Disney+ is fully committed to stopping password sharing, even outlining further plans to help raise revenue this year.
M-I-C-K-E-Y is gearing up to crack down on sharing of P-A-S-S-W-O-R-D-S, as existing subscribers will see a halt on this beginning next month. While this was implemented for new users last month, those who already subscribe to Disney+ will run into this roadblock on Thursday, March 14th.
But it doesn’t stop there as, not surprisingly, Disney+ will put a system in place later this year that will allow these existing subscribers to let people use their account…for more money, of course. This comes fresh off of the revelation that Disney+ lost 1.3 million subscribers when they upped their subscription fees. They also saw a $300 million dip in streaming revenue, which they certainly hope to regain at least a portion of once that initiative rolls out.
To explain plans for 2024, Disney CFO Hugh Johnston stated, “While we’re still in the early days, and don’t expect notable benefits from these paid-sharing initiatives until the back half of calendar 2024, we want to reach as large an audience as possible with our outstanding content and we’re looking forward to rolling out this new functionality to improve the overall customer experience and grow our subscriber base.”
We all knew the password crackdown was coming from Disney+, as fellow streaming giants like Netflix – which reigns in the world of streaming at 260 million subscribers – have also put in place. While Disney+ is pegged around 150 million subscribers, the studio says that their competitors can help gauge the outcome of their goals. “Suffice to say that the opportunity that we see on a percentage basis probably isn’t all that dramatically different from what our competitor has found in terms of their subscriber base.”
Time will tell just how Disney’s strategies will turn out, but it wouldn’t be surprising to find that if this proves to be a worthwhile move that others will follow suit. As of now, there are plenty of other subscription services that either permit password sharing or actively promote it.
What do you think of Disney+’s continued move to stop subscribers from sharing passwords? Do you think they will begin to redeem themselves in terms of revenue? Give us your take on the matter in the comments section below.
