Disney and The Trade Desk have teamed up to give viewers more personalized ad content across the Disney streaming services. As people's expectations of subscription streaming services rise, they’re choosing brands that offer services with tailored and personalized ads over services without ads.
Disney is on a mission to create more targeted and personalized ads across its platforms – Hulu, ESPN+, ABC, Freeform, ESPN, National Geographic, and FX. This partnership aims to boost personalization in ad content by connecting Disney's Audience Graph and Clean Room technology with The Trade Desk's third-party cookie alternative, Unified ID 2.0. "We have spent years investing in our data and technology strategy to create innovative solutions for advertisers to engage their audiences with greater precision and accuracy in a privacy-focused way," says Rita Ferro, president of advertising sales at Disney Media & Entertainment Distribution. "This first-to-market capability sets the stage to empower access to the Disney portfolio, validated by powerful audience insights, in a way that's automated and accessible."
As Disney prepares to launch an ad-supported tier for its subscription platform, a behavioral shift is taking place as people are adopting ad-supported streaming services faster than non-ad subscription services. Ad-based models grew by 29% in 2022 compared to 2020, with subscription-based models increasing by 21%. But within ad-based models, personalized content plays a vital role in boosting the user experience, with 58% of Americans overall and 81% of Gen Zers favoring personalized ads. As more people switch to on-demand services, they'll be drawn to OTT platforms that offer hyper-personalised ad content.