YouTube to Raise Prices for Premium Despite Record Breaking Profits

YouTube is one of the most widely used apps in the world, and it also happens to be the most profitable when looked at through a user spend perspective. YouTube has collectively spent the most number of days as the highest grossing app on the app store, and this has resulted in it breaking a lot of profit records as of late. It is estimated that YouTube spent around 235 days out of the year as the app on the top of the App Store revenue rankings, and TikTok comes in at a distant second with just 17 days spent at the top spot.

TikTok is YouTube’s main rival in this arena, and this data shows that they have a comfortable lead with all things having been considered and taken into account. In spite of the fact that this is the case, it seems that YouTube is going for the kill and cementing its place on the top of the rankings by increasing its subscription prices for YouTube premium.

With all of that having been said and now out of the way, it is important to note that the current price has already resulted in YouTube seeing its revenues soar, and the growth rate has been going up relatively well too. However, YouTube’s decision to increase its subscription price might be because of the fact that this is the sort of thing that could potentially end up leveraging its rising consumer base and taking advantage of the high level of demand that it has already seen so far.

YouTube’s dominance of top grossing apps is so absolute that no other app comes anywhere close. After TikTok we see ESPN with a meager 12 days at the top of these rankings, followed by Roblox with just 10. All other apps failed to hold onto the top spot for a double digit number of days, and that just goes to show how much of a hold YouTube has in this sector. This gap is likely to widen after the price increase goes into effect unless it alienates some of its loyal premium users.

H/T: Appfigures

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