QMBD Assignment

Quantitative comparison of Netflix and Disney Plus

Submitted by
Group 6
Aritra Mitra (UM18013) Under the guidance of
Deeptiman Pati (UM18022) Prof. Manaw Modi
Nirgun Nirakar Dash (UM18032)
S V S Bharadwaj (UM18042)
Saswata Samanta (UM18062)
 STATS AND NUMBERS BEHIND NETFLIX AND DISNEY+

before

250m 15.79bn 158m

Number of Netflix annual Number of

subscription revenue (2018) Netflix paying
video on demand streaming
households subscribers
worldwide in worldwide (till
2018 Q2 2019)

At a Glance

Service
launched on
Nov. 12,
10m 24m 1 $7
2019
Subscriptions in Subscriptions in Most trending Per month
24 hours after three weeks Google search subscription cost
launch term

Number of Subscription Video on Demand (SVoD) households worldwide from 2018 to

2022 (in millions)
 WILL NETFLIX SURVIVE THE DISNEY+ ONSLAUGHT?

Kings of kid-friendly content

58% 16%
Annual growth rate Average growth rate

42% 0.4% • 100% ownership of

Hulu
• Disney-curated
Average growth Average growth content outside the
projection (next 5 years) projection (next 5 years) confines of Disney+

Statement by
“While not all projects that we do pursue will work out, our large and growing subscription
base helps enable us to try many approaches, while the size of our content budget (~$10
billion on P&L [production and licensing] spend and ~$15 billion in cash content spend in
2019) insulates us from dependency on any single title."

The Edge

This company wants to provide high-quality content for nearly every market,
1
niche, and taste one can think of

Netflix is pushing the pedal to the metal, and reinvesting most of the cash that
2
this strategy produces into even more content production and global marketing
Disney can't afford to do that, because extreme success on the streaming side
3 of the media market would inevitably cannibalize the company's established
operations in the TV and cinema sectors