The entertainment giant is prioritising exclusive
programming, original shows and movies, and bundled streaming services to build
on the momentum of its various offerings which extend beyond Disney+ to include
ESPN, Hulu, and Star, executives said during an investor day.
"We knew this one-of-a-kind service featuring content
only Disney can create would resonate with consumers and stand out in the
marketplace," Chapek said of Disney+.
"This success has bolstered our confidence in our
continued acceleration towards a direct-to-consumer first business model."
Disney+ competes with streaming television titans Netflix
and Amazon Prime in a crowded market for online entertainment.
The streaming service, which will raise its US price by a
dollar to $7.99, "has exceeded our wildest expectations with 86.8 million subscribers
as of December 2nd," Chapek said.
In a recent corporate reorganisation, Disney split
distribution from content creation in an effort to be more nimble in its
delivery of shows to viewers, according to executives.
Data gathered by Disney+ on audience preferences is shared
with creative teams to tailor shows to viewers' tastes, the company said.
"This is especially important now given consumers'
rapidly changing consumption behaviours and the prolonged uncertainty due to
the pandemic," Chapek said.
Given the pandemic, Disney has planned film premiers on its
streaming service and when feasible also at traditional theaters.
Positioning for 'future growth'
Regardless of where Disney content premiers, it will end up
on Disney+ according to media and entertainment division chief Kareem Daniel.
"While this has been a very tough year for all of us
here at Disney, we continue to take deliberate and innovative steps in running
our businesses to best position them for future growth," Chapek said.
The company has an array of Marvel, Star Wars, and Disney
shows lined up for release on its streaming service over the next few years,
according to Daniel.
Disney will expand its television streaming services in 2021
to more markets, including Hong Kong, South Korea, and Eastern Europe,
according to head of international operations Rebecca Campbell.
Disney will also beef up its streaming service in India,
where it has a partnership with Hotstar.
"This is why we decided to launch Disney+ in conjunction
with Hotstar to create a truly integrated entertainment experience for
consumers in that market."