Disney is launching a significant promotional effort designed to drive subscribers to Disney+’s ad-supported tier.
Starting Wednesday through September 20, Disney will be offering the basic ad tier for $1.99 per month for three months. The tier normally costs $7.99 per month, making the offer a savings of $18. The offer is available to both new and returning subscribers.
While streaming services have historically offered discounts around Black Friday and Cyber Monday, the Disney+ offering is meant to take advantage of a wave of new content coming to the platform this month.
That content includes Pixar’s Disney+ premiere Elementarywhich will debut on Sept. 13, Disney says. Elementary was released in theaters on June 16 and has since grossed over $400 million worldwide.
Other content debuting on Disney+ in September includes the live-action adaptation of The little Mermaidwhich debuts September 6, new episodes of the Star Wars series AhsokaMarvel’s second season I am talland a new season of Animals up close with Bertie Gregory.
The new content and associated discount offer are likely intended to boost Disney+ ad level subscribers. While Disney+’s core offering attracted 800,000 subscribers last quarter, the service as a whole lost about 12 million subscribers across its Hotstar offering in India and other markets.
Disney+ and other streaming services have pushed consumers toward ad-supported levels through price increases to ad-free offerings and other efforts. Now that the ad tiers have better economics and more growth potential, they’ve become a strategic priority for many companies.