Friday, November 13, 2020

Millennials, Generation Z Form the Bedrock of Disney+

Disney+ and Apple TV+ entered the streaming marketplace at about the same time, with different approaches to conquering the streaming wars: Walt Disney Co. leveraged its recognizable brands to draw in subscribers, while Apple Inc. invested in high-profile Hollywood names, such as Reese Witherspoon and Steven Spielberg. 

Now, roughly one year after their respective launches, Morning Consult Brand Intelligence data confirms that Disney+ has found its audience — namely Generation Z adults and millennials, many of whom are parents — within its first year and that consumer use of the service has remained consistent throughout the pandemic, positioning Disney+ as a competitor with other established streaming services, while Apple TV+ will need to focus on building its library to compete. 

“Disney+ has been a really strong success for Disney, so much so that Disney has really refocused significant parts of its business to really bolster that and to make it even more successful in the future,” said Brett Sappington, vice president at Interpret, a global market research company specializing in the entertainment industry. As of June 27, Disney+ had 57.5 million subscribers, according to Disney’s earnings report for the fiscal third quarter. And in October, the company announced it would undergo a strategic reorganization to build on its streaming strategy. 

Morning Consult data shows that since its November 2019 release, 10 percent of U.S. adults use Apple TV+ at least once a week, on average, compared with 26 percent who said the same of Disney+. 

Allen Adamson, a founder and managing partner of brand marketing firm Metaforce, said Disney and Apple’s established reputations contributed to the reception of their streaming offerings. 

“Disney has been creating content since Mickey Mouse,” he said. “Apple has been in the computer business.” When customers think of Disney, they think of things to watch, he said, but Apple brings to mind devices or things to use. 

Sappington added that Disney’s library of content dwarfed Apple’s offerings at launch, and that by offering exclusive access to favorite Disney titles, the Mouse House was able to satisfy subscribers who had finished watching the new releases, an advantage Apple TV+ does not share.


Usage frequency of Disney+ is higher among members of Gen Z and millennials, and has remained consistent, throughout the COVID-19 pandemic, undermining early assumptions some had about the service.

No comments:

Post a Comment