For Disney, price is history.
Disney is creating Disney + to be the premium streaming option for children and families. And it probably already is. While Netflix has spent a lot on programming for children, investing in its animation division, its TV and film options for children are rather weak. Nickelodeon and Disney on Viacom have dominated children's shows for years. Netflix also does not own the rights to many PBS programs for famous children, such as "Sesame Street" and "Daniel Tiger".
Amazon Prime Video has a decent set of shows for kids, but it can't compete with the original Disney board, built over decades. And the new Disney films, including films like "Frozen 2" and the live-re-make of "Lion King", will join Disney + about seven or nine months after they hit the theaters.
For $ 6 or $ 7 a month, Disney + is an immediately attractive option for families looking for affordable content. The aggressive undervaluation of Netflix is not accidental. Disney aims to get from 6024 to 90 million Disney + subscribers by 2024. Iger said the prices were specifically set to attract as many people as possible.
"We are planning a product that we want to be accessible to as many consumers as possible," Iger said during the presentation of the investor's day. "We feel that Disney is loved by so many millions and millions of people around the world."
There are many products streaming now. Probably too many. But Disney + may have immediately become the most attractive from a price-value standpoint.
Disclosure: Comcast, which owns the parent company CNBC NBCUniversal, is a co-owner of Hulu.