Will Disney+ Recent Releases Boost Viewership?

Disney+ saw its lowest quarter-over-quarter subscription growth in Q3 2021 since the streaming service launched two years ago. While this third-quarter drop is certainly cause for concern and not something investors like to see, there is still plenty of hope for the future success of Disney+. In fact, there are clear signs that Disney+ executives were prepared for this slump, which contributes to the slowdown of fresh content release due to COVID-related production shutdowns.

It seems the company set the release of its new content around the Thanksgiving holiday weekend. For example, the long-awaited Hawkeye series launched on Nov. 24 and Peter Jackson’s well-publicized The Beatles: Get Back premiered on Nov. 25. Early signs show that this strategy worked as the number of downloads rose by 33% from Nov. 25 to Nov. 27, while the number of daily US-based users increased by nearly 30%.

To keep the momentum going, Disney+ also announced its full 2021 holiday viewing lineup that includes family favorites, such as Jingle All the Way, The Santa Clause, and Noelle. Additionally, Disney+ announced the release of box-office hits, including Eternals around Dec. 20 and Encanto on Dec. 24, both of which are expected to boost the number of daily users and attract new subscribers.

Disney+ executives also shared that the company will increase content spending by $8 billion in 2022, bringing the total spend to $33 billion. The trick for Disney will be to bring in content that will boost both viewership and the number of subscribers.

Recent surveys show that viewers are looking for more adult-centric content. So, the hope is that Disney uses much of its $33 billion budget on adult-oriented movies and shows. Disney can also leverage its ownership of Hulu, its other streaming platform, to merge some adult favorites, such as The Handmaid’s Tale. In fact, Disney CEO, Bob Chapek, has stated that he’s not against merging the two platforms at some point in the future.

While the full merger of Disney+ and Hulu is unlikely for the near future, it could be a definite possibility when Disney gains complete control of the streaming service in 2024. For now, it looks like Disney+ has enough new content slated for the holiday season to continue attracting viewers from around the world.