In the past year of 2020, Disney+ has won in the streaming media industry. In just 5 months, it surpassed Netflix's seven-year performance. The number of subscribers increased to 50 million. It's an amazing number. You know, in the United States, the competition of streaming media is quite fierce. There are more than 50 products on the market. Over the years, every product has tried its best, but the number of subscribers has never changed exponentially.
What Does Disney+ 50 Million Users Mean
For Disney+, the global public health events have brought the coexistence and interdependence of danger and opportunity". The continuous spread of the epidemic has forced theme parks around the world to close temporarily and shut down the offline business. At the same time, it has also shifted people's entertainment consumption demand to online Disney+.
On the evening of April 8, Disney announced that the number of new subscribers to Disney+ was 50 million. This shows that it took only 5 months for Disney+ to complete the performance of Netflix in 7 years. Reed Hastings, CEO of Netflix, affirmed Disney+ in this quarter's teleconference: "The executive team of Disney+ is excellent and has a clear understanding of the brand positioning. I salute them."
Of course, in the face of the preemptive action of Disney+, other players in the streaming media track will not wait to die, or catch up, or find another way to increase the weight of the giant competition. The war has entered a white-hot state
Main Force Of User Growth
With 50 million subscribers harvested in 5 months, Disney+ has been promoted to the leading player in the streaming media field. Judging from the current growth momentum, Disney+ is expected to achieve the goal of reaching 60 million to 90 million users by 2024 ahead of schedule, which undoubtedly poses great threats and challenges to Netflix, which is ambitious to occupy the 167 million global user market.
Of course, not everyone has given such optimistic comments on Disney+ performance. "It's not a small number, it's beyond any expectations," said Doug Creutz, a media analyst at Cowen. But, given the overall situation in the U.S. market, 50 million is not a big surprise.
"Moreover, Disney+ will not necessarily be able to achieve profit before FY2024 even if it has achieved the subscription number target ahead of time. Creutz speculates that Disney will invest its subscription revenue into content production and marketing.
Creutz's words are reasonable, because, in terms of specific user composition, 8 million new users rely on the Hotstar service in the Indian market, while Disney+ has just been launched in India, and will certainly experience the rapid growth stage in the early stage.
Hotstar is the most popular OTT streaming service provider in India. It has been launched 5 years, and it still has the record of the largest number of live and online people in the world, about 25 million. The advantage of Hotstar lies in sports events.
During last year's Indian Premier League (IPL), the number of monthly live users of the platform exceeded 300 million, and the number of daily live users exceeded 100 million.
But we also need to see that in a market like India, where western media companies have repeatedly run into a wall, Disney+ has achieved remarkable results in gaining 8 million fans in a short time, which undoubtedly proves the wisdom and success of its seagoing strategy.
What is the driving force for Disney+ to continue to develop in the future before the global outbreak turns around? Its rich film and television resources library is not without failure.
Bob Iger pointed out in an interview that the current company may choose to put more hospital line resources on Disney+. Not long ago, Google's search for Disney+ surged after the company announced its early launch of 'Frozen 2' which has successfully swept a sense of presence.
HBO Max In Market
According to the plan, HBO Max will be officially launched on May 27 this year with a subscription price of $14.99 per month. This price is set against the overall downward trend of streaming media service providers, which is higher than the $6.99/month of rival Disney+ and $12.99/month of Netflix. It is not close to the people.
Under the increasing downward pressure of the economy, consumers, especially those who have not subscribed to HBO before, are likely not to pay for it. However, AT&T's existing subscribers can directly use HBO Max's services without additional payment.
AT&T expects HBO Max to have 50 million subscribers in the U.S. and 75-90 million premium subscribers in the U.S., Latin America, and Europe by 2025.
As you can see, during the happy period of COVID-19. All walks of life need to consider the market impact brought by COVID-19. The impact on the film and television industry is too big because watching movies needs to be in cinemas and crowded places.
So, it's not hard to imagine that the operation of cinema is bleak now. Fortunately, streaming media can seize the market opportunity during this period. After all, people will stay at home longer and longer.
The experience of watching movies anytime and anywhere has been produced in the early Internet era. But COVID-19 has given better room for development. It is hoped that more and more users will join in each streaming media product, with the flow of funds. I think, in the end, it's us who will benefit the most from the development of the film and television market.