Disney+ Plans to Expand Ads in 2024, Says Global Ad President
Disney+ is set to ramp up its advertising offerings in 2024, as the streaming platform aims to bring more consumers and brands into the fold. Rita Ferro, Disney’s global ads president, revealed that the company’s ads plan has already seen a 35% increase in user engagement from March to September 2023. Furthermore, 50% of new Disney+ sign-ups have chosen the ad tier.
Ferro believes that viewers are receptive to ads when they provide a good advertising experience. As Disney+ continues its global expansion, launching in nine European and Canadian markets in November, Ferro emphasizes the importance of managing partnerships with advertisers and delivering a positive ad experience.
In its first year, Disney+ offered basic ad formats, but the company expanded its options in 2023 to include midrolls, :90s ads, and content sponsorships. Looking ahead, Ferro is focused on ad innovation and improving the tools and capabilities available to advertisers, specifically emphasizing the need to unify audiences and simplify the media buying process.
Disney+ recently launched the Hulu on Disney+ beta offering, allowing clients to purchase audiences across both platforms. Although a full integration is coming in March, Ferro reported positive initial results since the launch of the beta.
The streaming giant has been cautious in its approach, starting with around 100 advertisers to ensure successful campaign delivery. This strategy has paid off, with Ferro noting that they did not underdeliver to any partners. Drawing from their U.S. launch experience, Disney+ plans to replicate its offerings internationally.
Addressing the varying market demands, Ferro believes it is important to have multiple pricing offerings to cater to different customers’ preferences. Privacy is also a top priority for Disney, with 140 brands engaged in its clean rooms, allowing advertisers to leverage Disney’s audience data in a privacy compliant way.
Disney+ has integrated 30 demand side platforms (DSPs), making it easier for advertisers to buy ad space on both Hulu and Disney+. The company aims to expand its audience graph and targeting capabilities globally to serve customers across different markets.
Ferro emphasized the company’s commitment to providing a seamless ad experience for advertisers, forming relationships and partnerships to continually improve their offerings. The goal is to allow advertisers to buy once and deliver everywhere, offering both global and local capabilities.
Disney+ aims to deliver on the expectations of both advertisers and viewers as it expands its ads plan. With a focus on ad innovation, audience targeting, and seamless integration, Disney+ hopes to strengthen its position in the competitive streaming market while continuing to provide engaging and enjoyable content for its subscribers.
