Disney's Subscriber Plunge: Boycott Success After Jimmy Kimmel Controversy

Subscriber Churn Spike

• 📈 Disney+ and Hulu experienced a significant surge in subscriber cancellations during September, doubling their usual churn rates.
• 💡 Disney+ saw approximately 3 million US subscribers cancel, while Hulu lost over 4.1 million cancellations.
• ⚠️ This represents the largest churn rate for these services since April 2023, indicating a substantial economic impact.

The Jimmy Kimmel Controversy

• 🎭 The surge in cancellations followed the temporary suspension of Jimmy Kimmel from his show on ABC.
• 📣 Public figures and celebrities, including Mark Ruffalo and Howard Stern, publicly supported a boycott of Disney services in protest.
• 🗣️ While Disney claimed Kimmel was not truly fired and issues were being worked out, the timing of the cancellations suggests the boycott had an effect.

Power of Economic Backlash

• ✊ The successful boycott serves as a reminder of the collective economic power consumers wield.
• 🎯 It demonstrates that strategic consumer choices, particularly when aligned with specific reasons, can influence corporate behavior.
• 🛒 This success mirrors other ongoing consumer backlashes against companies like Target and Amazon for their policies or programs.

Rising Subscription Costs

• 💰 Disney+ is increasing prices again, with its premium ad-free plan rising by $3 per month to $19.
• 💸 The speaker notes the increasing cost of streaming services, comparing current prices to historical cable costs.