Disney+ sets its eyes on Hong Kong

Following its Q3 earnings call, The Walt Disney Company said Disney+ will launch in Hong Kong, Taiwan and South Korea in November 2021. Disney+ Japan will also be expanded to feature additional general entertainment content in October 2021. The streaming service is currently available in Australia, New Zealand, Japan, Singapore, India, Malaysia, Indonesia and Thailand.

“The response towards Disney+ across Asia Pacific has exceeded our expectations, as consumers seek diverse entertainment content and are drawn to our portfolio of brands and franchises,” said Luke Kang, president, The Walt Disney Company Asia Pacific. “We are pleased with the subscriber growth and partnerships forged in markets, and look forward to engaging with more consumers across the region through unparalleled storytelling, creative excellence and cutting-edge content delivery.”

Disney+ has clearly been prepping for its Hong Kong launch for some time now with the company appointing Winradit Kolasastraseni as general manager, direct-to-consumer for Hong Kong, Taiwan and Southeast Asia (excluding Indonesia), and general manager of the Walt Disney (Thailand) company effective 1 June.

Kolasastraseni will be responsible for spearheading the company’s growth in the dynamic direct-to-consumer space, and will lead business teams across the region to deliver Disney’s storytelling to consumers in the evolving ways that fans and families around the world prefer to experience Disney’s content. Boasting over 20 years of experience as a global tech and digital media executive, with extensive experience building and operating highly scaled yet global online businesses, Kolasastraseni joins The Walt Disney Company from Discovery, where he was general manager of Dplay, the company’s global online video on demand service.

Meanwhile in April, Disney shut down the majority of its TV channels in Hong Kong in a bid to focus on and grow its streaming services. Quoting The Walt Disney Company, Channel NewsAsia reported that the consolidation of its media networks business is part of the company's "global effort to pivot towards a direct-to-consumer-first model and further grow" its streaming services.

Disney saw its direct-to-consumer revenue increase 57% from a year ago, to US$4.3 billion. It ended the quarter with 116 million Disney+ subscribers, which was up from 103.6 million in March and 57.5 million a year earlier.

“On the direct to consumer side we are extremely pleased with the continuing success of our portfolio of streaming services. Disney+, ESPN+ and Hulu performed incredibly well,” said Bob Chapek  CEO of Disney. Disney+ raked in 116 million subscribers, while ESPN+ and Hulu brought in 14.9m and 42.8m respectively. He added that shows such as Mavel’s Loki and The Falcon and Winter Soldier contributed to Disney+’s growth.

In total, the company brought in US$17 billion in sales, up 45% from same period last year. The company reported earnings of US$995 million in the third quarter.

According to the brand, in Thailand, the streaming service has topped app store charts since its launch on 30 June 2021, and in Indonesia and Malaysia, it sits as a leading SVOD (subscription video on demand) service.

Disney+ offers a wide selection of films and episodes of content from Disney, Pixar, Marvel, Star Wars, National Geographic and Star, which includes a growing stable of local and regional content.

Currently, the brand is embroiled in a lawsuit brought on by Black Widow star Scarlett Johansson, where the actress alleged that her contract was being breached given the release of Black Widow was timed to be released on theatres and the streaming service simultaneously.

Disney said that in its approach to distributing feature length film, it follows a three pronged approach of theatrical releases, direct to distribution releases and Hybrid releases – which is the case of Black Widow, Cruella and Jungle Cruise.

Chapek said with the pandemic, the team was looking for alt ways to bring movie to consumers as many consumers were hesitant to go to theatres even as some markets start to open. As such, individual approaches are taken and decided on via a film by film basis. He added that the team will “learn from insights and innovate and do what is best in the bet interest of film and audience.”

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