Disney’s big spending spree on content for 2022
Disney says it will spend $33 billion on content in 2022 mostly on shows and movies for its streaming platforms at Disney+, Hulu and ESPN+. This is $8 billion more than 2021 the companies spend in 2022. Disney’s Studios division plans to release some 50 titles for theatrical release and on its direct-to-consumer platforms, while its General Entertainment division plans to produce or commission 60 unscripted series, 30 comedy series, 25 drama series, 15 docuseries/limited series, 10 animated series and five made-for-TV movies in fiscal 2022.
The NPD Take:
- Content is king and Disney is willing to open its wallets to boost their current offerings to enable streaming success.
- With Netflix spending about $14b on content and Discovery+ $20b in their first year, Disney is in a good position to gain market share.
Cyber Monday streaming deals galore
Black Friday came and went with sales beginning weeks in advance while Cyber Monday offered a plethora of streaming deals. Some included Hulu’s ad-supported streaming service for $1/month for one year; YouTube TV - $50 off the first month of its base plan; Amazon – had some channels for $1/month for up to two months; Amazon music unlimited subscribers got up to six months of Disney+ for free; AMC+ had a one-year plan for $2/month; Showtime offered $16 for five months instead of $55; Philo offered one month for $5; Discovery+ offered a $3/three month plan; Paramount+ had one month free and Starz offered 3 months for $5/month.
The NPD Take:
- These deals are only successful when viewers remain after the promotion ends. As always, services with the best content will win. But release strategy also factors in as watching the rest of the season or new show minimizes churn.
Free streaming frenzy
This is the week where free streaming announcements were rampant. First, Vizio reached agreements with Disney, Lionsgate, Sony and others to build out an AVOD library to accompany the free, ad-supported linear channels on its WatchFree+ streaming service. WatchFree+ will now offer more than 4,000 free movies, TV shows and Vizio exclusives to SmartCast TV users from more than 17 content and studio partners. Google is also talking with various digital media companies about adding free ad-supported streaming channels to its YouTube TV service. The company will reportedly package the channels with a live guide on Chromecast devices and on smart TVs. If that wasn’t enough, Redbox is adding new digital signage to 4,000 of its kiosks to help promote the free streaming service as well as new movie releases and more.
The NPD Take:
- Free content is as popular now as ever. Many services are jockeying for consumer viewership and sign-ups. Look for this trend to continue.
- Think about where your advertising dollars are spent because viewers eyeballs are migrating to new channels.