Communications in Humanities Research ISSN: 2753-7072
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Research Article

How Disney Plus Helped Disney out of Financial Crisis

Bixuan SunUniversity of Southern California*

* Corresponding author: [email protected]

Abstract

This paper examines the impact of the COVID-19 on The Walt Disney Company and the measures taken by the company, particularly the launch of the streaming service Disney Plus, to mitigate the economic crisis. The pandemic led to the closure of Disney's theme parks worldwide, resulting in significant revenue losses. The film industry also suffered as movie theaters closed and production was disrupted. As a result, Disney's stock price fell, and the company faced financial difficulties. However, the launch of Disney Plus in November 2019 provided a new source of income and profit opportunities. When people had to stay home, the demand for streaming services surged, and Disney Plus capitalized on this trend. As a result, the success of Disney Plus exceeded expectations, surpassing 60 million subscribers by August 2020. The paper analyzes the strategies employed by Disney to promote Disney Plus, including releasing blockbuster films directly on the platform and extensive advertising campaigns across various media channels. The company's public statements emphasizing its commitment to streaming media and its confidence in Disney Plus further contributed to its success. Overall, Disney Plus played a crucial role in mitigating the financial impact of the COVID-19 on The Walt Disney Company.

Keywords: COVID-19; pandemic; The Walt Disney Company; Disney Plus; streaming service; economic crisis
Published: November 20, 2023
DOI: 10.54254/2753-7064/12/20230015
Volume: CHR Vol.12
pp. 13-17
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