With the advent of digital applications, people have gained the solutions that help them cope with their busy lifestyles. The replacement of books and magazines with audiobooks is a good instance. Nowadays, people increasingly prefer to consume content digitally through audiobooks so that they can listen to books when they have a short time.
There are various audiobook platforms available that facilitate books in audio format either for free or in return for money. Audible stands out as the most popular audiobook platform that has evolved a ton in the last few decades.
What is Audible?
Audible company’s founder- Don Katz come up with a unique idea of launching an audiobook in 1995 and launched a portable media player- an Audible player. Independently, the company didn’t progress as expected, so it partnered with Apple to become a provider of audiobooks on iTunes. Later, the audiobook was enhanced with a new version, that’s known as Audible Air which allows users to download audiobooks on mobile phones.
The Audible company acquisition by Amazon allowed Audible to improve its digital footprint and extend the range of services they offer. To date, the company has produced over 200,000 audiobooks that encompass books from all genres, leading publishers, radio shows, broadcasters, politics, science, entertainers, and more. Amazon’s backing and own production allowed Audible to stay ahead of the curve and made high ROI despite having bleeding edge competition.
The exclusive features of Audible that delights users are accessing audiobooks on multiple devices, car mode availability, offline accessibility with easy downloads, and narration speed customization.
The way Audible App works
Listening to audiobooks is made as easy as listening to music from the music streaming service by Audible company. The way Audible works also resembles the way streaming services work. The company has kept a subscription model that requires users to subscribe annually to consume the content after signing up for the platform through an app or web interface. The users do not necessarily have an Audible account, instead, Amazon credentials would allow them to log in and explore the Audible catalog and features.
There are multiple subscription plans that users can select according to their content consumption preferences. The plans of the different amounts put restrictions on the content consumption by the members accordingly. The expensive subscription plan put the least restriction. After subscription, the users get credits that are used when they listen to or download the audiobook.
The users get a free trial for 30 days before subscription plan selection. The free credits are provided to the users that they can use for audiobook listening. Categorization of audiobooks makes finding audiobooks effortless for the users. Every month, the company launch deals or offers in which users can avail of discounted audiobooks. What’s more? Listening to podcasts is also facilitated by Audible wherein users get the benefit of unlimited streaming.
If you also want to appeal the audience and make bundles with a unique audiobook app that offers more than Audible, then get an estimate to build audiobook app to make this happen.
The business model of Audible
The Audible company makes money using two business models- the subscription model and the direct sales model that we will discuss in detail.
As discussed in the upper section, Audible company created six different subscription plans that come with a variable of credit, free content accessibility, and access to the Original. The credit is an in-app currency that’s provided to users when they buy a subscription plan and become a member. The members can use the credits to get audiobooks or access to original podcasts.
Every year, the credits renewed with a subscription plan renewal or upgrade. If credits not used, they are carried forward to the next month but expired after a year, that’s referred to as a rollover scheme. However, the company has restricted the users from accessing more than 1-2 best-selling books monthly and requires them to buy books.
The direct sales model allows users to access audiobooks without buying a subscription plan from Audible as the platform sells them separately. This model doesn’t involve offering free audiobooks in the replacement of credits or discounted audiobooks. It’s profitable for Audible.
How does Audible capitalize through audiobooks and others?
The business models- subscription model and direct sales model allows Audible company to make money by turning them into a fan of Audible with quality and popular audiobooks additions to their huge collection. Besides, storytellers and top writers are signing an agreement with Audible to contribute to audiobooks as it eliminates the cost of publishing and distributing the content.
The inexpensive plan that’s as low as $7.95 provides access to a large number of audiobooks, technology introduction making the content easy to consume, and user experience keeping the company on the top. The subscription plan guarantees a consistent stream of revenue and direct sales generate comparatively more ROI as buying an audiobook directly costs between $15-$40. You can experience the difference.
Audible company has not officially unveiled the growth in annual ROI as it’s a subsidiary of Amazon, but the millions of subscribers, their growth in double digits, and subscription plan value give a rough idea of the revenue that the company is making in 7-figures.
Conclusion
Audible, popularly known as Amazon company allow users to listen to audiobooks, podcasts, Originals, and more effortlessly. The company is leading the chart despite having big fishes in the pond such as Google, Apple, Scribd, and others. The improved accessibility to audiobooks, free trial of 30 days, exceptional user experience, and rollover of credits impress the users at first sight and turn them into loyal subscribers.
The range of subscription plans allows the user to access and consume content as per their budget. All of these things are contributing a lot to making Audible famous, stays on the top of the users’ minds, and improves the bottom line.