Disney has announced plans to launch a cheaper, ad-supported option for Disney Plus. As reported by Variety, the lower-priced subscription plan will be available later this year in the US, with subsequent countries being added in 2023. The company has yet to share the exact pricing on the new plan but it will be cheaper than the current ad-free version priced at $7.99 in the US.
The ad-supported subscription was called a “building block” by Disney, aiding the company in reaching its goal of 230-260 million Disney+ subscribers worldwide by 2024. For reference, the streaming service was at 129.8 million members as of the end of 2021 and gained 11.8 million more by January 1, 2022. Chairman of Disney Media and Entertainment Distribution Kareem Daniel said on the new Disney+ subscription, “Expanding access to Disney Plus to a broader audience at a lower price point is a win for everyone — consumers, advertisers, and our storytellers. 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.”
President of Advertising for Disney Media and Entertainment Distribution Rita Ferro added about the lower price point and its sponsors, “Since its launch, advertisers have been clamoring for the opportunity to be part of Disney Plus, and not just because there’s a growing demand for more streaming inventory. Disney Plus with advertising will offer marketers the most premium environment in streaming with our most beloved brands, Disney, Pixar, Star Wars, Marvel and National Geographic.”
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Disney+ first launched in 2019 and up until this point, the company has been noncommittal about plans to introduce an ad-supported option for users. Although, there was precedence as Disney’s alternative streaming service, Hulu, already offers this type of lower-priced tier.
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