Industry News

Streamers are asking customers to pay more for less content; Will that strategy pay off?

16 August, 2023

The bill has come due for all those years of cheap, commercial-free streaming. Disney just announced that its latest wave of price increases (its second in nine months) is on the way for Disney+, Hulu and ESPN+, as the company attempts to wring more money out of its customers in order to help it stem losses from the streaming segment of its business.

Writing for Puck News, Parrot Analytics’ director of strategy Julia Alexander said that she believes that Disney's streaming customers will probably stick by the company once those price increases are put into effect in October. Disney+ has one of the lowest churn rates of any streamer, and the Disney Bundle — which allows customers to receive discounts when signing up for more than one service — has the lowest churn rate of all streaming services in the United States, showing that price increases likely won’t lead to a huge exodus of users.

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