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1 More Strong Demand Signal for Disney+

An onslaught of prospective Disney+ subscribers crashed the sign-up site yesterday. Read More...

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="We're now less than three months away from the highly anticipated launch of Disney+, Disney‘s (NYSE: DIS) most significant push into over-the-top (OTT) video streaming yet. The entertainment behemoth is making the service’s value proposition hard to ignore, including a compelling feature set for just $7 per month (or $70 per year) before taking into account possible bundling discounts. Many on Wall Street are bullish about Disney+’s prospects: Wedbush analyst Michael Pachter estimates&nbsp;that Disney will grab 10 million to 15 million U.S. subscribers in the first year.” data-reactid=”11″>We’re now less than three months away from the highly anticipated launch of Disney+, Disney‘s (NYSE: DIS) most significant push into over-the-top (OTT) video streaming yet. The entertainment behemoth is making the service’s value proposition hard to ignore, including a compelling feature set for just $7 per month (or $70 per year) before taking into account possible bundling discounts. Many on Wall Street are bullish about Disney+’s prospects: Wedbush analyst Michael Pachter estimates that Disney will grab 10 million to 15 million U.S. subscribers in the first year.

Here’s another sign that there’s already considerable pent-up demand for Disney+.

Kevin Mayer standing on stage in front of a Disney+ presentation

Disney’s direct-to-consumer chief, Kevin Mayer, details Disney+ at the D23 Expo. Image source: Disney.

An onslaught of prospective subscribers crashed the site

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Disney is currently offering&nbsp;a heavily discounted three-year subscription to Disney+ for members of D23, the company's official fan club. The promotion knocks $69 off the cost of a three-year subscription, which is normally $210. That brings the annual cost down to just $47, or less than $4 per month. That's a quarter of the cost of&nbsp;Netflix Premium, which has a comparable feature set, such as 4K Ultra HD and four concurrent streams.” data-reactid=”26″>Disney is currently offering a heavily discounted three-year subscription to Disney+ for members of D23, the company’s official fan club. The promotion knocks $69 off the cost of a three-year subscription, which is normally $210. That brings the annual cost down to just $47, or less than $4 per month. That’s a quarter of the cost of Netflix Premium, which has a comparable feature set, such as 4K Ultra HD and four concurrent streams.

There are three different tiers of D23 membership with varying levels of benefits: Gold, Gold Family, and General. While Gold and Gold Family cost $100 and $130 per year, respectively, a General membership is free. In other words, consumers can effectively score a massive discount on a service that is already priced incredibly competitively, as long as they’re willing to sign up for D23 membership and commit to a three-year subscription.

The offer has gone viral — so much so that a surge of traffic crashed the sign-up site yesterday.

The site is now back up and the House of Mouse is accepting new enrollments.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="On the last earnings call, CEO Bob Iger noted that marketing for Disney+ would ramp up near the end of August. "We’re actually going to allow members of D23 to be the first to subscribe," Iger said. The chief executive added that he was putting together a "comprehensive marketing plan" for what he described as "the most important product" that Disney, a popular dividend stock, has launched during his tenure as CEO. That’s quite a proclamation; Iger became Disney CEO back in 2005.” data-reactid=”34″>On the last earnings call, CEO Bob Iger noted that marketing for Disney+ would ramp up near the end of August. “We’re actually going to allow members of D23 to be the first to subscribe,” Iger said. The chief executive added that he was putting together a “comprehensive marketing plan” for what he described as “the most important product” that Disney, a popular dividend stock, has launched during his tenure as CEO. That’s quite a proclamation; Iger became Disney CEO back in 2005.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="More From The Motley Fool” data-reactid=”35″>More From The Motley Fool

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Evan Niu, CFA owns shares of NFLX and Walt Disney. The Motley Fool owns shares of and recommends NFLX and Walt Disney. The Motley Fool has the following options: long January 2021 $60 calls on Walt Disney and short October 2019 $125 calls on Walt Disney. The Motley Fool has a disclosure policy.” data-reactid=”43″>Evan Niu, CFA owns shares of NFLX and Walt Disney. The Motley Fool owns shares of and recommends NFLX and Walt Disney. The Motley Fool has the following options: long January 2021 $60 calls on Walt Disney and short October 2019 $125 calls on Walt Disney. The Motley Fool has a disclosure policy.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="This article was originally published on Fool.com” data-reactid=”44″>This article was originally published on Fool.com

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