Disney+ to Crack Down on Account Sharing, Rolling Out Monetization Strategy
Disney+ subscribers in Canada have been notified that as of November 1st, the streaming service will crack down on account sharing outside of a primary user’s household. The notice from Disney informs subscribers that they may not share their subscription outside their household, and the company reserves the right to limit or terminate access if they determine a violation of this policy.
This move is part of Disney’s strategy to monetize streaming account sharing. Disney CEO Bob Iger announced earlier this year that the company was actively exploring ways to address account sharing and would update subscriber agreements with additional terms on sharing policies.
Disney follows Netflix’s lead, which launched a “paid-sharing program” in over 100 countries in mid-2022 to encourage password borrowers to get their own accounts or add non-household users as “extra members.” Netflix attributed strong subscriber growth to this initiative.
Starting November 1st, Disney will also launch the Disney+ ad-supported plan in Canada, the UK, and eight European countries, priced at $7.99 per month.
Disney has been raising prices for standalone premium tiers of Disney+, Hulu, and ESPN+ in the US, effective October 1st. Disney+ Premium (with no ads) increased to $13.99 per month, Hulu without ads increased by $3 to $17.99 per month, and ESPN+ increased by one dollar to $10.99 per month.
In the US and Canada, Disney+ experienced a drop of about 300,000 subscribers for the three months ending July 1st, standing at 46.0 million. However, the subscription service netted 800,000 new subscribers globally, excluding Disney+ Hotstar, which saw a 24% decrease in subscribers after Disney lost IPL cricket rights.