Disney introduces its own Streaming Service: Disney+

A few days ago, Disney has announced that their upcoming video-on-demand service, Disney+, will launch on November 12, 2019. Let’s talk about it!

Entering the game

For Disney, this new service is a way to take a share of the cake that Netflix keeps for itself for a couple of years. Will it succeed? Well, when we look at the huge amount of content Disney produces (with Walt Disney Pictures but also Pixar, Marvel, Star Wars, Disney Channel, ABC, …), they sure have content to offer: movies, animated movies, TV shows, … And lots of these are largely loved by millions of people.

Moreover, Disney will get back its content from competitors, particularly Netflix, so the only way to watch your favourite Marvel film in streaming will be by subscribing to Disney+.

So, yes, as a matter of content, Disney+ has a really good chance to work well. But content isn’t all.

Two major things have to be taken into account: service quality and subscriptions. Concerning the latter, it’s bet on whether people will want to pay for the service (especially if they are already subscribing for another VOD service) or not. As it can be really interesting for all the content if the price stays reasonable, it is important to note that the current trend is to think every cultural product (movies, video games) as a service, so the monthly subscription system is multiplying exponentially. And for the service quality, the work seems to have started in 2016, as Disney started to acquire a stake of BAMTech, a company working on video streaming technologies, then taking 75% of the company one year later. It certainly means that Disney has now a proper way to offer a reliable and powerful service. But we sure have to wait and see how it will materialize.

One thing’s sure: Disney is entering the streaming game with a really good hand.

Price and content: the bomb

Yeah, Disney comes to fight Netflix on its own field. And the attack might be tough!

In the last months, Netflix increased gradually its prices. Now at $8.99, the basic subscription of Netflix is $2 more expensive than the same basic subscription at $6.99 announced by Disney for its service. As usual, when it has been announced, Wall Street reacted: +11.54% for Disney, -4.5% for Netflix. We can talk about bomb effect. Besides, Disney+ will be ad-free, despite the low price!

For this price, you will have access to every Disney animated picture, Pixar, Marvel or Lucasfilm movies, documentaries from National Geographic, but also TV shows like The Simpsons (as Disney has recently acquired 20th Century Fox). And, just like Netflix, Disney announced exclusive content.

What a big blow to Netflix…

A fast-moving market

Netflix still has an advantage: it is not the big and traditional machine Disney is.

Netflix takes advantage of the millions of subscribers, and the data linked to them is priceless. They can offer the best customized experience to every user. Even if the global quality of the content may be lower than the one Disney offers, more people can found something they will enjoy; it’s not limited to what only one (big) company produces.

Competitors like Amazon, Apple, or Netflix will have to find new ways to attract new users and retain them, as people will not pay for more than 2 or 3 services. And with such low prices, with such quality and loved content, it will be hard to compete.

Between the power and money of ones, and the flexibility and audience of others, the battle of VOD of the coming years promises to be intense, but we hope that the result will be for the best for customers.

What do you think? Is Disney+ your next subscription? Let us know in the comment section below!

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