Disney+ reports 103M subscribers in Q1 2021 as growth slows

Posted:
in General Discussion edited May 14
Disney+ had 103.6 million paid subscribers as of April 3, 2021, missing Wall Street growth expectations for the first quarter.

Credit: Disney
Credit: Disney


The service added 8.7 million global subscribers to its count in the first three months of 2021, Disney reported in a quarterly earnings update on Thursday. Previously, Disney+ reported that it had 94.9 million subscribers at the start of 2021. At its annual shareholders meeting, the company boasted that it had topped 100 million subscribers.

Prior to the company's first quarter earnings report, analysts had predicted the service coming in at 109.3 million subscribers, Variety reported.

The slower-than-expected growth during the quarter came after the first price hike for Disney+. In the U.S., the service bumped its monthly price tag a dollar higher to $7.99.

Additionally, the average monthly revenue per paid subscriber also dropped in the first quarter to $3.99, down 29% year-over-year. Disney noted that its global numbers include Disney+ Hotstar, which is available in some markets and has a lower average revenue per user.

Disney CEO Bob Chapek said he expects subscriber growth to pick up against as the pandemic subsides and movie and TV production returns to normal, which will allow new content to come to the platform.

Throughout 2020, Disney+ saw exceptional growth, adding 16.5 million customers in just 10 days at one point during the pandemic. In the midst of coronavirus restrictions, the company also restructured its business to focus on online streaming.

Stay on top of the latest Apple news right from your HomePod. Say, "Hey, Siri, play AppleInsider," and you'll get latest AppleInsider Podcast. Or ask your HomePod mini for "AppleInsider Daily" instead and you'll hear a quick update direct from our news team. And, if you're interested in Apple-centric home automation, say "Hey, Siri, play HomeKit Insider," and you'll be listening to our newest specialized podcast in moments.

Comments

  • Reply 1 of 13
    22july201322july2013 Posts: 2,407member
    I thought after 3 to 6 months I'd have seen everything I wanted to see, and then cancel, but I don't feel like I've seen it all yet. Curiously, since I'm outside of the US, Disney+ includes "Star" which has lots of good programs. But I don't get HULU included in Disney+ since I'm outside the US. Based on what I've seen, Star is actually better than Hulu, so this is one of the rare times Canada gets a better deal than the US. Yay us, boo US.
  • Reply 2 of 13
    BeatsBeats Posts: 2,441member
    Disney did a great job by acquire all those catalogs. 
  • Reply 3 of 13
    mknelsonmknelson Posts: 790member
    I thought after 3 to 6 months I'd have seen everything I wanted to see, and then cancel, but I don't feel like I've seen it all yet. Curiously, since I'm outside of the US, Disney+ includes "Star" which has lots of good programs. But I don't get HULU included in Disney+ since I'm outside the US. Based on what I've seen, Star is actually better than Hulu, so this is one of the rare times Canada gets a better deal than the US. Yay us, boo US.
    Oh! I didn't realize Star wasn't in the US package. There are a lot of shows on there!

    Heh
  • Reply 4 of 13
    JapheyJaphey Posts: 749member
     The service added 8.7 million global subscribers to its count in the first three months of 2021”

    “ The slower-than-expected growth during the quarter came after the first price hike for Disney+. In the U.S., the service bumped its monthly price tag a dollar higher to $7.99.”

    These two statements contradict each other because the price hike actually came during the last week of March (i.e. the very end of the first three months). That should have motivated subscribers to get in front of the increase. The fact that it didn’t proves that it’s a bullshit excuse to blame the low numbers on. The firing of Gina Carano probably played a lot bigger role here than many people want to admit. 
    edited May 13 rezwitsanantksundaram
  • Reply 5 of 13
    Not surprised at all, shows are horrible on there except for Mandalorian, and even that is 26 minute episodes which is stupid .


    now they have a show with John stamos coaching  high school girls……

    Apple programming is so much better
    Beats
  • Reply 6 of 13
    I thought after 3 to 6 months I'd have seen everything I wanted to see, and then cancel, but I don't feel like I've seen it all yet. Curiously, since I'm outside of the US, Disney+ includes "Star" which has lots of good programs. But I don't get HULU included in Disney+ since I'm outside the US. Based on what I've seen, Star is actually better than Hulu, so this is one of the rare times Canada gets a better deal than the US. Yay us, boo US.
    Reall? It’s all old shows. I watched all the new stuff in 1 month ! Terrible original programming 
    anantksundaram
  • Reply 7 of 13
    rezwitsrezwits Posts: 730member
    What's funny to me is it's the ole "growth is slowing."  That's the nut job commentary crap.

    I mean look 100 million is equal to appr. 300 million people, 1 subscription is a Family of 5/4 or 2 or 1.

    So, that's like saying subscriptions are at 4 billion and slowing!  I know it's not 4 billion but an audience/subscription base that is the population of the DAMN UNITED STATES!!  Gees wtf!

    Laters...
  • Reply 8 of 13
    bestkeptsecretbestkeptsecret Posts: 4,012member
    I had a subscription to Hotstar, which automatically updated to the Disney+ Hotstar service, with all the Disney+ content. 
    Left to myself, I would not have subscribed to Disney+ since there isn't much content there that I like. 

    As far as subscription cost is concerned, Disney is right, because the average revenue does go down. I pay the equivalent of ~$2.70 as a monthly subscription for all Disney+ content + whatever Hotstar already had.
  • Reply 9 of 13
    rezwits said:
    What's funny to me is it's the ole "growth is slowing."  That's the nut job commentary crap.

    I mean look 100 million is equal to appr. 300 million people, 1 subscription is a Family of 5/4 or 2 or 1.

    So, that's like saying subscriptions are at 4 billion and slowing!  I know it's not 4 billion but an audience/subscription base that is the population of the DAMN UNITED STATES!!  Gees wtf!

    Laters...
    4 in a family from 1 subscription doesn’t matter, only 1 person is monetized 
  • Reply 10 of 13
    guiguihipguiguihip Posts: 28member
    rezwits said:
    What's funny to me is it's the ole "growth is slowing."  That's the nut job commentary crap.

    I mean look 100 million is equal to appr. 300 million people, 1 subscription is a Family of 5/4 or 2 or 1.

    So, that's like saying subscriptions are at 4 billion and slowing!  I know it's not 4 billion but an audience/subscription base that is the population of the DAMN UNITED STATES!!  Gees wtf!

    Laters...
    The fact of the matter remains: growth has slowed down. Sure they have huge subscriber numbers, but the growth they've seen in 2020 won't sustain. Which, in my opinion, is fine. But as an investor, you want growth.
  • Reply 11 of 13
    MacProMacPro Posts: 19,339member
    guiguihip said:
    rezwits said:
    What's funny to me is it's the ole "growth is slowing."  That's the nut job commentary crap.

    I mean look 100 million is equal to appr. 300 million people, 1 subscription is a Family of 5/4 or 2 or 1.

    So, that's like saying subscriptions are at 4 billion and slowing!  I know it's not 4 billion but an audience/subscription base that is the population of the DAMN UNITED STATES!!  Gees wtf!

    Laters...
    The fact of the matter remains: growth has slowed down. Sure they have huge subscriber numbers, but the growth they've seen in 2020 won't sustain. Which, in my opinion, is fine. But as an investor, you want growth.
    It's a problem for most businesses, growth for the sake of it just to please investors, often leads to a reduction in quality.  
    muthuk_vanalingam
  • Reply 12 of 13
    sdw2001sdw2001 Posts: 17,586member
    rezwits said:
    What's funny to me is it's the ole "growth is slowing."  That's the nut job commentary crap.

    I mean look 100 million is equal to appr. 300 million people, 1 subscription is a Family of 5/4 or 2 or 1.

    So, that's like saying subscriptions are at 4 billion and slowing!  I know it's not 4 billion but an audience/subscription base that is the population of the DAMN UNITED STATES!!  Gees wtf!

    Laters...
    The commentary is not the problem.  The problem is "Wall Street expectations" and the quarterly growth model.  Led by the whiz kids who brought us the financial collapse (on the Street and in government), all the market cares about is quarterly growth and expectations.  Look at the reaction to iPhone sales numbers.  Apple is selling an incredible 200+ million phones a year since 2014.  If they "miss expectations" one quarter and sell 48 millions phones instead of 50, they get hammered.  You have articles like this one talking about "declining iPhone sales."   Yet Apple is selling more high end phones all the time, and is still shipping over two hundred MILLION iPhones a year.  But the market wants exponential growth...not just from Apple, but everyone.  So when it doesn't happen, when there are either pressures like....cough....inflation brought on by profligate spending and energy disruption..cough....the market tanks (see: last few days).  The whole model is a mess.  

    I feel like I should go watch both Wall Street movies now....
    edited May 14 muthuk_vanalingammark fearing
  • Reply 13 of 13
    sdw2001 said:
    rezwits said:
    What's funny to me is it's the ole "growth is slowing."  That's the nut job commentary crap.

    I mean look 100 million is equal to appr. 300 million people, 1 subscription is a Family of 5/4 or 2 or 1.

    So, that's like saying subscriptions are at 4 billion and slowing!  I know it's not 4 billion but an audience/subscription base that is the population of the DAMN UNITED STATES!!  Gees wtf!

    Laters...
    The commentary is not the problem.  The problem is "Wall Street expectations" and the quarterly growth model.  Led by the whiz kids who brought us the financial collapse (on the Street and in government), all the market cares about is quarterly growth and expectations.  Look at the reaction to iPhone sales numbers.  Apple is selling an incredible 200+ million phones a year since 2014.  If they "miss expectations" one quarter and sell 48 millions phones instead of 50, they get hammered.  You have articles like this one talking about "declining iPhone sales."   Yet Apple is selling more high end phones all the time, and is still shipping over two hundred MILLION iPhones a year.  But the market wants exponential growth...not just from Apple, but everyone.  So when it doesn't happen, when there are either pressures like....cough....inflation brought on by profligate spending and energy disruption..cough....the market tanks (see: last few days).  The whole model is a mess.  

    I feel like I should go watch both Wall Street movies now....
    We are facing the danger of the 'market'. It is not rational, nor does it operate legally most of the time. It is a scam. It truly is. Public companies are making a deal with the devil. That's why Jobs looked at taking Apple private with Larry Ellison when he was first coming back to Apple. You end up a victim of the market demanding truly stupid results while never looking at the future. It's a good part of what's eating the country form the inside out.
Sign In or Register to comment.