It's been confirmed today that Disney+ is set to introduce an ad-supported subscription in addition to its ad-free option, beginning in the U.S. in late 2022, with plans to expand internationally in 2023. There have been rumours that this might happen, and while some will be horrified at the prospect of an episode of Loki being interrupted by commercials, this will be a cheaper option for subscribers.
"Expanding access to Disney+ to a broader audience at a lower price point is a win for everyone - consumers, advertisers, and our storytellers," Kareem Daniel, Chairman, Disney Media and Entertainment Distribution, said in a statement today. "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."
It's worth noting this is nothing new for Disney as Hulu and ESPN+ currently offer cheaper subscription options that include commercials. Extending this format to Disney+ will increase subscription numbers and revenue made from the platform, which will no doubt lead to even more content.
"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," says 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."
A press release notes that this "ad-supported offering" is a key component in Disney's plan to achieve 230 - 260 million Disney+ subscribers by 2024. More details, including launch date and pricing, will be announced at a later date, so we'll be sure to keep you guys updated as we learn more.
Would you take out a subscription to a Disney+ featuring adverts?