Disney Plus joins the strategy of competing streaming platforms and introduces a new subscription with advertising. The new plan, already implemented in the United States, will be available in Canada and Europe and hence Italy from November 1. The move, desired by CEO Bob Iger, called back from retirement to revive the fortunes of the group he led for 15 years, would provide a parallel boost to other offerings without interruption to ads.
“With our pricing strategy, we are trying to move more subscriptions to an ad-supported level,” Iger said, explaining that by pushing consumers to the cheapest rates through increases, each subscription Margin is higher.
In the United States, commercial-free subscriptions to Disney+ and Hulu rose by $3, +27% to about $14, and +20%, to about $18, respectively.
Membership will be expensive with advertising in Europe 5.99 Euro per month The Standard one (with Full HD definition and without the possibility to download content) at a price of 8.99 per month and the Premium one (with definition up to 4K UHD and HDR) at 11.99 Euro per month.
Those who already have a Disney+ subscription priced at Rs 89.90 per year will be able to keep it but will be forced to opt for new plans at the end of the billing period (here we talked about Disney’s cost hike ) + membership).
From 2024 Disney will also put one stop password sharingFollowing the example of Netflix. However, the details of how the strictness will be implemented are yet to be disclosed (here we talked about Netflix’s ban on shared passwords while here we said goodbye to the original plan).
Commenting with analysts on Q3 data, Bob Iger noted that Disney+ subscribers declined for the second consecutive quarter It rose to 146.1 million from 157.8 million at the end of March (-7.4%), but due to a decline that primarily affected India, where the group lost cricket rights.
Group revenue rose slightly (+3.8%) to $22.3 billion, slightly below expectations, while profit rose more than expected, despite a net loss of $460 million, compared to $1.4 billion a year ago. There was profit.
Meanwhile, the cost-cutting policy continues, also through 7,000 layoffs, which should allow streaming to halve losses to 512 million in the third quarter of 2022 from one billion.
Iger stated that “studios, film production, theme parks and streaming.” These are the three businesses that will “drive the greatest growth and value creation over the next five years” suggesting that traditional TV, such as ABC, is not an asset to be defended at all costs and may be sold .
With regard to rumors of Apple’s interest in acquiring Disney, Iger limited himself to answering that “anybody who wants to speculate on these things should immediately consider the global regulatory environment. And I won’t say anything else.”