1) XML is Text? Do you mean flat-file, comma delimited, or something else? I'd say use JSON.
2) Do you plan to make them pay for new content?
Yes - In App Purchase then.
No - maybe like an RSS feed of what is available that you could parse and let them choose one.
After that it is about the same, you would download the JSON turn that into an object and store that in a DB or file in the apps documents directory.
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