Reliance Jio Likely to Charge for Apps like JioMusic and JioTV via Freemium Model

Reliance Jio is perhaps one of those companies which have raked in a lot of subscribers and active users thanks to its free offerings. When Reliance Jio kicked off its operations in the country, it relied on free data, free calling and free bundled applications. Although the calling and apps remain free now, Reliance Jio has been charging for data. However, as per a new update, Reliance Jio might also be on the lookout for incurring charges for using its Jio portfolio of apps which includes apps like JioTV, JioMusic, JioCinema and JioMags. To accomplish this, Reliance Jio might implement the freemium model for its applications.

jiotv-cinema-charges

Subscribers Unwilling to Pay for Previously Free Apps

The report comes out of Strategy Analytics which has highlighted in its report titled ‘Reliance Jio Targets Digital Content Leadership’ saying that Reliance Jio might be plotting to implement the freemium model for its applications. However, the firm said that since users have enjoyed free services of these applications since the beginning, there is bound to be some resistance down the path. Strategy Analytics said that it might be challenging for Reliance Jio to introduce such a thing. To note, the freemium model grants users the access to basic functionalities but to access the entire set of features; the user is required to pay an amount.

Jio to Take the Freemium Path for Jio Apps

The report by the Analytics firm further goes on to say that although Reliance Jio has amassed loyal following via its free offerings in the country, the user base of Reliance Jio might not be as dependable as the company thinks since the Analytics company does not expect the people to pay an amount up front to subscribe to these applications. The report said, “Identifying content that users are willing to pay for combined with business models and a user experience that resonates with target customer segments will be critical for successful monetization.”

Content Platforms Now a Different Competition

Brice Longnos, an analyst at Strategy Analytics also said that Reliance Jio has started a new stream of companies where the telecom operators are laying heavy focus on their content strategy as well. Something which the industry did not witness two years back. After the initiation of competition from Reliance Jio, more and more telecom operators are launching out their content platforms. The analyst said, “Jio’s competitors Bharti Airtel and Vodafone are being forced to react by beefing up their own content strategies.”

Reliance Jio Doubles Emphasis on Content

As per the experts’ opinion, the trend does not seem to be stopping since Reliance Jio is still growing in leaps and bounds in the content segment. The Mukesh Ambani led company has also recently merged its music streaming service, Jio Music, with Saavn to broaden its digital content portfolio. The telco has also stricken a deal with Eros International and seeks to integrate its digital platform with the OTT apps. Further, the company has partnered up with Roy Kapur Films for developing content for Jio branded apps. The telecom operator has also bought stakes in production houses and news channels.

Expert’s Opinion

Nitesh Patel, Director Wireless Media said: “Reliance Jio is investing in content and will expect its entertainment businesses to deliver revenue in the future.” He further added that willingness of the users to pay for the services which they are right now using for free is an important point to be factored in. The director further said that telecom operators could afford to do a better job regarding leveraging data from their subscribers and then they should move towards monetisation.

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68 Comments on "Reliance Jio Likely to Charge for Apps like JioMusic and JioTV via Freemium Model"

 

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Reddy
October 1, 2018 12:23 am 12:23 AM

Can I Take A New Jio Sim Card With My Adhar Ekyc

Thamilan daa
October 1, 2018 1:14 pm 1:14 PM

They will ask you to do compulsory fingerprint based SJM card registration using aadhaar number which is against the Supreme Court judgement. They must accept the xerox copy of other id proof also along with passport size photo & original id proof to verify.

Adil Wadia
October 1, 2018 12:20 am 12:20 AM

99 per month is reasonable for content. But they must have a reliable network for people to access it. As I write this I am traveling train no 59441 which leaves Bombay Central at 2240. It’s a passenger class train with halts at every station. I have Jio and Vodafone on the separate devices. Vodafone is better than Jio. Jio seems to fluctuate between bands and speeds are pathetic. Using my Vodafone hotspot to access Jio content is better experience that using data on Jio itself…. Jio must first provide reliability otherwise it’s content strategy will fail.

Priyansh Singh
October 1, 2018 8:49 am 8:49 AM

Mate, Train number starting from ‘5’ are Passenger Trains only.

Adil Wadia
October 1, 2018 7:42 pm 7:42 PM

The reason to specify that it was a passenger train is that people don’t know that fact , and if your mobile service is poor in a passenger train, it will be even worse in an Express train because of the speed and rapid handover from cell site to cell site.

Priyansh Singh
October 2, 2018 7:38 am 7:38 AM

+1

Sachin
September 30, 2018 6:33 pm 6:33 PM

Charging for apps like jio Tv will reduce the demand for data which intern will lead to subscribers going for lower priced data plans….which will reduce their average revenue per user. How are we suppose to consume that 1.5 and 2 GB data per day without free content? I may downgrade by monthly plan.

Thamilan daa
October 1, 2018 1:52 pm 1:52 PM

Use tamil rock e rs. Simple

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