Patreon to Implement Apple’s 30% App Store Fee for iOS Purchases by November

Patreon to Implement Apple’s 30% App Store Fee for iOS Purchases by November

Patreon will introduce a 30% App Store fee for new memberships purchased via its iOS app, impacting creators and subscribers as Apple enforces its in-app payment rules.

Key Points
  • Patreon will implement a 30% App Store fee on new iOS memberships by November to comply with Apple’s in-app payment rules.
  • The change is necessary to avoid being removed from the App Store, which is crucial for Patreon’s user base.
  • Creators can offset the cost by automatically increasing membership prices within the iOS app or choose to absorb the fee.
  • Prices for memberships purchased via the web and Android app will remain unaffected.
  • Patreon had announced this impending change in December, anticipating Apple’s enforcement in 2024.

In a significant update, Patreon has announced that new memberships purchased through its iOS app will soon be subject to Apple’s 30% App Store fee. This change, which will take effect by November, comes as Patreon seeks to comply with Apple’s in-app payment rules or face the risk of being removed from the App Store—a scenario that could severely impact the platform, given that iOS is now the most popular platform among Patreon communities.

Patreon CEO Jack Conte emphasized the gravity of the situation in a YouTube video, noting that the platform had no choice but to implement these changes. To adapt to Apple’s demands, Patreon will require creators to switch to its subscription billing method. As a result, Apple will automatically take a 30% cut on new membership purchases made through the iOS app.

To help creators cope with this new fee, Patreon has developed an optional tool that can automatically increase membership prices within the iOS app. This feature is designed to ensure that creators continue to earn the same amount per membership as they do on other platforms. However, creators also have the option to disable this automatic price adjustment and absorb the 30% fee themselves, allowing their subscribers to maintain the same pricing.

“Obviously, neither of these solutions are ideal,” Patreon acknowledged in its blog post. It’s a tough choice for creators, who must decide whether to pass the added cost on to their subscribers or take the financial hit themselves. Importantly, membership prices on the web and Android app will remain unaffected by these changes.

This move has been on the horizon for some time. Back in December, Patreon revealed that Apple was requiring the platform to adopt its in-app payment system, anticipating that the 30% fee on recurring subscriptions would begin sometime in 2024. With the deadline now approaching, Patreon’s decision underscores the broader impact of Apple’s policies on digital platforms and the creators who rely on them.