- Disney plus lost 700.00 subscribers in the last quarter
- This is the first time the service has sent a quarterly subscriber drop
- But the service earns more revenue than ever
Disney Plus has lost 700,000 users since September 28, 2024, probably due to price increases and its password breakdown, but I have bad news for you: It won’t prevent Disney from raising prices again. In fact, Disney’s tactics have been a complete success.
At first it doesn’t look like a Disney victory; After all, this would mark the first time it has sent a quarterly subscriber drop since the Disney Plus platform was launched. But this negative milestone is not significant when you enter the numbers.
First, the platform is now on 124.6 million users, down from 125.3 million, so 700,000 represents just over 0.5% of users leaving between its quarterly reports. Meanwhile, these price increases-as Disney Plus with ads from $ 7.99 to $ 9.99 and the ad-level level that went up to $ 15.99 from $ 13.99-hensentially a 25% and 14% increase more than covers the cost of people leaving.
But the real kicker for people who hope we could somehow convince Disney, Netflix, and the rest, the price rises and password divisions is a bad idea is this: By examining this article I found that Disney’s Subscriber drop was from International Disney Plus users – not those in the US or Canada where these significant price increases occurred. In fact, the US and Canada Disney Plus rose by 800,000 in the last quarter despite the hike.
So, according to Disney’s earnings report, in the US and Canada, Disney Plus went from earning an average of $ 431.2 million a month to $ 453.83 million, and overall it went from $ 902.16 million to $ 940.73 million per. Month.
All this is to say, as high as we are all about hating price increases and not being able to share our passwords for free, companies are incentives to continue to do so because it is financially a clear successful strategy. So while Disney is expected to lose even more subscribers in its next quarterly report, don’t expect it to change course streaming services and more password sharing of crashes.