Holiday Content Could Boost Growth for Disney+ and Peacock Through Fireworks and Streaming
As temperatures rise this summer, streaming services are pulling out all the stops to capture viewers’ attention around the Fourth of July. Platforms like Disney+ and Peacock are rolling out patriotic-themed lineups filled with American classics like Hamilton, Independence Day, and old episodes of The Office to keep us entertained during peak summer viewing. But are these special seasonal strategies just a flash in the pan, or do they actually lead to long-term subscriber growth? Let’s take a closer look at what the data tells us.
Disney+ and Peacock are both tapping into nostalgia and national pride to draw in audiences. Disney+ is featuring titles like National Treasure and Independence Day in its 2024 lineup, while Peacock is highlighting a flag-themed episode of The Office and airing a special comedy show called The American Society of Magical Negroes exclusively on its platform. These choices aim to resonate with viewers’ patriotic spirit and love for classic entertainment.
While we can’t definitively say that Fourth of July content directly translates to a surge in subscribers, looking at past trends gives us some clues. For example, when Peacock covered the Paris Olympics in 2024, it saw a significant increase in engagement—a 33% boost, to be exact—which contributed to a whopping 82% revenue growth in the third quarter of that year. Similarly, Disney’s success with the Wicked musical in theaters drove up demand for its streaming service, leading to an impressive 85% increase in EBITDA in the fourth quarter of 2024.
When it comes to subscriber growth, Peacock seems to be pulling ahead of Disney+. Their numbers show that Peacock gained 36 million subscribers by the third quarter of 2024 from 28 million in the same period the previous year, marking a 29% year-over-year increase. On the other hand, Disney+ had reached 155 million global subscribers by mid-2024, but its growth slowed down to just 1.4 million new subscribers in the second quarter of that year as the streaming market matured. The difference suggests that Peacock’s live sports and news content, like NFL games and presidential coverage, are attracting viewers in a way that Disney’s offerings can’t quite match. However, Disney’s extensive library of beloved franchises ensures that it remains a top contender in the streaming world.
Both platforms are turning to ad-supported tiers as a way to boost profits. Peacock’s ad-supported subscriber base accounts for 77.7% of its total, contributing to a $1.5 billion increase in revenue in the third quarter of 2024. As for Disney+, 40% of new subscribers are opting for its ad-supported tier. This move seems to be paying off, with projections showing that Peacock’s ad revenue could reach $2.7 billion by 2026, growing at a steady rate of 15% annually. The appeal of ad-supported plans goes beyond just numbers—Peacock’s targeted ads have been shown to increase brand favorability by 24% and purchase intent by 50%, proving that holiday-themed content can also be a magnet for advertisers.
In terms of stock performance, the picture is mixed, but trends seem to favor Peacock. Comcast, the parent company of Peacock, managed to narrow streaming division losses to $2.75 billion in 2024, marking an 8.3% improvement from the previous year. Disney also made positive strides, with its EBITDA soaring by 85% in the fourth quarter of 2024 thanks to cost-cutting measures and the success of Wicked at the box office. However, post-dividend, Disney’s stock saw a slight dip on July 8, 2024, while Peacock’s revenue growth from the Olympics suggests it might have an edge with its event-driven strategies, especially as they eye the 2028 Olympics rights.
The bottom line? Patriotic content isn’t just a one-time gimmick—it can be a long-term strategy for retaining subscribers. Platforms that have a rich library of nostalgic favorites (like Disney) and the ability to cover live events (like Peacock) are well-positioned to capitalize on both short-term spikes and sustained growth. The key lies in finding a balance between broad content offerings and event-specific programming to keep viewers engaged throughout the year.
For investors, placing bets on platforms like Peacock, with its impressive subscriber growth and event-driven revenue, could be a smart move. On the other hand, Disney’s stable subscriber base and extensive library make it a reliable option to hold onto. As the streaming market becomes increasingly crowded, platforms without a clear holiday or event strategy may struggle to stand out. So, next Fourth of July, consider backing the platforms that know how to turn patriotism into profit.
