I have been griping, for a while, about the auto industry’s pursuit of ever higher ATP and GP per vehicle, regardless of the impact on volume by increasing numbers of people being priced out of the market.
I have griped, for some years, about the apparent strategy at Disney, to escalate their park rates toward infinity, increasing profit, without increasing volume, not giving one whit about the struggles of the parents trying to finance a trip, because their spawn say they will simply die if they don’t get some mouse face-time.
Disney is now at it again, raising the price of it’s streaming services above going market rates.
Disney CEO Bob Chapek again distances himself from Bob Iger with Disney+ pricing decision
The latest break is the 38% price increase for Disney+, announced last week as part of a slew of announcements surrounding Disney’s new advertising-supported service, which will launch on Dec. 8. Disney+, without ads, will increase from $7.99 per month to $10.99 per month. Disney+ with ads will begin at $7.99 per month.
At $7.99 per month with ads, Disney+ will now be more expensive than several other ad-supported products, including NBCUniveral’s Peacock ($4.99) and ’s Paramount+ ($4.99), though it will remain cheaper than ’s HBO Max ($9.99). At $10.99, the ad-free Disney+ will not only be more expensive than Peacock and Paramount+, but it will also be pricier than Prime Video ($8.99), which also doesn’t include commercials.
Disney+ without ads will still significantly underprice
($15.49) and HBO Max ($14.99). Disney’s bundled offering of Disney+, Hulu with ads and ESPN+ with ads, will be $14.99 per month, an increase of $1 from its previous cost.
I worked for a couple companies that thought they were such hot stuff, they didn’t need to compete, and could raise prices to the sky. It didn’t end well for either of them.