Disney+ Ad Offering to Launch December 8 in the U.S

The Disney+ ad offering will launch in the US on December 8. This tier will cost $7.99 per month. In addition, Disney also increased the price of its ad-free Disney+ today, up to $10.99 per month from the previous $7.99 per month.

The new prices for Disney’s direct streaming services starting December 8 (unless otherwise noted) in the US will be as follows:

Disney+ ad offering

According to Disney+ news Disney is building on the recent boom in the streaming space by setting a date for the long-awaited launch of an ad-supported subscription tier for its popular Disney+ service.

Starting Dec. 8, U.S. customers will be able to trade time for dollars by saving a few bucks on their monthly subscription by opting for ad breaks. A move Disney is pushing as a means of giving customers more choice.

Disney+ News about Ad Offering

Disney Media & Entertainment Distribution Chairman Kareem Daniel said, “With our new ad-supported Disney+ offering and an expanded range of plans across our streaming portfolio. We will provide consumers with greater choice at different price points to meet diverse needs.’ Disney+ News about ad offering claimed that Disney+ Ad Launching will be set for December 8 in the US.

An ad-supported “Basic” tier will be offered for both Disney+ and Hulu for $7.99 a month. “Premium” ad-free plans will also be available at a significantly higher price, $10.99 per month for Disney+ and $14.99 for Hulu. The existing ad-supported ESPN+ package is offered for $9.99 per month.

Customers will also be able to bundle desired services with variable rates. Depending on whether they are new or returning customers as Disney sets the pace for innovation in the industry.

The company also updated its streaming packages and pricing across Hulu, ESPN+, and the Disney Bundle.

Disney+ Ad Launching

On today’s fiscal Q3 earnings call, Disney CEO Bob Chapek said, “We’re walking around before launch to see what the market can handle in terms of ad load. So we are going forward very conservatively. We believe there will probably be even more flexibility in that as we go forward.”

He said demand for advertising has been strong since Disney+ launched. “We believe that a conservative approach to advertising load upfront will give us the ability to expand if needed.”

Overall, the company saw significant growth in its streaming services during the quarter, adding 15.5 million subscriptions. This included 14.4 million new Disney+ subscribers, of which 6 million were core and 8 million were Disney+ Hotstar.

Disney+ Hotstar is a partnership with Novi Digital Entertainment Private Limited, a 100% subsidiary of Star India.

Disney CFO Christine McCarthy said on today’s call that “Disney+’s strong core network addition of 6 million subscribers reflects growth in existing markets as well as launches in more than 50 new markets during the quarter.” She said the company expects Disney+’s underlying net additions to accelerate slightly from the third quarter to the fourth quarter, particularly domestically.

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