Disney Breaking Into The Streaming Service Industry

Disney has announced that they plan to pull all of their movies off of the Netflix virtual shelves.

 

After a mixed quarterly earnings report corporate giant Disney announced their plans to make some big moves.

 

Video Source – IGN News

While Disney and ESPN did great in some departments, they are struggling in others. Some of their downfalls include higher programming costs, lower ad revenue, and costs associated with severance packages for departing employees.

 

When it comes to marketing its a never ending cycle of out with the old and in with the new. What made millions 5 years ago can be completely irrelevant today. If you want to maintain your title as an industry leader you have to stay on top of the trends.

 

So whats trendy when it comes to the entertainment industry today? You guessed it. Streaming!!!

 

When it comes to streaming services Netflix is leading the pack by miles. Why host your content on another platform where its seeing less then 1% of that platforms engagement when you have the funds to create your own, and your content will see 100% of the traffic.

 

Disney Pulling Movies From Netflix to Start New Streaming Service - UD 2

 

ESPN’s television based traffic has been fading slowly for years. Their streaming service was predicted long ago, and is set to launch in early 2018. Disney’s announcement for their own live streaming service in 2019 came out of left field however.

 

So you can expect to see Disney and Pixar content leaving most video streaming sites in the near future. They own a share in Hulu, so its expected that they’ll maintain a presence there. Even content that was produced just for specific streaming services is expected to be shifted to Disney’s new stream site. Its still in the air about the Marvel and Star Wars films.

 

Disney CEO Bob Iger called the move on creating a streaming service “a strategic shift in the way we distribute our content.”

 

I predict this will be a good move. Netflix has such a huge jump start its probably near impossible to surpass their popularity. On the other hand Disney already has a massive audience, enough content of its own to fill an entire streaming library, and has the potential to make much more with their own service. Sounds like a no-brainer. I don’t know why they’ve procrastinated this long.

 

Info Source – HollywoodReporter.com
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