Apple is finally forcing Patreon to comply with its App Store rules concerning in-app payments. How can creators avoid the impact?

Starting in November, independent musicians using Patreon may face a significant shift in how they earn revenue through the platform due to a new rule from Apple.

Apple will begin charging a 30% commission on all Patreon subscriptions made through the iOS app. This change could have a substantial impact on the income of creators who rely on Patreon as a primary source of revenue, particularly those with a large number of subscribers who access their content via iOS devices.

30% commission on iOS Patreon subscriptions explained

Apple’s 30% fee on in-app purchases isn’t new – it’s been a longstanding policy for any subscriptions or digital content purchased through apps on the App Store. However, until now, Patreon was able to swerve this fee by using a third-party payment system for transactions.

This allowed creators to keep a larger share of their earnings, as Patreon itself only takes a cut of 5% to 12% depending on the plan. With the enforcement of Apple’s rule, creators will now have to contend with a significantly larger slice of their revenue going to Apple.

For independent musicians serious blow to their steady monthly income. Patreon has become a crucial platform for musicians to earn a living by offering exclusive content, early releases, and other perks to their fans through subscription-based models. Losing 30% of that income on iOS subscriptions is likely to force many musicians to reconsider how they price their tiers and whether they need to make adjustments to account for the reduced revenue.

How is Patreon responding?

To help creators manage this new fee, Patreon is offering a tool that allows them to automatically increase the price of subscriptions for iOS users to offset the cost of Apple’s commission.

This means that while fans subscribing through an iOS device will pay more, the creator’s take-home pay remains the same. The big downside is, this could also potentially discourage some fans from subscribing if they tend to access content through their iPhone or Apple device.

But, musicians can also encourage their supporters to subscribe through Patreon’s website or the Android app instead, where this fee doesn’t apply. By directing fans away from the iOS app, musicians can ensure they receive the full amount of their subscription revenue, minus only Patreon’s standard fee.

Things for artists to consider

While this change is challenging, it also highlights the importance of understanding the platforms musicians use to engage with their fans. The digital landscape is ever-evolving, and staying aware of how platform fees and rules can impact earnings is crucial for anyone relying on digital subscriptions as a primary source of income.

Of course, losing out on 30% of a subscription cost is not what any independent artist or creator wants. However, the commission only applies to new subscriptions through iOS from November. Those careful to signpost to their fans other avenues of subscribing can avoid having to charge their fans more, and dodge losing any revenue.

If you’re interested in learning more about how to leverage Patreon as an independent musician, check out this article.