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Disney Makes Massive Change to Pricing of Disney+

disney+-money-streaming

It’s not only Walt Disney World and Disneyland that are getting price changes, it seems.

Disney+ has brought fans a ‘whole new world’ of television series and movies from Marvel, Star Wars, and more since its launch back on November 12, 2019.

The streamer has had some big hits for Disney, from the exclusive premieres of Pixar’s Soul (2020) and Luca (2021) to fan-favorite Grogu (or Baby Yoda) from The Mandalorian. 

And now, Disney is expanding its offerings by introducing a new subscription method for consumers.

luca-pixar

Credit: Disney

In a first for Disney’s premier direct-to-consumer streaming service, Disney+ will be introducing an ad-supported subscription in addition to its option without ads, beginning in the U.S. in late 2022, with plans to expand internationally in 2023.

The new pricing structure will mean that a new lower-tiered option will be available for those on more of a budget when it comes to streaming services – just with the addition of advertisements when trying to watch their favorite Disney movie.

We’re not sure quite yet what this pricing will be or how it will affect the cost of subscriptions for current users. A Disney+ subscription today costs $8.00 per month or $80.00 per year and subscribers have the option to bundle Hulu and ESPN+ for a price starting at $14 per month.

“Expanding access to Disney+ to a broader audience at a lower price point is a win for everyone – consumers, advertisers, and our storytellers,” said Kareem Daniel, Chairman, Disney Media and Entertainment Distribution. “More consumers will be able to access our amazing content. Advertisers will be able to reach a wider audience, and our storytellers will be able to share their incredible work with more fans and families.”

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Credit: D23

There interestingly seems to be a focus on Disney helping out its partners and advertisers, which has been a focus of those divided by new Disney CEO Bob Chapek. 

Disney CEO Bob Chapek is known to have a strong focus on the Disney streaming service, with The Walt Disney Company finding ways to integrate the streaming platform into the Parks. Disney last year celebrated Disney+ Day in Walt Disney World and Disneyland Resort, in honor of the Disney+ two-year anniversary.

With the popularity of Kevin Feige’s Marvel Cinematic Universe, which has recently exploded onto the streamer with releases like WandaVisionThe Falcon and the Winter SoldierLoki, and What If…?, as well as exclusive releases like Pixar’s upcoming Turning Red (2022), it’ll be interesting to see how many consumers sign up for the new ad-based option.

turning-red

Credit: Disney

Disney+ is home to the industry’s premier ad-supported streaming services, including Hulu, a leader among all ad-supported video-on-demand subscription services, and ESPN+, which continues to pave the way for direct-to-consumer sports programming and live events.

“Since its launch, advertisers have been clamoring for the opportunity to be part of Disney+ and not just because there’s a growing demand for more streaming inventory,” said Rita Ferro, President, Advertising, Disney Media and Entertainment Distribution. “Disney+ with advertising will offer marketers the most premium environment in streaming with our most beloved brands, Disney, Pixar, Star Wars, Marvel and National Geographic. I can’t wait to share more with advertisers at the Upfront.”

The ad-supported offering is being viewed as a stepping stone in the Company’s path to achieving its long-term target of 230-260 million Disney+ subscribers by FY24.

We’ll keep you posted when we find out more information on the new pricing and structure.

About Melissa Cannioto

Melissa is an author, adventurer, and chatterbox, who has worked at Walt Disney World, Disneyland Paris, and Adventures by Disney! A British native, she has traveled the world seeking new experiences, and now resides in Florida with her husband, an Air Force pilot. Find her children's book at @bear.hug.book