Disney+ Should Bundle All Theatrical New Releases, According to Major Investor
Investor Dan Loeb believes there's more work ahead for Disney. So far, the Walt Disney Company’s streaming service, Disney+ has been a hit, and among its competitors, it's near the top.
In a letter to Third Point hedge fund investors, Loeb mentioned the success of Disney+. While he sees how well the streaming service is performing, he feels that the company hasn’t reached its full potential yet. Because Disney is a leader in sports and entertainment, Loeb believes that there’s a good opportunity for the company to use that as leverage.
“While the progress thus far has been commendable, even more can be done to realize Disney’s full potential in streaming,” Loeb said.
Disney+
Disney+ is a video streaming service with over 13,000 series and films from Disney, Pixar, Marvel, Star Wars, National Geographic, The Muppets, and more. It is available in 61 countries and 21 languages. It is notable for its popular original series like “The Mandalorian,” “Ms. Marvel,” “Loki,” “Obi-Wan Kenobi,” and “Andor.”
One of Loeb’s suggestions is to offer all Disney+ content at one price. Specifically, he suggests the streaming service switches to an “all-you-can-eat” plan, “where all theatrical content is available day-and-date with no additional fee to subscribers.”
Though Disney+ doesn’t have plans for additional Premier Access films, it’s possible that could change due to an increasing concern for Covid-19 variants. Due to the pandemic, Disney offered same-day theatrical releases on its streaming service for an additional $29.99 per movie. Loeb thinks that it would be a better move for Disney to include theatrical releases in the subscription cost rather than charging subscribers more. HBO Max offers same-day access to movies in theaters at no additional cost.
Loeb thinks there’s an “immense” opportunity for Disney to continue growing and reaching new audiences. While many consumers have cut the cord and are subscribed to Disney+, plenty more are still hesitant and have yet to make the switch. “Establishing a durable leadership position in the competitive global streaming market will require tough choices, aggressive investment, unwavering focus and consistent innovation,” he said.