There’s been a lot of questions on what exactly the future has in store for Disney+’s ad-supported model. It was announced that they were planning on expanding it worldwide and in an interview with Wall Street Journal, Disney’s President of Ad Sales and Partnerships, Rita Ferro, explained their approach to the new model. It seems their base plan is to keep it at four minutes for every hour, which is quite a bit smaller than traditional TV and other streaming rivals.
Peacock is only a minute longer while traditional television has between 18 to 23 minutes per hour. The other Disney streaming service, Hulu, has double the amount while HBO Max also sticks to four minutes per hour as well. The big statement Ferro instantly made is that they are not collecting data to target kids using the service. That was a big concern given its family-friendly focus that this could be seen as its USP for advertisers, but they are staying true to it. They’ve also already confirmed that they won’t allow advertising involving politics or alcohol on the service. They also are excluding rival ads, which isn’t unusual.
They are also highlighting that they will exclude ads when it involves pre-school audiences, which is seemingly running through the profile rather than the actual content being watched. Of course, the cheaper option for those uncertain about subscribing and with a limited amount of ads at 4 minutes may not sound too bad. There’s no word how it may affect GroupWatch functions.
It’s important to note that child advertising is illegal in specific countries, which is why an international release for the ad-supported version may be rolled out in different stages. They likely may test it out with internal ads for their own shows and offerings, as a way to fill space and see how people respond to the ad tier before rolling it out. The data provided in the service is definitely going to be a big question mark, as it’s not uncommon in the US that this information is sold. They will also have to abide by the GDPR in Europe, which could lead to some challenges on how they integrate ads, but we might find out more as they build up the model.
Source: Wall Street Journal