by Thinus Ferreira
According to eMarketer, Disney - once a dominant force in children's entertainment is losing a whole generation of children to YouTube as it struggles to connect with new generations of kids in the digital streaming age and is too slow to shift to short-form content.
Where The Disney Channel - also carried by MultiChoice's DStv (DStv 303) in South Africa and across sub-Saharan Africa - used to command sizeable audiences, that linear TV audience has dramatically shrunk over recent years.
In the United States, The Disney Channel used to be a top 10 TV channel a decade ago in 2014 but now children between the ages of 2 and 11 prefer to watch YouTube over traditional TV, The Disney Channel and its video streaming service Disney+.
According to Nielsen audience measurements, American kids between 2 and 11 now watch YouTube and YouTube content three times more than Disney+.
According to eMarketer consumer data, YouTube "dominates socialmedia usage among United States children under 12, with 58% preferring it over TikTok (5.5%), Instagram (5%, Facebook (4.7%), and Snapchat (3.2%).
"Gen Z shows a strong inclination towards Snapchat (52.3%) and TikTok (43.8%) but YouTube remains vital with 25.5% of the total user share.Disney+, capturing 30% of Gen Z users, struggles to maintain engagement with the youngest audiences," eMarketer found.
"US children under 12 prefer YouTube, which has 28.6 million viewers, followed by Netflix (17.2 million) and Disney+ (15.6 million). The shift has profound implications for Disney," eMarketer says.
"Disney risks losing the next generation of fans, which could affect its broader revenue streams, including theme parks and merchandising," eMarketer says.
"Disney's attempts to engage kids through YouTube SHorts and integrations with popular games like Fortnite are steps in the right direction. However, these efforts seem reactive rather than proactive. The stark decline in Disney Chanel viewership underscores the urgency to innovate more aggressively and strategically."
"Over 60% of Disney+ subscribers redpotedly d not have children at home, per company data. This suggests that while Disney+ is appealing, it may not be a go-to platform for kids."
"The company's traditional strength - long-form content - is at odds with the current preferences of its youngest audience, who favour quick, engaging videos."
eMarketer says that the rise of short-form content on platforms like YouTube has "fundamentally altered how children consumer media - and Disney seems slow to capitalise on this shift".
"The company needs to rethink how it can capture and retain the attention of young audiences."
