Patreon Memberships on iOS Facing 30% Apple Fee Starting November 2024

Patreon to Implement Apple’s Commission on iOS Memberships

Starting November 4th, 2024, creators selling memberships on Patreon's iOS app will be subjected to Apple's 30% commission on in-app purchases. This development has raised concerns among creators who rely on the platform for income, as it could significantly impact their earnings.

The New Payment Directive

According to a recent announcement from Patreon, Apple is mandating that the platform divert to its in-app payment system, warning that failure to comply could result in being expelled from the App Store. This change necessitates that creators switch to Patreon’s subscription billing method to maintain their income from the iOS application.

Impact on Membership Pricing

With Apple's commission now being a reality, new memberships purchased through the iOS app will be more expensive compared to purchases made directly through Patreon's website or on Android devices. To mitigate the financial burden of the newly imposed fee, creators can opt to automatically increase their prices within the app.

Existing Subscriptions Remain Unchanged

It’s essential to note that existing subscriptions will not feel the immediate effects of this change. The commission will only apply to new memberships made via the iOS app starting from November 4th, meaning current patrons won’t see a hike in their existing plans. However, with the new fee structure, creators must make a choice between absorbing these costs or passing them onto their subscribers.

Background of the Policy Change

Until late last year, Patreon had navigated around Apple’s 30% commission by utilizing alternative payment processors. As CEO Jack Conte emphasized during a 2021 interview, Patreon has always operated under the same App Store rules as others and never had a unique agreement that exempted it from Apple’s policies. Conte indicated that the previous leniency may have been attributed to the nature of Patreon's business, which doesn’t typically attract users looking to discover new content.

Looking Ahead

This shift in policy leads to a broader discussion about the financial implications for creators on platforms heavily reliant on iOS app accessibility. As companies like Patreon adapt to Apple’s payment system and commission policy, creators will need to strategize their pricing and engagement to preserve their income. The transition marks a significant moment in the ongoing conversation about app store monetization and creator rights.

Conclusion

Patreon’s compliance with Apple’s in-app purchasing requirements illustrates the challenges many creators face in maintaining viable business models within the constraints of major tech platforms. As the November 2024 deadline approaches, content creators must be attentive to how these changes may affect their income and pricing strategies.

For more information on retaining your income while adapting to new policies, visit Patreon’s official site or check out other articles on our blog concerning digital monetization strategies.