also cashing in on the brand association and the brand equity of the biggest stars in Hollywood, but then they're transferring all of that goodwill directly to their products subconsciously. And to test this theory out, I put chat GPT in agent mode and I told it to go out and do some research. Track how much Apple was making from product sales for the first few years before Apple TV launched. Then track how much product sales they made during the years of Apple TV Plus until now. And just like I suspected, Apple's product sales have increased every year since they launched Apple