People are spending considerably more time consuming content on electronic devices.
American adults spent about 3 hours and 30 minutes a day consuming digital content on the mobile internet in 2019 — about 20 minutes more screen time than the previous year, according to measurement company Zenith.
In 2019, for the first time, U.S. consumers spent more time with their mobile devices than they did watching TV, according to eMarketer. Smartphones account for 70% of that mobile time. Mobile device usage is growing rapidly as streaming platforms, newly created apps, social media, gaming, and targeted advertising campaigns increasingly cater to consumers outside the home.
Disney should be able to replicate what Netflix has accomplished with its direct-to-consumer streaming services, which include Disney+/Star, ESPN+, and Hulu.
- Disney has acquired a massive base of more than 300 million subscribers, and is already raising prices in the United States and Europe.
- Its current subscription price point leaves ample room for additional increases in the future.