Disney+ Finally Launches Long-Anticipated Ad-Supported Tier

Disney+ Finally Launches Long-Anticipated Ad-Supported Tier

Published: December 13, 2022

On December 8, Disney finally launched the long-anticipated ad-supported tier for its Disney+ streaming service. More than 100 blue-chip companies have already agreed to advertise on the platform.

Among the initial advertisers at Disney+ are some of the largest names from various industries that Disney anticipates its viewers will enjoy. Industry giants the likes of Starbucks, P&G and Target have all agreed to advertise on the platform and support the streaming service’s new direction.

Large agency holding companies also showed they were willing to get on board with Disney’s latest undertaking, including Dentsu, Havas, Horizon, IPG, Omnicom, Publicis, RPA, Stagwell and WPP.

As a massive brand in itself, Disney was able to attract others of its kind and persuade them to support its shift to ad-supported streaming. The roster of brands supporting Disney+ serves as a testament to the power of the brand Disney has developed over the decades.

However, Disney’s path to ad-supported streaming hasn’t been without challenges. The competition in the field, however new, is already steep and requires careful planning and deliberation. Unfortunately, it also shows how little room there is for up-and-coming brands as industry giants diverge on what little room there is on the market.

Aside from HBO Max and Netflix offering competing ad-supported services of their own, there’s YouTube, Twitch, and even TikTok to contend with. With so many services catering to specific audiences, it almost makes it seem like there aren’t enough viewers to go around.

It’s questionable how many services customers are willing to pay to stream content, especially with more belt-tightening due to worsening macroeconomic conditions. The choices are already wildly exaggerated and there’s far more content available than the time to consume it.

It remains to be seen how successful Disney+ ad-supported tiers are going to be. Netflix is already planning on announcing more than the single ad-supported tier currently on offer.

There’s also the matter of delivering transparent and granular data to advertisers. As of yet, Disney hasn’t named any measurement companies in the latest release. The company joined forces with VideoAmp recently, but besides that, there isn’t enough information about how they’ll provide advertisers with the metrics they require.

The ad-supported tier starts at $7.99 per month for access to all the content and product features, concurrent streaming on four devices, creation of up to seven profiles and high-quality video. The most expensive ad-supported tier costs $69.99 per month and includes Hulu, Disney+, and ESPN+, all with ads, as well as Live TV.

Subscribe to Spotlight Newsletter
Subscribe to our newsletter to get the latest industry news
"