It’s no secret that the Disney+ plans to launch cheaper subscription plan with ads – and behold, the first details of how this model works begin to appear. According to some rumors, the platform intends to set a limit of four minutes of advertisements per hour of content.
According to reports from the Wall Street Journal and Variety, the company’s strategy is to be as minimally invasive as possible, that is, to introduce a minimum of advertisements so as not to disrupt the user experience. And it is from this policy that the executives would have reached this limit of four minutes per hour.
The idea behind this reduced amount is precisely to offer a more user-friendly model – and thus to offer one of the most competitive packages on the market. In the US, HBO Max already offers a subscription category that also caps a total of four ads every 60 minutes. Peacock limits to five per hour, while hulu brings 12 minutes of commercials in the same time slot.
Additionally, according to these early reports, the ads would also be limited to specific audience and content types. In practice, this means that children’s profiles or even movies and animations aimed at preschoolers should not receive any type of advertising, regardless of viewing time. And, per company policy, content related to alcohol, tobacco, and other products that fall outside the service’s usual offering will also not be accepted.
Behind the plane with advertisements
And all this interest in the subscription model has a very simple reason: money. Although we are talking about a more economical plan than the existing ones on the platform, the streaming market as a whole has already understood that offering this cheaper option is a way to attract new users and, with that, to expand its subscriber base.
This becomes even clearer when we see the Netflix itself is planning to launch a similar plan and this was made public shortly after it was announced that the the platform lost subscribers for the first time in ten years. Disney therefore seems to want to offer this option before its numbers also start to drop.
Plus, Mickey’s company still has a good example in its own backyard. Hulu is owned by Disney and already offers a cheaper ad-based subscription, and according to reports from the platform itself, the plan is already more popular than the ad-free model. In total, about 70% of current streaming subscribers choose to pay less, even with 12 minutes per hour of advertising.
In this way, the expectation of Walt Disney Company is that Disney+ has a similar percentage of users preferring to sacrifice a few minutes of content to save a few extra bucks at the end of the month.