Reorganisation of media and entertainment businesses follows rapid success of Disney+.
Disney is looking to further accelerate its direct to consumer strategy in the light of the success of Disney+.
The company has unveiled a strategic reorganisation of its media and entertainment businesses – this will see its ‘creative engines’ focusing on developing content for direct to consumer as well as legacy platforms, while distribution and commercialisation activities will be centralised into a single, global organisation.
The new Media and Entertainment Distribution group will be responsible for all monetisation of content – both distribution and ad sales – and will oversee operations of the company’s streaming services. It will also have sole P&L accountability for Disney’s media and entertainment businesses.
The creation of the content will be managed by three distinct groups – Studios, General Entertainment and Sports. These will be headed up by current leaders, Alan F Horn and Alan Bergman, Peter Rice and James Pitaro respectively.
The Media and Entertainment Distribution group will be headed up by Kareem Daniel, formerly president, consumer products, games and publishing.
All five will report directly to Bob Chapek, ceo, The Walt Disney Company.
Disney Parks, Experiences and Products will continue to operate under its existing structure, led by Josh D’Amaro, chairman. Meanwhile, Rebecca Campbell will serve as chairman, international operations and direct to consumer. Bob Iger will also continue in his role as executive chairman.
“Given the incredible success of Disney+ and our plans to accelerate our direct-to-consumer business, we are strategically positioning our company to more effectively support our growth strategy and increase shareholder value,” explained Bob Chapek. “Managing content creation distinct from distribution will allow us to be more effective and nimble in making the content consumers want most, delivered in the way they prefer to consume it.
“Our creative teams will concentrate on what they do best – making world-class, franchise-based content – while our newly centralised global distribution team will focus on delivering and monetizing that content in the most optimal way across all platforms, including Disney+, Hulu, ESPN+ and the coming Star international streaming service.”