Disney+ is more than just a revenue stream. It is a sales channel for their brand. If you have Disney+ you are going to watch more Disney content... and if you

Disney+ is more than just a revenue stream. It is a sales channel for their brand. If you have Disney+ you are going to watch more Disney content... and if you watch more content you are going to buy more merchandise (0). Modern Disney is a brand company making money from selling merchandise (1). Even more importantly Disney+ is a platform. Most little girls in western countries (3) already dream of being a princess. So if you provide a channel which parents can subscribe to put their kids in front of the TV... that is a tremendous value proposition for both sides. Parents because kids are out of their hair while watching family friendly shows and disney because see my previous point. 0. In my humble opinion. I have not done any research, but having disney+ -> watching more disney -> becoming a fan and buying their stuff makes sense to me. 1. $54.7bn from merchandise in 2019 with next highest revenue source bringing in $24.8bn - https://www.statista.com/topics/1824/disney/ https://www.statista.com/topics/1824/disney/ 3. Like every single 5 yo girl I've met... which is actually not a big number, so maybe not most little girls, but still a pretty sizeable portion.