Disney Is Hiking Subscription Prices…Again. Here’s Why
By Movieguide® Contributor
Disney is, once again, about to hike up its prices for its Disney+, Hulu and ESPN+ streaming services, beginning on Oct. 17.
According to IndieWire, “Prices for the standalone streamers will raise by a buck or two per month for both the ad-free and ad-supported tiers, and the triple-play bundle that gets you Disney+, Hulu, and ESPN+ is also going up. But the prices for the premium tier of the Disney+/Hulu duo bundle and the recently-announced bundle that tacks on Max are staying the same.”
The price increase comes about a year after the company’s previous hike in 2023.
Part of the reason for the hike is Disney’s new continuous playlists feature for Disney+ subscribers.
Per Disney+, “This new feature bolsters the Disney+ offering, ahead of updated pricing for various plans later this year, providing subscribers with both a live and on-demand streaming experience that will continue to grow throughout the year.”
“Playlists are the latest example of how we’re providing the best value and experience for our subscribers every time they open Disney+,” said Alisa Bowen, Disney+ president. “Whether it’s news, kids’ content, popular genres, hit TV shows or blockbuster films, there will be something for everyone in a lean-back viewing experience based on seasonality and interest.”
Four playlists that refresh monthly will be released this fall. They include:
Seasonal Content – a collection of seasonal-themed content from across the Disney+ catalog
Epic Stories – a compilation of action-packed stories from marquee brands and franchises, including Disney, Marvel, and Star Wars
Throwbacks – a destination for nostalgic pop culture content
Real Life – a lineup of traditional documentaries, biopics, and true stories
In addition to the new continuous playlist feature, Disney+ has also announced that “subscribers will have access to ABC News Live, a 24/7 multi-award winning, premium streaming news channel for live newscasts, breaking news, live events and in-depth special reports” as well as a preschool content-focused playlist.
Disney is betting that the new feature will keep subscribers around despite the price increase. However, Movieguide® recently reported on how many subscribers Disney+ lost after the last price hike in 2023:
In the last four months of 2023, Disney+ lost 1.3 million “core” subscribers.
“According to the information in the [2024 Q1 earnings] call, Disney+ went from 112.6 million subscribers in September 2023 down to 111.3 million in December 2023,” Early Game wrote. “This comes after Disney introduced new subscription prices, with the ad-free tier increasing its price from $10.99/month to $13.99/month in October 2023.”
The Q1 report notes that the end of its global summer promotion also impacted the dip in subscribers. And Disney didn’t earn more than it did in the prior year’s quarter.
1.3 million is only a fraction of the number of subscribers it lost earlier in 2023. In last year’s second quarter, 12.5 million Indian subscribers dropped their subscriptions as Disney shifted away from “low-margin” customers, Variety reported.
- Content: +2Share:
- Content: +2