Disney+ aims to achieve its long-term target of 230-260 million subscribers by the fiscal year 2024, and their decision to offer ad-supported subscriptions will help achieve that goal.
For the first time ever, Disney will offer ad-supported subscriptions to its Disney+ direct-to-consumer streaming service, expanding subscribers’ options and opening up a broader audience, starting in late 2022.
The service is expected to expand even further, opening up to international audiences in 2023.
Disney+ without ads will still be available to consumers.
“Expanding access to Disney+ to a broader audience at a lower price point is a win for everyone – consumers, advertisers, and our storytellers,” said Kareen 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.”
Disney has earned a reputation as a leader in the market, and already offers premier ad-supported streaming services such as Hulu video on-demand and ESPN+ 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.”
Disney will announce more details soon, including a launch date and pricing.