tech
After jacking up prices, Disney+ and Netflix consider offering free alternatives
Disney is interested in “price-sensitive” streaming customers.
TL;DR
- Disney is exploring a free streaming product to reach more 'price-sensitive' customers.
- A free offering could help Disney generate more ad revenue and drive top-of-funnel Disney+ subscriber growth.
- Netflix is also considering a free streaming product but is concerned about cannibalization of paid tiers.
- Both Disney+ and Netflix have implemented multiple price increases, leading to customer frustration and interest in free streaming alternatives.
- FAST (free ad supported streaming television) services are seeing increased adoption, with 46% of US internet households regularly using them.
- AVOD/FAST adoption rose to 70% in the US and Canada, indicating a growing preference for ad-supported models.